agenda · 2018-04-03 · 2. changes in agenda/motion to accept agenda 3. introduction of guests...

AGENDA

Annual Board Meeting December 9, 2016

Great Wolf Lodge ~ Grand Mound

7:30 am BREAKFAST 8:00 am MEMBER REPRESENTATIVE MEETINGS (Find your Member Rep) 9:00 am

CALL TO ORDER – President Emmett Heath

1. Roll Call of Members 2. Changes in Agenda/Motion to Accept Agenda 3. Introduction of Guests

Sign-in sheet

DISCUSSION

1. Member Representative Meeting Report and Discussion

Page #

*WP #

FINANCIAL REPORTS –Christianson

1. September 2016 Treasurer’s Report 2. September 2016 Income & Expense Statement 3. September 2016 Balance Sheet 4. September 2016 Claims Report 5. September 2016 Comparative Balance Sheet & Income & Expense

Statement

002 003 006 007 009

EXECUTIVE SESSION

1. Proposed amendments to the Executive Director’s Contract

STAFF REPORTS 1. Executive Staff Report – Hatten & Christianson 2. Annual Report of Paid Events over $100,000 – Christianson 3. Executive Director’s Annual Report - Hatten 4. General Counsel’s Report – Franz 5. Broker’s Report – White

014 023 025 028 031

ACTION ITEMS

1. Minutes – September 30, 2016 2. Governance Policy: Governance Policy: Explained and Defined 3. Approve General Liability / Auto Liability Coverage Document (no changes) 4. Approve Public Officials Liability Coverage Document (no changes) 5. Approve reclassification of one staff position and one new position -

Christianson 6. Approve 2017 WSTIP Budget ($14,578,843) 7. Approve 2017 Member Allocations ($14,578,834) 8. Approve Executive Director’s contract 1/1/2017 to 3/31/2018

042 046 050 061 071

075 103 129

11:00 am EXECUTIVE COMMITTEE & OFFICERS ELECTION, PASSING OF THE GAVEL

MEMBER UPDATES & GUEST FEEDBACK

12:00 pm ADJOURN (Box Lunches available if you ordered one while registering)

NEXT MEETING – March 25, 2017

*WP = Work Plan Item #

Washington State Transit Insurance Pool Treasurer's Report

Date: September 30, 2016

To: WSTIP Board Members

Subject: Treasurer's Report September 30, 2016

The following is a summary of the cash and investment status as of September 30, 2016Item Rate Account Balance % of Total

US Bank Claims 0.05% 200,709 0.505%

US Bank Administration 0.05% 90,577 0.228%

US Bank - Payroll 22,060 0.055%

Wa State Local Government Investment Pool 0.52% 608,605 1.531%

Thurston County Investment Pool 0.86% 38,841,060 97.681%

Cash and Equivalents: 39,763,011 100.00%

No Assurance Is Provided On This Financial StatementSustantially All Disclosures Are Not Included.

Washington State Transit Insurance Pool

Statement of IncomeSeptember 30, 2016% of Fiscal Period Passed:

75.00%

September 30, 2016 YTD INCOME ACTUAL BUDGET YEARLY BUDGET % of Budget

IncomeMEMBER CONTRIBUTIONS

Asotin County 3,758$ 33,824 33,824 45,099$ 75.00%Ben Franklin 80,200 721,802 721,802 962,402 75.00%Clallam 27,284 245,554 245,555 327,406 75.00%Columbia County 3,325 29,927.97 29,928 39,904 75.00%Community 166,106 1,494,952 1,494,953 1,993,270 75.00%C-Tran 77,014 693,126 693,126 924,168 75.00%RiverCities 7,655 68,893 68,894 91,858 75.00%Everett Transit 24,077 216,689 216,689 288,918 75.00%Grant Transit Authority 12,847 115,620 115,620 154,160 75.00%Grays Harbor 18,909 170,183 170,183 226,910 75.00%Intercity 88,779 799,013 799,013 1,065,351 75.00%Island 28,996 260,968 260,968 347,957 75.00%Jefferson 9,880 88,924 88,924 118,565 75.00%Kitsap 65,552 589,964 589,964 786,618 75.00%Link 27,832 250,490 250,490 333,986 75.00%Mason 16,248 146,234 146,234 194,978 75.00%Pacific 5,397 48,575 48,575 64,766 75.00%Pierce Transit 190,973 1,718,759 1,718,759 2,291,678 75.00%Pullman Transit 5,061 45,553 45,553 60,737 75.00%Skagit 28,866 259,797 259,797 346,396 75.00%Spokane Transit 109,394 984,545 984,545 1,312,727 75.00%Twin Transit 4,726 42,533 42,533 56,711 75.00%Valley Transit 9,121 82,092 82,092 109,456 75.00%Whatcom 43,813 394,313 394,313 525,750 75.00%Yakima 16,197 145,771 145,772 194,362 75.00%

Total MEMBER CONTRIBUTIONS 1,072,011 9,648,100 9,648,100 12,864,133 75.00%

NON-OPERATING REVENUE CJI TournamentInterest Income 27,575 250,896 262,500 350,000 71.68%Training Coalition 1,950 50,891 37,500 50,000 101.78%Lease Payments 1,500 13,500 13,500 18,000 75.00%Other Miscellaneous 411 85,318 30,000 40,000 213.30%

Total NON-OPERATING REVENUE 31,436 400,605 343,500 458,000 87.47%

Total Income 1,103,447 10,048,705 9,991,600 13,322,133 75.43%

Expense

CLAIMS ULAE Liability Claims 521,796 4,696,166 4,696,166 6,261,554 75.00% 1st Party Claims 50,339 453,051 453,051 604,068 75.00%

Total CLAIMS 572,135 5,149,217 5,149,217 6,865,622 75.00%

INSURANCE SERVICES - Captive - $3M xs $2M 60,120 541,080 543,083 724,111 74.72%Reinsurance - $10M xs $5M 31,610 284,493 285,750 381,000 74.67%Excess Coverage $5M X $15M 11,333 102,000 102,750 137,000 74.45%1st Party Property 61,741 559,834 585,490 780,653 71.71%Blanket Pollution 3,615 32,535 32,250 43,000 75.66%Underground Storage Tank Cov. 73,322 118,444 50,762 67,682 175.00%Crime & Fidelity 1,239 11,151 12,293 16,391 68.03%

Total INSURANCE SERVICES 242,980 1,649,537 1,612,378 2,149,837 76.73%

CONTRACT SERVICES Administrative Services 2,828 35,731 20,250 27,000 132.34%Contract Web Design - DIS Backup - Driver Record Monitoring - 280,662 186,050 248,066 113.14%Integrated Risk - Contract Services 135 10,970 18,750 25,000 43.88%Rack Space 650 5,219 8,100 10,800 48.32%Software Cooperative

Total CONTRACT SERVICES 3,613 332,582 233,150 310,866 106.99%

STAFF WAGES, TAXES & BENEFITS Wages 91,624 808,490 751,565 1,002,086 80.68%Staff Benefits 17,259 154,377 182,006 242,674 63.62%Retirement Trust ICMA 5,526 48,755 46,073 61,430 79.37%Payroll taxes 1,427 13,592 21,009 28,012 48.52%

Total STAFF WAGES, TAXES & BENEFITS 115,837 1,025,215 1,000,652 1,334,202 76.84%

BROKER FEE 25,300 101,200 92,767 101,200 100.00%

No Assurance Is Provided On This Financial StatementSubstantially All Disclosures Are Not Included.

Page 1 of 3



75.00%


LEGAL AND ACCOUNTINGAccounting 3,611 20,948 11,264 15,018 139.48%Legal - General - 0.00%Legal - Other 0.00%

Total LEGAL AND ACCOUNTING 3,611 20,948 11,264 15,018 139.48%

ACTUARIAL 35,000 54,750 54,375 72,500 75.52%-

BOARD EXPENSES - Jeff Ristau Scholarship - 7,350 15,000 20,000 36.75%Board Development 7,500 10,000 0.00%Conference/Travel - WSTIP Board 695 62,359 63,750 85,000 73.36%Board Meeting Expenses - 33,502 44,393 59,190 56.60%

Total BOARD EXPENSES 695 103,210 130,643 174,190 59.25%

STAFF CONFERENCES & TRAVEL Staff Travel 4,486 56,491 52,593 70,124 80.56%Staff Registration 10,754 20,303 7,838 10,451 194.27%Educational Materials 185 2,025

Total STAFF CONFERENCES & TRAVEL 15,424 78,819 60,431 80,575 97.82%

LOSS CONTROL SERVICES Driver Recognition Program 3,600 13,025 Network Security 35,884 45,001 93,750 125,000 36.00%Loss Prevention Projects 2,614 75,893 43,500 58,000 130.85%Vanpool Driver Online Refresher 5,250 7,000 0.00%Guest Rider Program - 4,603 - Contract Services 15,850 23,250 31,000 51.13%LOSS CONTROL SERVICES - Other - Competitve Grant Program - Best Practices Work Plan - Best Practices/Risk Management 10,053 40,500 54,000 18.62%Trainers Showcase 10,308 1,500 2,000 515.40%On-Line Training Programs - Pre Litigation Fund - 17,484 41,250 55,000 31.79%Roadeo Sponsorship 7,000 9,000 12,000 58.33%Video Purchases 53 53 1,125 1,500 3.53%Diamond Award - Golden Coach Award 704 791 6,375 8,500 9.31%Best Practices Award - Risk Management Grants - 27,500 49,500 66,000 41.67%Grants/Training - Other - 9,426 - Recognition 206 - Training Coalition 2,312 39,133 30,000 40,000 97.83%Loss Control Services - Other - 0.00%

Total LOSS CONTROL SERVICES 45,166 276,326 377,083 460,000 60.07%

COMMUNICATIONS Telephone 1,125 10,629 11,124 14,832 71.66%Internet Access 481 4,086 3,245 4,326 94.45%

Total COMMUNICATIONS 1,605 14,714 14,369 19,158 76.81%

OCCUPANCY COSTS Utilities 609 10,157 11,124 14,832 68.48%Janitorial Services 401 2,009 3,750 5,000 40.17%Maintenance/Repairs 1,026 15,734 9,000 12,000 131.12%Office Equipment Lease 482 4,335 4,500 6,000 72.25%

Total OCCUPANCY COSTS 2,517 32,235 28,374 37,832 85.21%

OFFICE EXPENSES Dues and Subscriptions 817 11,706 7,745 10,327 113.35%Postage 150 2,763 2,405 3,206 86.18%Printing & Graphic Services 1,293 11,937 9,821 13,094 91.16%Office Supplies 1,630 15,496 14,013 18,684 82.94%

Total OFFICE EXPENSES 3,890 41,901 33,983 45,311 92.47%

AUDITS St. R/M Audit and Assessment - 11,734 12,581 16,774 69.96%Property Audits 17,094 11,250 15,000 113.96%Annual Audit 1,210 5,493 8,077 10,769 51.01%

Total AUDITS 1,210 34,321 31,907 42,543 80.67%

INFORMATION SERVICESComputer maintenance/support 323 13,598 38,891 51,854 26.22%Software/licenses/upgrades 8,722 103,393 103,575 138,100 74.87%


Page 2 of 3



75.00%


RMIS Purchase 3,515 3,600 4,800 73.23%Hardware/upgrades/replacement 3,077 12,610 14,250 19,000 66.37%New Initiatives Web Site Update 9,990 15,150 20,200 49.46%

Total INFORMATION SERVICES 12,122 143,106 175,466 233,954 61.17%

MISCELLANEOUSLease-Hold Rent Taxes 1,165 CJI TournamentMiscellaneous 1,500 2,000 0.00%

Total MISCELLANEOUS - 1,165 1,500 2,000 58.26%

DEPRECIATION 1,260 11,336 16,200 21,600 52.48%

Total Administration Expenses 1,082,366 9,070,582 9,023,756 11,966,408 75.80%

Net Income 21,081 978,123 1,355,725 72.15%

Other Expense

Total Other Expense

Net Income 21,081$ 978,123$


Page 3 of 3


Balance SheetSeptember 30, 2016

ASSETS

Current Assets

Cash and Equivalents

U S Bank Claims 200,709$

U S Bank Administration 90,577

U S Bank Payroll 22,060

LGIP # 02448 608,605

TCIP 38,841,060

Total Cash and Equivalents 39,763,011

Other Current Assets

Accounts Receivable 442

Prepaid Expenses 3,585

Prepaid Pollution Liability Insurance 68,685

Prepaid Property Insurance 555,670

Prepaid Underground Storage Insurance 5,640

Prepaid Insurance - Other 312,908

Prepaid Subscriptions 37,083

Total Other Current Assets 984,013

Total Current Assets 40,747,024

Property and Equipment

Building 387,990

Improvements 63,890

Land 91,010 Equipment & Fixtures 213,461 Computer Equipment 27,301

Accumulated Depreciation (385,687)

Net Property and Equipment 397,965

Other Assets

Investment in GEM Insurance Company 1,182,079

Deferred Outflows of Resources

Pension Related 108,318

Total Other Assets 1,290,397

Total Assets 42,435,385$

LIABILITIES & EQUITY

Current Liabilities

Accounts Payable 115,544$

Deferred Compensation Payable 151,633

Deferred Revenue 3,216,033

Due to Leadership Academy 24,403

Payroll Payable 6,559

Reserve for Claims

2008 Reserve Balance 927,175



2011 Reserve Balance 1,326,269






ULAE Reserve 600,000

Total Reserve for Claims 17,132,316

Total Current Liabilities 20,646,488

Long Term Liabilities

Deferred Inflows of Resources

Pension Related 110,958

Net Pension Liability 719,451

Total Long Term Liabilities 830,409

Total Liabilities 21,476,897

Equity

Invested in Capital Assets, Net of Related Debt 409,300

Unrestricted Building Reserve Fund 71,193

Beginning Surplus 35,845,704

Reserve for Prior Year Claims (16,309,610)

Net Change in Claim Reserves (36,222)

Net Income 978,123

Total Equity 20,958,488

Total Liabilities and Equity 42,435,385$

No Assurance Is Provided On This Financial StatementSubstantially All Disclosures Are Not Included


September 2016 Claim Liability

As of 9/30/2016 - Report Date 10/31/2016

Event Date UNL Gross Paid Recovery Net Paid Reserves IBNR Net IncurredOutstanding

Liability Total Claims Open Claims Litigation2006 $4,594,680 $5,525,088 $930,408 $4,594,680 $0 $0 $4,594,680 $0 745 0 02007 $2,440,438 $3,330,862 $890,424 $2,440,438 $0 $0 $2,440,438 $0 802 0 02008 * $6,197,458 $7,458,274 $2,187,991 $5,270,283 $927,100 $74 $6,197,384 $927,175 839 1 12009 * $4,479,882 $5,536,908 $1,112,571 $4,424,337 $35,686 $19,859 $4,460,023 $55,545 859 1 12010 * $6,108,384 $6,916,727 $856,517 $6,060,210 $47,715 $459 $6,107,925 $48,174 1,105 1 12011 * $8,394,802 $16,483,957 $9,415,424 $7,068,533 $1,252,465 $73,804 $8,320,998 $1,326,269 1,035 5 32012 * $5,095,462 $6,911,350 $2,061,016 $4,850,333 $75,767 $169,362 $4,926,100 $245,129 1,014 3 22013 * $5,531,144 $4,251,382 $568,529 $3,682,854 $1,746,642 $101,648 $5,429,496 $1,848,290 1,122 23 132014 * $7,285,468 $5,937,377 $2,356,278 $3,581,100 $2,864,505 $839,863 $6,445,605 $3,704,368 1,085 49 62015 * $5,645,673 $2,861,531 $878,154 $1,983,376 $2,030,566 $1,631,731 $4,013,942 $3,662,297 973 128 32016 * $5,241,461 $621,717 $95,324 $526,392 $1,006,340 $3,708,729 $1,532,732 $4,715,069 676 385 1

Totals $61,014,852 $65,835,173 $21,352,636 $44,482,537 $9,986,785 $6,545,530 $54,469,322 $16,532,315 10,255 596 31

ULAE* $600,000

Outstanding Liability $17,132,315

* Ultimate Net Loss (UNL) estimates (2008-2015) from July 2016 PWC Actuary report; "All Coverages, Summary of Net Losses and Reserves - Net of Deductibles", exhibit 1.3* UNL 2016 estimate from PWC December 2015 Actuary Report, "All Coverages, Estimated Payments for Calendar Year 2016", exhibit 1.4 (9 month estimate based on $6,988,615 for calendar year)* Outstanding Unallocated Loss Adjustment Expense (ULAE) Reserve (undiscounted) from July 2016 PWC Actuary Report, "Estimates of Assets and Liabilities", exhibit 1-1

* UNL 2016 estimate from PWC December 2015 Actuary Report, "All Coverages, Estimated Payments for Calendar Year 2016", exhibit 1.4 (9 month estimate based on $6,988,615 for calendar year)

Washington State Transit Insurance PoolComparative Balance Sheet Report

September

Sep 30, 16 Sep 30, 15 $ Change % Change

ASSETS

Current Assets

Checking/Savings

1000 · Bank Accounts

US Bank Claims 200,709.20 300,994.87 -100,285.67 -33.32%

US Bank Administration 90,577.41 102,677.27 -12,099.86 -11.78%

US Bank Payroll 22,059.55 23,474.83 -1,415.28 -6.03%

Total 1000 · Bank Accounts 313,346.16 427,146.97 -113,800.81 -26.64%

105 · LGIP # 02448 608,604.79 606,220.01 2,384.78 0.39%

TCIP 38,841,060.32 35,322,131.65 3,518,928.67 9.96%

Total Checking/Savings 39,763,011.27 36,355,498.63 3,407,512.64 9.37%

Accounts Receivable

118 · Accounts receivable 441.52 102.49 339.03 330.79%

Total Accounts Receivable 441.52 102.49 339.03 330.79%

Other Current Assets

Prepaid expenses 3,585.00 0.00 3,585.00 100.0%

Prepaid Insurance

Prepaid Underground Storage Ins 5,640.27 5,640.22 0.05 0.0%

P · Prepaid Property Insurance 555,669.82 553,606.73 2,063.09 0.37%

Prepaid Pollution Liability Ins 68,684.72 112,064.72 -43,380.00 -38.71%

Prepaid Insurance - Other 312,908.08 285,416.04 27,492.04 9.63%

Total Prepaid Insurance 942,902.89 956,727.71 -13,824.82 -1.45%

Prepaid Subscription 37,083.31 0.00 37,083.31 100.0%

Total Other Current Assets 983,571.20 956,727.71 26,843.49 2.81%

Total Current Assets 40,747,023.99 37,312,328.83 3,434,695.16 9.21%

Fixed Assets

Computer Equipment 27,300.98 27,300.98 0.00 0.0%

Building

Leasehold Improvements 63,889.96 63,889.96 0.00 0.0%

Building - Other 387,990.00 387,990.00 0.00 0.0%

Total Building 451,879.96 451,879.96 0.00 0.0%

Land 91,010.00 91,010.00 0.00 0.0%

200 · Equipment 42,942.92 42,942.92 0.00 0.0%

207 · Equipment & fixtures 170,518.33 170,518.33 0.00 0.0%

250 · Accumulated depreciation -385,687.32 -372,219.82 -13,467.50 -3.62%

Total Fixed Assets 397,964.87 411,432.37 -13,467.50 -3.27%

Other Assets

GEM Insurance Company 1,182,078.55 1,662,569.55 -480,491.00 -28.9%

Deferred Outflows of Resources

Pension Related 108,318.00 68,792.00 39,526.00 57.46%

Total Deferred Outflows of Resources 108,318.00 68,792.00 39,526.00 57.46%

Total Other Assets 1,290,396.55 1,731,361.55 -440,965.00 -25.47%

TOTAL ASSETS 42,435,385.41 39,455,122.75 2,980,262.66 7.55%

LIABILITIES & EQUITY

Liabilities

Current Liabilities

Accounts Payable

300 · Accounts Payable

301 · Claims Payable 47,861.78 69,540.89 -21,679.11 -31.18%

300 · Accounts Payable - Other 67,682.09 40,274.78 27,407.31 68.05%

Total 300 · Accounts Payable 115,543.87 109,815.67 5,728.20 5.22%

Total Accounts Payable 115,543.87 109,815.67 5,728.20 5.22%

Other Current Liabilities

Due · Due to Leadership Academy 24,403.38 0.00 24,403.38 100.0%

Deferred Revenues 3,216,033.10 3,053,242.78 162,790.32 5.33%

365 · Deferred Compensation Payable 151,633.00 145,962.00 5,671.00 3.89%

2000 · Taxes Payable

330 · Payroll taxes payable 6,875.05 5,630.60 1,244.45 22.1%

2100 · Payroll Liabilities

2101 · Employee FSA -315.89 1,383.36 -1,699.25 -122.84%

Page 1 of 2

Washington State Transit Insurance PoolComparative Balance Sheet Report

September

Sep 30, 16 Sep 30, 15 $ Change % Change

Total 2100 · Payroll Liabilities -315.89 1,383.36 -1,699.25 -122.84%

Total 2000 · Taxes Payable 6,559.16 7,013.96 -454.80 -6.48%

380 · Reserve for Claims

398 · 2006 Reserve Balance 0.00 32,383.42 -32,383.42 -100.0%

402 · 2008 Reserve Balance 927,174.69 1,001,394.43 -74,219.74 -7.41%

403 · 2009 Reserve Balance 55,545.14 25,306.50 30,238.64 119.49%

404 · 2010 Reserve Balance 48,173.61 142,611.88 -94,438.27 -66.22%

405 · 2011 Reserve Balance 1,326,269.09 1,561,106.28 -234,837.19 -15.04%

406 · 2012 Reserve Balance 245,128.52 528,388.32 -283,259.80 -53.61%

407 · 2013 Reserve Balance 1,848,290.48 1,503,864.44 344,426.04 22.9%

408 · 2014 Reserve Balance 3,704,368.49 4,645,377.16 -941,008.67 -20.26%

409 · 2015 Reserve Balance 3,662,296.70 4,921,533.09 -1,259,236.39 -25.59%

411 · 2016 Reserve Balance 4,715,069.02 0.00 4,715,069.02 100.0%

400 · ULAE Reserve 600,000.00 598,000.00 2,000.00 0.33%

Total 380 · Reserve for Claims 17,132,315.74 14,959,965.52 2,172,350.22 14.52%

Total Other Current Liabilities 20,530,944.38 18,166,184.26 2,364,760.12 13.02%

Total Current Liabilities 20,646,488.25 18,275,999.93 2,370,488.32 12.97%

Long Term Liabilities

Deferred Inflows of Resources

Pension Related 110,958.00 248,161.00 -137,203.00 -55.29%

Total Deferred Inflows of Resources 110,958.00 248,161.00 -137,203.00 -55.29%

Net · Net Pension Liability 719,451.00 559,494.00 159,957.00 28.59%

Total Long Term Liabilities 830,409.00 807,655.00 22,754.00 2.82%

Total Liabilities 21,476,897.25 19,083,654.93 2,393,242.32 12.54%

Equity

Building Reserve Fund 71,192.74 56,192.74 15,000.00 26.69%

3000 · Surplus for Open Years 9,387,768.04 9,525,301.60 -137,533.56 -1.44%

410 · Members' Reserve 10,521,404.67 10,070,989.09 450,415.58 4.47%

Net Income 978,122.71 718,984.39 259,138.32 36.04%

Total Equity 20,958,488.16 20,371,467.82 587,020.34 2.88%

TOTAL LIABILITIES & EQUITY 42,435,385.41 39,455,122.75 2,980,262.66 7.55%

Page 2 of 2

Washington State Transit Insurance PoolComparative Income and Expense Report

September

Sep 16 Sep 15 $ Change % Change

Ordinary Income/Expense

Income

501 · MEMBER CONTRIBUTIONS

501-25 · Asotin County 3,758.25 3,354.92 403.33 12.02%

501-01 · Ben Franklin 80,200.17 72,185.17 8,015.00 11.1%

501-02 · Clallam 27,283.83 26,910.17 373.66 1.39%

501-21 · Columbia County 3,325.33 3,340.08 -14.75 -0.44%

501-03 · Community 166,105.83 149,286.00 16,819.83 11.27%

501-27 · C-TRAN 77,014.00 71,826.92 5,187.08 7.22%

501-22 · RiverCities 7,654.83 6,430.08 1,224.75 19.05%

501-23 · Everett Transit 24,076.50 22,621.42 1,455.08 6.43%

501-14 · Grant Transit Authority 12,846.67 14,209.17 -1,362.50 -9.59%

501-04 · Grays Harbor 18,909.17 16,649.42 2,259.75 13.57%

501-05 · Intercity 88,779.25 89,075.92 -296.67 -0.33%

501-06 · Island 28,996.42 27,417.75 1,578.67 5.76%

501-07 · Jefferson 9,880.42 8,761.67 1,118.75 12.77%

501-08 · Kitsap 65,551.50 59,679.58 5,871.92 9.84%

501-09 · Link 27,832.17 26,349.42 1,482.75 5.63%

501-11 · Mason 16,248.17 15,724.75 523.42 3.33%

501-10 · Pacific 5,397.17 5,447.58 -50.41 -0.93%

501-26 · Pierce Transit 190,973.17 185,912.50 5,060.67 2.72%

501-16 · Pullman Transit 5,061.42 5,732.00 -670.58 -11.7%

501-12 · Skagit 28,866.33 31,112.58 -2,246.25 -7.22%

501-19 · Spokane Transit 109,393.92 103,526.83 5,867.09 5.67%

501-15 · Twin Transit 4,725.92 5,068.42 -342.50 -6.76%

501-20 · Valley Transit 9,121.33 8,645.92 475.41 5.5%

501-13 · Whatcom 43,812.50 39,707.50 4,105.00 10.34%

501-24 · Yakima Transit 16,196.83 18,771.81 -2,574.98 -13.72%

Total 501 · MEMBER CONTRIBUTIONS 1,072,011.10 1,017,747.58 54,263.52 5.33%

504 · NON-OPERATING REVENUE

505 · Interest Income 27,575.27 23,235.00 4,340.27 18.68%

508 · Other Miscellaneous 410.56 231.75 178.81 77.16%

509 · Lease Payments 1,500.00 1,500.00 0.00 0.0%

507 · Training Coalition 1,950.00 3,100.00 -1,150.00 -37.1%

Total 504 · NON-OPERATING REVENUE 31,435.83 28,066.75 3,369.08 12.0%

Total Income 1,103,446.93 1,045,814.33 57,632.60 5.51%

Gross Profit 1,103,446.93 1,045,814.33 57,632.60 5.51%

Expense

600 · CLAIMS

601 · Liability Claims 521,796.17 512,239.08 9,557.09 1.87%

602 · 1st Party Claims 50,339.00 52,123.92 -1,784.92 -3.42%

Total 600 · CLAIMS 572,135.17 564,363.00 7,772.17 1.38%

610 · INSURANCE SERVICES

626 · Captive - $3M xs $2M Retention 60,120.00 51,783.67 8,336.33 16.1%

Reinsurance - $10M xs $5M 31,610.33 30,788.83 821.50 2.67%

612 · Excess - $5 mill X $15 mill 11,333.33 11,333.33 0.00 0.0%

622 · Property 61,741.09 61,511.85 229.24 0.37%

Blanket Pollution 3,615.00 3,615.00 0.00 0.0%

Underground Storage Tank Cov 73,322.26 5,640.17 67,682.09 1,200.0%

624 · Crime and Fidelity 1,239.02 1,232.86 6.16 0.5%

Total 610 · INSURANCE SERVICES 242,981.03 165,905.71 77,075.32 46.46%

760 · CONTRACT SERVICES

768 · Driver Record Monitoring 0.00 4,412.62 -4,412.62 -100.0%

702 · Actuary 35,000.00 0.00 35,000.00 100.0%

762 · Administrative services

762.2 · Wellness Committee 412.70 8.68 404.02 4,654.61%

762.1 · Credit Card Service Fees 103.79 79.82 23.97 30.03%

762 · Administrative services - Other 2,311.76 4,472.25 -2,160.49 -48.31%

Total 762 · Administrative services 2,828.25 4,560.75 -1,732.50 -37.99%

701 · Broker Fee 25,300.00 25,300.00 0.00 0.0%

Page 1 of 3


September


769 · Rack space at the State 650.00 653.72 -3.72 -0.57%

767 · Contract Services 135.00 2,098.47 -1,963.47 -93.57%

Total 760 · CONTRACT SERVICES 63,913.25 37,025.56 26,887.69 72.62%

720 · STAFF WAGES, TAXES & BENEFITS

719 · Staff Benefits 17,259.43 15,307.29 1,952.14 12.75%

720.1 · Wages 91,623.70 84,796.37 6,827.33 8.05%

720.1.1 · Retirement Trust ICMA 5,525.99 5,246.55 279.44 5.33%

725 · Payroll Taxes 1,427.42 1,331.26 96.16 7.22%

Total 720 · STAFF WAGES, TAXES & BENEFITS 115,836.54 106,681.47 9,155.07 8.58%

700 · LEGAL AND ACCOUNTING

703 · Accounting 3,610.94 1,025.98 2,584.96 251.95%

Total 700 · LEGAL AND ACCOUNTING 3,610.94 1,025.98 2,584.96 251.95%

730 · BOARD EXPENSES

732.2 · Jeff Ristau Scholarship 0.00 2,700.00 -2,700.00 -100.0%

731 · Conference/Travel - WSTIP Board 695.00 5,087.75 -4,392.75 -86.34%

732 · Board Meeting Expenses 0.00 342.00 -342.00 -100.0%

Total 730 · BOARD EXPENSES 695.00 8,129.75 -7,434.75 -91.45%

733 · STAFF CONFERENCES & TRAVEL

Staff Travel 4,485.83 5,094.51 -608.68 -11.95%

Staff Registration 10,754.00 1,340.00 9,414.00 702.54%

734 · Educational Materials 184.56 0.00 184.56 100.0%

Total 733 · STAFF CONFERENCES & TRAVEL 15,424.39 6,434.51 8,989.88 139.71%

740 · LOSS CONTROL SERVICES

Driver Recognition Program 3,600.00 0.00 3,600.00 100.0%

Network Security 35,883.75 112.50 35,771.25 31,796.67%

Loss Prevention Projects

Collision Avoidance Technology 2,613.51 57,628.75 -55,015.24 -95.47%

Serious loss reviews/videos 0.00 3,000.00 -3,000.00 -100.0%

Total Loss Prevention Projects 2,613.51 60,628.75 -58,015.24 -95.69%

Contract Services 0.00 4,610.00 -4,610.00 -100.0%

Pre-Litigation Fund 0.00 2,386.00 -2,386.00 -100.0%

741 · Grants/Training

Video Purchases 52.91 0.00 52.91 100.0%

Award Programs (Golden Coach et 704.16 325.00 379.16 116.67%

Risk Management Grants 0.00 7,500.00 -7,500.00 -100.0%

Total 741 · Grants/Training 757.07 7,825.00 -7,067.93 -90.33%

800 · Training Coalition 2,311.56 8,100.00 -5,788.44 -71.46%

Total 740 · LOSS CONTROL SERVICES 45,165.89 83,662.25 -38,496.36 -46.01%

770 · COMMUNICATIONS

772 · Telephone 1,124.56 1,113.30 11.26 1.01%

771 · Internet Access 480.51 288.52 191.99 66.54%

Total 770 · COMMUNICATIONS 1,605.07 1,401.82 203.25 14.5%

777 · OCCUPANCY COSTS

778 · Office Maintenance/Repairs 1,025.51 1,329.85 -304.34 -22.89%

773 · Utilities 608.54 585.59 22.95 3.92%

758 · Janitorial Services 400.97 200.97 200.00 99.52%

774 · Office Equipment Lease 481.69 481.69 0.00 0.0%

Total 777 · OCCUPANCY COSTS 2,516.71 2,598.10 -81.39 -3.13%

749 · OFFICE EXPENSES

752 · Dues and Subscriptions 817.10 863.69 -46.59 -5.39%

757 · Office Supplies 1,629.86 1,614.66 15.20 0.94%

754 · Postage 150.02 197.48 -47.46 -24.03%

753 · Printing & Graphic Services 1,293.45 1,108.28 185.17 16.71%

Total 749 · OFFICE EXPENSES 3,890.43 3,784.11 106.32 2.81%

802 · AUDITS

Annual Audit 1,210.30 8,549.90 -7,339.60 -85.84%

Total 802 · AUDITS 1,210.30 8,549.90 -7,339.60 -85.84%

INFORMATION SERVICES

750 · Software/Licenses/Upgrades 8,722.27 3,365.48 5,356.79 159.17%

764 · Computer Maintenance/Support 323.00 4,910.82 -4,587.82 -93.42%

Page 2 of 3


September


791 · Hardware/Upgrades/replacements 3,077.11 5,518.60 -2,441.49 -44.24%

Total INFORMATION SERVICES 12,122.38 13,794.90 -1,672.52 -12.12%

759 · DEPRECIATION 1,259.50 1,713.33 -453.83 -26.49%

Total Expense 1,082,366.60 1,005,070.39 77,296.21 7.69%

Net Ordinary Income 21,080.33 40,743.94 -19,663.61 -48.26%

Net Income 21,080.33 40,743.94 -19,663.61 -48.26%

Page 3 of 3

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December 9, 2016

TO: WSTIP Board of Directors

FROM: Al Hatten, Executive Director & Tracey Christianson, Deputy Director

SUBJECT: Executive Staff Report – December 2016

2017 WSTIP DRAFT BUDGET AND 2017 RENEWALS At the Executive Committee meeting on October 25th, the committee instructed staff to present a 2017

WSTIP budget with a $2.5 million self-insurance retention and a rate increase of 10%. GEM will provide

the captive reinsurance for $2.5 million in excess of $2.5 million. Munich Re will follow from $5 million to

$10 million (as expiring) and ARCH will attach at $15 million with another $5 million (same as expiring).

Total limits remain at $20 million.

Based on our past practices of following Intercity Transit’s general wage increases, the 2017 budget will

include a 3% general wage increase for WSTIP staff and general counsel. It does not include the

Executive Director. The Board will need to vote by a majority on any amendments or changes to the

Executive Director’s contract. A proposed contract is presented as an action item on the Board agenda

with the Executive Committee’s recommendation for approval.

POTENTIAL “NEW” MEMBER Staff has been contacted by the Skamania County Transit for consideration of membership. The WSTIP

governance policy states that to be considered the entity seeking consideration must meet the following

prerequisites: In operation in excess of two years, have at least two modes of service, and a minimum

annual mileage of not less than 200,000.

GEM TRANSIT PROTECTED CELL PROPOSAL On October 6th, staff had a conference call to further define the scope of a proposed transit protected cell

captive with GEM providing the admin support as the parent organization. The initial actuarial was

somewhat unexpected and it appears that the relationship of WSTIP and CalTip may not be in either

entities best interest. We have decided to put the project on the back-burner and wait until CalTip decide

what their board appetite is to increasing their self-insured retention above their current $1.25 million.

GEM UPDATES The following is a synopsis of the major discussions and decisions that occurred at the GEM Board Meeting in Chicago, IL, on October 27 and 28, 2016.

9/30/16 Financials The 9/30 financials reported a net loss of $1,427,310. This was driven primarily by adverse development on three prior-year losses during the third quarter, amounting to $4.46 million.

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Members’ Surplus Initiative: Strategic Risk Solutions (SRS) presented their findings, based on

the interviews with GEM’s members. Based on member feedback and discussion during the meeting, two key themes were identified:

Return of Voluntary Surplus Contributions (VSC): the Board agreed in principle that GEM should adopt a policy regarding the return of VSCs, including accrued interest. A draft policy was considered and revisions were proposed. A revised version will be presented to the Board for further consideration, together with projections of accrued interest under alternative scenarios.

Return of Initial Surplus Contributions (ISC) in the event a member leaves GEM: there was discussion around the amount of ISC that should be returned to a member in the event of adverse loss experience. Potential structures will be presented for consideration by the Board. The Board will meet via teleconference during December 2016 to consider next steps. Ultimately, any changes to current practices will be voted on by the membership. Member Surplus Contribution & Withdrawal Policy Pending the outcome of the Member Surplus Initiative, and any changes to Member Accounting, the Board agreed to waive the requirement for additional member surplus contributions based on the member’s surplus account balance.

2017 Budget The budget, as presented, was approved. Included in the Salaries and Employee Benefits expense item is a provision for the services of a Professional Employer Organization, which will provide various payroll and benefits compliance functions, as well as access to a health benefits network for GEM employees. An adjustment will be made to the Travel item, to provide for additional expenses related to attendance at the February 2017 meeting, as described above.

2015 Member Accounting Audit The Board approved the draft audit report based on a recommendation from the Audit Committee. Risk Management Support Policy The Board considered GEM’s position on providing support to members’ risk management initiatives, and the question of whether to establish a policy. Recognizing the time commitment to establish and manage such a policy, and the extensive projects currently in process, the Board agreed to revisit this important topic in the future.

Transit Reinsurance JLT Re provided an update on efforts to develop a reinsurance treaty specifically for GEM’s transit exposure. They are currently awaiting responses from various markets and should know within the next two weeks whether the arrangement may proceed.

JEFFREY S. RISTAU SCHOLARSHIP

A new application was received from Grays Harbor and Clallam Transit.

INVESTMENT STRATEGY REVIEW

Ben Foreman and staff met with the Thurston County Treasurer (TCT) and discussed options to improve

the yield of our investments. While we could certainly remove ourselves from the collective and improve

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our yield at Thurston County Investment Pool (TCIP), we also run the risk of any adverse performance

without the sharing relationship of the investment pool. TCT advised that we could invest solely in US

Treasury Bonds with durations up to a year and current yields of 1.24%. Certainly better than our current

0.84% return. TCT has some reservation based on the voluntary nature of WSTIP in the investment pool.

We reassured them that we have no reason to suspect any changes now or in the future. We have asked

TCIP to give us current yields effective as of 10/24/2016 on durations of 5-10 years. Any changes to the

WSTIP investment strategy would require Executive Committee engagement and approval.

We further discussed the prospect of the Thurston County Treasurer’s (TCT) office taking over the WSTIP

treasurer role. We will collect our current banking needs and fees and compare them to the services the

TCT can offer. One advantage to the TCT participation is that all fees are paid by the TCIP which does

provide a savings. Shawn Meyers, Thurston County Treasurer, confirmed that WSTIP may also use their

services for banking needs in a subsequent phone call.

2017 EXECUTIVE COMMITTEE RETREAT Teri Fisher of Insight Strategies will again facilitate the 2017 Executive Committee retreat at the

Alderbrook Resort in Union, WA. The retreat will be held January 11-13. As a reminder, anyone that

runs for the Executive Committee is invited to participate at the retreat. Further, any new Board member

is welcome to participate as well as exiting Executive Committee members. Please confirm your

participation with Anna.

UPCOMING WSTIP MEETINGS

2017 January 11-13 Executive Committee Retreat – Alderbrook - Union, WA

February 23 Executive Committee Meeting – WSTIP Office - Olympia

March 23 & 24 Executive Committee & Quarterly Board Meeting – Campbell’s, Lake Chelan

April 27 Executive Committee Meeting – WSTIP Office – Olympia

May 25 Executive Committee Meeting – WSTIP Office – Olympia

June 22 & 23 Executive Committee & Quarterly Board Meeting – Location TBD

July 20 Executive Committee Meeting – WSTIP Office - Olympia

August 24 Executive Committee Meeting – WSTIP Office – Olympia

Sept 28 & 29 Executive Committee & Quarterly Board Meeting – Location TBD

October 26 Executive Committee Meeting – WSTIP Office – Olympia

Dec 7 & 8 Executive Committee & Quarterly Board Meeting – Location TBD

2018 January 10-12 Executive Committee Retreat – Location TBD

February 22 Executive Committee Meeting – WSTIP Office – Olympia

March 22 $ 23 Executive Committee & Quarterly Board Meeting

STAFF/MEMBER REP OUT-OF-STATE TRAVEL 2017 March 5 – 8, AGRIP Governance & Leadership Conf in Orlando, FL

June 4 – 7, PRIMA in Phoenix, AZ

August 7 -9, AGRIP CEO/Sr. Staff Leadership Institute I Charleston, SC

August 7 – 9, Public Transportation Conference

September 12 – 15, CAJPA Conference, Lake Tahoe, NV

October 1 – 4, AGRIP Fall Education Conf in Baltimore, MD

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Board Member Rep travel is in bold.

MEMBER SERVICES ACTIVITIES Transit Agency Visits – Transit Agency Visits – The year has almost ended and all of our field work

has been done. Joanne has visited Asotin, Clallam, C-Tran, Columbia, Grant, RiverCities and Spokane

vanpool programs. Chris has visited Asotin, C-Tran (3 times), Pacific (2 times), Kitsap (2 times), Grant (2

times), Link (3 times), Spokane (2 times), Asotin, Pullman (2 times), Grays Harbor, Everett (2 times),

Mason, Pierce (2 times), Community, Intercity, Jefferson (2 times), Island (2 times), Valley, Ben Franklin,

Columbia, Skagit, Whatcom, Twin, Clallam, RiverCities, and Yakima (2 times). Chris has also taught

Reasonable Suspicion/Drug and Alcohol for Supervisors at Ben Franklin Transit (January 26); Intercity

Transit (February 2); Kitsap Transit (April 12 – 13); RiverCities Transit (August 30); Link Transit (October

5 – 6) and Mason Transit (October 18 – 19). He also completed a one-day supervisor training at the

special request of Jefferson Transit on May 13. Our field work is always focused on Best Practices and in

particular we are focusing on the Best Practice for Operator Training and the Best Practice for Mobility

Device Securement. Joanne’s focus in her field work is the Best Practice for Vanpool Operations.

Best Practices for Mobility Device Securement / Training Program Development – With the RFI for

Simulators done, we are turning back to this training class. The curriculum development and materials

are complete for the class. Seraphim Consulting LLC and Chris DeVoll will be conducting three regional

training classes in 2017.

Best Practices for Technology Environment and Online Banking / Network Security Consulting Work

– Davis Wright and Tremaine (DWT) has completed incident response plans for C-Tran, Skagit Transit,

Link Transit and Intercity Transit. Incident Response Plans for the remaining members will be completed

by the end of this year. Sean re-recorded the webinar on August 22 and it is available on the WSTIP

YouTube channel.

WSTIP Webpages / Association Management Software – We have reported since February about our

purchase of a new Association software, Your Membership. Our design was delivered in May and Anna

and Tracey worked on producing the new website; feedback was taken into consideration from testers in

the September. All of the content from the old WSTIP website, the Board website and the WSTTC site

has been pulled together into the one site. The new website has been turned on as of October 19 and

since been advertised in TransAction as well as requests for ongoing feedback from users.

CLAIMS WSTIP currently has 559 open files with total reserves of $10,566,951 as of 11/29/2016. Staff were asked

what the top 10 outstanding claims are in terms of value a few meetings ago. Without disclosing

reserves, which staff is happy to do in Executive Session, here are the top 15 claims by value (highest

value to lowest). The list has been expanded from 10 to 15 due to reserving changes.

1. Haley vs Pierce (2014)

2. Gilmore vs. Jefferson (2008)

3. Clithero vs. Community (2011)

4. Edwards vs. Ben Franklin (2013)

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5. Van Cleave vs. Kitsap (2015)

6. LaLonde vs. Pierce (2016)

7. Balsoma vs. Pierce (2015)

8. Mitchell vs. Spokane (2015)

9. Robertson vs. Whatcom (2013)

10. Bermudez vs. Ben Franklin (2014)

11. Durkin vs Spokane (2014)

12. Okrent vs. Community (2013)

13. Engen vs. Grant (2011)

14. Cox vs. Link (2014)

15. Rosenfeld vs. Whatcom (2016)

Staff are seeking settlement authority on two cases: Haley vs. Pierce and LaLonde vs. Pierce during the

Executive Session of the Executive Committee.

You might recall the Gilmore vs Jefferson Transit case. Jefferson Transit’s bus bumped/rear-ended a

plumbing truck driven by Gilmore. We had an unexpected and adverse judgment for $1.2 million after a

June 2016 jury trial. We filed a motion for a new trial and a remitter motion. Both motions were denied.

We appealed the adverse verdict to the Division 2, Court of Appeals. Appeals take several years to

resolve. Oral argument is scheduled for December 15, 2016.

The Board gave settlement authority for Clithero vs. Dart, but mediation was unsuccessful. Trial has

been rescheduled for April of 2017. Dart is a subcontractor of Community Transit. In 2011 WSTIP was

the primary liability insurer for Dart. Mr. Clithero has cerebral palsy. A Dart vehicle struck Mr. Clithero on

his scooter in a crosswalk.

Edwards vs. Ben Franklin is an auto collision case. Ben Franklin’s bus rear-ended plaintiff Edwards who

was driving his vehicle. This is a significant injury case with medical specials document over $300K. Staff

will likely be seeking settlement authority on this case in February of 2017.

We have one significant claim from 2015 developing. A Kitsap bus hit a cyclist on State Route 305 in

early November (Van Cleave). The cyclist suffered significant injuries from the accident. The cyclist is

still treating and has not filed a lawsuit. He engaged the same attorney that represented the other

bicyclist vs. Kitsap matter recently resolved (Opalinek).

Balsoma vs. Pierce Transit is a bus/car collision accident where liability is in some question. However, the

bike rack of the bus entered the vehicle and portion of metal impaled Balsoma who is a fault free

passenger riding in the car.

Mitchell vs. Spokane Transit is a car collision accident involving a Spokane Transit vanpool. Ms. Mitchell

was a passenger in the vanpool vehicle when another party hit the van broad-side. Ms. Mitchell was

ejected out a window and another vehicle hit Ms. Mitchell. WSTIP has paid out UIM on this case,

however, there is a potential legal action forthcoming.

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Robertson vs. Whatcom is a case that recently moved into litigation. Robertson was being loaded on a

Whatcom paratransit bus. Robertson was using a standard wheelchair. Robertson has a host of medical

conditions which result in his inability to feel his feet. While loading, Robertson’s toes were caught in the

lift (twice) resulting in a fractured big toe. The toe required surgical intervention. A struggle to recover

ensued. Sadly Robertson died in February 2014. His estate filed a suit claiming wrongful death in

September.

Durkin vs. Spokane Transit is a bus pedestrian collision. Mr. Durkin was in the cross walk crossing the

street when he encountered a Spokane Transit bus. A companion of Durkin’s grabbed Durkin, pulling

him back. However, his foot/leg was still impacted by the bus. This case is not in litigation yet, but I expect

suit to be filed soon as the statute will toll January 17, 2017.

Okrent vs. Community Transit is another interesting case. Okrent was walking in a park and ride lot when

a Community Transit vanpool struck her with their mirror. Impact was to Okrent’s left arm. She was not

knocked to the ground. However, her shoulder required a surgical repair. Medical bills exceed $60K.

Engen vs. Grant Transit is an auto liability case resulting from a GTA bus striking Engen’s car in the rear.

Early efforts to resolve the case were not successful. Significant treatment over a long period of time has

resulted in very high medical specials.

Cox vs. Link Transit is related to a failure to properly secure a mobility device. Cox’s wheelchair was not

correctly secured and Cox tipped over when the Link paratransit vehicle he was riding in made a turn.

Cox was evaluated for injuries, but released. Cox had a host of other medical problems. Cox passed

away in May of 2014. The estate is bringing a wrongful death claim against Link Transit.

Rosenfeld vs. Whatcom Transportation Authority is a case involving boarding and alighting. Rosenfeld

was making his first trip on paratransit, unassisted. He was utilizing a walker. Rosenfeld fell while

boarding breaking his hip. The operator was near him, but was unable to break his fall (he fell away from

the operator). The hip required a surgical repair. Rosenfeld is 98 years old. Rosenfeld’s attorney has

informed us he intends to file suit although no suit has been received.

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Here is an aggregate overview of open claims and reserves:

Claims Report

You might notice an uptick in open litigated cases. We have 32 open litigated files now including four

employment practice cases. We believe two of the employment cases have been favorably resolved but

remain open pending final bills. I expect a few more cases to move into litigation as we still have a fair

number of outstanding claims in 2014 that are unresolved and attorneys will file summons and complaints

to protect the statute for their clients.

TECHNICAL SERVICES ACTIVITIES

Origami

The Origami working group has met twice since our last report. Data entry issues and missing or

miscoded information in Origami has been a challenge for larger Members who would like to use Origami

for their internal risk management needs. Members who have invested time to data cleanup are seeing

the results in more accurate reporting. The data group is looking at configuration changes (fields, forms

and workflow) that would better meet the Member’s internal needs. These enhancements will be

available to all Members.

Pierce and C-Tran are both currently running in-house home grown applications that in many ways

duplicate the Origami data. These parallel systems are becoming unsupportable. Both Pierce and C-

Tran have expressed interest in enhancements to the system that would allow them to utilize Origami to

replace these applications.

Our Origami representative, Andrea Sargent, will be at the WSTIP Olympia office December 6th and 7th

and will be attending the Quarterly Board meeting. We have several Members scheduled for working

sessions with our Origami representative at the WSTIP office on Wednesday December 7th. Please call

Karey Thornton if you have issues you would like to address while she is here.

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Origami has provided C-Tran with a quote to enable mobile forms so that their road supervisors can

collect Event information and photographs in the field and submit them directly to Origami. This will be a

2017 project.

Network Infrastructure Refresh The networking equipment currently co-located in the State Data Center is nearing end of life. Rather

than purchasing new hardware, WSTIP will be continuing its move “to the cloud” by transitioning the

WSTIP servers to the Private Cloud Services hosted by the State.

More information on the Private Cloud Services offered by the State can be found here:

http://watech.wa.gov/solutions/it-services/private-cloud-service

20000Date Received First MI Last Agency Current Position Years in Transit Learning Facility Goal Grant Request AWARD Supervisor

01/25/16 Utchay Okorie Intercity Network System Analyst 2 U of W Certified I S.S. Professional 1,000$ 1,000Mr. Brent Campbell, Information Services Manager, Intercity Transit

02/05/16 Krista Mitchell Clallam Lead Admin Services Asst 9 Nat'l Institute of Gov't Puchasing Procurement Management 1,000$ 1,000Ms. Melinda Smithson, Finance Manager, Clallam Transit

02/10/16 Kimberly McGilvery Pierce Transit Vanpool Coordinator 17 WGU BS in Business Administration 1,000$ 1,000Ms. Lani Fowlkes, Vanpool Program Manager, Pierce Transit

02/12/16 Theresa Teschlog Community TransitProcurement & SBE/DBE

Specialist 9 Portland State U Certification in Public Construction 1,000$ 1,000Kunjan Dayal, Procurement and Contracts Manager, Community Transit

02/15/16 Virginia Ponce de Leon Community TransitProcurement Project

Coordinator 9 Everett Community College Associate of Arts 600$ 600Kunjan Dayal, Procurement and Contracts Manager, Community Transit

02/29/16 Whitney Fernandes Skagit Transit Dispatcher/Scheduler 3 Skagit Valley College Associate of Arts / Business Management 750$ 750Mr. Robert Gummere, Operations Supervisor, Skagit Transit

03/17/16 Samantha Benedict Clallam TransitAdministrative Services

Assistant 8 monthsInternational Institute of Municipal Clerks / Washington State University Certified Municipal Clerk $1,000 1,000

Ms. Mary Bower, Executive Office Manager, Clallam Transit System

04/28/16 Tunisia Price Pierce TransitSenior marketing Design

Specialist 3 U of W Web Design 1,000$ 1,000Kathy Walton. Marketing Assist. Manager ‐ Pierce Transit

07/18/16 Susan Dickinson WTA Accounting Technician 14 Whatcom Community College AA in Accounting 700$ 700Shonda Shipman, Director of Finance Whatcom Transportaion Authority

07/25/16 Tina Givens Pierce Transit Payroll Specialist 3 Western Governors University BS Accounting 1,000$ 1,000Liz Passmore, Finance Assistant Manager, Pierce Transit

08/05/16 Scott Fiskness Intercity Transit Dial‐A‐Ride Dispatcher 6 WGU ‐ Washington MS, Mgmt and Leadership 1,000$ 1,000Emily Bergkamp, Dial‐A‐Lift Manger, Intercity Transit

08/12/16 Jennifer Hayslip Everett Transit Para‐Transit Scheduler 12 Everett Community College AA ‐ Business 1,000$ 1,000 Ton Hingson, Transit Director ‐ Everett Transit

08/12/16 Lynda Fox WTA Accounting Tecnitian II 20+ Whatcom Community College AA 1,000$ 1,000 Shonda Shipman, Dir of Finance ‐ WTA

08/15/16 Michael Schmieder Everett Transit Transit Supervisor 8+ U of W Cert Prog in H/R Management 1,000$ 1,000Marc Bollard ‐ Everett Transit Operations Program Manager

11/16/16 Patricia O'Hare` Grays Harbor Supervisor 23 Grays Harbor College Records Information Management 1,000$ 1,000 Patty Carlin, Ops Manager

TOTAL 14,050 5,950 Balance

Jeffery S. Ristau Scholarship 09/30/16

November 23, 2016 TO: WSTIP Board of Directors FROM: Tracey Christianson, Deputy Director SUBJECT: Annual Report of Settled Claims $100,000 and Above This report is informational only. No action is required. WSTIP staff annually provides a recap of incurred losses that settled during the year, which exceeded $100,000 in value. Here is a list of those matters with a brief overview for each case.

AUTO LIABILITY Opalenik vs. Kitsap Date of Loss: 5/7/2014 Auto liability: bodily injury A bicyclist made contact with a Kitsap Transit bus. Bicyclist sustained substantial injuries. Claim settlement was $2,750,000, (non-legal) expenses $100,135.54, and legal expenses $254,508.52. GEM reimbursed WSTIP $1,746,356.57. Incurred $1,358,287.49. Larson vs. Kitsap Date of Loss: 5/14/2013 Auto Liability Bus turning left collided with car in intersection. Claim settlement $100,000, (non-legal) expense $5,932.42, and property damage payment $7,228.50. Incurred $113,160.92. Berlin vs. Mason Date of Loss: 6/18/2015 Auto Liability: Bodily Injury Claimant fell backwards into bus from lift, broke hip. Claim settlement $100,000, (non-legal) expense $2,283.35. Incurred $102,283.35.

PROPERTY Sound Transit & Pierce Transit Date of Loss: 10/14/2015 Auto Physical Damage Bus fire. Claim settlement $606,274.01, (non-legal) expense $4,459.10, and legal expense $1,084. Member paid deductible of $10,000. Markel reimbursed WSTIP $356,274.61. Incurred $245,543.10. Community Transit Date of Loss: 9/9/2015 Auto Physical Damage

Bus damage caused by a head-on collision (other party at fault). Paid $129,103.46 for the bus repair, expense $952.50. Received $10,000 from responsible party insurer and $5,000 from the member. Total $120,055.96.

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PUBLIC OFFICIALS LIABILITY Fulbright vs. Columbia County Date of Loss: 2/1/2012 Public Officials Alleged sexual assault by a transit rider to another transit on board bus. Claim settlement was $187,500, (non-legal) expense $100,461.06 and legal expenses $273,402.43. Incurred $500,363.49. (Serious loss report available.)

EMPLOYMENT PRACTICES Guerrero vs. Pierce Transit Date of Loss: 3/20/2013 Employment Practices Claimant alleged a racially hostile working environment. (Non-legal) expense $2,173.05, legal expense $87,369.08, claimant compensation $90,000. The member paid their $5,000 deductible. Incurred $174,542.13.

Executive Director’s Annual Report of Staff Activities November 29, 2016

Page 1 of 3

This report is an effort to give the WSTIP Board of Directors a quick overview of staff activity for the year. First and foremost is to ensure that the staff are meeting the goals and objectives stated for the year and activity is consistent to the overall mission and vision the Board has set. WSTIP Mission: The Pool’s mission is to reduce Member’s cost of risk.

WSTIP Vision: The Pool’s vision is to be the premier provider of high-quality, cost-effective risk management products and services.

Administration

1. Financial – The State Auditor Office completed their audit review with no findings for 2015. 2. WSTIP total assets grew 1.5% between July 2015 and July2016. 3. WSTIP’s surplus position grew 6% from $19.3 million to $20.5 million between July 2015 and July

2016. 4. Insurance coverage renewed for: Property, Liability, Crime, Pollution, and Underground Storage

Tank. 5. 2017 Budget and Member Allocations completed. 6. Jeffrey S. Ristau Scholarship awarded almost $20,000 in scholarships. 7. New risk management information system, Origami, went live in January 2016. 8. Established the Risk Pool Leadership Development Program with other risk pools in the state.

Two staff members in the program (with completion in 2017). 9. Four Quarterly Board Meetings, 10 Executive Committee meetings, and the Executive Committee

Retreat. 10. Assisted WSTA with the Claim Jumper Invitational Golf Tournament.

Claims Management

1. Handled 1123 claims in 2013; handled 1085 claims in 2014, 975 in 2015, and 755 in 2016. 2. There are 597 open claims in total with 33 in current litigation. 3. Denied 133 claims during fiscal year 2016. 4. Collected $400k in subrogation recoveries during 2016. 5. Paid out $7.2 million in claims payments and claims expenses as of November 28, 2016 during

fiscal year 2016. 6. Coordinated Claims Coordinator Conference. 7. Trained all WSTIP users in Origami. Hosted 3 regional Origami training sessions for Members. 8. 12 members made requests for pre-litigation funds during 2016 totalling $18k in litigation advice 9. Resolved several large exposure claims against WSTIP members (see report on losses above

$100,000). 10. 20 Origami Roundup newsletters.


Page 2 of 3

Member Services

1. 40 Best Practice review visits, 7 Vanpool Best Practice Review visits. 2. Taught Reasonable Suspicion for Supervisors at the following member locations: Link, Kitsap, Ben

Franklin, Intercity, Mason, and RiverCities. 3. 111 ASKS. 4. 24 TransACTION newsletters (with two scheduled prior to the end of the year). 5. Best Practices for Technology Environment/Network Security – second year of contract. 6. 2015 Risk Profiles. 7. 2015 Annual Report. 8. Collision avoidance technology study looking at the viability and application of collision avoidance

technology to the transit industry. Awarded $100K grant from Transportation Research Board for state-wide collision avoidance pilot. Received additional grants from GEM, Munich Re, and Alliant. Established a relationship with the University of Washington for data review.

9. Participation in the Public Transportation Symposium and sponsorship of the 2016 State Roadeo (including a scholarship program funded by WSTIP). Conducted training programs in conjunction with the Roadeo.

10. Training Coalition course management - 21 classes, including second dispatch training program, four Board meetings, and Transit Trainers Showcase.

11. Continuation of the Guest Rider Program. 2016 participants included: Clallam, Community, Grant, Island, Kitsap, Link, Mason, Pierce, Pullman, RiverCities, and Yakima.

12. Continuation of the Driver Record Monitoring program. First year of new contract. 13. Continuation of the Municipal Research and Services Center program. 14. 10 issues of Charting Our Course newsletter. 15. WSTA/WSTIP Joint Board Leadership Development in Spokane. 16. Renewed the Vanpool Winter Driving Campaign (started in November 2015 and ran into 2016). 17. Safety STARS winners: Community, Whatcom and RiverCities (Second year of the award). 18. Processed 20 risk management grants (to date). 19. Mobility Device Securement training program development, 3 regional trainings to take place in 2017. 20. Association Software review, purchase and new website launch. 21. Continuation of MSDS Online services. 22. Implementation of Driver Recognition Program. 23. Implementation of Above and Beyond Recognition Program.


Page 3 of 3

Board Action and Development

11. Executive Committee Retreat – Redraft Strategic Plan. 12. Approved the amended WSTIP Strategic Plan. 13. Approved the Underground Storage Tank policy. 14. Approved the engagement of WSTIP financial commitment in the Collision Avoidance Study. 15. Reviewed all WSTIP Governance Policies. All revised to new format and correction of minor

typos. 16. Conducted “non-transit” risk survey. 17. Approved Driver Recognition Program. 18. Approved the updated WSTIP Employee manual. 19. Accepted the 2016 Actuarial Study. 20. Fiduciary and Fidelity report. 21. Approved the WSTIP Purchasing Policy increasing credit card authority from $36,000 to $50,000. 22. Approved the revised Assessment Allocation Policy. 23. Conducted Board meeting surveys. 24. Conducted the annual Executive Director and General Counsel evaluations. 25. Established the Executive Director’s Succession Committee. 26. Approved the 2016-2017 property program. 27. Board Development Committee meetings, Governance Committee meetings, Emerging Risks

Opportunities Committee meetings, and Driver Recognition Committee meetings.

MEMORANDUM

To: Board of Directors, Washington State Transit Insurance Pool

From: Ronald A. Franz, General Counsel

Subject: Activity report

Date: December 1, 2016

This memorandum lists some of the things I have worked on since my last activity report provided to

you at the September meeting.

1. Attend staff meetings—6 hours.

2. Preparation of contract template for non transit activities (see template attached)—1.5 hours.

3. Preparation of executive director contract extension—1 hour.

4. Distribute material re contractual liability and additional insureds—1 hour.

5. Preparation of general liability coverage document amendment re release precedent for UIM

recovery—1.5 hours.

6. To/from Spokane and attendance at October Executive Committee meeting—10 hours.

7. Attend agenda set telephone conference for October Executive Committee agenda set—1 hour.

8. Attend (via telephone conference) Board Development Committee meeting—1 hour.

9. Travel to/from Everett and attendance at September Executive Committee meeting, work session,

and Board meeting—16 hours.

10. Review documents and attend telephone conference re Kitsap Transit/Bremerton transit center

contract issues—3 hours.

11. Review proposed Spokane Transit contract re electric vehicles and letter to M. Toole—1.5 hours.

12. Collaborate with staff and P. Shinners re Kitsap Transit additional insured issues—2.5 hours.

13. Review and revise policy on non transit risks—2 hours.

14. Attend (via telephone) Governance Policy committee meeting—1 hour.

15. Review and revise Member Guest policy—1 hour.

16. Attend insurance law seminar—8 hours.

17. Attend ethics seminal (via webcast)—5 hours.

18. Attend on line ethics seminar—1.5 hours.

19. Review documents re Pierce Transit FTA grant—3 hours.

20. Review Link Transit contract and letter to N. Covey—1.5 hours.

21. Review 2017 GL and POL coverage documents—1 hour.

22. Review files and preparation of this activity report—2 hours.

That’s it. Feel free to ask questions.

RAF: 11‐2‐16

Agreement Regarding Use of Transit Property

This agreement is between _________________ (User) and _____________Transit (Transit) and regards the use of certain Transit property by User. In consideration of the mutual covenants set forth herein, the parties agree as follows:

Section 1. Description of property. The Transit property which is the subject of this agreement is described as follows: ___________________________________________ _______________________________________________________________________________________________________________________________________________________________________________________________________________________.

Section 2. Use. User may use the property described herein only as follow: _________ _______________________________________________________________________________________________________________________________________________________________________________________________________________________.

Section 3. Compensation. User shall pay Transit for the use of the property as follows:

_______________________________________________________________________________________________________________________________________________________________________________________________________________________.

Section 4. Term. This agreement shall commence on _________________________and

shall terminate on __________________________.

Section 5. Termination. Transit may terminate this agreement for cause by giving written notice thereof to User. Transit or User may terminate this agreement without cause by giving thirty days written notice thereof to the other party.

Section 6.Hold harmless and indemnity. User shall hold harmless, defend, and indemnify Transit, its officers, agents, and employees, from any and all damages, injuries, or claims arising from the use of the property by User.

Section 7. Insurance. User shall obtain and maintain comprehensive general liability insurance with limits no less than $1 million per occurrence for its use of the property. Transit shall be named as an additional insured under the policy. This coverage shall be primary with respect to any claims or losses. Upon request User shall provide Transit a copy of the policy.

Section 8. Disputes. The parties shall seek to resolve any disputes by mediation prior to commencing litigation. The successful party shall be entitled to its costs and reasonable attorneys fees.

RAF: 11‐2‐16

Section 9. Compliance with laws. The parties shall comply with all local, state, and federal laws.

Section 10. Other terms and conditions. ______________________________________ _______________________________________________________________________________________________________________________________________________________________________________________________________________________.

Dated this _________day of ___________, 20______.

____________________________________________

User

Dated this __________day of ____________, 20______.

_______________________________________________

Transit

[ If this agreement is for the use of Transit property by a community organization for a community purpose without compensation, the insurance requirement of Section 7 may be eliminated]

Presented by:

ALLIANT INSURANCE SERVICES Seattle, WA

Lilian Vanvieldt, Senior Vice President Brian A. White, First Vice President

BROKER REPORT December 2016

Washington State Transit

Insurance Pool

Alliant Insurance Services, Inc. 1420 Fifth Avenue, Suite 1500

Seattle, WA 98100206-204-9140

www.alliant.com

Alliant Insurance Services, Inc. Property & Casualty Insurance Market Conditions Report – December, 2016

This market conditions report is based on insurance industry financial results for the first half 2016, as reported by the Insurance Information Institute on October 5, 2016:

• Overall profit (net income after taxes) in the property and casualty insurance industry for the first 6 months of 2016 was $26.5 Billion. This was a decrease of 19% as compared to the 6 months performance a year earlier in 2015 which delivered profitability of $31.6 Billion. The decrease was driven in part due to an increase in incurred losses and loss adjustment expenses, as well as weaker investment returns relative to last year.

• Net written premiums in the first half 2016 increased 3% over the first half 2015. This was less than the rate of increase in the first half of 2015, which was 4.1%. Despite softening, this is the 25th consecutive quarter of premium growth which speaks steady growth since 2010. Premium growth is attributed to two areas: rate increases and/or an increase in insurable exposures (typically driven by increased economic activity).

• The industry’s combined ratio for the first half of 2016 improved slightly to 96,

compared with 97.6 in the first half 2015. Combined ratio is the sum of incurred losses plus other carrier expenses divided by earned premium. It does not take into consideration investment income.

o Combined ratios must be lower in a low interest rate environment, relative to periods of high yield, as carriers have less ability to offset expenses with investment income. A combined ratio of less than 100 signifies an “underwriting profit”.

• Overall industry capacity (policyholder surplus) rose to $680.6 Billion as of June 30, 2016,

as compared to $673.1 Billion at the end of the first half 2015, and is a new record high surplus level for the industry. “The bottom line is that the industry is, and will remain, extremely well capitalized and financially prepared to pay very large scale losses in 2016 and beyond.”

Summary: The property and casualty insurance industry continues to perform well as a whole and policyholder surplus remains plentiful, although there are segments of the market that are performing less well and have presented challenges as of late, which we discuss below. The overall results are driven by a combination of economic growth – albeit recently at a slower rate – and a lack of meaningful catastrophic loss activity. All this despite a continued low interest rate environment.

In the brokerage space, Alliant sees the market as stable to softening with respects to property related placements. While available capacity for Earthquake and other Natural Catastrophe related exposures continues to grow, properties prone to Earthquake and Flooding risk are carefully rated according to their perceived exposure and coverage still remains relatively scarce when compared to insurance available for other causes of loss. Furthermore, insureds experiencing meaningful loss activity should expect upward rate pressure.

The public entity liability insurance marketplace is increasingly challenging, with some exceptions, as historically key markets have continued to reevaluate their risk appetite, and some even withdrawing from the space altogether. Good risks with higher attachment points and a lack of police related exposures continue to fare relatively well. Public Transit business continues to be impacted by this market shift; however it has been a more manageable change for well performing insureds especially those with the ability to take large retentions. New capacity into the marketplace is helping to offset some of the pressure caused by those markets that have withdrawn or re-evaluated their portfolio. Excess workers’ compensation market remains the least competitive segment of the market, and even though signs of stabilization and in the rarer case softening are present, those with premiums of less than $100,000 have very few options available in the market. Cyber continues to move into the forefront in terms of risk and coverage awareness. The recent San Francisco Muni “ransomware” attack highlighted a unique scenario and exposure to the transit sector, including business income interruption and extra expenses incurred by the transit employees to regain operational status. These were costs incurred despite having proper data back-ups and not yielding to the hacker’s demands. A detailed industry income statement the 6 months ending June 30, 2016 is included below.

First Half 2016 Financial Results* ($ billions)

Net Earned Premiums $257.07 Incurred Losses (Including loss adjustment expenses) 183.7

Expenses 73.8 Policyholder Dividends 1.0

Net Underwriting Gain (Loss) -1.5 Investment Income 22.1

Other Items 2.2 Pre-Tax Operating Gain 21.4

Realized Capital Gains (Losses) 4.4 Pre-Tax Income 25.8

Taxes 4.1 Net After-Tax Income $21.69

Surplus (End of Period) $680.64 Combined Ratio 99.8**

*Figures may not add to totals due to rounding. Calculations in text based on unrounded figures.

**Includes mortgage and financial guaranty insurers.

WSTIP Pool Insurance/Reinsurance Policies

Insured Policy

Dates Line of Coverage Carrier Policy Number Limits WSTIP

Deductible/ Retention

Premium Policy(ies)/ Binder

Asotin County PTBA Ben Franklin Transit Link Transit Clallam Transit Clark County PTBA (C-

TRAN) Columbia County Public

Transpiration Community Transit Everett Transit Grant Transit Authority Grays Harbor

Transportation Authority Intercity Transit Island Transit Jefferson Transit

Authority Kitsap Transit Twin Transit Mason County

Transportation Authority Pacific Transit System Pierce Transit Pullman Transit Skagit Transit Spokane Transit

Authority Valley Transit WSTIP Office Whatcom Transportation

Authority Whatcom Transportation

Authority Employee Benefit Plan Board

City of Yakima Transit Division

1/1/16-1/1/17

Commercial Crime Insurance - Including

Employee Theft, Forgery or Alteration, Theft of Money and

Securities, Robbery or Safe Burglary Inside the Premises , Theft Out of the Premises,

Computer Fraud, Funds Transfer Fraud

and Money Orders and Counterfeit

Money

National Union Fire Ins. Co. of Pittsburgh,

PA

035870619

$1,000,000

$10,000

$17,492

Policy emailed 6/30/16


Insured Policy






Transportation Everett Transit Grant Transit Authority Grays Harbor

Transportation Auth. Intercity Transit Island Transit Jefferson Transit

Authority Kitsap Transit Twin Transit Mason County

Transportation Authority Pacific Transit System Pierce Transit Pullman Transit RiverCities Transit Skagit Transit Community Transit Spokane Transit Valley Transit WSTIP Office Whatcom Transportation

Authority City of Yakima Transit

Division

1/1/16 -1/1/17

Liability Reinsurance of WSTIP Liability &

Public Officials Liability Coverage Documents

Including General Liability, Automobile

Liability, Public Officials E&O Liability

and Employment Practices Liability

Government Entities

Mutual, Inc.

GEM0006A16001 BG0005-0001

$3,000,000 Excess

WSTIP SIR of $2,000,000

Total $5,000,000

$2,000,000

$721,440

Policy emailed 9/12/16

1/1/16 -1/1/17

Liability Reinsurance of WSTIP Liability &

Public Officials Liability Coverage Documents

Including General Liability, Automobile

Liability, Public Officials E&O Liability

and Employment Practices Liability

Munich

159007-3062582-2016

$10,000,000 excess of

WSTIP SIR & GEM Layers -

Total $15,000,000

$5,000,000

$379,324

Agreement emailed 7/8/16

1/1/16 – 1/1/17

Excess Liability including General

Liability, Automobile Liability, Public

Officials E&O Liability and Employment Practices Liability

Arch Insurance Company

UXP0057923-01 $5,000,000 excess of

WSTIP SIR, GEM & Munich

Layers Total

$20,000,000

$15,000,000 $136,000 Policy emailed 9/12/16


Insured Policy




Ben Franklin Transit Link Transit Clallam Transit Grant Transit Authority Grays Harbor Transit Intercity Transit Island Transit Jefferson Transit Kitsap Transit Twin Transit Mason County

Transportation Authority Pacific Transit Skagit Transit Community Transit Spokane Transit Valley Transit Whatcom Transit

4/4/15 - 4/4/18

Pollution Liability Insurance

Indian Harbor Ins.

Co.

PEC003726901

$5,000,000 Each Pollution

Condition $5,000,000

Pool Aggregate

$100,000 Each

Pollution Condition

$127,463 Three Year Premium

Clallam Transit System Community Transit Grays Harbor Intercity Transit Jefferson Transit Kitsap Transit Chelan/Douglas Public

Transportation Pacific Transit Valley Transit Pullman Transit

9/25/16-9/25/17

Pollution Liability Insurance

for Underground Storage Tanks

Liberty Surplus

Insurance Corporation

TXELA103563116

$1,000,000 Per Each Pollution

Incident $3,000,000 Aggregate

Limit $250,000 Aggregate

Claims Expense Limit

$25,000 Locs. 2-9 $250,000

Loc. 1

$66,290


Insured Policy






Transportation Cowlitz Transportation

Authority (RiverCities Transit)

Grant Transit Authority Grays Harbor Transit Intercity Transit Island Transit Jefferson Transit Kitsap Transit Twin Transit Mason County

Transportation Authority Pacific Transit Pierce Transit Skagit Transit Community Transit Spokane Transit Valley Transit WSTIP Whatcom Transit

7/1/16 - 7/1/17

Commercial Property and Boiler &

Machinery Insurance - On Premises Vehicles Included, Off Premises

Coverage, Not Included

Various Carriers

017471589/02 (Dec 11)

$1,000,000,000 All Risk

$100,000,000 Boiler &

Machinery $50,000,000 Flood (Pool Aggregate) $10,000,000

Flood Zones A & V (Pool Aggregate Included in Flood Limit) $25,000,000 Earthquake

(Pool Aggregate) $500,000

Unscheduled Business

Interruption $50,000,000

Extra Expense

$250,000

$551.356.69

Policy review in process


Insured Policy




Asotin County PTBA Ben Franklin Transit Link Transit Clallam Transit Clark Co PTBA (C-TRAN) Columbia County Public




Transportation Authority Pacific Transit Pierce Transit Skagit Transit Community Transit Spokane Transit Valley Transit WSTIP Whatcom Transit

7/1/16 - 7/1/17

Vehicle Physical Damage – private

passenger automobiles, commercial automobiles,

(including hired automobiles, trucks,

trailers, or semi trailers) and any other

licensed vehicles designated for travel

on public roads owned or operated by the Named Insured.

Alterra Excess & Surplus

Insurance Company

MAX4IM0047230

Each Occurrence

Limit $20,000,000 Not to exceed maximum on

any one vehicle:

$1,250,000 Newly Acquired Vehicles limit per vehicle: $1,250,000

$250,000 with an Annual

Adjustment Rate of 50% of the Annual Policy Rate

of $.0273 per $100 of values

reported

$185,638 Policy review in process


Insured Policy




Asotin County PTBA Ben Franklin Transit Link Transit Clallam Transit Clark Co PTBA (C-TRAN) Columbia Co Public




Transportation Authority Pacific Transit Skagit Transit Community Transit Spokane Transit Valley Transit WSTIP Whatcom Transit Pierce Transit

7/1/16 - 7/1/17

Commercial Cyber Liability Insurance

Including Information Security & Privacy Liability, Privacy

Notification/Monitoring Costs, Regulatory

Defense & Penalties, Website & Media

Content Liability, First Party Data

Protection& Business Interruption Loss

Beazley Group

017471589 (Dec 11)

$2,000,000 Pool Aggregate

$500,000 Privacy

Notification/ Monitoring

Costs (Pool Agg)

$100,000

Included in Property Premium

Policy review in process

Washington State Transit Insurance Pool (WSTIP)LIST OF STAND ALONE INSURANCE POLICIES/COVERAGES WITH ALLIANT INSURANCE SERVICES, INC.

Broker/Account Status as of December 2016

Member Name Type of Coverages/Policy No.Carrier/Underwriter Contact ,

AddressEffective Date

Policy (ies)/ Binder

Community Transit

Excess Workers Compensation

Policy No. SP 4055713

Safety National Casualty Corporation 21832 SchuetzSt. Louis, MO 63146-3540Ph: 314-995-5300Fax: 314-995-3843

October 1, 2016 to October 1, 2017 Policy review in process.

Pierce Transit




April 1, 2016 to April 1, 2017 Policy emailed to client 9/12/16

Spokane Transit




April 1, 2016 to April 1, 2017 Policy emailed to client 9/12/16

Marine Transportation of Kitsap

Directors & Officers Liability

Policy No. PHSD1147596

Philadelphia Indemnity Insurance CompanyOne Bala Plaza, Suite 100, Bala Cynwyd, Pennsylvania 19004818-772-1774Fax 818-772-2796

July 1, 2016 to July 1, 2017 Policy emailed to client 9/12/16

Everett Transit

Cyber Liability

Policy No. MPL178592416

Hiscox-AmWins Brokerage601 S. Figueroa Street, Suite 4350Los Angeles, CA 90017213-254-2220

August 17, 2016 to August 17, 2017 Policy review in process.

Clark County Transportation

Business Travel Accident

Policy No. 9907-13-33

Chubb Accident and Health275 Battery St., Suite 12000San Francisco, CA 94111415-273-6432

February 16, 2016 to February 16, 2017 Policy delivered to client - 3/2/15

Pierce Transit

Misc. Bond

Maintenence BondPierce TransitBond No. 52BSBHI3348

The Hartford Financial Services Group, Inc.PO Box 958461Lake Mary, FL 32795888-656-0817, Option 4877-257-2166 (Fax)

October 30, 2015 to April 30, 2017 In Force

Washington State Transit Insurance Pool (WSTIP)LIST OF STAND ALONE INSURANCE POLICIES/COVERAGES WITH ALLIANT INSURANCE SERVICES, INC.

Broker/Account Status as of December 2016

Member Name Type of Coverages/Policy No.Carrier/Underwriter Contact ,

AddressEffective Date

Policy (ies)/ Binder

WSTIP

Misc. Bond

Notary BondJoanne M. Jerabek-KerriganBond No. 15117688N

CNA SURETY101 So. Phillips AvenueSioux Falls, S.D.Attn: Marlys D. Kuil800-331-6053605-335-0357 (Fax)

March 18, 2016 to March 18, 2020 In Force

WSTIP

Misc. Bond

Notary BondLaura MerryBond No. 7199124N


February 25, 2016 to February 25, 2020 In Force

WSTIP

Misc. Bond

Notary BondJennie R FosterBond No. 71240249N


March 1, 2016 to March 1, 2020 In Force

WSTIP

Misc. Bond

Notary BondMarisa Espinoza Snohomish County Public Transp CorpBond No. 71319898N


November 17, 2016 to November 17, 2020 In Force

WSTIP

Misc. Bond

Notary BondJanet E WatsonBond No. 24795682N


July 13, 2014 to July 13, 2018 In Force

Snohomish

Misc. Bond

Notary BondVirginia Ponce de LeonBond No. 16116881N and 16116881N01


May 12, 2014 to May 12, 2018 In Force

Minutes of the

June Quarterly Meeting

September 30, 2016

Holiday Inn ~ Everett

Board Members Present

Amy Asher, RiverCities Transit

Lynn Bourton, Link Transit

Danette Brannin, Mason Transit

Mike Burress, Community Transit

Wendy Clark-Getzin, Clallam Transit

Rich Evans, Pacific Transit

Ben Foreman, Large Member Rep, Intercity

Transit

Kevin Futrell, Yakima Transit

Jenny George, Asotin County PTBA

Stephanie Guettinger, Columbia County Public

Transportation

Emmett Heath, President, Community Transit

Tom Hingson, Everett Transit

Rob Huyck, Pierce Transit

Staci Jordan, Medium Member Rep, Island

Transit

Rob LaFontaine, Small Member Rep, Twin

Transit

Ken Mehin, Grays Harbor Transit

Ed McCaw, Valley Transit

Mike Nortier, Island Transit

Dale O’Brien, Skagit Transit

Diane O’Regan, Secretary, C-Tran

Motoko Pleasant, Skagit Transit

Tammi Rubert, Jefferson Transit

Paul Shinners, Vice-President, Kitsap Transit

Pete Stark, Whatcom Transportation Authority

Jim Thoelke, Ben Franklin Transit

Mike Toole, Spokane Transit

Michael Wagner, Grant Transit

Guests Present

Brian White, Alliant Insurance Services

WSTIP Staff Present

Anna Broadhead, Member Services Assistant

Tracey Christianson, Acting Deputy Director

Chris DeVoll, Transit Risk Consultant

Marisa Espinoza, Finance Specialist

Ron Franz, General Counsel

Al Hatten, Executive Director

Joanne Kerrigan, Risk and Training Coordinator

Andrea Powell, Information Technology Program

Manager;

Karey Thornton, Claims and Information Technology

Assistant

The Washington State Transit Insurance Pool (WSTIP) Board of Directors held their September Board Meeting on

September 30, 2016, at the Holiday Inn, in Everett, Washington. Board Members present:. Guests present:.

Staff present:

Call to Order

President Heath called the meeting to order at 9:02 am. A sign in sheet was passed around the room.

Discussion Items

Member Representative Meeting Report and Discussion

LaFontaine stated the small members discussed local audits, transients and the issues that seem to be across all

our agencies and how law enforcement handles transients. We also discussed the presidential election, WSTIP

organization plan, and aced the quiz.

Jordan said the medium members discussed near misses and how we deal with them, preventative versus

punitive encouraging operators to report near misses as an opportunity to learn from them. We also talked about

pre-employment testing regarding mobility device securement and seeing if they can drive the bus or if the bus

drives them before going into extensive training. Discussed medical exams for current drivers who are having

trouble passing other than just three months at a time. Heath said 53 percent of their coach operators have

accessed their on-site physical therapy and pain management services.

Heath did a quick poll to see what people are putting into their budgets for salary adjustments, answers ranged

from 2 to 3.5 percent. Bourton felt it would be beneficial at the WSTA Human Resources Committee to discuss

the salary surveys that are taking place and perhaps doing a joint one as there are at least three agencies doing a

salary survey this year.

Foreman said the large group focused on the funding study, passed the quiz, and had some great stories about

bait cars. As a group we are supportive of going to a seven percent minimum rate increase and maybe even more

we are on track to go to $5 million SIR in 2020-2021 we may need to accelerate that plan, and are willing to do

that but are unsure about small and medium members willingness. LaFontaine and Jordan said they hadn’t

discussed that as a group.

There was a brief discussion regarding the 2017 budget and asked staff to provide options for both a $2.5 million

SIR and a $3 million SIR. Staff will try to have numbers before the October meeting but may not have solid

numbers for the $5 million in excess of $15 million layer.

Underground Storage Tank Report

White said there are nine members who participate, there is a $1 million limit, and the deductible has historically

been $25,000. The tanks in the program are quite old and this impacts all members in the program. We ran into

issues this year with underwriting. Intercity Transit’s deductible was raised to $250,000 and everyone else is still

$25,000. The raise corresponds to Intercity’s action to remove the tanks which means the risk goes up

substantially. White also discussed that next year older tanks will likely also see an increase in their deductible or

any tanks in the process of decommissioned and warned the participants to be prepared for that. White

answered questions from members.

Nominations and Elections Committee

Shinners said an email would be coming out to solicit nominations for the Executive Committee, he will try to

reach out and encourage everyone to run for office. Please send him your ideas on what you would like to see the

Pool focus on in 2017.

Financial Reports

July 2016 Treasurer’s Report, Income and Expense Statement, Balance Sheet, Claims Report, and Comparative

Income and Expense, and Balance Sheets

Hatten said there isn’t a lot to highlight on the financial reports. Heath asked what the Board members should

focus on when they look at these reports. Foreman said equity and cash position relative to current liabilities. If

you have questions regarding the financial statements, please contact Hatten.

Staff Reports

Executive Staff Report

Hatten said the 2017 draft budget you have is the high point, we will be going through several reiterations of the

budget including higher SIR scenarios, he is also having preliminary discussions regarding a potential captive

transit protected cell within GEM (captive within a captive scenario), but that may have less appeal if we raise the

SIR. Hatten said Intercity Transit had approached WSTIP as they are getting ready to expand their facilities and

may be a possibility of shared space for Board meetings and expanding training. There are funds remaining in the

Jeffrey S. Ristau Scholarship fund, next deadline November 15. Hatten and Foreman will be meeting with the

Thurston County Treasurer to discuss the Pool’s investment strategy and may look at going from our current

passive investment strategy to a more active strategy similar to what Community Transit has done, we may be

able to generate more interest income per year. If you have questions give Hatten a call.

Christianson said DeVoll has visited most members, visits are going well, and he is teaching reasonable suspicion

to members, and Kerrigan has finished her vanpool visits for the year. We plan to roll out the securement training

soon. The webpage is close to launch and should launch in the next couple of weeks. The information regarding

claims has been updated. Hatten said the matter between Clark County and WCRP has settled and been pulled

from the Supreme Court so the question will remain unanswered. If you have questions please don’t hesitate to

contact Christianson.

Powell gave an update on Origami, work continues on reporting, Origami will be at our December meeting, and if

you are interested in OSHA reporting through Origami you will soon have the capability for a small fee. If you

have questions regarding the Executive Staff Report, contact Hatten or Christianson.

General Counsel’s Report

Franz asked for questions regarding his recent activities and had no intention of going through the list, however,

he did make the requested changes to the non-transit liability governance policy. Franz pointed out that

paragraph five had been removed but paragraph four remained with the requirement of yearly reporting. Board

members discussed the language and asked Franz to revise the language to report only if there is a significant

change. This policy will be on the agenda for the October Executive Committee meeting. Clark-Getzin asked if it

was necessary to remove the word insurance from all documents. Franz said it is laborious and may take a

couple years but we need to start thinking of ourselves not like an insurance company but as a governmental

entity that provides risk management. The language change is a cooperative effort by all the pools in Washington.

A brief discussion regarding WSTIP’s name and what the letter “I” could be ensued. Heath noted this potentially

could be a retreat topic.

The Board took a short break at 10:30 am and resumed their meeting at 10:47 am.

Broker’s Report

White gave an update on the state of the insurance market and fielded questions from Board members.

Action Items

Minutes – March 25, 2016

McCaw moved to approve the minutes from June 24, 2016. Shinners seconded the motion and the motion

passed.

Underground Storage Tank Renewals

Foreman moved to approve Underground Storage Tank Coverage as bound. McCaw seconded the motion

and it passed.

Executive Session

There was no Executive Session.

Member Updates

Heath thanked everyone for the great discussion, 2% to 3.5% general wage increases amongst members, staff

will prepare budget options for 2017, Underground Storage Tank Coverage has been bound for another year, our

financials look solid, a lot of discussion regarding our SIR and GEM, said goodbye to Jerry Spears,

congratulations to Christianson, Kerrigan, and Powell, thanked all the guest speakers. Hatten thanked White for

his hospitality in hosting beverages. Franz jokingly requested higher limits. He noted he will see most everyone at

the Joint Leadership Training in Spokane and the Executive Committee will hold their meeting at the end of that

event. A few members gave brief updates.

Adjournment

Heath adjourned the meeting at 11:16 am.

Submitted this _9th _ day of December 2016

Approved: ____________________________

Diane O’Regan, Secretary

Policy Governance Defined and Explained Governance Section: Operations

Revision Date: 6/23/201112/9/2016 Page: 1 of 2

Purpose

To assist all persons interested in the Pool's governance locating and interpreting the documents which

contain and embody that governance.

Authority

1. Interlocal Agreement, Section 5 (Bylaws); and

2. Bylaws, Article XIII, Governance Documentation Procedure.

Policy Statement

1. Except for matters contained in its Interlocal Agreement and Bylaws, the Pool shall memorialize

its governance in this "WSTIP Policy Manual."

2. The Policy Manual shall be divided into the following categories: (1) finance; (2) governance; (3)

operations; and (4) organizational. On a quarterly and rotating basis the Pool’s Executive

Committee or a subcommittee established by it shall review the policies in each category, and if

appropriate, recommend revisions. The review shall be for currencey and clarity.

3. The Pool has phased out its traditional resolution style of governance in favor of policy

governance as defined and explained in this document. The reason for this shift is to make the

Pool's governance easier to understand by establishing a comprehensive set of policy statements

organized by topic.

4. The Pool shall memorialize its governance in writing to the maximum extent possible. This will

reduce one's need for institutional knowledge to understand the Pool’s goals, procedures, and

functions.

5. The Pool has reviewed all resolutions and has repealed all resolutions except for those it has

decided to retain as legacy resolutions. All legacy resolutions are referenced in Policy on Legacy

Resolutions.

6. The hierarchy of control for the Pool's governance documents is:

a. Interlocal Agreement;

b. Bylaws;

c. WSTIP Policy Manual and its policy governance segments;

d. Retained legacy resolutions; and

e. Passed motions documented in meeting minutes authenticated by the Pool’s Secretary.

Responsibilities

1. The governing bodies of the Pool's members are responsible for the Interlocal Agreement.

2. The Pool's Board is responsible for the Bylaws and those specific topics reserved to it in the Bylaws.

3. The Pool's Executive Committee is responsible for all governance except as set forth above.

Amendment

The Board may amend this policy.

Repealer

Resolutions No. 2-2003 “Comprehensive Financial Management Program” passed on November 20,

2003 and No. 2-1999 “Associate Membership Program” passed on March 18, 1999 and Governance

Responsibilities and Procedures passed May 22, 2008 are hereby repealed.

Policy Governance Defined and Explained Page: 2 of 2

Policy History

None.

Passed by the Board of Directors on December 9, 2016.

Emmett Heath, President

Attest:


Approved as to form:

Ronald A. Franz, General Counsel

Policy Governance Defined and Explained Governance Section: Operations

Revision Date: 12/9/2016 Page: 1 of 2

Purpose

To assist all persons interested in the Pool's governance locating and interpreting the documents which

contain and embody that governance.

Authority

1. Interlocal Agreement, Section 5 (Bylaws); and

2. Bylaws, Article XIII, Governance Documentation Procedure.

Policy Statement

1. Except for matters contained in its Interlocal Agreement and Bylaws, the Pool shall memorialize

its governance in this "WSTIP Policy Manual."

2. The Policy Manual shall be divided into the following categories: (1) finance; (2) governance; (3)

operations; and (4) organizational. On a quarterly and rotating basis the Pool’s Executive

Committee or a subcommittee established by it shall review the policies in each category, and if

appropriate, recommend revisions. The review shall be for currency and clarity.

3. The Pool has phased out its traditional resolution style of governance in favor of policy

governance as defined and explained in this document. The reason for this shift is to make the

Pool's governance easier to understand by establishing a comprehensive set of policy statements

organized by topic.

4. The Pool shall memorialize its governance in writing to the maximum extent possible. This will

reduce one's need for institutional knowledge to understand the Pool’s goals, procedures, and

functions.

5. The Pool has reviewed all resolutions and has repealed all resolutions except for those it has

decided to retain as legacy resolutions. All legacy resolutions are referenced in Policy on Legacy

Resolutions.

6. The hierarchy of control for the Pool's governance documents is:

a. Interlocal Agreement;

b. Bylaws;

c. WSTIP Policy Manual and its policy governance segments;

d. Retained legacy resolutions; and

e. Passed motions documented in meeting minutes authenticated by the Pool’s Secretary.

Responsibilities

1. The governing bodies of the Pool's members are responsible for the Interlocal Agreement.

2. The Pool's Board is responsible for the Bylaws and those specific topics reserved to it in the Bylaws.

3. The Pool's Executive Committee is responsible for all governance except as set forth above.

Amendment

The Board may amend this policy.

Repealer

Resolutions No. 2-2003 “Comprehensive Financial Management Program” passed on November 20,

2003 and No. 2-1999 “Associate Membership Program” passed on March 18, 1999 and Governance

Responsibilities and Procedures passed May 22, 2008 are hereby repealed.

Policy Governance Defined and Explained Page: 2 of 2

Policy History

None.

Passed by the Board of Directors on December 9, 2016.

Emmett Heath, President

Attest:


Approved as to form:

Ronald A. Franz, General Counsel

2017 WSTIP Liability Coverage Document RAF 11/28/2016

2017

Liability

Coverage Document


i Washington State Transit Insurance Pool

TABLE OF CONTENTS

Introduction ................................................................................................................................................. 1

Layered Coverage ....................................................................................................................................... 1

Section 1. Coverage Agreement ............................................................................................................... 2

Coverages ................................................................................................................................................. 2

Coverage A. Bodily injury and property damage ................................................................................... 2

Coverage B. Personal injury and advertising injury ............................................................................... 2

Coverage C. Contractual liability ........................................................................................................... 2

Coverage D. Vanpool Driver Medical Expense Protection ................................................................... 2

Coverage E. Underinsured Motorists Coverage ................................................................................... 2

Coverage F. Cyber intrusion Coverage ................................................................................................ 2

Investigation, Settlement, and Defense ..................................................................................................... 2

Supplementary Payments ......................................................................................................................... 3

Limits of Liability ........................................................................................................................................ 3

Section 2. Who is Covered? ...................................................................................................................... 3

Section 3. Exclusions ................................................................................................................................ 4

Intentional Acts .......................................................................................................................................... 4

Workers' Compensation ............................................................................................................................ 4

Aircraft ....................................................................................................................................................... 4

Pollution ..................................................................................................................................................... 4

War, Insurrection, Terrorist Activity ........................................................................................................... 5

Owned, Rented, or Occupied Property ..................................................................................................... 5

Certain personal injury and advertising injury Activities ............................................................................ 5

Employment-Related Practices ................................................................................................................. 5

Fines or Punitive Damages ....................................................................................................................... 5

Watercraft .................................................................................................................................................. 5

Nuclear Material ........................................................................................................................................ 5

Asbestos, Lead, Mold ................................................................................................................................ 5

Section 4. General Policy Conditions ...................................................................................................... 5

Duties in the Event of occurrence, claim or suit ........................................................................................ 6

Legal Action Against Us ............................................................................................................................ 6

Other Coverage ......................................................................................................................................... 6

Primary Coverage .................................................................................................................................. 6

Excess Coverage ................................................................................................................................... 6

Method of Sharing .................................................................................................................................. 6

Contributions, Audits, and Assessments ................................................................................................... 6

Subrogation ............................................................................................................................................... 7

Section 5. Definitions ................................................................................................................................. 7

Additional covered parties ......................................................................................................................... 7

Advertising injury ....................................................................................................................................... 7


ii Washington State Transit Insurance Pool

Bodily injury ............................................................................................................................................... 7

Contractual liability .................................................................................................................................... 7

Cyber intrusion .......................................................................................................................................... 7

Medical and hospital benefits .................................................................................................................... 7

Member ..................................................................................................................................................... 7

Occurrence ................................................................................................................................................ 7

Personal injury ........................................................................................................................................... 7

Products/Completed Operations Hazard................................................................................................... 8

Pollutants ................................................................................................................................................... 8

Property damage ....................................................................................................................................... 8

Suit............................................................................................................................................................. 8

Underinsured motor vehicle ...................................................................................................................... 8


1

INTRODUCTION

The Washington State Transit Insurance Pool (Pool) is not an insurance company. It is

an entity created pursuant to RCW 48.62. It is controlled and governed by applicable

state statutes and regulations, the Interlocal agreement through which the Pool was

formed, and its own bylaws and governance documents.

The state statutes and regulations, which apply to insurance companies, do not apply to

the Pool. The state insurance commissioner does not regulate the Pool. The judicial

cases which apply to the construction and interpretation of insurance policies do not

apply to this coverage document.

This shall be construed, applied, and interpreted in accordance with the Pool’s rules,

regulations, and bylaws.

Various provisions in this coverage document restrict coverage. Please read the entire

document carefully to determine rights, duties, and what is and is not covered.

Throughout this policy the words "you" and "your" refer to the member shown in the

Coverage Declarations and any other person or organization qualifying as an additional

covered party. The words "we," "us," "our," “WSTIP” or “Pool” refer to the Washington

State Transit Insurance Pool.

Words and phrases that appear in bold italics have special meaning. Please refer to

definitions in Section 5.

LAYERED COVERAGE

The coverage provided by the Pool’s program is in layers. The first layer of coverage is

funded by the Pool and its terms and conditions are as set forth in this coverage

document. Above the Pool’s layer of coverage are coverages provided by excess or

reinsurers. For the most part, the coverages provided by the excess or reinsurers “follow

the form” of the Pool’s coverage but there are some differences. Coverage for any loss

above the Pool’s layer shall be determined by the terms, conditions, and exceptions as

set forth in the excess or reinsurance coverage documents.


2

COVERAGE PART

Section 1. Coverage Agreement

A. Coverages

1. The Pool will pay those sums which the member or additional covered party becomes legally

obligated to pay as damages arising from the following activities or events:

a. Coverage A. Bodily injury and property damage liability

Damages from bodily injury or property damage caused by an occurrence that takes

place during the coverage period.

b. Coverage B. Personal injury and advertising injury liability

Damages from personal injury or advertising injury caused by an offense that was

committed during the coverage period; Provided, the total limit available for any loss involving

more than one line of coverage shall be no greater than the highest limit available for the

lines of coverage involved. c. Coverage C. Contractual liability

Damage arising from contractual liability arising during the coverage period.

2. The Pool will pay:

a. Coverage D. Vanpool Driver Medical Expense Protection

Medical and hospital benefits to any vanpool driver who suffers bodily injury as a result of

an occurrence while operating a van within the terms and conditions of a vanpool agreement

with member.

3. The Pool will pay those sums which member or additional covered party is legally entitled to

recover as compensatory damages arising from the following event:

a. Coverage E. Underinsured Motorists Coverage

Bodily injury sustained by member or additional covered party as a result of an

occurrence caused by the owner or driver of an underinsured motor vehicle and

involving that vehicle; Provided, there is no coverage for an additional covered party who

is covered by workers’ compensation. b. Coverage F. Cyber intrusion Coverage.

For this coverage only in addition to compensatory damages, coverage shall include those

amounts incurred by the member or additional covered party to provide notification or

monitoring as required by statute, ordinance, or regulation to persons or organizations

affected by the cyber intrusion.

B. Investigation, Settlement, and Defense

1. The Pool has the right and duty to defend any suit seeking damages from a member or

additional covered party under Coverages A through E. We may, at our discretion, investigate

and settle any claim or suit as we consider appropriate. The member or additional covered


3

party has an obligation to cooperate with us in our investigation and defense. Our duty to defend

or settle ends when the limit of liability for the applicable coverage has been exhausted by

payment of judgments, settlements, or supplementary payments.

2. A member is obligated to pay its deductible.

C. Supplementary Payments

We will pay, but not in addition to damages, with respect to any claim or suit we defend:

1. All defense costs and expenses we incur.

2. All reasonable expenses incurred by the member or additional covered party at our request to

assist us in the investigation or defense of the claim or suit.

3. All interest on the amount of any judgment that accrues after entry of the judgment and before we

have paid, offered to pay, or deposited in court the part of the judgment that is within the

applicable limit of liability.

D. Limits of Liability

1. The most we will pay as damages and supplementary payments for any coverage arising out of

any one occurrence, an advertising or personal injury offense, or contractual liability is the

limit of liability shown in the Coverage Declarations; Provided, when an occurrence, offense, or

contractual liability spans more than one coverage period, the most we will pay is the highest

limit of liability as shown in the Coverage Declarations.

2. The most we will pay as damages and supplementary payments for liability arising from

products/completed operations hazard arising out of one or more occurrences in a Coverage

Period is the limit of liability shown in the Coverage Declarations. 3. We will not cover any matter for which member or additional covered party has coverage under

the Public Officials’ Liability coverage document issued by Pool to member.

Section 2. WHO IS COVERED?

The coverage afforded by the Coverage Document applies to:

A. The member identified in the Coverage Declarations;

B. Additional covered parties as follows:

1. Any official, trustee, employee, or volunteer of the member but only while acting within the scope

of his or her official duties.

2. Any person or entity to which the member is obligated by virtue of a written contract to provide

coverage such as is provided by this coverage document but only in respect to operations or

services provided to the member at its request as set forth in the written contract; Provided, any

such written contract shall meet the Pool’s underwriting standards and if it does not then this

coverage document shall provide no coverage to the person or entity; Provided further, any such

written contract must contain a hold harmless provision endorsed by the Pool.

3. For underinsured motorist coverage only, any occupant of a vehicle for which a member has

purchased underinsured motorist coverage.

4. For motor vehicle coverage only, any vanpool driver.


4

5. For motor vehicle coverage only, any person driving a motor vehicle owned by a member with

permission of the member for which the Pool provides coverage, Provided:

a. any such permissive user has a valid driver’s license;

b. the permissive user is at least 21 years of age;

c. the coverage provided to the permissive user by this coverage document is excess to any

other coverage in favor of the permissive user;

d. the limits of coverage provided to the permissive user by this coverage document are

$300,000 for bodily injury and $100,000 for property damage; and

e. the permissive user may not provide permission to any other person to drive the motor

vehicle.

6. Any person or entity named as an additional insured on a certificate of insurance issued by the

Pool.

7. The Pool and the employees of the Pool while acting within the scope of his, her or its official

duties.

Section 3. EXCLUSIONS

This coverage document does not apply to and there is no coverage for:

A. Intentional Acts

Bodily injury or property damage expected or intended from the standpoint of the member or

additional covered party. This exclusion does not apply to:

1. The use of force to protect persons or property; or

2. Member’s liability for damages as a result of vicarious liability for acts of its employees.

B. Workers' Compensation

Any obligation under a workers' compensation law or any similar law. This exclusion does not apply

where an employee of member is injured in the course of such employment where it is determined that

the employee is not entitled to receive worker’s compensation benefits.

C. Aircraft

Liability arising out of the ownership, maintenance, use, or entrustment to others of any aircraft or

operation of any airfield.

D. Pollution

Bodily injury, property damage, or personal injury which would not have occurred in whole or in part

but for the actual, alleged, or threatened discharge, dispersal, seepage, migration, release, or escape of

pollutants at any time. This exclusion does not apply to:

1. Bodily injury, property damage or personal injury caused by heat, smoke, or

fumes from a hostile fire. A hostile fire means one which becomes uncontrollable

or breaks out from where it was intended to be; or

2. The discharge, dispersal, seepage, migration, release, or escape of pollutants

caused directly by the upset, overturn, or damage of a motor vehicle for which

this coverage document provides liability coverage.


5

E. War, Insurrection, Terrorist Activity

Bodily injury or property damage due to war, whether or not declared, or any act or condition incident

to war. War includes civil war, insurrection, rebellion, revolution, or terrorist activity.

F. Owned, Rented, or Occupied Property

Property damage to:

1. Property you own, rent, or occupy; or

2. Property loaned to you.

G. Certain personal injury and advertising injury Activities

1. Personal injury or advertising injury:

a. Arising out of oral or written publication of material, if done by or at the direction of member

or additional covered party, with knowledge of its falsity;

b. Arising out of oral or written publication of material the first publication of which took place

prior to the coverage period; or

c. Arising out of the willful violation of a penal statute or ordinance committed by or with the

consent of member or additional covered party.

2. Advertising injury arising out of:

a. Breach of contract;

b. The failure of goods, products, or services to conform with advertised quality or performance;

or

c. The wrong description of the price of goods, products, or services.

H. Employment-Related Practices

Any actual or alleged wrongful termination, discipline, or discrimination related to hiring or employment.

I. Fines or Punitive Damages

Fines, punitive damages, or exemplary damages.

J. Watercraft

Liability arising out of the ownership, maintenance, use (including loading, unloading, embarking, or

disembarking), or entrustment to others of any watercraft.

K Nuclear Material

Liability arising out of the hazardous properties of nuclear material.

L. Asbestos, Lead, Mold

Liability arising out of, resulting from, caused or contributed to by asbestos, lead or mold or exposure to

asbestos, lead, or mold or for the costs of abatement, mitigation, removal or disposal of asbestos, lead, or

mold.

Section 4. General Policy Conditions

The coverages in this coverage document are subject to the following conditions:


6

A. Duties in the Event of occurrence, claim or suit

1. You must notify us as soon as practicable of an occurrence which appears likely to involve

coverage. Notice should include:

a. How, when, and where the occurrence took place;

b. The names and addresses of any injured person(s) or witness(es); and

c. The nature and location of any injury or damage arising out of the occurrence.

2. If you receive a claim, notice, or suit which appears likely to involve this coverage document you

must record the date and time received and promptly provide us a copy.

B. Legal Action Against Us

No person or entity may:

1. Join us as a party or otherwise bring us into a suit seeking damages from member or additional

covered party; or

2. Sue us unless all of the terms of this coverage document have been met.

C. Other Coverage

If other coverage is available to member or additional covered party for an occurrence or offence, our

obligations are limited as follows:

1. Primary Coverage. This coverage is primary except as provided by Section 4C2. If this

coverage is primary, our obligations are not affected unless the other coverage is also primary in

which case we will share coverage by the method described in Section 4C3.

2. Excess Coverage.

a. This coverage is excess over other coverages where the other coverage is available to you

as an additional covered party or additional insured under a coverage document or policy

issued by a contractor or service provider performing work for you.

b. When this coverage is excess, we have no duty to defend any suit or claim that some other

entity has a duty to defend. However if such other entity fails or refuses to defend, then we

will do so on the condition that you transfer to us your rights to proceed against that entity.

c. When this coverage is excess, we will pay the amount of damages not paid by underlying

coverages but only to our limits of liability.

3. Method of Sharing.

a. If the other coverages permit contribution by equal shares, we shall follow this method so that

each entity providing coverage contributes equal amounts up to its coverage limits.

b. If the other coverages do not permit contribution by equal shares, we shall contribute by limits

so that each entity providing coverage shall contribute based on the ratio of its applicable limit

to the total limits of all entities providing coverage.

D. Contributions, Audits, and Assessments

We will compute all contributions and assessments and perform all audits in conformity with the Pool’s

governance documents and Bylaws.


7

E. Subrogation

If you have the right to recover all or part of a payment we have made on your behalf, you must transfer

those rights to us and do nothing to impair those rights; Provided, you may waive subrogation but only

prior to any occurrence. Upon request, you must bring suit at our expense to enforce such rights and/or

cooperate with us in enforcing such rights.

Section 5. DEFINITIONS

A. Additional covered parties are those persons or entities set forth in Section 2 B

B. Advertising injury means injury arising out of one or more of the following offenses committed in the

course of advertising your goods, products, or services:

1. Oral or written publication of material that slanders or libels a person or organization or

disparages a person's or organization's goods, products, or services;

2. Oral or written publication of material that violates a person's right of privacy;

3. Misappropriation of advertising ideas or style of doing business; or

4. Infringement of copyright, title, or slogan.

C. Bodily injury means physical injury, mental injury, shock, sickness, or disease sustained by a

person, including death resulting from any of these at any time.

D. Contractual liability means liability for bodily injury, property damage, advertising injury, or

personal injury arising from the operation of a hold harmless provision in a written agreement where

member has agreed to hold another person or entity harmless; Provided, there shall be no

contractual liability coverage under this coverage document arising in an agreement for

professional architectural, engineering, or surveying services.

E. Cyber intrusion means injury or damage caused by the unauthorized access, misappropriation,

manipulation, or corruption of electronically stored information

F. Medical and hospital benefits means payments for reasonable and necessary medical expenses

incurred as a result of a covered occurrence and includes payments for dental services,

prescriptions, prosthetic devices, ambulance expenses, and funeral expenses. Benefits do not

include loss of income or expenses for household services.

G. Member means a Washington State public transit entity that participated in the formation of the Pool

or has been approved for membership in the Pool.

H. Occurrence means an accident, including continuous or repeated exposure to substantially the same

general harmful conditions, which results in bodily injury or property damage.

I. Personal injury means injury arising out of one or more of the following offenses:

1. False arrest, detention, or imprisonment;


8

2. Malicious prosecution;

3. Defamation;

4. Wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy of a

room, dwelling, or premises that a person occupies;

5. Oral or written publication of material that slanders or libels a person or organization or

disparages a person's or organization's goods, products, or service;

6. Oral or written publication of material that violates a person's right of privacy;

7. Assault and battery not committed by, at the direction, or with consent of Member; or

8. Discrimination prohibited by state or federal law including discrimination based upon race,

religion, nationality, national origin, color, creed, sex, sexual preference, age, employment, or

disability.

J Products/Completed Operations Hazard means all bodily injury and property damage which

occurs away from premises you own or rent and arising out of your products or work that has been sold,

transferred, or performed for others except:

1. Products that are still in your physical possession; or

2. Work that has not yet been completed.

K. Pollutants means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke,

vapor, soot, fumes, acids, alkalis, chemicals, lead, asbestos, and waste. Waste includes materials to be

recycled, reconditioned, or reclaimed.

L. Property damage means physical injury to tangible property, including all resulting loss of use of that

property.

M. Suit means a civil proceeding in which damages are sought. Suit includes:

1. An arbitration proceeding in which such damages are claimed and to which you must submit or

do submit with our consent; or

2. Any other alternative dispute resolution proceeding in which such damages are claimed and to

which you submit with our consent.

N. Underinsured motor vehicle means a land motor vehicle:

1. For which no liability bond or policy applies at the time of an occurrence;

2. For which a liability bond or policy applies at the time of the occurrence, but the amount paid

under all of the bonds or policies to a covered party is not enough to pay the full amount the

covered party is legally entitled to recover as damages caused by the occurrence;

3. For which all insuring or bonding companies deny coverage or are or become insolvent; or

4. That is a hit-or-run vehicle and neither the driver nor owner can be identified.

2017 Public Officials Liability Coverage Document RAF: 11/28/2016

2017

PUBLIC OFFICIALS LIABILITY COVERAGE DOCUMENT


i Washington State Transit Insurance Pool

TABLE OF CONTENTS

INTRODUCTION .................................................................................................. 1

LAYERED COVERAGE ....................................................................................... 1

COVERAGE PART ............................................................................................... 2 Section 1. Coverage Agreement .............................................................................. 2

A. Coverage ............................................................................................................. 2 B. Claims .................................................................................................................. 2

C. Investigation, Settlement, and Defense .......................................................... 2

Section 2. Exclusions ................................................................................................. 3

Section 3. Who is Covered? ...................................................................................... 4

Section 4. Limits of Coverage ................................................................................... 5

Section 5. Conditions .................................................................................................. 5

Section 6. Extended reporting period ...................................................................... 6

Section 7. Definitions .................................................................................................. 6

Additional covered parties ...................................................................................... 6 Advertising injury ...................................................................................................... 6

Bodily injury ............................................................................................................... 7

Claim .......................................................................................................................... 7

Claim expenses ........................................................................................................ 7 Loss ............................................................................................................................ 7

Member ...................................................................................................................... 7

Offense....................................................................................................................... 7

Personal injury .......................................................................................................... 7

Pollutants ................................................................................................................... 8

Professional services ............................................................................................... 8

Property damage ...................................................................................................... 8 Suit .............................................................................................................................. 8 Wrongful act .............................................................................................................. 8


1 Washington State Transit Insurance Pool

INTRODUCTION

The Washington State Transit Insurance Pool (Pool) is not an insurance company. It is an entity created

pursuant to RCW 48.62. It is controlled and governed by applicable state statutes and regulations, the

Interlocal agreement through which the Pool was formed, and its own bylaws and governance

documents.

The state statutes and regulations which apply to insurance companies do not apply to the Pool. The

Pool is not regulated by the state insurance commissioner. The judicial cases which apply to the

construction and interpretation of insurance policies do not apply to this coverage document.

This coverage document shall be construed, applied, and interpreted in accordance with the Pool’s rules,

regulations, and bylaws.

Various provisions in this coverage document restrict coverage. Please read the entire document

carefully to determine rights, duties, and what is and is not covered.

Throughout this policy the words “you” and “your” refer to member shown in the Coverage Declarations

and any other person or organization qualifying as an additional covered party. The words “we,” “us,”

“our, “WSTIP” or “Pool” refer to the Washington State Transit Insurance Pool.

Words and phrases that appear in italics have special meaning. Please refer to definitions in Section 7.

LAYERED COVERAGE

The coverage provided by the Pool’s program is in layers. The first layer of coverage is funded by the

Pool and its terms and conditions are as set forth in this coverage document. Above the Pool’s layer of

coverage are coverages provided by excess or reinsurers. For the most part, the coverages provided by

the excess or reinsurers “follow the form” of the Pool’s coverage but there are some differences.

Coverage for any loss above the Pool’s layer shall be determined by the terms, conditions, and

exceptions as set forth in the excess or reinsurance coverage documents.



COVERAGE PART

Section 1. Coverage Agreement

A. Coverage

1. We will pay on behalf of member or additional covered party those sums that member or additional covered party becomes legally obligated to pay as loss because of a wrongful act(s) to

which this coverage applies.

2. This coverage applies to a wrongful act(s) only if:

a. The wrongful act(s) takes place after the Retroactive Date shown in the Declarations and

before the end of the policy period; and

b. A claim is first made against member or additional covered party as set forth in paragraph

B below during the coverage period or any extended reporting period we may provide

according to Section 6 – Extended Reporting Period.

B. Claims

1. A claim will be deemed to have been made at the earlier of the following:

a. When notice of such claim is received and recorded by us; or

b. When you become aware of a wrongful act(s) which may subsequently give rise to a claim

being made and you give written notice to us of such circumstances immediately but not later

than:

1. The end of the coverage period; or

2. The end of any applicable extended reporting period.

2. All claims based on or arising out of the same wrongful act, or a series of related wrongful

act(s), by one or more covered entities shall be considered first made when the first of such

claims is made.

C. Investigation, Settlement, and Defense

1. The Pool has the right and duty to defend any suit or claim seeking damages from a member or

additional covered party for wrongful act(s) to which this coverage applies. We may, at our

discretion, investigate and settle any claim or suit as we consider appropriate. The member or

additional covered party has an obligation to cooperate with us in our investigation and

defense. Our duty to defend or settle ends when the limit of liability has been exhausted by payment of damages, judgments, settlements, and claim expenses.

2. A member is obligated to pay its deductible.



Section 2. Exclusions

This coverage does not apply to a loss:

A. Arising out of any wrongful act(s) that take(s) place prior to the earlier of the inception date or

retroactive date(s) of this coverage document.

B. Which represents cost, civil fine, penalty or expense levied or imposed from any complaint or

enforcement action by any federal, state or local governmental regulatory agency.

C. Arising out of obligations under the Employee Retirement Income Security Act of 1974 (ERISA),

including subsequent amendments or any similar federal, state or local law or regulation.

D. Arising out of condemnation, inverse condemnation, adverse possession, dedication by adverse use,

or disputes involving the application of impact or linkage fees. This includes but it not limited to,

takings and partial takings of private property resulting from the application of a land use, zoning,

building, subdivision or similar laws or regulations.

E. Arising out of or attributable to the member or additional covered party obtaining profit, advantage

or remuneration to which the member or additional covered party is not entitled; Provided, an

adverse fact or finding attributable to a member or additional covered party shall not be imputed to

any other member or additional covered party.

F. Arising out of bodily injury, property damage, personal injury, or advertising injury. This

exclusion does not apply to loss by an employee, former employee, or prospective employee or by

the spouse or child thereof resulting from:

1. refusal to employ;

2. termination of employment; or

3. coercion, demotion, evaluation, reassignment, discipline, defamation, harassment, humiliation,

discrimination or other employment-related practices or policies.

G. Brought about or contributed to by fraud, dishonesty, or bad faith or arising from the deliberate

violation of any federal, state, or local statute, ordinance, rule, or regulation; Provided, an adverse fact or finding attributable to a member or additional covered party shall not be imputed to any other

member or additional covered party.

H. Arising out of directly or indirectly, debt security financing, including but not limited to bonds, notes

and debentures.

I. Arising out of the actual, alleged or threatened discharge, dispersal, seepage, migration, release or

escape of pollutants at any time.

J. Arising out of, resulting from, caused or contributed to by asbestos, lead, or mold or exposure to

asbestos, lead, or mold, or for the costs of abatement, mitigation, removal or disposal of asbestos,

lead or mold.



K. Arising from breach of contract.

L. Arising out of the destruction or disappearance of money, securities or the loss of use thereof.

M. Arising out of or contributed to by your failing to place or maintain any insurance, bond, or self-

insurance.

N. Arising out of rendering or failure to render professional services.

O. By reason of the assumption of liability in a contract or agreement. This exclusion does not apply to

loss that you would have in the absence of the contract or agreement.

P. Arising out of:

1. any tax assessments or adjustments;

2. the collection, refund, disbursement, or application of any taxes; or

3. failure to anticipate tax revenue shortfalls.

Q. Arising out of demands or actions seeking relief or redress in any form other than monetary damages,

for any fees, costs or expenses which you may become obligated to pay as a result of any adverse

judgment for declaratory relief or injunctive relief, or for punitive or exemplary damages.

R. Bodily injury or property damage due to war (declared or not) or any act or condition incident to

war. War includes civil war, insurrection, rebellion, revolution, or terrorist activity.

S. Liability arising out of the hazardous properties of nuclear material.

Section 3. Who is covered?

The coverage afforded by this Coverage Document applies to:

A. The member identified in the Coverage Declarations.

B. Each of the following are additional covered parties while acting within the scope of his, her, or its

duties on behalf of member:

1. elected, appointed, and employed officials;

2. current or former members of commissions, boards, or other units operated by you;

3. your current or former employees;

4. all persons who perform a service on a volunteer basis for you, provided such performance is

under your direction and control. This does not include any person or entity working on retainer

or as an independent contractor;

5. all persons or organizations providing service to you under any mutual aid or similar agreement;

and

6. the estate of any person or entity described in this subsection, provided any claim is first made

within one year of that person’s death.



C. The Pool and its employees while acting within the scope of his, her, or its official duties.

Section 4. Limits of Coverage

A. The most we will pay for all loss arising from a wrongful act during any coverage period is the limits

of liability as shown in the Declarations.

B. The limits of liability as set forth above is the most we will pay regardless of the number of covered

persons or the number of suits or claims.

C. If the wrongful act(s) originated in a coverage period prior to this coverage document, the wrongful

act(s) shall be deemed to be covered solely by the limits provided by the Pool’s earlier coverage

document.

D. We will not cover any matter for which there is coverage for member or additional covered party

under the Liability Coverage Document issued by Pool to member.

Section 5. Conditions

A. Duties in event of wrongful act, claim, or suit:

1. if a wrongful act occurs which you believe may result in a claim, you must notify us in writing

immediately. Such notice should include how, when, and where the wrongful act occurred and

the names and addresses of the people involved;

2. if you receive a claim or suit which may involve coverage under this Coverage Document, you

must record the time and date on which you received the claim or suit and immediately provide a

copy of all documents received to us; and

3. in connection with any claim or suit you must:

a. authorize us to obtain records or other information; and b. cooperate with us in the investigation, settlement, or trial of any claim or suit.

B. Subrogation

1. When we have paid a loss on your behalf, you must transfer to us your rights to recover

payments for that loss from others; and

2. You must cooperate with us in all proceedings to recover payments from others we have made

on your behalf.

3. You may waive subrogation but only prior to any claim or suit.

C. Legal action against us

No person or entity may:

1. join us as a party in a suit seeking damages from a covered party; or



2. sue us regarding coverage under this Coverage Document unless all terms and conditions have

been fulfilled.

D. Other insurance

If there is other valid and collectible coverage or insurance for a loss covered by this Coverage

Document, our coverage shall be excess.

E. No assignment.

Your rights and duties under this Coverage Document may not be assigned or transferred without our

consent.

Section 6. Extended reporting period

A. If this coverage is canceled or not renewed, we will provide a basic extended reporting period without

additional charge or, at your option, a supplementary extended reporting period for an additional

charge. An extended reporting period does not change the scope of coverage or extend the

coverage period. It only extends the reporting period to report a claim to us.

B. The basic extended reporting period starts with the termination of coverage and lasts for sixty days.

The basic extended reporting period does not apply to claims that are covered under any subsequent

coverage or insurance you purchase, or that would be covered but for the exhaustion of the amount

of coverage or insurance applicable to such claims.

C. Supplementary extended reporting period

1. a supplemental extended reporting period of one year duration is available but only by an

endorsement;

2. this supplemental period starts when the basic extended reporting period ends;

3. you must give us a written request for the endorsement within 60 days after the end of the

coverage period. The supplemental extended reporting period will not go into effect unless you

pay the additional contribution promptly when due;

4. the additional contribution shall be twenty-five percent of the member’s annual contribution for

public officials’ liability coverage; and

5. the coverage afforded through the supplementary extended reporting period shall be excess over

any other valid and collectible coverage or insurance.

Section 7. Definitions

The following terms are defined as follows:

A. Additional covered parties are those persons or entities set forth in Section 3B.

B. Advertising injury means injury arising out of one or more of the following offenses committed in the

course of advertising your goods, products, or services:



1. oral or written publication of material that slanders or libels a person or organization or disparages

a person’s or organization’s goods, products, or services;

2. oral or written publication of material that violates a person’s right of privacy;

3. misappropriation of advertising ideas or style of doing business; or

4. infringement of copyright, title or slogan.

C. Bodily injury means physical injury, mental injury, shock, sickness, or disease sustained by a

person, including death, resulting from any of these at any time.

D. Claim means written notice from any person or entity that it is his, her or its intention to hold member

or additional covered party responsible for damages arising out of a wrongful act.

E. Claim expenses means:

1. claim investigations costs;

2. legal expenses; and

3. litigation costs, pre- and post-judgment interest on awards and judgments, and the cost of bonds

to release attachments or to appeal.

Claim expenses do not include salaries and expenses of employees of member, overhead, or any

fees paid for claim administration.

F. Loss means the amount (less the deductible or retention) the member or additional covered party

becomes legally obligated to pay as damages, judgments, settlements, including claim expenses for

any wrongful acts.

G. Member means a Washington State public transit entity that participated in the formation of the Pool

or has been approved for membership in the Pool.

H. Offense means any of the offenses included in the definitions of advertising injury or personal

injury.

I. Personal injury means injury arising out of one or more of the following offenses

1. false arrest, detention, or imprisonment;

2. malicious prosecution;

3. defamation;

4. the wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy of a

room, dwelling, or premises that a person occupies;

5. oral or written publication of material that slanders or libels a person or organization or disparages

a person’s or organization’s goods, products, or services; or

6. oral or written publication of material that violates a person’s right of privacy;

7. assault and battery not committed by, at the direction, or with consent of member; or

8. discrimination prohibited by state or federal law including discrimination based upon race,

religion, nationality, national origin, color , creed, sex, sexual preference, age employment, or

disability.



I. Pollutants means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor,

soot, fumes, acids, alkalis, chemicals, and waste. Waste includes materials to be recycled,

reconditioned, or reclaimed.

J. Professional services means:

1. the practice of medicine, such as (but not limited to) physician, surgeon, osteopath, chiropractor,

anesthesiologist, dentist, psychiatrist, psychologist, nurse, paramedic, emergency medical

technician, or pharmacist; or

2. services by architects, engineers, surveyors, or draftsmen.

K. Property damage means physical injury to tangible property, including all resulting loss of use of that

property.

L. Suit means a civil proceeding which seeks damages arising out of a wrongful act. Suit includes:

1. an arbitration proceeding in which such damages are claimed and to which you must submit or do

submit with our consent; or

2. any other alternative dispute resolution proceeding in which such damages are claimed and to

which you submit with our consent.

M. Wrongful act means:

1. any actual or alleged error, misstatement, or misleading statement, or any act, omission, or

neglect including malfeasance, misfeasance, and nonfeasance by member or additional

covered party rendered in the discharge of his or her duties for you; and

2. any actual or alleged wrongful termination, discipline, or discrimination related to hiring or

employment.

November 22, 2016 TO: WSTIP Board of Directors FROM: Tracey Christianson, Deputy Director SUBJECT: Reclassification of Staff Position and New Claims Manager Position Action Requested Staff seek approval on the following items:

1. Reclassification of the Information Technology Program Manager to the Administrative Services Manager as of December 16, 2016.

2. Elimination of the Information Technology Program Manager position. 3. New Claims Manager position for 2017

Position Reclassification Staff seek the approval of the Board for the reclassification of the Information Technology Program Manager to the Administrative Services Manager position. This reclassification changes over 50 percent of the job duties for the Information Technology Program Manager and adds supervisory duties of two existing employee positions. This eliminates the Information Technology Program Manager position. This reclassification places the position in a new salary scale. WSTIP seek this position be reclassified as of December 16, 2016. The increased cost of this position is already anticipated in the 2017 budget before the Board at this meeting. An overview of the job description is below. Excerpt from Administrative Services Manager Job Description

DESCRIPTION This position manages the Administrative Services Department which includes managing WSTIP’s information technology infrastructure and facilities, supervising finance and underwriting, and supporting members, internal WSTIP departments, and WSTA by providing project and records management and data analytics for the organization. The Administrative Services Manager supervises the following positions: Finance Specialist and Receptionist. The Administrative Services Manager serves as the Public Records Officer for the organization. ESSENTIAL JOB DUTIES

1. Develop, manage, and control the agency’s administrative services department including

budget development and accountability, service development and management, assess

staffing needs, coordinate work assignments, and staff supervision.

2. Support the Deputy Director to successfully manage and operate the Pool within its

Board adopted policies and state regulatory requirements.

3. Manage scope of financial operations including accounting, payroll, monthly and annual

reports, and reconciliations.

4. Manage the collection of underwriting information including, but not limited to property, vehicles, miles driven, and employee counts.

5. Manage WSTIP information technology infrastructure including the Risk Management

Information System (Origami), Voice over IP phone system, websites, Office 365 and other cloud services.

6. Manage and maintain the WSTIP facility including building services (janitorial, HVAC,

security system) including procurement and management of vendors for any services for the building in accordance with adopted policies on purchasing and procurement. Work with department managers, Deputy Director, Executive Director, and WSTA to determine office space needs related to staffing.

7. Manage purchasing activities, contract negotiation and vendor relationships for the

information technology infrastructure and facilities including technology hosting, office equipment acquisition, lease maintenance agreements and special purchases in accordance with adopted policies on purchasing and procurement.

8. Manage, monitor and control the operations, projects, systems upgrades, and activities of

the WSTIP information technology infrastructure to meet established WSTIP information technology operational guidelines and best practices, schedules and processes; while ensuring that all equipment is operated in the most efficient cost effective and reasonably secure manner possible.

9. Monitor the compliance of all hardware and software systems with established standards,

procedures, and WSTIP business practices including effective back up, disaster recovery, and contingency plans/procedures.

10. Recommend procedures, best practices and innovative solutions to improve efficiency in

data processing, data reporting and analytics, network and website operations. 11. Support the Claims Department by managing Medicare secondary payer mandatory

reporting requirements.

12. Manage electronic records archiving and disposition in compliance with Washington State retention schedules. Provides record retention consultation to Members and respond to public records requests. Serve as the Public Records Officer.

13. Supervise and develop assigned staff through periodic goals and objectives, training,

disciplinary actions, and performance reviews.

14. Support the users, desktop, network infrastructure and Office 365 implementation for the Washington State Transit Association (WSTA).

Claims Manager Staff request approval for a new Claims Manager position for 2017. WSTIP’s Claims Specialist is retiring

in May of 2017. Staff request approval to hire a Claims Manager position which will have supervisory duties over the claims department. If recruiting goes well, there will be some overlap between the Claims Specialist and the Claims Manager. However, we anticipate by mid-year the Claims Specialist will have proceeded to the retirement phase of her life. Unlike the reclassification (above), we are not seeking elimination of the Claims Specialist position. However, the position is not funded in 2017 budget beyond the retirement date of the current Claims Specialist. If staff feel this position needs to be re-filled, it will require either a budget amendment or new funding in a new budget year. The cost of this position is already anticipated in the 2017 budget before the Board at this meeting. An overview of the job description is below for your information: Except from Claims Manager Job Description

DESCRIPTION This position manages the Claims Department and is responsible for administering the various claims incurred by WSTIP members which include claims that can be described as general liability, auto liability, errors and omissions, property, crime, boiler and machinery. The Claims Manager manages internal and vendor-serviced claims and lawsuits and directs the litigation of complex cases. The Claims Manager supervises the Claims Department staff. ESSENTIAL JOB DUTIES

1. Oversee department operations including claim investigation, verification of damages,

subrogation services, claim denials, and claim payments. Assigns case values and monitors loss reserves for adequacy.

2. Evaluate claims, mange independent adjusters, hire experts, research, analyze scope of work estimates, and compile pertinent legal case laws, state laws, and city codes.

3. Provide coverage analysis and determination recommendations for the Executive Director.

4. Create litigation defense plans, collaborate strategies with attorneys. Direct defense counsel and claims adjusters.

5. Attend depositions, mediations, trials, and settlement conferences.

6. Manage the subrogation and restitution of claims.

7. Report claims activity to excess and reinsurance carriers.

8. Supervise and develop assigned staff through periodic goals and objectives, training disciplinary actions, and performance reviews.

9. Provide written and oral reports to management, Board, and committees.

10. Participate in Serious Loss review and work cooperatively with the Member Services and Administrative Services department.

Background on WSTIP Staff Numbers

Positions of December 1, 2016 Positions as of July 1, 2017

Executive Director Executive Director Deputy Director Deputy Director Claims Manager (vacant/funded) Claims Specialist Claims Specialist (until retirement and then

vacant/unfunded) Claims and Technology Assistant Claims and Technology Assistant Member Services Assistant Board Relations Information Systems Manager Administrative Services Manager Receptionist Receptionist Finance Specialist Finance Specialist Member Services Manager Member Services Manager Training and Risk Coordinator (vacant/funded) Training and Risk Coordinator Transit Risk Consultant Transit Risk Consultant Legal Counsel Legal Counsel 12 positions – 12 positions funded – 1 vacant 13 positions – 12 positions funded – 1 vacant

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2017 Proposed Budget

Overview, Narrative & Appendices

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Table of Contents

Budget Summary 3

Self-Insurance Retention, Insurance, Reinsurance and Excess Insurance 4

Department Budgets:

Administrative Services 6

Technical Services 7

Member Services 8

Board Expenses 9

What Isn’t in the Budget? 10

Driver Record Monitoring 11

Decisions the Board Makes When Adopting the Budget 13 The Strategic Plan and Rate Review 14

Appendix

Spreadsheets Crime Renewal Proposal

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Budget Summary

Exposures WSTIP uses employee counts, property values, vehicle values, and even payroll. The most important one, however, is mileage which is used to determine the liability rate and correspondingly, a member’s assessment. The estimated mileage for 2017 is just over 100 million miles. Here are the top three things you need to know about WSTIP’s exposures for 2017: Estimated mileage for 2017 is projected to increase only 1%. Total miles are 101,347,675. Employee counts have increased by 4%. The 2017 estimate is 5,032 employees. Total property values (including vehicles) increased to $821 million which is a 6% increase. Basically, exposures have increased but just slightly.

Loss Fund Staff is recommending an increase in the self-insurance retention from $2 million to $2.5 million. Our loss experience with GEM has deteriorated and GEM costs are increasing. By accepting more risk, the costs for reinsurance are stabilized. The 2017 loss fund, as determined by the actuary, is $8.2 million. An Overall Rate Increase of 10% Staff are proposing an overall rate increase of 10%. The Executive Committee reviewed this rate increase and agreed it was appropriate to send to the Board. This rate increase allows a sizeable investment to the loss fund (called an “increased contribution to surplus”). The increase contribution to surplus is a voluntary amount and is

in keeping with WSTIP’s long-term strategic goal. Liability Insurance Costs The cost for the GEM layer of insurance increased 10% despite the increase in our loss fund. Other insurance costs are relatively stable.

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Loss Fund, Self-Insurance Retention,

Insurance, Reinsurance & Excess Insurance

The coverages WSTIP offers is combination of self-insurance, insurance policies, reinsurance (through a captive and from the market) and excess insurance. Here are the most important things to know about WSTIP’s

coverages and their costs. WSTIP staff recommend increasing the self-insurance retention from $2 million to $2.5 million per occurrence. This is due to unfavorable rates for expiring coverage.

WSTIP Loss Fund

0 - $2.5 million

$8,242,546

Staff and broker are recommending renewing with the following carriers and pricing:

Carrier – Liability

Layer

Cost

Governmental Entities Mutual

$2.5 million in excess of $2.5 million

$773,759 (auto liability) $21,335 (liability other than auto) $795,294 Total

Munich Re

$5 million in excess of $5 million

$383,601

Arch

$5 million in excess of $15 million

$136,000

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Carrier – Crime

Layer

Cost

National Union Fire (see Appendix for Crime Proposal)

$1 million $10,000 deductible

$14,868

Carrier – Blanket Pollution

Layer

Cost

XL Insurance (Three year policy)

$1 million $10,000 deductible

$43,000 (already bound)

Carrier – UST

Cost

Liberty Surplus Insurance Corporation

$1 million per storage tank incident limit $3 million aggregate limit $250,000 aggregate expense limit $25,000 deductible except for Intercity $50,000 Intercity deductible

$16,995 (already bound)

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Department Budget: Administrative Services

Administrative Services

760 · CONTRACT SERVICES 232,435

700 · LEGAL AND ACCOUNTING 18,000

733 · STAFF CONFERENCES & TRAVEL 97,136

770 · COMMUNICATIONS 20,248

777 · OCCUPANCY COSTS 38,277

749 · OFFICE EXPENSES 59,968

802 · AUDITS 42,866

MISCELLANEOUS 2,000

Total Administrative Services 510,930

Administrative Services is a roll up of several budget categories.

Contract Services ($232,435) – Representing 45% of the Administrative Services budget. Contract services includes actuarial services, broker fees, and other administrative contracts such as occasional administrative help.

Staff Travel and Conferences ($97,136) – Includes expenses associated with member visits from the Transit Risk Consultant, professional development for staff (classes and conferences) and miscellaneous travel expenses.

Legal and Accounting ($18,000) – Although labeled as legal and accounting, this category only pays for our certified public accountant. The increased cost is in direct correlation to new reporting requirements from the state auditor.

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Department Budget: Technical Services

764 - INFORMATION SERVICES

Risk Management Information System 110,000

764 · Network Maintenance/Support 54,800

Subscription Software Services 30,850

Professional Services (IS) 51,600

New Projects 26,500

Total 764 - INFORMATION SERVICES 273,750

Origami ($110,000) – Origami, our Risk Management Information System (RMIS) accounts for 40% of

the Technical Services Budget. The 2017 cost is slightly increased from the contracted year two cost due

the licensing of additional users.

Network Infrastructure ($54,800) – In 2016 WSTIP transitioned several major services (RMIS and Web

sites) to hosted “cloud” services. WSTIP will continue this trend in 2017 with the retirement of our end of

lifecycle network hardware and a move to the Private Cloud Services provided by the State of

Washington (WaTech).

Professional Services ($51,600) – The professional services budget has increased from 2016 to provide

contracted desktop support for WSTIP and WSTA staff and Network Administration. These functions

were previously provided by the Information Technology Program Manager, which position has been

eliminated in 2017.

2017 Project Work ($26,500) – Technical Services project for 2017 include: a pilot program for Tableau,

a data visualization tool that will integrate with Origami and provide more advanced reporting functionality;

updates to the West Olympia phone system (Shoretel); and creating an interactive version of the Risk

Profiles using Origami Data.

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Department Budget:

Member Services / Risk Management Services

Three highlights from the Risk Management Services budget include the following:

Collision Avoidance Technology Project ($120,000) – WSTIP Board approved the Pierce Transit pilot

project utilizing after-market collision avoidance technology. This loss prevention campaign aims at

reducing at fault rear-end accidents and pedestrian strikes. The Emerging Risks and Opportunities

Committee have identified other loss and risk items for further research or review and inclusion in the

Executive Committee work plan.

Network Security ($85,000) - These funds will be utilized for the network security loss prevention

campaign. The backbone of this work is continuing the implementation of the “to do” items identified in

the Best Practices for the Technology Environment.

Grants, Awards and Sponsorships ($102,500) – The Risk Management Grants are $2500 annual

awards to each member; Safety Stars Program awards, $5,000 for large, $3,500 for medium, and $1,500

for small. Driver Recognition Award Program to recognize accident free driving. Above and Beyond

Award to honor individuals for courage that minimized losses to the agency or the public. Sponsorships

include statewide Roadeo, State-wide Conferences, and Trainer’s Showcase.

740 - RISK MANAGEMENT SERVICES 2017

Contract Services 31,000

Vanpool Refresher Program 5,200

Best Practices/Risk Mgmt Scvs 35,000

Network Security 85,000

Loss Prevention Projects 155,000

Pre-Litigation Fund 55,000

Grants/Training 102,500

Training Coalition 40,000

Total 740 · RISK MANAGEMENT SERVICES 508,700

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Department Budget: Board Expenses


731 · Conference/Travel - WSTIP Board 100,000

Jeff Ristau Scholarship 20,000

Board Development 10,000

732 · Board Meeting Expenses 65,109

Total 730 - BOARD EXPENSES 195,109

The Board expense budget pays for travel-related expenses of the Board members to attend quarterly Board meetings, and the Executive Committee members to attend their monthly meetings.

Highlights of this area include:

Conferences/travel for the Board meetings ($100,00) – This pays for the expenses of Board members and guests to attend the quarterly Board meetings, and Executive Committee members to attend their monthly meetings. Electronic device grants and reimbursement for devices is included in this budget.

Jeffrey S. Ristau Scholarship ($20,000) – 2017 will be the third year for the Jeffrey S. Ristau Scholarship program. Funding is established at $20,000.

Board Development ($10,000) – Speaker, facilitator, and consulting fees.

Board meeting expenses ($65,109) – Hotel costs for quarterly Board meetings.

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What Isn’t in the Budget?

Building Remodel

With the transition of much of our technical services “to the cloud,” there is no longer a need for a dedicated

server room at the West Olympia location. WSTIP is working with Alona Pernula of Pernula Design on plans to remodel and recover the space currently occupied by the server room for staff workstations. This work will be funded from the Building Reserve Fund. You might notice, however, that we have added a new category to the budget called “furniture.” Furniture for the space is anticipated in the 2017 budget.

Driver Record Monitoring

Driver record monitoring costs are accounted for basically as a secondary business. The WSTIP Board approved driver record monitoring rates increases on an annual basis to recoup the costs incurred in the last contract (costs for the vendor to take over the DOL pull). Additional money will also be collected to fund a review of the vendor for contract compliance. This is the first year of collecting funds, however, it was the Board’s direction that once a positive balance was realized, the funds should be kept in a separate reserve account. The member costs for driver record monitoring follows on the pages 11 and 12.

Risk Pool Staff Leadership Development Program

WSTIP entered into a memorandum of understanding with other risk pools in Washington to fund and manage a Risk Pool Staff Leadership Development Program. WSTIP volunteered to manage the finances of the development program. Upon conferring with the state auditor, staff were told to keep these funds separated from the rest of the pool’s finances.

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2016 Adjustments (actual vs estimate)

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2017 Budget (with 2016 Adjustments)

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When the Board Adopts the Budget,

What Decisions Does the Staff Think You Have Made?

Approval of an overall budget number.

Approval of a per mile rate increase of 10%.

Approval of a contribution of surplus.

Permission to bind all coverages.

Approval of a new Claims Manager position.

Reclassification of an existing position.

Approval of a general wage increase to staff of 3%.

Funding for the Jeffrey S. Ristau Scholarship Program ($20,000).

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The Strategic Plan and Rate Review

The WSTIP Strategic Plan established a goal of no greater than a 5% rate increase over the previous year for liability. Staff are proposing an overall increase of 10%. The 2016 auto liability rate was $.0955 (per mile) in 2016. The proposed auto liability rate for 2017 is $.1076 (per mile). This is an increase of 12.6%. The 2016 general liability rate was $286.49 (per employee) in 2016. The proposed general liability rate for 2017 is $267.22 (per employee). This is a decrease of 6.7%. The 2016 property rate (not including vehicles) was .1938 (per $100 in value) in 2016. The proposed property rate (not including vehicles) for 2017 is .1699 which is a 12.3% decrease. The 2016 property vehicle value rate was .2929 per $100 in value. The proposed rate is .3377 (per $100 of value). This is a 15% increase. The under/uninsured motorist coverage rate (non-vanpool) in 2016 was .0060. The proposed rate for 2017 is .0006. There is no increase or decrease. The under/uninsured motorist coverage rate (vanpool) rate in 2016 was .0075. The proposed rate is .0075.

2017 Estimated Insurance Costs and Operating Budget

12/01/2016

2017 2017 2016 2016Revenues Expenses Actuarial Exhibit 8-1 Revenues Expenses Actuarial Exhibit 8-1

14,578,843 8,242,546 2017 Loss Fund - actuarially determined 12,864,133 7,244,972 2016 Loss Fund - actuarially determined2,119,968 Estimated insurance costs 2,022,764 Estimated excess insurance costs2,970,242 Estimated operating costs 2,682,000 Estimated operating costs-350,000 Estimated Interest Income -350,000 Estimated Interest Income-430,590 UIM Cost of APD -455,641 UIM Cost of APD

2,011,892 Estimated contribution to surplus 1,448,412 Estimated contribution to surplus14,564,058 Subtotal 12,592,507 Subtotal 15.66%

14,241,500Minus adjustments for 1st party deductibles Exhibit 8-2 (see below) 12,213,160

Minus adjustments for 1st party deductibles Exhibit 8-2

369,047 Exhibit 8-5 components (see below a18-a22) 375,139 Exhibit 8-5 components (see below)-31,704 Prior period adjustments Exhibit 8-5 Column 19 -179,807 Prior period adjustments

14,578,843 Subtotal 12,408,492 Subtotal

Exhibit 8-5 Exhibit 8-5430,590 UIM 455,641 UIM67,882 UST Coverage (10 members) 67,682 UST Coverage (10 members)43,000 Pollution Coverage (18 members) 43,000 Pollution Coverage (18 members)

241,170 Driver Record Monitoring (All) 248,066 Driver Record Monitoring (All)16,995 Crime Coverage (22 members) 16,391 Crime Coverage (22 members)

369,047 Total 375,139 Total

Exhibit 8-2502,427 (1) APD Ultimate Loss Net of Deductible872,039 (2) APD Ultimate Loss Gross of Deductible136,844 (4) Property Ultimate Loss Net of Deductible183,898 (6) Property Ultimate Loss Gross of Deductible

14,564,0580


12/01/2016

Budget Budget Num % Change

2017 2016 Change 2017 to 2016

610 - INSURANCE SERVICES

611 · GEM Coverage 795,294 724,111 71,183 10%

$10 Mill X $5 Mill Excess Coverage 383,601 381,000 2,601 1%

$5 Mill X $15 Million Exces Coverage 137,000 137,000 0 0%

622 · Property & APD 804,073 780,653 23,420 3%

Blanket Pollution 43,000 43,000 0 0%

Underground Storage Tank Cov 67,882 67,682 200 0%

624 · Crime and Fidelity 16,995 16,500 495 3%

Total 610 · INSURANCE SERVICES 2,247,845 2,149,946 97,899 5%

760 · CONTRACT SERVICES

702 · Actuary 74,675 72,500 2,175 3%

762 · Administrative services 27,810 27,000 810 3%

Rack Space at DES 0 10,800 (10,800) -100% dBroker Fee 101,200 101,200 0 0%

Contract Services 28,750 25,000 3,750 15%

Total 760 · CONTRACT SERVICES 232,435 236,500 (4,065) -2%

720 · STAFF WAGES, TAXES & BENEFITS

Staff Benefits 291,300 242,674 48,626 20%

720.1 · Wages 1,093,132 1,002,086 91,046 9%

720.1.1 · Retirement Trust ICMA 68,098 61,430 6,668 11%

725 · Payroll Taxes 29,223 28,012 1,211 4%

Total 720 · STAFF WAGES, TAXES & BENEFITS 1,481,753 1,334,202 147,551 11%

700 · LEGAL AND ACCOUNTING

703 · Accounting 18,000 15,018 2,982 20%

Total 700 - LEGAL & ACCOUNTING 18,000 15,018 2,982 20%


12/01/2016


2017 2016 Change 2017 to 2016


731 · Conference/Travel - WSTIP Board 100,000 85,000 15,000 18%

Jeff Ristau Scholarship 20,000 20,000 0 0%

Board Development Speaker 10,000 10,000 0 0%

732 · Board Meeting Expenses 65,109 59,190 5,919 10%

Total 730 - BOARD EXPENSES 195,109 174,190 20,919 12%

733 · STAFF CONFERENCES & TRAVEL

Staff Travel 77,136 70,124 7,012 10%

Staff Registration and Education Materials 20,000 10,451 9,549 91%

Total 733 · STAFF CONFERENCES & TRAVEL 97,136 80,575 16,561 21%

740 - RISK MANAGEMENT SERVICES

Contract Services 31,000 31,000 0 0%

Vanpool Refresher Program 5,200 7,000 (1,800) -26%

Best Practices/Risk Mgmt Scvs 35,000 35,000 0 0%

Network Security 85,000 125,000 (40,000) -32%

Loss Prevention Projects 155,000 77,000 78,000 101% aPre-Litigation Fund 55,000 55,000 0 0%

Grants/Training 102,500 90,000 12,500 14%

Training Coalition 40,000 40,000 0 0%

Total 740 · RISK MANAGEMENT SERVICES 508,700 460,000 48,700 11%

770 · COMMUNICATIONS

772 · Telephone 15,277 14,832 445 3%

771 · Internet Access 4,971 4,826 145 3%

Total 770 · COMMUNICATIONS 20,248 19,658 590 3%


12/01/2016


2017 2016 Change 2017 to 2016

777 · OCCUPANCY COSTS

Office Maintenance/Repairs 12,000 12,000 0 0%

773 · Utilities 15,277 14,832 445 3%

758 · Janitorial Services 5,000 5,000 0 0%

774 · Office Equipment Lease 6,000 6,000 0 0%

Total 777 · OCCUPANCY COSTS 38,277 37,832 445 1%

749 · OFFICE EXPENSES

Office Furniture 15,000 - new category

752 · Dues and Subscriptions 10,637 10,327 310 3%

757 · Office Supplies 3,302 3,206 96 3%

754 · Postage 11,785 13,094 (1,309) -10%

753 · Printing & Graphic Services 19,245 18,684 561 3%

Total 749 · OFFICE EXPENSES 59,968 45,311 14,657 32%

802 · AUDITS

Annual Audit 11,092 10,769 323 3%

803 · St. R/M Audit and Assessment 16,774 16,774 0 0%

805 · Property/ Claims/AGRIP Audits 15,000 15,000 0 0%

Total 802 · AUAnnual Audit 42,866 42,543 323 1%

764 - INFORMATION SERVICES

Risk Management Information System 110,000 0 110,000 new category b764 · Network Maintenance/Support 54,800 51,854 2,946 6%

Subscription Software Services 30,850 138,100 (107,250) -78%

Professional Services (IS) 51,600 0 51,600 new category cWeb Presence Update 0 25,000 (25,000) -100%

Upgrades/replacements 0 19,000 (19,000) -100%

New Projects 26,500 0 26,500 new category dTotal 764 - INFORMATION SERVICES 273,750 233,954 39,796 17%


12/01/2016


2017 2016 Change 2017 to 2016

MISCELLANEOUS 2,000 2,000 0 0%

Total MISCELLANEOUS 2,000 2,000 0 0%

759 · DEPRECIATION 21,600 21,600 0 0%

Total Expense (without insurance) 2,991,842 2,681,783 310,059 12%

Total Expense (with insurance) 5,239,687 4,831,729 407,958 8%

Notes:

b: Risk Management Information System is a new category, previously this expense was part of Subscription Softwarec: Increase in Information Services "Professional Services" due to contracted desktop support services.

a: $100,000 for Pierce Collision Avoidance Grant; additional $20k for forensic accounting audit to determine affect on loss exposure

d: $10,800 "Rack Space at DES" previously part of Contract Services; now part of Information Services, "Network Maitenance/Support"


12/01/2016

Member UIM Selections2017 Est'd

Mileage

2017 EE

Data2016 Actual

Mileage

% Mileage Change

2016 EE

Data% EE

ChangeASOTIN All of the Above 359,368 16 335,650 7% 15 7%BEN FRANKLIN All of the Above 9,265,000 279 9,324,527 -1% 276 1%CLALLAM All of the Above 2,283,000 91 2,294,174 0% 90 1%COLUMBIA COUNTY Demand Response & Vanpool 333,000 14 367,000 -9% 14 0%COMMUNITY Vanpool 14,770,587 751 14,603,392 1% 676 11%C-TRAN Vanpool 7,973,000 440 7,342,000 9% 426 3%EVERETT All of the Above 2,159,851 154 2,111,884 2% 153 1%GRANT All of the Above 1,362,400 44 1,292,400 5% 37 19%GRAYS HARBOR All of the Above 1,705,000 80 1,688,000 1% 75 7%INTERCITY All of the Above 7,960,000 315 7,919,000 1% 315 0%ISLAND All of the Above 2,762,157 111 3,236,355 -15% 113 -2%JEFFERSON All of the Above 790,000 46 810,000 -2% 46 0%KITSAP All of the Above 5,406,000 375 5,387,000 0% 375 0%LINK Fixed Route & Demand Response 2,115,000 130 2,210,000 -4% 130 0%MASON All of the Above 1,460,848 90 1,334,083 10% 89 1%PACIFIC Fixed Route & Demand Response 454,800 22 460,000 -1% 21 5%PIERCE Vanpool 20,444,852 956 19,916,896 3% 911 5%PULLMAN Fixed Route & Demand Response 416,800 45 455,000 -8% 45 0%RIVER CITIES All of the Above 667,000 33 752,000 -11% 33 0%SKAGIT All of the Above 2,997,036 135 3,012,390 -1% 129 5%SPOKANE Vanpool 9,198,168 543 8,951,825 3% 533 2%TWIN Fixed Route & Demand Response 363,854 28 430,012 -15% 28 0%VALLEY All of the Above 615,000 27 637,000 -3% 26 4%WHATCOM All of the Above 4,112,300 246 3,836,900 7% 228 8%YAKIMA All of the Above 1,372,654 61 1,639,000 -16% 60 2%

TOTAL 101,347,675 5,032 100,346,488 1% 4844 4%


12/01/2016

Member

2017 Vehicle Values

2017 Property Values

2016 Vehicle Values

2016 Property Values

Veh % Change

Prop % Change

APD Deductible

ASOTIN 406,997 1,541,433 721,200 1,474,800 -44% 5% $5,000BEN FRANKLIN 18,072,534 19,239,969 17,562,100 16,067,800 3% 20% $5,000CLALLAM 6,582,143 17,832,480 7,791,200 17,227,600 -16% 4% $5,000COLUMBIA COUNTY 325,128 124,858 465,800 124,400 -30% 0% $5,000COMMUNITY 76,869,656 73,644,006 58,655,900 75,279,900 31% -2% $5,000C-TRAN 26,010,803 20,591,675 15,976,700 16,574,300 63% 24% $10,000EVERETT NA NA NA NA NA NA $0GRANT 1,880,006 4,827,178 2,468,000 4,557,600 -24% 6% $5,000GRAYS HARBOR 4,008,507 6,828,497 2,794,900 7,389,300 43% -8% $5,000INTERCITY 21,887,629 20,198,656 25,742,200 18,814,400 -15% 7% $5,000ISLAND 4,350,843 19,676,307 6,190,500 15,777,300 -30% 25% $5,000JEFFERSON 1,813,202 7,719,845 2,339,500 8,276,700 -22% -7% $5,000KITSAP 7,320,953 34,060,670 10,745,600 35,941,100 -32% -5% $5,000LINK 5,259,111 18,457,808 6,876,900 16,876,400 -24% 9% $5,000MASON 3,390,822 17,299,592 3,739,000 15,484,900 -9% 12% $5,000PACIFIC 1,582,082 3,401,636 1,877,300 2,694,400 -16% 26% $5,000PIERCE 66,787,692 106,087,001 73,762,100 109,827,800 -9% -3% $25,000PULLMAN NA NA NA NA NA NA $0RIVER CITIES 3,473,651 517,955 3,975,000 513,700 -13% 1% $5,000SKAGIT 6,412,884 22,692,669 7,048,100 17,077,800 -9% 33% $5,000SPOKANE 30,190,572 82,188,850 36,152,900 71,585,500 -16% 15% $25,000TWIN 1,228,154 3,339,042 1,653,800 1,831,500 -26% 82% $5,000VALLEY 2,435,903 7,012,587 2,678,100 7,835,000 -9% -10% $5,000WHATCOM 16,257,512 20,118,583 19,139,100 19,325,200 -15% 4% $5,000YAKIMA 6,735,266 NA 4,871,200 NA NA NA $5,000

TOTAL 313,282,050 507,401,297 313,227,100 480,557,400 0% 6%

Government Crime Insurance Proposal 2017 – 2018

Presented on November 21, 2016 by: Brian White Vice President

Joyce Roberts Assistant Account Manager Lilian Vanvieldt Senior Vice President


Alliant Insurance Services, Inc.

1420 Fifth Avenue, Suite 1500

Seattle, WA 98101

O 206 204 9140

F 206 204 9205

CA License No. 0C36861

www.alliant.com

Date Issued: 11/07/16 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 2

Washington State Transit Insurance Pool | 2017 - 2018 Government Crime Insurance Proposal

Government Crime Coverage

Present Coverage Proposed Coverage

INSURANCE COMPANY: National Union Fire Ins. Co. of Pittsburgh, PA National Union Fire Ins. Co. of Pittsburgh, PA

A.M. BEST RATING: A (Excellent), Financial Size Category: XV ($2 Billion or greater) as of February 27, 2015

A (Excellent), Financial Size Category: XV ($2 Billion or greater) as of June 2, 2016

STANDARD & POOR’S RATING: A+ (Strong) A+ (Strong) as of May 06, 2013

POLICY TERM: January 1, 2016 to January 1, 2017 January 1, 2017 to January 1, 2018

COVERAGE FORM: Discovery Form – CR 00 26 05 06 Discovery Form – CR 00 26 05 06

LIMITS: $1,000,000 Employee Theft – Per Loss Coverage $1,000,000 Employee Theft – Per Loss Coverage

Not Covered Employee Theft – Per Employee Coverage Not Covered Employee Theft – Per Employee Coverage

$1,000,000 Forgery or Alteration $1,000,000 Forgery or Alteration

$1,000,000 Inside the Premises – Theft of Money and Securities

$1,000,000 Inside the Premises – Theft of Money and Securities

$1,000,000 Inside the Premises – Robbery or Safe Burglary of Other Property

$1,000,000 Inside the Premises – Robbery or Safe Burglary of Other Property

$1,000,000 Outside the Premises $1,000,000 Outside the Premises

$1,000,000 Computer Fraud $1,000,000 Computer Fraud

$1,000,000 Funds Transfer Fraud $1,000,000 Funds Transfer Fraud

$1,000,000 Money Orders and Counterfeit Money $1,000,000 Money Orders and Counterfeit Money

DEDUCTIBLE: $ 10,000 Per Occurrence $ 10,000 Per Occurrence

ENDORSEMENT & EXCLUSIONS: (INCLUDING BUT NOT LIMITED T0)

• Washington Changes • Additional Named Insured – Per submission • Add Faithful Performance of Duty Coverage for

Government Employees – $1,000,000/Per Loss • Protected Information Exclusion

• Washington Changes • Additional Named Insured – Per submission • Add Faithful Performance of Duty Coverage for

Government Employees – $1,000,000/Per Loss • Protected Information Exclusion

http://www.alliant.com/



Present Coverage Proposed Coverage

ENDORSEMENTS & EXCLUSIONS (continued):

• Include Designated Person Required to Have Knowledge of Loss (Discovery Form) – Risk Management Department or other department designated to handle insurance matters for the named insured

• Indirect or Consequential Loss Exclusion • Prior Theft or Dishonesty – $10,000 • Economic Sanctions Endorsement • Cancellation of Policy Amended – 90 days • Bonded Employees Exclusion Deleted • Add Credit, Debit or Charge Card Forgery -

$1,000,000/Includes • Include Volunteer Workers as Employees • Include Specified Non-Compensated Officers as

Employees – All • Include Chairperson and Members of Specified

Committees as Employees – All • Include Designated Persons or Classes of Persons

as Employees – Any directors or trustees of any of those named as insured

• Include Treasurers or Tax Collectors as Employees – All

• Include Expenses Incurred to Establish Amount of Covered Loss - $75,000/100%

• Include Designated Person Required to Have Knowledge of Loss (Discovery Form) – Risk Management Department or other department designated to handle insurance matters for the named insured

• Indirect or Consequential Loss Exclusion • Prior Theft or Dishonesty – $10,000 • Economic Sanctions Endorsement • Cancellation of Policy Amended – 90 days • Bonded Employees Exclusion Deleted • Add Credit, Debit or Charge Card Forgery -

$1,000,000/Includes • Include Volunteer Workers as Employees • Include Specified Non-Compensated Officers as

Employees – All • Include Chairperson and Members of Specified

Committees as Employees – All • Include Designated Persons or Classes of Persons

as Employees – Any directors or trustees of any of those named as insured

• Include Treasurers or Tax Collectors as Employees – All

• Include Expenses Incurred to Establish Amount of Covered Loss - $75,000/100%

PREMIUM: $17,492.00 Annual Premium ($2,623.90) Commission Credit $14,868.20 Net Annual Cost

$17,582.00 Annual Premium ($2,637.30) Commission Credit $14,944.70 Net Annual Cost

QUOTE VALID UNTIL: N/A January 1, 2017

BINDING CONDITIONS: N/A Written Request to Bind

See Disclaimer Page for Important Notices and Acknowledgment




Disclosures

This proposal of insurance is provided as a matter of convenience and information only. All information included in this proposal, including but not limited to personal and real property values, locations, operations, products, data, automobile schedules, financial data and loss experience, is based on facts and representations supplied to Alliant Insurance Services, Inc. by you. This proposal does not reflect any independent study or investigation by Alliant Insurance Services, Inc. or its agents and employees. Please be advised that this proposal is also expressly conditioned on there being no material change in the risk between the date of this proposal and the inception date of the proposed policy (including the occurrence of any claim or notice of circumstances that may give rise to a claim under any policy which the policy being proposed is a renewal or replacement). In the event of such change of risk, the insurer may, at its sole discretion, modify, or withdraw this proposal, whether or not this offer has already been accepted.

This proposal is not confirmation of insurance and does not add to, extend, amend, change, or alter any coverage in any actual policy of insurance you may have. All existing policy terms, conditions, exclusions, and limitations apply. For specific information regarding your insurance coverage, please refer to the policy itself. Alliant Insurance Services, Inc. will not be liable for any claims arising from or related to information included in or omitted from this proposal of insurance.

Alliant embraces a policy of transparency with respect to its compensation from insurance transactions. Details on our compensation policy, including the types of income that Alliant may earn on a placement, are available on our website at www.alliant.com. For a copy of our policy or for any inquiries regarding compensation issues pertaining to your account you may also contact us at: Alliant Insurance Services, Inc., Attention: General Counsel, 701 B Street, 6th Floor, San Diego, CA 92101.

Analyzing insurers' over-all performance and financial strength is a task that requires specialized skills and in-depth technical understanding of all aspects of insurance company finances and operations. Insurance brokerages such as Alliant Insurance typically rely upon rating agencies for this type of market analysis. Both A.M. Best and Standard and Poor's have been industry leaders in this area for many decades, utilizing a combination of quantitative and qualitative analysis of the information available in formulating their ratings.

A.M. Best has an extensive database of nearly 6,000 Life/Health, Property Casualty and International companies. You can visit them at www.ambest.com. For additional information regarding insurer financial strength ratings visit Standard and Poor's website at www.standardandpoors.com.

A.M. Best has an extensive database of nearly 6,000 Life/Health, Property Casualty and International companies. You can visit them at www.ambest.com. For additional information regarding insurer financial strength ratings visit Standard and Poor's website at www.standardandpoors.com.



http://www.ambest.com/

http://www.standardandpoors.com/

http://www.ambest.com/

http://www.standardandpoors.com/



NY Regulation 194

Alliant Insurance Services, Inc. is an insurance producer licensed by the State of New York. Insurance producers are authorized by their license to confer with insurance purchasers about the benefits, terms and conditions of insurance contracts; to offer advice concerning the substantive benefits of particular insurance contracts; to sell insurance; and to obtain insurance for purchasers. The role of the producer in any particular transaction typically involves one or more of these activities.

Compensation will be paid to the producer, based on the insurance contract the producer sells. Depending on the insurer(s) and insurance contract(s) the purchaser selects, compensation will be paid by the insurer(s) selling the insurance contract or by another third party. Such compensation may vary depending on a number of factors, including the insurance contract(s) and the insurer(s) the purchaser selects. In some cases, other factors such as the volume of business a producer provides to an insurer or the profitability of insurance contracts a producer provides to an insurer also may affect compensation.

The insurance purchaser may obtain information about compensation expected to be received by the producer based in whole or in part on the sale of insurance to the purchaser, and (if applicable) compensation expected to be received based in whole or in part on any alternative quotes presented to the purchaser by the producer, by requesting such information from the producer.

Other Disclosures / Disclaimers Claims Reporting:

Your policy will come with specific claim reporting requirements. Please make sure you understand these obligations. Contact your Alliant Service Team with any questions.

Changes and Developments It is important that we be advised of any changes in your operations, which may have a bearing on the validity and/or adequacy of your insurance. The types of changes that concern us include, but are not limited to, those listed below:

• Changes in any operations such as expansion to another states, new products, or new applications of existing products. • Travel to any state not previously disclosed. • Mergers and/or acquisition of new companies and any change in business ownership, including percentages. • Any newly assumed contractual liability, granting of indemnities or hold harmless agreements. • Any changes in existing premises including vacancy, whether temporary or permanent, alterations, demolition, etc. Also, any new premises either

purchased, constructed or occupied

• Circumstances which may require an increased liability insurance limit.




Other Disclosures / Disclaimers - Continued

• Any changes in fire or theft protection such as the installation of or disconnection of sprinkler systems, burglar alarms, etc. This includes any alterations to the system.

• Immediate notification of any changes to a scheduled of equipment, property, vehicles, electronic data processing, etc.

• Property of yours that is in transit, unless previously discussed and/or currently insured.

Certificates / Evidence of Insurance A certificate is issued as a matter of information only and confers no rights upon the certificate holder. The certificate does not affirmatively or negatively amend, extend or alter the coverage afforded by a policy. Nor does it constitute a contract between the issuing insurer(s), authorized representative, producer or certificate holder. You may have signed contracts, leases or other agreements requiring you to provide this evidence. In those agreements, you may assume obligations and/or liability for others (Indemnification, Hold Harmless) and some of the obligations that are not covered by insurance. We recommend that you and your legal counsel review these documents. In addition to providing a certificate of insurance, you may be required to name your client or customer on your policy as an additional insured. This is only possible with permission of the insurance company, added by endorsement and, in some cases, an additional premium.

By naming the certificate holder as additional insured, there are consequences to your risks and insurance policy including: • Your policy limits are now shared with other entities; their claims involvement may reduce or exhaust your aggregate limit. • Your policy may provide higher limits than required by contract; your full limits can be exposed to the additional insured. • There may be conflicts in defense when your insurer has to defend both you and the additional insured.

See Request to Bind Coverage page for acknowledgement of all disclaimers and disclosures.




Request to Bind Coverage


We have reviewed the proposal and agree to the terms and conditions of the coverages presented. We are requesting coverage to be bound as outlined

by coverage line below:

Coverage Line Bind Coverage for:

Government Crime ☐

This Authorization to Bind Coverage also acknowledges receipt and review of all disclaimers and disclosures, including exposures used to develop insurance terms, contained within this proposal.

Signature of Authorized Insurance Representative Date

Title

Printed / Typed Name

This proposal does not constitute a binder of insurance. Binding is subject to the final carrier approval. The actual terms and conditions of the policy will prevail.


2017 Estimated Member Assessments

ESTIMATED 2017 ASSESSMENTS 9/16/2016

2017 Estimated 2016 Actual Diff 16 to 17 % DifferenceMembers Assessment Assessment Rate Change 2016 to 2017

ASOTIN COUNTY 53,982 45,099 8,883 20%BEN FRANKLIN 1,152,258 962,402 189,856 20%CLALLAM 347,942 327,406 20,536 6%COLUMBIA COUNTY 39,101 39,904 -803 -2%COMMUNITY 2,169,829 1,993,270 176,559 9%C-TRAN 1,159,699 924,168 235,531 25%EVERETT 335,727 288,918 46,809 16%GRANT 177,023 154,160 22,863 15%GRAYS HARBOR 268,343 226,910 41,433 18%INTERCITY 1,188,907 1,065,351 123,556 12%ISLAND 422,615 347,957 74,658 21%JEFFERSON 122,536 118,565 3,971 3%KITSAP 866,291 786,618 79,673 10%LINK 389,017 333,986 55,031 16%MASON 238,034 194,978 43,056 22%PACIFIC 72,084 64,766 7,318 11%PIERCE 2,453,030 2,291,678 161,352 7%PULLMAN 70,240 60,737 9,503 16%RIVER CITIES 105,770 91,858 13,912 15%SKAGIT 413,039 346,396 66,643 19%SPOKANE 1,580,144 1,312,727 267,417 20%TWIN 53,805 56,711 -2,906 -5%VALLEY 103,985 109,456 -5,471 -5%WHATCOM 595,841 525,750 70,091 13%YAKIMA 199,601 194,362 5,239 3%Total 14,578,843 12,864,133 1,714,710 13%

Exhibit 8-6Page 1 of 25

Washington State Transit Insurance PoolRate Assessment Calculation

Member: AsotinRating Year: 2017

Assessment Calculation

Number of IndicatedExposure Experience Deductible Assessment

Rating Unit Units Base Rate Mod. Factor Factor (1)x(2)x(3)x(4)(1) (2) (3) (4) (5)

Fixed Route Mileage 163,484 0.1076 1.072 1.000 18,857Paratransit Mileage 42,904 0.1076 1.072 1.000 4,949

Vanpool Mileage 143,000 0.1076 1.072 1.000 16,495Admin Mileage 9,980 0.1076 1.072 1.000 1,151

Number of Employees 16 267.22 1.072 1.000 4,583Vehicle Insured Values (in hundreds) 4,192 0.3377 1.000 0.848 1,200

Property Insured Values (in hundreds) 15,877 0.1699 1.000 0.967 2,608Other Rating Cost Components 2,857 ** per Exhibit 8-5Prior Premium Audit Adjustment 1,281 ** per Exhibit 8-5

Total Indicated Assessment: 53,982

Mileage Mileage Mileage Mileage Pool Avg. Pool Avg. Pool Avg. Pool Avg. Pool Avg. Actual Relative LossLoss Loss from from from from Number of Loss Rate Loss Rate Loss Rate Loss Rate Loss Rate Expected Member ExperienceYear Limit Fixed Route Paratransit Vanpool Admin Employees Fixed Route Paratransit Vanpool Admin FTEs Member Losses Losses (13)/(12)

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 0 0 0 0 0 0.029 0.029 0.029 0.029 50.02 0 0 0.0002007 25,000 45,241 25,999 0 4,212 1 0.026 0.026 0.026 0.026 23.99 1,968 6,740 3.4242008 25,000 100,169 36,845 59,066 4,480 2 0.025 0.025 0.025 0.025 47.51 5,024 0 0.0002009 25,000 99,907 52,181 111,958 9,864 3 0.023 0.023 0.023 0.023 21.18 6,375 2,922 0.4582010 25,000 131,911 52,286 129,440 14,365 13 0.020 0.020 0.020 0.020 27.07 6,952 3,323 0.4782011 25,000 134,000 55,000 158,500 7,200 15 0.018 0.018 0.018 0.018 16.68 6,555 19,497 2.9752012 25,000 133,985 33,079 129,108 12,741 12 0.014 0.014 0.014 0.014 32.69 4,653 0 0.000

2013 25,000 136,767 31,656 132,201 11,539 13 0.019 0.019 0.019 0.019 23.52 6,345 25,000 3.9402014 25,000 144,346 38,287 123,451 11,277 13 0.015 0.015 0.015 0.015 24.20 5,142 0 0.0002015 25,000 144,592 38,196 137,101 7,994 13 0.012 0.012 0.012 0.012 36.46 4,530 8,473 1.870

Total 47,545 65,955 1.387

Latest 3 Years 16,016 33,473 2.090

1. In calculating Pool average loss rates and actual member losses, individual claims are capped at $25,000, $50,000, $100,000, or $250,000 depending upon the number of miles driven each year. 2. Pool average loss rates in columns (7) through (11) are from Exhibit 8-4 and are capped at the loss limit presented in column (1). 3. Expected member losses in column (12) are the exposures in columns (2) through (6) multiplied by their respective loss rates in columns (7) through (11).

Description Explanation (1) Latest Relative Loss Experience: 2.090 Relative Loss Experience for Latest 3 Years from Column (13) above. (2) Prior Experience Modification Factor: 1.034 Experience modification factor from prior rate study. (3) Weight given to Latest Relative Loss Experience: 1.0% Based on size - larger members are more self-rated. (4) Weight given to Prior Experience Modification Factor: 99.0% 1-(3) (5) Off-Balance Adjustment: 1.027 An adjustment factor designed to ensure allocation of the full cost amount (6) Experience Modification Factor: 1.072 [(1)x(3) + (2)x(4)] x (5)

DRAFT



Member: Ben Franklin TransitRating Year: 2017




Fixed Route Mileage 2,740,000 0.1076 0.927 1.000 273,302Paratransit Mileage 2,530,000 0.1076 0.927 1.000 252,355

Vanpool Mileage 3,700,000 0.1076 0.927 1.000 369,057Admin Mileage 295,000 0.1076 0.927 1.000 29,425


Property Insured Values (in hundreds) 198,172 0.1699 1.000 0.967 32,558Other Rating Cost Components 85,382 ** per Exhibit 8-5Prior Premium Audit Adjustment (12,240) ** per Exhibit 8-5

Total Indicated Assessment: 1,152,258


(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 100,000 2,655,142 2,168,709 2,739,166 167,781 263 0.047 0.047 0.047 0.047 111.21 393,663 36,798 0.0932007 100,000 2,668,798 2,305,753 3,270,763 329,782 267 0.041 0.041 0.041 0.041 56.91 366,917 426,275 1.1622008 100,000 2,640,839 2,361,584 4,454,821 253,967 289 0.041 0.041 0.041 0.041 91.96 428,140 460,637 1.0762009 100,000 2,754,608 2,344,383 4,840,922 253,967 266 0.033 0.033 0.033 0.033 37.19 341,236 312,779 0.9172010 100,000 2,555,871 2,103,456 5,006,827 267,457 251 0.032 0.032 0.032 0.032 57.74 327,597 108,673 0.3322011 100,000 2,202,865 2,134,869 5,614,529 264,227 270 0.031 0.031 0.031 0.031 32.37 329,618 190,282 0.5772012 100,000 2,272,279 2,091,282 4,357,289 266,912 260 0.020 0.020 0.020 0.020 90.11 200,912 187,179 0.9322013 100,000 2,307,999 2,301,204 4,046,851 302,313 263 0.027 0.027 0.027 0.027 57.46 258,939 388,054 1.4992014 100,000 2,307,210 2,366,725 4,081,934 356,900 270 0.020 0.020 0.020 0.020 76.99 206,553 157,376 0.7622015 100,000 2,331,260 2,178,655 3,845,508 318,354 272 0.016 0.016 0.016 0.016 50.56 151,361 80,144 0.529

Total 3,004,937 2,348,197 0.781

Latest 3 Years 616,853 625,574 1.014



DRAFT



Member: Clallam TransitRating Year: 2017




Fixed Route Mileage 1,055,000 0.1076 1.003 1.000 113,859Paratransit Mileage 460,000 0.1076 1.003 1.000 49,644






(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 1,120,000 500,000 500,000 115,000 65 0.039 0.039 0.039 0.039 78.76 91,662 20,042 0.2192007 50,000 1,023,638 604,374 403,906 137,021 65 0.034 0.034 0.034 0.034 41.79 76,787 38,370 0.5002008 50,000 1,113,796 477,119 412,459 154,591 67 0.032 0.032 0.032 0.032 72.36 74,726 149,502 2.0012009 50,000 1,163,050 483,475 468,275 134,896 65 0.028 0.028 0.028 0.028 26.77 63,842 9,323 0.1462010 50,000 1,128,356 488,176 479,091 121,841 65 0.026 0.026 0.026 0.026 43.93 59,804 28,265 0.4732011 50,000 1,000,000 490,000 490,000 120,000 85 0.024 0.024 0.024 0.024 21.91 51,796 27,589 0.5332012 50,000 1,032,735 462,605 531,446 95,460 82 0.017 0.017 0.017 0.017 54.81 40,206 67,956 1.6902013 50,000 1,034,577 458,192 589,987 101,491 87 0.024 0.024 0.024 0.024 34.84 54,781 7,999 0.1462014 50,000 1,042,447 473,276 642,259 93,499 89 0.018 0.018 0.018 0.018 46.53 43,890 2,277 0.0522015 50,000 1,051,904 474,093 657,734 98,472 94 0.014 0.014 0.014 0.014 44.12 35,625 75,761 2.127

Total 593,119 427,084 0.720

Latest 3 Years 134,296 86,037 0.641



DRAFT



Member: Columbia CountyRating Year: 2017




Fixed Route Mileage 0 0.1076 1.039 1.000 0Paratransit Mileage 225,000 0.1076 1.039 1.000 25,154

Vanpool Mileage 104,000 0.1076 1.039 1.000 11,627Admin Mileage 4,000 0.1076 1.039 1.000 447

Number of Employees 14 267.22 1.039 1.000 3,887Vehicle Insured Values (in hundreds) 3,349 0.3377 1.000 0.848 959

Property Insured Values (in hundreds) 1,286 0.1699 1.000 0.967 211Other Rating Cost Components 2,549 ** per Exhibit 8-5Prior Premium Audit Adjustment (5,734) ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 0 129,139 108,500 1,500 9 0.029 0.029 0.029 0.029 50.02 7,492 0 0.0002007 25,000 0 161,600 111,800 3,600 10 0.026 0.026 0.026 0.026 23.99 7,378 50,079 6.7872008 25,000 0 165,200 154,200 5,500 12 0.025 0.025 0.025 0.025 47.51 8,555 25,276 2.9542009 25,000 0 202,000 168,000 6,000 13 0.023 0.023 0.023 0.023 21.18 8,940 0 0.0002010 25,000 0 235,529 175,801 6,000 13 0.020 0.020 0.020 0.020 27.07 8,750 3,431 0.3922011 25,000 0 245,000 180,000 6,000 15 0.018 0.018 0.018 0.018 16.68 7,911 0 0.0002012 25,000 0 250,500 157,100 2,500 11 0.014 0.014 0.014 0.014 32.69 6,016 27,274 4.533

2013 25,000 0 252,000 133,000 2,500 11 0.019 0.019 0.019 0.019 23.52 7,755 128 0.0162014 25,000 0 235,500 129,000 3,224 14 0.015 0.015 0.015 0.015 24.20 5,932 0 0.0002015 25,000 0 213,001 113,054 1,500 14 0.012 0.012 0.012 0.012 36.46 4,563 0 0.000

Total 73,291 106,187 1.449

Latest 3 Years 18,249 128 0.007



DRAFT



Member: Community TransitRating Year: 2017




Fixed Route Mileage 9,621,531 0.1076 0.965 1.000 999,042Paratransit Mileage 0 0.1076 0.965 1.000 0






(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 250,000 9,247,472 1,974,242 3,992,029 1,074,872 622 0.056 0.056 0.056 0.056 145.10 996,710 1,176,661 1.1812007 250,000 8,890,955 2,114,388 4,322,044 873,898 649 0.049 0.049 0.049 0.049 56.91 827,473 314,305 0.3802008 250,000 9,440,089 2,189,257 5,025,926 1,323,113 692 0.052 0.052 0.052 0.052 99.53 1,011,258 291,068 0.2882009 250,000 9,886,103 2,262,613 4,832,386 1,369,286 707 0.040 0.040 0.040 0.040 43.99 755,954 780,380 1.0322010 250,000 9,564,982 2,214,206 4,693,338 1,284,539 649 0.037 0.037 0.037 0.037 90.54 714,877 156,538 0.2192011 250,000 9,059,000 2,288,000 5,028,000 1,294,000 654 0.043 0.043 0.043 0.043 63.75 798,012 691,973 0.8672012 250,000 7,300,572 0 4,915,857 865,543 539 0.024 0.024 0.024 0.024 126.29 382,736 450,800 1.178

2013 100,000 7,152,972 0 4,888,490 886,776 547 0.027 0.027 0.027 0.027 57.46 383,308 285,414 0.7452014 100,000 7,350,357 0 4,760,518 892,333 557 0.020 0.020 0.020 0.020 76.99 307,956 199,525 0.6482015 100,000 8,076,227 0 4,711,918 846,111 615 0.016 0.016 0.016 0.016 50.56 247,400 128,412 0.519

Total 6,425,686 4,475,076 0.696

Latest 3 Years 938,665 613,350 0.653



DRAFT



Member: C-TranRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 100,000 4,100,702 1,433,392 0 236,154 390 0.047 0.047 0.047 0.047 111.21 315,369 79,007 0.2512007 100,000 4,431,675 1,504,690 0 245,542 390 0.041 0.041 0.041 0.041 56.91 275,756 298,502 1.0822008 100,000 5,053,613 1,579,804 0 306,653 390 0.041 0.041 0.041 0.041 91.96 322,839 250,608 0.7762009 100,000 4,970,828 1,431,783 65,864 316,884 390 0.033 0.033 0.033 0.033 37.19 235,056 217,591 0.9262010 100,000 4,618,039 1,436,388 78,431 310,766 382 0.032 0.032 0.032 0.032 57.74 225,157 136,862 0.6082011 100,000 4,926,692 1,364,116 89,300 344,700 388 0.031 0.031 0.031 0.031 32.37 223,771 514,651 2.3002012 100,000 4,645,968 1,454,013 303,654 268,385 391 0.020 0.020 0.020 0.020 90.11 166,987 190,837 1.143

2013 100,000 4,637,508 1,541,863 412,699 249,914 397 0.027 0.027 0.027 0.027 57.46 209,035 141,422 0.6772014 100,000 4,671,165 1,566,576 452,591 247,285 402 0.020 0.020 0.020 0.020 76.99 172,374 208,821 1.2112015 100,000 5,001,661 1,676,335 398,958 256,604 417 0.016 0.016 0.016 0.016 50.56 137,429 124,691 0.907

Total 2,283,775 2,162,994 0.947

Latest 3 Years 518,839 474,935 0.915



DRAFT



Member: Everett TransitRating Year: 2017






Number of Employees 154 267.22 1.123 1.000 46,214Vehicle Insured Values (in hundreds) 0 0.3377 1.000 0.848 0

Property Insured Values (in hundreds) 0 0.1699 1.000 0.967 0Other Rating Cost Components 15,591 ** per Exhibit 8-5Prior Premium Audit Adjustment 12,938 ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 1,408,751 501,890 0 75,962 124 0.039 0.039 0.039 0.039 78.76 86,690 420,686 4.8532007 50,000 1,473,430 556,473 47,640 83,536 131 0.034 0.034 0.034 0.034 41.79 79,277 86,621 1.0932008 50,000 1,534,522 576,250 0 77,992 136 0.032 0.032 0.032 0.032 72.36 80,716 174,398 2.1612009 50,000 1,617,068 560,943 46,274 95,107 144 0.028 0.028 0.028 0.028 26.77 67,881 153,377 2.2602010 50,000 1,821,978 575,232 33,617 81,795 144 0.026 0.026 0.026 0.026 43.93 70,854 139,730 1.9722011 50,000 1,666,847 583,012 53,341 80,200 145 0.024 0.024 0.024 0.024 21.91 59,850 87,007 1.4542012 50,000 1,552,363 599,662 49,081 70,383 145 0.017 0.017 0.017 0.017 54.81 46,171 38,402 0.832

2013 50,000 1,346,499 548,389 0 84,889 142 0.024 0.024 0.024 0.024 34.84 51,853 38,954 0.7512014 50,000 1,347,725 619,331 0 77,141 144 0.018 0.018 0.018 0.018 46.53 42,789 45,371 1.0602015 50,000 1,371,812 630,494 44,015 74,566 156 0.014 0.014 0.014 0.014 44.12 36,135 10,291 0.285

Total 622,216 1,194,838 1.920

Latest 3 Years 130,778 94,616 0.723



DRAFT



Member: Grant TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 1,001,770 238,315 11,450 750 2 0.029 0.029 0.029 0.029 50.02 36,974 53,750 1.4542007 50,000 1,056,247 0 54,429 4,925 2 0.034 0.034 0.034 0.034 41.79 38,182 4,945 0.1302008 50,000 1,095,910 278,778 118,545 14,986 3 0.032 0.032 0.032 0.032 72.36 49,055 13,754 0.2802009 50,000 1,099,258 211,047 152,120 16,248 3 0.028 0.028 0.028 0.028 26.77 40,899 1,928 0.0472010 50,000 894,560 142,152 227,015 19,132 3 0.026 0.026 0.026 0.026 43.93 33,078 17,316 0.5232011 50,000 996,000 215,000 220,157 20,000 4 0.024 0.024 0.024 0.024 21.91 34,594 69,146 1.9992012 50,000 956,036 131,249 250,982 19,433 6 0.017 0.017 0.017 0.017 54.81 23,175 17,522 0.756

2013 50,000 912,322 172,536 273,965 18,376 35 0.024 0.024 0.024 0.024 34.84 33,849 1,490 0.0442014 50,000 862,145 111,936 268,045 19,974 37 0.018 0.018 0.018 0.018 46.53 24,003 8,721 0.3632015 50,000 906,420 113,322 277,496 11,293 34 0.014 0.014 0.014 0.014 44.12 19,548 50,000 2.558

Total 333,357 238,571 0.716

Latest 3 Years 77,400 60,211 0.778



DRAFT



Member: Grays Harbor TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 1,238,742 507,511 21,783 57,367 86 0.039 0.039 0.039 0.039 78.76 77,455 15,459 0.2002007 50,000 1,243,838 553,020 60,246 61,058 92 0.034 0.034 0.034 0.034 41.79 69,351 103,342 1.4902008 50,000 1,228,429 590,815 124,956 66,055 91 0.032 0.032 0.032 0.032 72.36 71,679 23,479 0.3282009 50,000 1,203,470 545,131 226,847 50,980 82 0.028 0.028 0.028 0.028 26.77 58,134 11,573 0.1992010 50,000 1,047,722 455,700 281,783 46,275 79 0.026 0.026 0.026 0.026 43.93 50,506 87,869 1.7402011 50,000 1,100,000 500,000 300,000 50,000 79 0.024 0.024 0.024 0.024 21.91 48,098 5,002 0.1042012 50,000 1,045,575 427,368 399,945 51,062 81 0.017 0.017 0.017 0.017 54.81 36,815 30,851 0.838

2013 50,000 987,027 426,454 355,232 45,873 67 0.024 0.024 0.024 0.024 34.84 45,327 615 0.0142014 50,000 876,851 364,932 407,591 54,996 67 0.018 0.018 0.018 0.018 46.53 33,207 57,463 1.7302015 50,000 949,078 345,906 399,878 53,832 79 0.014 0.014 0.014 0.014 44.12 27,605 71,400 2.587

Total 518,177 407,053 0.786

Latest 3 Years 106,138 129,478 1.220



DRAFT



Member: Intercity TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 2,548,972 778,093 2,283,943 135,704 260 0.039 0.039 0.039 0.039 78.76 242,998 132,912 0.5472007 100,000 2,481,443 789,485 2,633,225 0 265 0.041 0.041 0.041 0.041 56.91 257,250 183,208 0.7122008 100,000 2,838,031 895,558 3,123,220 148,084 289 0.041 0.041 0.041 0.041 91.96 316,232 445,419 1.4092009 100,000 2,885,329 927,095 3,403,526 143,774 285 0.033 0.033 0.033 0.033 37.19 249,821 212,125 0.8492010 100,000 2,760,246 921,565 2,972,366 147,447 294 0.032 0.032 0.032 0.032 57.74 231,360 354,386 1.5322011 100,000 2,885,000 925,000 3,060,000 144,000 295 0.031 0.031 0.031 0.031 32.37 229,844 141,917 0.6172012 100,000 2,880,612 919,256 3,481,730 148,979 307 0.020 0.020 0.020 0.020 90.11 174,397 196,636 1.128

2013 100,000 2,934,299 926,226 3,566,866 217,865 309 0.027 0.027 0.027 0.027 57.46 225,842 181,718 0.8052014 100,000 3,067,736 985,036 3,629,991 148,043 308 0.020 0.020 0.020 0.020 76.99 183,345 93,341 0.5092015 100,000 3,177,485 1,043,655 3,617,992 153,985 318 0.016 0.016 0.016 0.016 50.56 142,888 126,497 0.885

Total 2,253,978 2,068,159 0.918

Latest 3 Years 552,075 401,556 0.727



DRAFT



Member: Island TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 1,044,637 900,608 1,088,100 110,000 99 0.039 0.039 0.039 0.039 78.76 129,512 60,337 0.4662007 50,000 1,136,598 1,014,891 919,958 100,000 113 0.034 0.034 0.034 0.034 41.79 113,030 43,633 0.3862008 50,000 1,090,817 873,471 1,025,683 110,000 117 0.032 0.032 0.032 0.032 72.36 108,847 45,536 0.4182009 50,000 1,923,084 315,138 1,348,096 245,935 124 0.028 0.028 0.028 0.028 26.77 109,107 24,070 0.2212010 50,000 1,909,318 354,085 1,190,995 207,517 131 0.026 0.026 0.026 0.026 43.93 99,799 91,616 0.9182011 50,000 1,913,638 342,603 1,243,058 143,419 132 0.024 0.024 0.024 0.024 21.91 89,509 132,222 1.4772012 50,000 1,899,641 459,279 1,231,210 287,986 135 0.017 0.017 0.017 0.017 54.81 72,658 15,277 0.210

2013 50,000 1,899,641 459,279 1,231,210 266,509 135 0.024 0.024 0.024 0.024 34.84 96,077 36,157 0.3762014 50,000 1,246,164 840,534 1,205,972 176,835 108 0.018 0.018 0.018 0.018 46.53 66,277 102,096 1.5402015 50,000 1,248,808 413,084 1,116,335 179,182 114 0.014 0.014 0.014 0.014 44.12 45,821 24,501 0.535

Total 930,637 575,444 0.618

Latest 3 Years 208,175 162,753 0.782



DRAFT



Member: Jefferson TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 686,933 139,748 84,126 36,432 50 0.029 0.029 0.029 0.029 50.02 30,393 1,846 0.0612007 25,000 662,538 129,226 81,430 23,036 51 0.026 0.026 0.026 0.026 23.99 24,320 4,750 0.1952008 25,000 677,609 98,998 78,640 21,183 44 0.025 0.025 0.025 0.025 47.51 23,630 50,000 2.1162009 25,000 710,123 110,392 90,233 22,506 43 0.023 0.023 0.023 0.023 21.18 22,416 10,925 0.4872010 25,000 486,031 110,127 129,642 17,354 44 0.020 0.020 0.020 0.020 27.07 16,145 1,014 0.0632011 25,000 615,000 100,000 130,000 25,000 44 0.018 0.018 0.018 0.018 16.68 16,197 13,714 0.8472012 25,000 593,897 102,375 102,237 34,035 45 0.014 0.014 0.014 0.014 32.69 12,955 5,546 0.428

2013 25,000 587,389 85,900 107,298 27,644 45 0.019 0.019 0.019 0.019 23.52 16,694 0 0.0002014 25,000 580,393 74,441 89,368 34,572 46 0.015 0.015 0.015 0.015 24.20 12,958 32,071 2.4752015 25,000 598,976 65,532 76,530 28,715 47 0.012 0.012 0.012 0.012 36.46 11,236 2,859 0.254

Total 186,945 122,723 0.656

Latest 3 Years 40,888 34,930 0.854



DRAFT



Member: Kitsap TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 100,000 3,011,257 2,305,353 1,397,989 359,313 410 0.047 0.047 0.047 0.047 111.21 379,045 437,635 1.1552007 100,000 3,018,888 2,279,943 1,345,160 413,999 407 0.041 0.041 0.041 0.041 56.91 312,658 160,327 0.5132008 100,000 2,901,725 2,098,580 1,371,729 400,009 393 0.041 0.041 0.041 0.041 91.96 316,167 122,796 0.3882009 100,000 2,709,366 1,699,407 1,159,888 376,575 355 0.033 0.033 0.033 0.033 37.19 206,447 165,408 0.8012010 100,000 2,455,290 1,586,661 1,196,800 354,549 344 0.032 0.032 0.032 0.032 57.74 196,161 58,163 0.2972011 100,000 2,465,000 1,589,000 1,235,000 353,000 343 0.031 0.031 0.031 0.031 32.37 188,306 217,356 1.1542012 100,000 2,399,744 1,356,258 1,102,159 309,638 347 0.020 0.020 0.020 0.020 90.11 133,318 106,158 0.796

2013 100,000 2,431,056 1,356,575 961,185 365,914 347 0.027 0.027 0.027 0.027 57.46 159,150 224,768 1.4122014 100,000 2,458,218 1,406,263 1,058,252 382,671 354 0.020 0.020 0.020 0.020 76.99 135,406 161,055 1.1892015 100,000 2,522,563 1,425,366 960,552 349,427 368 0.016 0.016 0.016 0.016 50.56 102,022 189,976 1.862

Total 2,128,680 1,843,642 0.866

Latest 3 Years 396,578 575,799 1.452



DRAFT



Member: Link TransitRating Year: 2017





Vanpool Mileage 0 0.1076 1.252 1.000 0Admin Mileage 90,000 0.1076 1.252 1.000 12,124





(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 1,539,785 291,416 26,861 98,253 112 0.039 0.039 0.039 0.039 78.76 84,572 66,560 0.7872007 50,000 1,613,458 422,839 77,670 91,854 127 0.034 0.034 0.034 0.034 41.79 80,638 68,927 0.8552008 50,000 1,772,992 431,190 63,940 69,592 135 0.032 0.032 0.032 0.032 72.36 85,467 33,788 0.3952009 50,000 1,894,097 379,232 18,473 69,038 130 0.028 0.028 0.028 0.028 26.77 68,650 7,506 0.1092010 50,000 1,949,136 292,073 0 0 124 0.026 0.026 0.026 0.026 43.93 63,005 88,757 1.4092011 50,000 1,900,000 275,000 0 75,000 128 0.024 0.024 0.024 0.024 21.91 56,305 153,859 2.7332012 50,000 1,633,947 365,359 0 74,223 119 0.017 0.017 0.017 0.017 54.81 41,415 92,745 2.239

2013 50,000 1,666,097 249,215 0 84,791 119 0.024 0.024 0.024 0.024 34.84 51,533 201,860 3.9172014 50,000 1,633,387 270,487 0 76,369 113 0.018 0.018 0.018 0.018 46.53 40,218 46,378 1.1532015 50,000 1,748,233 266,897 0 85,171 113 0.014 0.014 0.014 0.014 44.12 33,954 111,523 3.284

Total 605,758 871,902 1.439

Latest 3 Years 125,706 359,760 2.862



DRAFT



Member: Mason County TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 497,532 319,937 167,767 22,882 79 0.029 0.029 0.029 0.029 50.02 33,636 37,156 1.1052007 50,000 497,410 315,068 157,350 23,634 84 0.034 0.034 0.034 0.034 41.79 37,438 96,773 2.5852008 25,000 572,109 367,021 277,580 31,457 84 0.025 0.025 0.025 0.025 47.51 34,667 51,130 1.4752009 50,000 532,119 363,072 288,653 25,343 80 0.028 0.028 0.028 0.028 26.77 35,521 98,127 2.7632010 50,000 584,236 327,504 289,317 21,842 79 0.026 0.026 0.026 0.026 43.93 34,877 54,254 1.5562011 50,000 590,000 340,000 320,000 32,000 80 0.024 0.024 0.024 0.024 21.91 32,236 60,009 1.8622012 50,000 604,013 321,953 292,889 0 78 0.017 0.017 0.017 0.017 54.81 24,785 82,810 3.341

2013 50,000 639,890 315,347 280,854 20,803 81 0.024 0.024 0.024 0.024 34.84 32,601 17,173 0.5272014 50,000 656,129 349,605 293,437 0 80 0.018 0.018 0.018 0.018 46.53 26,658 2,826 0.1062015 50,000 711,884 364,373 217,701 36,844 85 0.014 0.014 0.014 0.014 44.12 22,106 80,134 3.625

Total 314,524 580,390 1.845

Latest 3 Years 81,365 100,132 1.231



DRAFT



Member: Pacific TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 326,729 116,302 0 8,803 24 0.029 0.029 0.029 0.029 50.02 14,505 250 0.0172007 25,000 318,520 104,612 0 17,500 24 0.026 0.026 0.026 0.026 23.99 11,931 0 0.0002008 25,000 327,171 103,645 0 21,380 24 0.025 0.025 0.025 0.025 47.51 12,254 550 0.0452009 25,000 340,122 101,604 0 19,503 24 0.023 0.023 0.023 0.023 21.18 11,137 0 0.0002010 25,000 340,122 101,604 0 19,634 25 0.020 0.020 0.020 0.020 27.07 9,961 300 0.0302011 25,000 335,000 110,000 0 19,500 25 0.018 0.018 0.018 0.018 16.68 8,673 4,117 0.4752012 25,000 331,651 96,198 0 19,000 25 0.014 0.014 0.014 0.014 32.69 6,981 445 0.064

2013 25,000 332,451 100,071 0 18,041 25 0.019 0.019 0.019 0.019 23.52 9,304 28,446 3.0572014 25,000 336,598 98,126 0 0 23 0.015 0.015 0.015 0.015 24.20 7,169 626 0.0872015 25,000 332,735 92,695 0 28,303 22 0.012 0.012 0.012 0.012 36.46 6,415 6,824 1.064

Total 98,329 41,559 0.423

Latest 3 Years 22,888 35,896 1.568



DRAFT



Member: Pierce TransitRating Year: 2017




Fixed Route Mileage 13,761,853 0.1076 0.810 1.000 1,199,428Paratransit Mileage 725,285 0.1076 0.810 1.000 63,213

Vanpool Mileage 4,668,920 0.1076 0.810 1.000 406,924Admin Mileage 1,288,794 0.1076 0.810 1.000 112,326


Property Insured Values (in hundreds) 1,092,696 0.1699 1.000 0.919 170,611Other Rating Cost Components 104,117 ** per Exhibit 8-5Prior Premium Audit Adjustment 21,991 ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 250,000 13,051,097 887,238 4,188,442 1,273,540 926 0.056 0.056 0.056 0.056 145.10 1,213,986 463,058 0.3812007 250,000 13,186,668 846,479 4,132,257 1,287,607 929 0.049 0.049 0.049 0.049 56.91 1,002,076 899,758 0.8982008 250,000 13,809,808 843,933 4,022,997 1,324,945 1,056 0.052 0.052 0.052 0.052 99.53 1,153,545 633,672 0.5492009 250,000 13,121,416 867,455 4,476,894 1,164,397 980 0.040 0.040 0.040 0.040 43.99 818,516 522,700 0.6392010 250,000 13,423,319 853,583 4,542,567 1,277,194 885 0.037 0.037 0.037 0.037 90.54 822,692 762,760 0.9272011 250,000 13,640,271 865,203 4,308,000 1,552,960 1,022 0.043 0.043 0.043 0.043 63.75 936,935 429,340 0.4582012 250,000 12,034,407 665,644 4,718,159 1,148,715 866 0.024 0.024 0.024 0.024 126.29 555,965 320,423 0.576

2013 250,000 12,450,653 704,709 4,869,229 1,149,665 728 0.029 0.029 0.029 0.029 83.33 616,299 477,861 0.7752014 250,000 13,333,664 706,476 4,708,917 1,256,790 768 0.024 0.024 0.024 0.024 89.57 544,634 427,088 0.7842015 250,000 13,071,049 688,348 4,580,152 1,241,870 786 0.019 0.019 0.019 0.019 50.56 415,841 182,352 0.439

Total 8,080,488 5,119,011 0.634

Latest 3 Years 1,576,774 1,087,302 0.690



DRAFT



Member: Pullman TransitRating Year: 2017






Number of Employees 45 267.22 1.137 1.000 13,672Vehicle Insured Values (in hundreds) 0 0.3377 1.000 0.848 0

Property Insured Values (in hundreds) 0 0.1699 1.000 0.967 0Other Rating Cost Components 6,227 ** per Exhibit 8-5Prior Premium Audit Adjustment (650) ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 294,503 59,873 0 0 36 0.029 0.029 0.029 0.029 50.02 12,235 16,478 1.3472007 25,000 310,817 62,176 0 0 29 0.026 0.026 0.026 0.026 23.99 10,308 939 0.0912008 25,000 304,019 63,900 0 29,585 29 0.025 0.025 0.025 0.025 47.51 11,147 34,720 3.1152009 25,000 318,728 63,506 0 30,721 45 0.023 0.023 0.023 0.023 21.18 10,469 30,873 2.9492010 25,000 337,805 75,795 0 27,408 44 0.020 0.020 0.020 0.020 27.07 10,065 49,551 4.9232011 25,000 341,128 60,000 0 30,000 45 0.018 0.018 0.018 0.018 16.68 8,413 30,818 3.6632012 25,000 326,108 65,898 0 0 46 0.014 0.014 0.014 0.014 32.69 6,911 3,940 0.570

2013 25,000 350,893 66,883 0 26,525 46 0.019 0.019 0.019 0.019 23.52 9,677 3,122 0.3232014 25,000 344,790 75,382 0 0 43 0.015 0.015 0.015 0.015 24.20 7,431 30,065 4.0462015 25,000 352,403 72,001 0 25,955 46 0.012 0.012 0.012 0.012 36.46 7,248 4,534 0.626

Total 93,906 205,040 2.183

Latest 3 Years 24,357 37,721 1.549



DRAFT



Member: River Cities TransitRating Year: 2017







Property Insured Values (in hundreds) 5,335 0.1699 1.000 0.967 876Other Rating Cost Components 5,215 ** per Exhibit 8-5Prior Premium Audit Adjustment 8,442 ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 215,200 0 0 1,721 16 0.029 0.029 0.029 0.029 50.02 7,188 1,056 0.1472007 25,000 216,715 0 0 1,312 16 0.026 0.026 0.026 0.026 23.99 6,003 0 0.0002008 25,000 215,766 0 0 3,317 16 0.025 0.025 0.025 0.025 47.51 6,145 611 0.0992009 25,000 216,235 170,630 0 1,707 16 0.023 0.023 0.023 0.023 21.18 9,293 1,434 0.1542010 25,000 218,708 0 0 4,786 18 0.020 0.020 0.020 0.020 27.07 4,985 5,755 1.1552011 25,000 260,000 0 0 2,000 20 0.018 0.018 0.018 0.018 16.68 4,990 1,697 0.3402012 25,000 227,023 193,549 0 14,539 24 0.014 0.014 0.014 0.014 32.69 6,786 248 0.037

2013 25,000 289,224 194,702 0 20,440 30 0.019 0.019 0.019 0.019 23.52 10,463 7,265 0.6942014 25,000 369,750 211,693 0 28,660 30 0.015 0.015 0.015 0.015 24.20 10,006 7,207 0.7202015 25,000 375,306 217,143 2,000 31,470 33 0.012 0.012 0.012 0.012 36.46 8,946 8,771 0.980

Total 74,804 34,045 0.455

Latest 3 Years 29,414 23,244 0.790



DRAFT



Member: Skagit TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 619,976 299,300 493,057 99,140 80 0.039 0.039 0.039 0.039 78.76 64,827 46,584 0.7192007 50,000 715,402 325,439 626,975 106,553 88 0.034 0.034 0.034 0.034 41.79 64,273 4,685 0.0732008 50,000 705,411 341,638 742,851 104,548 91 0.032 0.032 0.032 0.032 72.36 67,929 1,758 0.0262009 50,000 792,915 403,000 817,292 98,773 114 0.028 0.028 0.028 0.028 26.77 61,352 65,515 1.0682010 50,000 858,659 438,710 749,217 101,988 101 0.026 0.026 0.026 0.026 43.93 59,616 74,912 1.2572011 50,000 878,208 476,440 755,592 110,919 106 0.024 0.024 0.024 0.024 21.91 55,138 2,840 0.0522012 50,000 1,027,819 379,884 933,137 158,481 109 0.017 0.017 0.017 0.017 54.81 48,031 6,031 0.126

2013 50,000 1,166,349 328,115 1,071,918 127,737 115 0.024 0.024 0.024 0.024 34.84 67,837 87,107 1.2842014 50,000 1,273,439 327,735 1,126,682 140,866 120 0.018 0.018 0.018 0.018 46.53 56,229 57,934 1.0302015 50,000 1,176,888 378,861 1,068,314 155,224 122 0.014 0.014 0.014 0.014 44.12 43,717 34,305 0.785

Total 588,950 381,671 0.648

Latest 3 Years 167,783 179,346 1.069



DRAFT



Member: Spokane TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 100,000 6,056,478 1,512,773 613,615 317,061 510 0.047 0.047 0.047 0.047 111.21 457,386 427,196 0.9342007 100,000 6,193,382 1,305,017 814,262 346,771 522 0.041 0.041 0.041 0.041 56.91 384,889 288,565 0.7502008 100,000 6,235,562 1,481,129 1,012,136 443,227 547 0.041 0.041 0.041 0.041 91.96 429,570 352,472 0.8212009 100,000 6,307,479 1,455,799 1,015,322 368,532 555 0.033 0.033 0.033 0.033 37.19 317,960 245,607 0.7722010 100,000 6,287,438 1,362,977 907,418 374,192 540 0.032 0.032 0.032 0.032 57.74 312,713 367,596 1.1762011 100,000 5,720,000 1,282,206 888,699 368,532 528 0.031 0.031 0.031 0.031 32.37 276,502 362,466 1.3112012 100,000 5,807,094 1,378,111 1,192,508 420,505 525 0.020 0.020 0.020 0.020 90.11 221,049 166,942 0.755

2013 100,000 5,805,943 2,856,000 1,126,943 432,096 526 0.027 0.027 0.027 0.027 57.46 308,416 523,005 1.6962014 100,000 5,911,102 1,486,461 1,174,536 431,708 527 0.020 0.020 0.020 0.020 76.99 224,117 530,400 2.3672015 100,000 5,944,531 1,483,057 1,114,100 444,040 539 0.016 0.016 0.016 0.016 50.56 169,809 231,474 1.363

Total 3,102,411 3,495,723 1.127

Latest 3 Years 702,343 1,284,879 1.829



DRAFT



Member: Twin TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 356,757 48,617 0 5,576 26 0.029 0.029 0.029 0.029 50.02 13,401 1,938 0.1452007 25,000 357,416 51,412 0 500 26 0.026 0.026 0.026 0.026 23.99 11,173 26,762 2.3952008 25,000 401,984 51,627 0 2,480 28 0.025 0.025 0.025 0.025 47.51 12,540 7,685 0.6132009 25,000 319,167 50,291 0 3,582 27 0.023 0.023 0.023 0.023 21.18 9,168 8,277 0.9032010 25,000 391,655 48,261 0 3,523 26 0.020 0.020 0.020 0.020 27.07 9,627 312 0.0322011 25,000 435,868 55,000 0 3,500 28 0.018 0.018 0.018 0.018 16.68 9,254 25,000 2.7022012 25,000 351,701 42,967 0 9,501 30 0.014 0.014 0.014 0.014 32.69 6,556 95 0.014

2013 25,000 356,237 44,627 0 11,094 27 0.019 0.019 0.019 0.019 23.52 8,604 15,144 1.7602014 25,000 366,182 62,565 0 5,499 28 0.015 0.015 0.015 0.015 24.20 7,283 13,360 1.8352015 25,000 285,542 61,658 0 15,856 28 0.012 0.012 0.012 0.012 36.46 5,512 1,041 0.189

Total 93,117 99,613 1.070

Latest 3 Years 21,399 29,545 1.381



DRAFT



Member: Valley TransitRating Year: 2017





Vanpool Mileage 70,000 0.1076 1.066 1.000 8,029Admin Mileage 5,000 0.1076 1.066 1.000 574


Property Insured Values (in hundreds) 72,230 0.1699 1.000 0.967 11,867Other Rating Cost Components 7,684 ** per Exhibit 8-5Prior Premium Audit Adjustment (984) ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 25,000 281,579 154,527 0 28,088 47 0.029 0.029 0.029 0.029 50.02 16,019 3,337 0.2082007 25,000 239,864 202,148 0 34,530 48 0.026 0.026 0.026 0.026 23.99 13,433 7,172 0.5342008 25,000 303,329 169,821 2,188 29,730 49 0.025 0.025 0.025 0.025 47.51 14,741 32,665 2.2162009 25,000 316,976 148,139 25,043 36,731 47 0.023 0.023 0.023 0.023 21.18 13,137 3,214 0.2452010 25,000 316,557 154,289 56,761 36,895 48 0.020 0.020 0.020 0.020 27.07 12,659 348 0.0272011 25,000 318,000 152,000 57,642 35,000 49 0.018 0.018 0.018 0.018 16.68 10,818 58,764 5.4322012 25,000 360,981 155,544 61,149 37,959 49 0.014 0.014 0.014 0.014 32.69 10,094 1,328 0.132

2013 25,000 351,899 162,987 66,629 39,448 50 0.019 0.019 0.019 0.019 23.52 13,189 12,671 0.9612014 25,000 362,526 164,686 74,017 27,274 54 0.015 0.015 0.015 0.015 24.20 10,866 7,493 0.6902015 25,000 310,448 189,664 63,624 50,701 55 0.012 0.012 0.012 0.012 36.46 9,606 14,497 1.509

Total 124,561 141,490 1.136

Latest 3 Years 33,661 34,661 1.030



DRAFT



Member: Whatcom TransitRating Year: 2017










(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 1,630,780 964,312 574,264 176,167 226 0.039 0.039 0.039 0.039 78.76 147,343 122,955 0.8342007 50,000 1,859,419 871,503 571,018 187,036 232 0.034 0.034 0.034 0.034 41.79 128,846 90,365 0.7012008 50,000 2,171,946 840,400 537,339 209,966 232 0.032 0.032 0.032 0.032 72.36 138,530 58,206 0.4202009 50,000 2,168,831 873,021 640,287 196,731 235 0.028 0.028 0.028 0.028 26.77 113,365 16,988 0.1502010 50,000 1,853,845 783,503 664,762 177,089 207 0.026 0.026 0.026 0.026 43.93 98,445 57,784 0.5872011 50,000 1,646,970 765,000 721,199 200,000 205 0.024 0.024 0.024 0.024 21.91 83,748 53,158 0.6352012 50,000 1,771,998 784,069 687,091 180,824 218 0.017 0.017 0.017 0.017 54.81 69,566 16,851 0.242

2013 50,000 1,777,273 834,706 693,971 198,536 220 0.024 0.024 0.024 0.024 34.84 90,695 67,843 0.7482014 50,000 1,983,230 901,076 589,493 202,829 227 0.018 0.018 0.018 0.018 46.53 75,471 58,148 0.7702015 50,000 2,031,977 944,418 518,812 198,378 229 0.014 0.014 0.014 0.014 44.12 61,048 45,052 0.738

Total 1,007,057 587,350 0.583

Latest 3 Years 227,214 171,043 0.753



DRAFT



Member: Yakima TransitRating Year: 2017







Property Insured Values (in hundreds) 0 0.1699 1.000 0.967 0Other Rating Cost Components 11,013 ** per Exhibit 8-5Prior Premium Audit Adjustment (20,860) ** per Exhibit 8-5



(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

2006 50,000 747,930 222,248 272,671 29,859 53 0.039 0.039 0.039 0.039 78.76 53,455 22,633 0.4232007 50,000 793,648 243,117 392,089 262,569 69 0.034 0.034 0.034 0.034 41.79 60,647 29,518 0.4872008 50,000 830,645 547,706 535,148 97,370 74 0.032 0.032 0.032 0.032 72.36 70,469 9,698 0.1382009 50,000 736,034 300,042 475,879 303,787 65 0.028 0.028 0.028 0.028 26.77 51,863 63,399 1.2222010 50,000 837,875 472,651 545,229 38,423 63 0.026 0.026 0.026 0.026 43.93 51,413 212,200 4.1272011 50,000 846,218 485,116 638,246 59,220 75 0.024 0.024 0.024 0.024 21.91 49,884 18,878 0.3782012 50,000 850,858 431,586 579,887 42,331 71 0.017 0.017 0.017 0.017 54.81 35,942 56,996 1.586

2013 50,000 1,065,145 466,291 462,706 45,007 55 0.024 0.024 0.024 0.024 34.84 50,229 89,942 1.7912014 50,000 727,350 461,578 383,121 77,529 55 0.018 0.018 0.018 0.018 46.53 31,681 17,839 0.5632015 50,000 729,745 418,529 343,317 38,186 59 0.014 0.014 0.014 0.014 44.12 23,703 14,710 0.621

Total 479,287 535,814 1.118

Latest 3 Years 105,613 122,491 1.160



DRAFT

RAF: 10/31/1612/11/2015

Employment Agreement Executive Director

This employment agreement between the Board of the Washington State Transit Insurance Pool (Pool) and the Executive Director Allen F. Hatten (Executive Director) is set forth as follows: Section 1. Duties and Responsibilities The duties and responsibilities of the Executive Director shall be in accordance with the goals, objectives, policies, and plans established by the Pool Board. Section 2. Hours of Work The Executive Director shall work an unscheduled workweek. The Executive Director is entitled to establish his working hours as those required to accomplish the necessary business of managing the Pool. Section 3. Termination A. Termination without Cause

The Board has the right to terminate the Executive Director from employment without cause. Termination without cause of the Executive Director shall require a majority vote of all members of the Pool Board of Directors, both present and absent. Such termination may either be effective immediately, or may take effect up to 180 days after the date of notice to the Executive Director. Regardless of the effective date of the termination, during the180-day period, the salary and benefits paid to the Executive Director shall continue.

B. Termination with Cause

The Board has the right to immediately terminate the Executive Director from employment for any, dishonest, or illegal conduct on his part. In addition, the Executive Director may be terminated for failure to perform the duties of his position.

Section 4. Salary The salary of the Executive Director for 20176 shall be $173,351 plus the percentage salary increase provided to other Pool employees for 2017. The monthly salary for 2018 shall be the salary for 2017 plus the percentage salary increase provided to other Pool employees for 2018 . Salary payments are subject to withholding and other deductions as authorized and required by law. Section 5. Employee Benefits/Leave of Absence/Travel and Related Expenses The Pool shall provide Employee Benefits, Leave of Absence, Holidays, Travel and Related Expenses as provided in the WSTIP Emplyee Handbook. General leave shall be based on the maximum allowable accrual approved by the Board pursuant to the WSTIP Employee Handbook.

12/1109/2015 2016 Employment Agreement Page 2 Executive Director The Executive Director shall be allowed an additional 10 days of personal leave for each year of this agreement. Section 6. Life / Disability Benefits – (Exception to the WSTIP Employee Handbook) The Pool shall pay the premiums for term life insurance for the Executive Director with limits of three times his annual salary. The Pool shall pay the premium for disability insurance for the Executive Director with the monthly benefit in the amount of his net monthly salary with a 60-day waiting period. Section 7. Other Terms, Conditions of Employment, and General Provisions The Executive Director shall be an employee of the Pool and not an independent Contractor. Such employment shall be on a full time basis. The Board shall fix any such terms and conditions as it may determine from time to time relating to the performance of the Executive Director, provided such terms and conditions are not inconsistent or in conflict with the provisions of this agreement. This agreement shall become effective January 1, 20176, except as otherwise noted herein, and shall continue through MarchDecember 31, 20187. Section 8. Optional Contract Extension. The parties may extend this agreement for three (3) 30 day periods, not to exceed 90 days commencing on 401/01/2018. Section 9. Hold Harmless Agreement. The Pool shall hold harmless and defend the Executive Director against all claims and suits arising from his employment: Provided this obligation to hold harmless and defend shall not extend to any alleged criminal or intended acts by the Executive Director. In witness whereof, the Board of the Pool and the Executive Director have signed and executed this Employment Agreement effective except as otherwise noted herein, on this ____ day of ____________ 20165. _________________________________ _____________________________ Allen F. Hatten President WSTIP _________________________________ _____________________________ Date Date

RAF: 10/31/16

Employment Agreement Executive Director

This employment agreement between the Board of the Washington State Transit Insurance Pool (Pool) and the Executive Director Allen F. Hatten (Executive Director) is set forth as follows: Section 1. Duties and Responsibilities The duties and responsibilities of the Executive Director shall be in accordance with the goals, objectives, policies, and plans established by the Pool Board. Section 2. Hours of Work The Executive Director shall work an unscheduled workweek. The Executive Director is entitled to establish his working hours as those required to accomplish the necessary business of managing the Pool. Section 3. Termination A. Termination without Cause

The Board has the right to terminate the Executive Director from employment without cause. Termination without cause of the Executive Director shall require a majority vote of all members of the Pool Board of Directors, both present and absent. Such termination may either be effective immediately, or may take effect up to 180 days after the date of notice to the Executive Director. Regardless of the effective date of the termination, during the180-day period, the salary and benefits paid to the Executive Director shall continue.

B. Termination with Cause

The Board has the right to immediately terminate the Executive Director from employment for any, dishonest, or illegal conduct on his part. In addition, the Executive Director may be terminated for failure to perform the duties of his position.

Section 4. Salary The salary of the Executive Director for 2017 shall be $173,351 plus the percentage salary increase provided to other Pool employees for 2017. The monthly salary for 2018 shall be the salary for 2017 plus the percentage salary increase provided to other Pool employees for 2018. Salary payments are subject to withholding and other deductions as authorized and required by law. Section 5. Employee Benefits/Leave of Absence/Travel and Related Expenses The Pool shall provide Employee Benefits, Leave of Absence, Holidays, Travel and Related Expenses as provided in the WSTIP Emplyee Handbook. General leave shall be based on the maximum allowable accrual approved by the Board pursuant to the WSTIP Employee Handbook.

12/09/2016 Employment Agreement Page 2 Executive Director

The Executive Director shall be allowed an additional 10 days of personal leave for each year of this agreement. Section 6. Life / Disability Benefits – (Exception to the WSTIP Employee Handbook) The Pool shall pay the premiums for term life insurance for the Executive Director with limits of three times his annual salary. The Pool shall pay the premium for disability insurance for the Executive Director with the monthly benefit in the amount of his net monthly salary with a 60-day waiting period. Section 7. Other Terms, Conditions of Employment, and General Provisions The Executive Director shall be an employee of the Pool and not an independent Contractor. Such employment shall be on a full time basis. The Board shall fix any such terms and conditions as it may determine from time to time relating to the performance of the Executive Director, provided such terms and conditions are not inconsistent or in conflict with the provisions of this agreement. This agreement shall become effective January 1, 2017, except as otherwise noted herein, and shall continue through March 31, 2018. Section 8. Optional Contract Extension. The parties may extend this agreement for three (3) 30 day periods, not to exceed 90 days commencing on 4/01/2018. Section 9. Hold Harmless Agreement. The Pool shall hold harmless and defend the Executive Director against all claims and suits arising from his employment: Provided this obligation to hold harmless and defend shall not extend to any alleged criminal or intended acts by the Executive Director. In witness whereof, the Board of the Pool and the Executive Director have signed and executed this Employment Agreement effective except as otherwise noted herein, on this ____ day of ____________ 2016. _________________________________ _____________________________ Allen F. Hatten President WSTIP _________________________________ _____________________________ Date Date