MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND OPEN MINUTES JANUARY 6, 2016

FORSGATE COUNTRY CLUB, JAMESBURG, NJ 11:15 AM

ROLL CALL OF 2015 BOARD OF FUND COMMISSIONERS Jon Rheinhardt, Chair Borough of Wharton – Morris JIF Present Robert Landolfi, Secretary Township of Piscataway- Central JIF Present Richard Hirsch Borough of Longport - Atlantic JIF Present Joseph Wolk Borough of Mount Ephraim- Camden JIF Present Roger Butler Cinnaminson BOFC - FRESP JIF Present Andrew Brannen Township of Ocean – Mid-Jersey JIF Present Thomas Nolan Borough of Brielle - Monmouth JIF Present William Cottman Pleasantville Housing Authority- PHA JIF Present Mauro Tucci Township of Nutley – Sub Essex JIF Present Paul Shives Township of Toms River – Ocean JIF Present Charles Cuccia Borough of Maywood –S. Bergen JIF Present James Gildea Town of Westfield – Suburban JIF Present Robert Law Woodbury City - Trico JIF Present Carol Byrne Borough of Tenafly -Bergen JIF Present Meghan Jack Township of Riverside - Burlco JIF Present Cynthia Ege Lambertville – PAIC JIF Absent Scott Carew Township of Moorestown - PMM JIF Absent Bernard Rutkowski NJUA JIF – Toms River MUA Present Joseph D’Arco Borough of Paramus - NJMSI JIF Absent APPOINTED OFFICIALS PRESENT: Executive Director/Adm Perma Risk Management Services David N. Grubb, Joseph Hrubash, Cate Kiernan Attorney Dorsey & Semrau Fred Semrau, Esquire Public Officials Claims Service Qual-Lynx & Ex Worker’s Comp Kathleen Tyler-Schohl, Chris Healy Excess Liability Claims CB Claims LLC Christopher Botta, Georganne Jussel Excess Property Claims Vanguard Claims Brian Gilliam, Adam Foster Safety Consultant JA Montgomery Risk Control Services Joanne Hall, Dave McHale Underwriting Manager Conner Strong & Buckelew Edward Scioli Managed Care QualCare Donna Setzer

Producer Arthur J. Gallagher Paul Miola, Paul Forlenza Actuary The Actuarial Advantage Dennis Henry, Eric Bause, Michael Solomon Lobbyist Pathways Paul Bent Strategic Planning LaMendola Associates Clark LaMendola Treasurer Mike Zambito ALSO PRESENT: Ezio Altamura, GJEM Otterstedt Frank Covelli, PIA Charles Casagrande, Danskin Insurance Agency Barbara Murphy, RLM Inc. Jim Dart, Genesis Anthony Kuczinski, Munich Re Michael Wiederhold, Munich Re John Vasturia, Munich Re Gudrun Bottitta, Munich Re Chris Amendo, Munich Re Michael Avalone, Conner Strong & Buckelew Heather Steinmiller, Conner Strong & Buckelew Cindy Lisa, Danskin Insurance Agency Chuck Hartsoe, PEGAS Jay McManus, NAIMC Robyn Walcoff, PERMA Risk Management Services Pauline Kontomanolis, PERMA Risk Management Services Stephen Sacco, PERMA Risk Management Services Bradford Stokes, PERMA Risk Management Services Nancy Ghani, PERMA Risk Management Services Jason Thorpe, PERMA Risk Management Services Joeen Ciannella, PERMA Risk Management Services

MOTION TO APPROVE NOVEMBER 18, 2015 MINUTES: Moved: Commissioner Butler Second: Commissioner Wolk

Vote: Unanimous CORRESPONDENCE: Included in the agenda was a copy of correspondence from the Department of Banking and Insurance regarding the fund’s compliance with respect to its website and required documentation. Executive Director said fund office replied to the DOBI; the fund’s response was also included in the agenda. Executive Director said fund was in compliance and the fund office’s response directed where the documentation could be found online. SPECIAL PRESENTATIONS: Executive Director said there were a few presentations to make before the meeting adjourns into sine dine.

Commissioner Roger Butler: Executive Director said Commissioner Butler has served diligently since March 2009 as a MEL Fund Commissioner representing the First Responders JIF. Executive Director said Commissioner Butler volunteered and was a constructive addition to both the Safety & Education and Coverage Committees. Executive Director thanked Commissioner Butler for his service and presented him with an engraved clock. Cathleen Kiernan – MEL Account Executive: Executive Director said when he and Jim Kickham acquired PERMA 25 years ago they recognized the appropriate format of a basic reorganization. In addition, they appointed Account Managers and/or Account Executives to each of the joint insurance funds at the time. Executive Director said the important initial appointment was the MEL Account Executive and said Cate Kiernan has been serving that position for the past 25 years. Executive Director said Ms. Kiernan, also known as the “MEL Goddess”, has done an incredible job keeping all the account details correct. Executive Director said Ms. Kiernan’s due diligence is responsible for numerous examinations and audits that are completed without noted recommendations or comments. Executive Director said Ms. Kiernan’s leadership continues to grow and it is an honor and a privilege to work with her. Ms. Kiernan was presented with a bouquet of flowers and said it has been a pleasure to work for what was known as Joseph L. Vozza Administration Services, PERMA, the MEL and it continues to be a pleasure and a great opportunity. Super Storm Sandy: Executive Director said as of yesterday the last of the Super Storm Sandy claims was resolved. Executive Director said the 110 flood claims were settled a few months ago, but the last remaining wind storm claim – not part of the $50 million flood aggregate – was settled yesterday. Executive Director said the Commissioners that served on the Super Storm Sandy Committee are the reason the MEL was able to resolve Sandy claims so quickly. Executive Director said other states are still resolving claims from this storm, the MEL’s settlement within three years is a land-speed record and requested committee members stand up to be acknowledged. Commissioner Landolfi said acknowledgment and credit is also due to the fund professionals, like the Executive Director, the Fund Attorney, Heather Steinmiller and PERMA staff for their efforts in helping settle Sandy related claims. Munich Re & MEL: Executive Director said 25 years ago Jim Kickham, at the time serving as the MEL’s excess broker, had a novel idea to negotiate directly with major re-insurers and enter into a re-insurance treaty. Executive Director said it is relatively rare for pools to do that now and was basically unheard of back then. Executive Director, at the time a Deputy Insurance Commissioner, said Mr. Kickham inquired if a direct relationship was permissible under the statutes. Executive Director said it was not only legal based on statutes, but a preferable avenue based on the following reasons: 1) re-insurers are far stronger than regular insurers given the serious financial issues of the insurance industry at the time and 2) the nature of a relationship between re-insurer & re-insurance provided more stability and collaboration. Executive Director said similar arrangement was set up with Genesis, also a re-insurer with the MEL, the following year and would be celebrating 25 years in 2017. Executive Director said with Munich Re there was never a coverage or claim dispute and the collaborative working relationship is certainly one of the reasons for the tremendous success and financial strength of the MEL. Mr. Kuczinski thanked the Executive Director and said the successful relationship is due to a team of professionals at Munich Re and acknowledged the following:

John Vasturia, Senior VP Munich Re America and President Specialty Markets

Brian Viscusi, Head of Client Underwriting Alternative Market Gudrun Bottitta, Alternative Market Underwriting Manager Chris Amendo, Alternative Market Underwriter Mike Wiederhold, Loss Control Mr. Kuczinski said Munich Re has a deep presence in the public entity business with approximately 90 pools around the country and said the MEL runs a 1st class operation. Mr. Kuczinski said there is no insurance company or re-ins that doesn’t talk about innovation which is exactly what the MEL has been and continues to do. Executive Director presented Anthony Kuczinski, President and Chief Executive Officer Munich Re America, with a plaque featuring a bronze eagle - the trademark symbol of American Re - as a token of appreciation commemorating the 25 year relationship. In turn, Mr. Kuczinski said Munich Re appreciates the long standing relationship with the MEL and presented the Executive Director with a crystal obelisk, as well as, a framed copy of the first agreement between the two organizations. David Grubb – MEL Executive Director: Chairman Rheinhardt said there was one more presentation, which was kept as a surprise. Chairman Rheinhardt read the following resolution into the record:

RESOLUTION 1-16 MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND

HONORING DAVID N. GRUBB

WHEREAS David N. Grubb has provided extraordinary leadership as the MEL Executive Director for 25 years; and

WHEREAS his intelligence, courage and genuine concern for others has resulted in exceptional benefits improving the lives of the citizens of New Jersey; and

WHEREAS he was instrumental in the formation of the first municipal joint insurance fund in NJ – the model for others to follow; and

WHEREAS he developed the Monthly Fast Track System to monitor claims and financials, which served as the foundation for responsive safety programs; and

WHEREAS he was instrumental in organizing the NJ Municipal Environmental Risk Management Fund providing pollution liability coverage to members and the Residual Claims Fund allowing local joint insurance funds to close older years and return dividends to members; and

WHEREAS he created the Community Safety Leadership Program, providing safety and loss control information to New Jersey elected officials on a variety of topics in over 15 publications; and

WHEREAS he planned and supported the organization of the MEL Safety Institute training more than 60,000 public employees in over 300,000 learning events; and

WHEREAS he sponsored the development of model personnel policies and procedures to provide municipalities with guidelines to ensure fair and humane workplaces; and

WHEREAS his lifelong commitment to safety and his genuine concern for others has resulted in the development of a statewide network of relationships and joint efforts with public

safety officials, elected officials and municipal leaders, including the NJ League of Municipalities, the NJ State Association of Chiefs of Police, Rutgers University, Munich Reinsurance and General Reinsurance; and

WHEREAS these relationships have resulted in the development of a broad range of programs and trainings that saved lives, improving the quality of life throughout New Jersey and realizing more than $1.8 billion in savings to taxpayers; and

WHEREAS his insight was responsible for the organization of the Super Storm Sandy Committee and its success in responding to this historic storm; and The MEL honors and commends David Grubb for 25 years of exceptional leadership and looks forward to his continued engagement in MEL efforts to address the need of its members for safety at work, at home and in their communities. This resolution was moved, seconded and unanimously approved this 6th Day of January, 2016.

Executive Director thanked the Chairman, the Board of Fund Commissioners and those present for the kind words. Executive Director said it’s a tremendous ride made successful by the team effort of commissioners and professionals.

MOTION TO ADJOURN SINE DINE MEETING:

Moved: Commissioner Shives Second: Commissioner Cottman

Roll Call Vote: Unanimous

ROLL CALL OF 2016 BOARD OF FUND COMMISSIONERS Jon Rheinhardt Borough of Wharton – Morris JIF Present Robert Landolfi Township of Piscataway- Central JIF Present Richard Hirsch Borough of Longport - Atlantic JIF Present Joseph Wolk Borough of Mount Ephraim- Camden JIF Present Andrew Brannen Township of Ocean – Mid-Jersey JIF Present Thomas Nolan Borough of Brielle - Monmouth JIF Present William Cottman Pleasantville Housing Authority- PHA JIF Present Mauro Tucci Township of Nutley – Sub Essex JIF Present Paul Shives Township of Toms River – Ocean JIF Present Charles Cuccia Borough of Maywood –S. Bergen JIF Present James Gildea Town of Westfield – Suburban JIF Present Robert Law Woodbury City - Trico JIF Present Carol Byrne Borough of Tenafly -Bergen JIF Present Meghan Jack Township of Riverside - Burlco JIF Present Cynthia Ege Lambertville – PAIC JIF Absent Scott Carew Township of Moorestown - PMM JIF Absent Bernard Rutkowski NJUA JIF – Toms River MUA Present Joseph D’Arco Borough of Paramus - NJMSI JIF Absent James Carbin Monroe Twp BOFC District #2- FRESP JIF Absent

ELECTION OF CHAIRMAN, SECRETARY, FIVE MEMBER EXECUTIVE COMMITTEE AND EXECUTIVE ALTERNATES. Executive Director said the MEL JIF conducts meeting as a Board of Fund Commissioners rather than Executive Committee when quorum of Board is achieved.

NOMINATIONS OPENED FOR CHAIRMAN, SECRETARY, FIVE MEMBER EXECUTIVE COMMITTEE AND SEVEN ALTERNATES. Nominating Committee Chair Commissioner Cuccia presented its slate in the following motion:

JON RHEINHARDT AS CHAIR, ROBERT LANDOLFI AS SECRETARY, COMMISSIONERS RICHARD HIRSCH, CAROL BYRNE, JOSEPH WOLK, CHUCK CUCCIA, JAMES GILDEA AS FIVE MEMBER EXECUTIVE COMMITTEE AND; COMMISSIONERS ROBERT LAW, TOM NOLAN, WILLIAM COTTMAN, JOSEPH D’ARCO, PAUL SHIVES, SCOTT CAREW, MAURO TUCCI AS SEVEN ALTERNATES AND; COMMISSIONERS MEGHAN JACK, CYNTHIA EGE, ANDREW BRANNEN, JAMES CARBIN AND BERARD RUTKOWSKI AS REMAINING ALTERNATES FOR FUND YEAR 2016:

Moved: Commissioner Cuccia Second: Commissioner Cottman Vote: Unanimous Hearing no other nominations

MOTION TO CLOSE NOMINATIONS AND CONFIRM ELECTIONS: Moved: Commissioner Tucci Second: Commissioner Gildea Vote: 15 Ayes – 0 Nays FUND ATTORNEY ADMINISTERED OATH OF OFFICE

2016 REORGANIZATION

RESOLUTION 2-16 FUND PROFESSIONAL APPOINTMENT AND PROFESSIONAL SERVICE AGREEMENTS: Resolution 2-16 was included in the agenda to confirm appointments of Fund Professionals and approval of Professional Service Agreements in in accordance with a fair and open process for Fund years 2015, 2016 & 2017 unless otherwise noted in the resolution. The Resolution reflected professional fees for 2016. Chairman Rheinhardt said a correction should be made to the resolution so that in the first paragraph it reads “2015, 2016 & 2017”; correction will be made to the resolution filed with the minutes. TITLE PROFESSIONAL

ACTUARY The Actuarial Advantage DEPUTY ATTORNEY Russell Huntington ASSET MANAGER Wilmington Trust BANKING SERVICES MANAGER Investors Bank ATTORNEY Fred Semrau, Esq. EXCESS LIABILITY CLAIMS CB Claims LLC AUDITOR Nisivoccia LLP EXECUTIVE DIRECTOR PERMA Risk Management Services INTERNAL AUDITOR – Financial Services Carr, Riggs & Ingram LOBBYIST Pathways Government Relations MANAGED CARE PROVIDER QualCare POL & EXCESS WC CLAIMS ADMINISTRATOR Qual-Lynx EXCESS PROPERTY CLAIMS ADMINISTRATOR Vanguard PRODUCER Arthur J. Gallagher Risk Management Services

SAFETY CONSULTANT/TRAINING CONSULTANT JA Montgomery Risk Control STRATEGIC PLANNING/ COMMUNICATIONS CONSULTANT

LaMendola Associates

TECHNICAL WRITER Kathleen D. Wilkinson, Esq TREASURER Michael Zambito UNDERWRITING MGR Conner Strong & Buckelew GRAPHIC DESIGNER E. Fitz Art WEBSITE MANAGER NewTech Inc. INTERNAL AUDITOR – Insurance Services Baker Tilly (formerly known as ParenteBeard) LEARNING MANAGEMENT SYSTEM FirstNet Learning, Inc. ONLINE AND WEBINAR TRAINING PRODUCER VCS Video ONLINE UNDERWRITING DATABASE Exigis

RESOLUTION 3-16 ESTABLISHING A FISCAL MANAGEMENT PLAN: Resolution submitted designating Official Depositories and approving a Cash Management Plan; authorizing Signatories on Administrative Accounts; and authorizing Signatories on Claim Accounts; establishing a rate of interest for delinquent assessments; and certifying Approval Officer for all Fund expenses. Commissioner Charles Cuccia was designated as the additional MEL Commissioner signatory. RESOLUTION 4-16 ESTABLISHING PUBLIC MEETING PROCEDURES: Resolution submitted to establish that the FUND shall hold public meetings during the year 2016 as follows: 2016 Meeting Schedule March 2, 2016 Forsgate Country Club 11:15 am February 19, 2016 Princeton Marriott 9:00 am June 1, 2016 Forsgate Country Club 11:15 am September 7, 2016 Forsgate Country Club 11:15 am October 19, 2016 Forsgate Country Club 11:15 am November 16, 2016 Atlantic City Convention Center 5:00 pm January 4, 2017 Forsgate Country Club 11:15 am

The MEL Claims Committee will meet on the same day as the Executive Committee at the above listed locations immediately following the Fund meeting. The MEL Claims Committee will not be meeting in November. The Fund newspapers are the Atlantic City Press (Pleasantville), the Star Ledger (Newark), the Asbury Park Press (Neptune) and the Courier Post (Cherry Hill). In addition, the MEL’s webpage is designated for official notices – www.njmel.org. RESOLUTION 5-16 ESTABLISHING A FUNDS RECORDS PROGRAM: Resolution submitted to establish a Fund Records program appointing the Fund Secretary as custodian of records and Account Manager as Assistant Secretary. RESOLUTION 6-16 FOR EXCESS LIABILITY, EXCESS WORKER’S COMPENSATION AND PROPERTY COVERAGE FOR FUND YEAR 2015: Resolution submitted authorizing and confirming the purchase of Excess Liability, Excess Workers’ Compensation and Property Coverages for Fund Year 2016. The MEL commercial carrier for excess workers’ compensation is Safety National, Genesis is the excess liability and optional pol/epl carrier, Munich Reinsurance provides the optional excess liability; Caitlin provides the non-owed aircraft and the commercial carrier for excess property and boiler/machinery is Zurich.

2016 RISK MANAGEMENT PLAN: 2016 Risk Management Plan prepared by the MEL Underwriting Manager was included in the agenda for review. MEL Underwriting Manager said changes to the plan for Fund year 2016 have been highlighted for reference and reflect excess rates and carriers for 2016 as well as other changes - as noted in Underwriting Manager’s renewal memorandum.

MOTION TO ADOPT THE 2016 REORGANIZATION RESOLUTIONS 2-16 THROUGH 6-16 AND THE 2016 RISK MANAGEMENT PLAN:

Moved: Commissioner Shives Second: Commissioner Gildea Vote: 15 Ayes – 0 Nays 2016 COMMITTEE APPOINTMENTS: Chairman Rheinhardt said all other chairs from 2015 to continue to serve on the MEL’s sub-committees as follows:

Management Committee Jon Rheinhardt Coverage Committee Robert Landolfi Investment Committee James Gildea Legislative Committee Richard Hirsch Nominating Committee Charles Cuccia Safety And Education Committee Carol Byrne Claims Review Committee Richard Hirsh Audit Committee Vacant

Chairman Rheinhardt said there is a vacancy for Chair on the Audit Committee and an appointment can be made at the next meeting. EXECUTIVE DIRECTOR REPORT:

COVERAGE COMMITTEE: Coverage Committee met on December 4th; minutes of the meeting were enclosed in the agenda. Deputy Underwriting Manager said the committee is recommending the Board accept the attached Cyber Liability exclusion requested by General Reinsurance – since the Funds now purchase this coverage from the commercial market.

MOTION TO ACCEPT THE RECOMMENDATIONS OF THE COVERAGE COMMITTEE:

Moved: Commissioner Cottman Second: Commissioner Wolk Vote: Unanimous

MEL FINANCIAL ADVISOR: As previously reported, Executive Director said the MEL is exploring options for expanding the scope of investments and will need an Investment Advisor to assist with developing a new investment plan for consideration by DCA and DOBI.

MOTION TO APPROVE THE RELEASE OF AN RFQ FOR INVESTMENT ADVISOR FOR THE PURPOSE OF DEVELOPING A INVESTMENT PLAN:

Moved: Commissioner Shives Second: Commissioner Gildea Vote: Unanimous

LEGISLATIVE COMMITTEE: The committee met on November 18, 2015: enclosed in the agenda were the minutes of that meeting. Commissioner Hirsch provided a status report and said Assembly Bill 1347 and Senate Bill 264 (commonly referred to as the Firefighter’s Presumption bill) has passed in the Assembly and the Senate and is now on the Governor’s desk. The Governor will need to take action by June 11, 2016 otherwise these will be signed into law. Commissioner Hirsch said the MEL adopted a position to oppose this bill; enclosed in the agenda was a Resolution urging the Governor to veto the bill. In addition, also enclosed was the MEL and the League’s correspondence to the Labor Committee outlining their concerns with the legislation. Lobbyist said this proposed legislation has been around for 10-15 years now and the Governor has previously vetoed this bill and anticipates he will veto it again.

MOTION TO ADOPT RESOLUTION 7-16 OPPOSING ASSEMBLY BILL 1347 AND SENATE BILL 264:

Moved: Commissioner Hirsch Second: Commissioner Tucci Vote: Unanimous

EPL COMPLIANCE: Executive Director said the Model Personnel Committee will meet on January 11, 2016 to finalize changes to Personnel Manuals. ELECTED OFFICIALS SEMINARS: VCS is in the process of converting this year’s Elected Officials Seminar to an “online” version, pursuant to the MEL’s contract for the preparation of “online” courses.

MOTION TO EXTEND THE MEL’S ELECTED OFFICIALS SEMINAR CREDIT TO ELECTED OFFICIALS AND CHIEF OPERATING OFFICERS THAT COMPLETE THE ONLINE ELECTED OFFICIALS SEMINAR TRAINING:

Moved: Commissioner Shives Second: Commissioner Cuccia Vote: Unanimous

INSURANCE INDUSTRY INTERNSHIP PROGRAM: Executive Director said as previously discussed, the Management Committee considered a suggestion for a program to improve minority access to careers in the insurance industry. The MEL also had discussions with DOBI and DCA – with both expressing interest in moving further with the concept – including the possibility of state grants for the program. Enclosed in Appendix II was a draft Request for Proposal (RFP) for a consultant to spearhead this initiative. Commissioner Cottman said he hopes the internship program comes to fruition and is a successful program for the MEL.

MOTION TO AUTHORIZE THE RELEASE OF A RFP FOR A CONSULTANT TO SPEARHEAD THE INSURANCE INDUSTRY INTERNSHIP PROGRAM:

Moved: Commissioner Nolan Second: Commissioner Cottman Vote: Unanimous

BEST PRACTICES CYBER LIABILITY: Executive Director said Rutgers completed its contract with the MEL to develop material on Cyber Liability Practices. The following materials were posted to the MEL webpage and distributed to all members in November: 1) Leadership Summary Pamphlet; 2) Executive Summary; and 3) Best Practices & Resource Guides. The MEL has asked Marc Pfeiffer to submit a proposal to consult with the MEL in its continued efforts for Cyber Liability Risk Control. Assistant Executive Director reviewed the suggested topics; a memo was distributed on the proposal and suggested projects which were as follows:

• Research and provide options for MEL member employee Cyber-Hygiene program for implementation in 2017

• Consideration and recommendations for development of an RFP for intrusion testing (e.g., the emergency recovery contract)

• Develop recommendations on how entities can implement Technological Proficiency for each profile

• Develop education program for elected officials and chief administrators on importance of Tech Proficiency

• Compile model policy templates • Provide informal technology risk support (email, phone calls) as needed

Assistant Executive Director said Mr. Pfeifer submitted the proposal at an approximate annual fee of $25,000; the MEL will approach their excess carrier to see if they will share this cost as they did in a similar program. Assistant Executive Director said the only action for today is to authorize the fund office to proceed and execute the necessary contract with Rutgers not to exceed $25,000.

MOTION TO AUTHORIZE THE FUND OFFICE TO PROCEED AND EXECUTE A CONTRACT WITH RUTGERS NOT TO EXCEED $25,000 BASED ON THE SUBMITTED PROPOSAL FOR CONTINUED EFFORTS ON CYBER LIABILITY RISK CONTROL:

Moved: Commissioner Shives Second: Commissioner Hirsch Vote: Unanimous

RCF: The Residual Claims Fund scheduled its 2016 Reorganization meeting for Wednesday, January 6, 2016 at 10:30 am in the Forsgate Country Club located in Jamesburg, NJ. The Fund should elect its representative to the Residual Claims Fund for the 2016 Fund Year.

MOTION TO ELECT WILLIAM COTTMAN AS THE MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND'S 2016 REPRESENTATIVE TO THE MUNICIPAL EXCESS LIABILITY RESIDUAL CLAIMS FUND:

Moved: Commissioner Shives Second: Commissioner Hirsch Vote: Unanimous

ONLINE & WEBINAR TRAINING: The MEL’s contract with VCS to prepare On-line & Webinar Training programs expired at the end of December. We received one response to the RFQ – VCS Video, proposed a not to exceed $8,532.50 per course for Online Training and a fee not to exceed $7,838.75 for Webinar Producer – as noted on Fund Professional Resolution.

MOTION TO AWARD THE CONTRACT FOR ONLINE TRAINING AND WEBINAR PRODUCER TO VCS VIDEO:

Moved: Commissioner Hirsch Second: Commissioner Wolk Vote: 15 Ayes – 0 Nays

SAFE PATIENT LIFTING FOR EMERGENCY RESPONDERS: The MEL issued a Request for Qualifications for a Safe Lifting for Emergency Responders Video Presentation. Executive Director said only one response was received (included in appendix III) from VCS Video for a cost not to exceed $35,910 including Spanish version.

MOTION TO ADOPT RESOLUTION 8-16 AWARDING THE CONTRACT FOR THE ONLINE PRODUCTION OF SAFE LIFTING TO VCS VIDEO FOR A COST NOT TO EXCEED $35, 910:

Moved: Commissioner Byrne Second: Commissioner Tucci Vote: 15 Ayes – 0 Nays

EMERGENCY CLEANUP AND RESTORATION SERVICES: Executive Director said the fund office received an additional response to the MEL RFQ for qualified vendors for Emergency Cleanup and Restoration Services. As noted in October, we expect to periodically add vendors to the existing list – posted to the MEL webpage. During December, Servpro of Haddon Heights/Voorhees submitted a response to the RFQ.

MOTION TO ADD SERVPRO OF HADDON HEIGHTS/VOORHEES TO THE LIST OF QUALIFIED EMERGENCY CLEAN-UP AND RESTORATION VENDORS:

Moved: Commissioner Hirsch Second: Commissioner Nolan Vote: Unanimous

ANNUAL RETREAT: The Board of Fund Commissioners annual one-day retreat has been scheduled for 9:00 am on February 19, 2016 in the Princeton Forrestal Marriott. Executive Director said an agenda and other information will be distributed as the retreat becomes closer. CLAIMS COMMITTEE: The Claims Review Committee met on December 2, 2015 and is scheduled to meet immediately following the Board meeting. Minutes of the December meeting were enclosed under separate cover.

POL/EPL SETTLEMENTS: Executive Director distributed a memorandum addressed to the MEL Management Committee concerning claim settlements for complex POLEPL claims where member is required to participate in the settlement – precipitated by the matter of Tosca vs Bogota. Also distributed was a resolution putting a procedure in place to address these matters.

MOTION TO ADOPT RESOLUTION 11-16 ESTABLISHING PROCEDURE CONCERNING POLEPL CLAIM SETTLEMENTS:

Moved: Commissioner Cottman Second: Commissioner Cuccia Vote: Unanimous

2013 STATE EXAMINATION: The State of New Jersey Department of Banking & Insurance performed an examination of the Fund for the 2013 Fund Year. A copy of the was distributed as well as an affidavit for signature by the Executive Committee of the Fund certifying that each has reviewed the report respectively. Executive Director complimented the fund professionals and PERMA staff involved as the examination did not note any comments or recommendations.

MOTION TO APPROVE STATE OF NEW JERSEY DEPARTMENT OF BANKING & INSURANCE EXAMINATION REPORT FOR THE 2013 FUND YEAR AND EXECUTE GROUP AFFIDAVIT CERTIFYING THAT MEMBERS OF THE EXECUTIVE COMMITTEE HAVE READ THE REPORT:

Moved: Commissioner Gildea Second: Commissioner Tucci Vote: 15 ayes – 0 Nays Executive Director said there was nothing more to report and on behalf of himself and Jim Kickham he thanked the board for reappointment. UNDERWRITING MANAGER:

REPORT: Underwriting Manager thanked the board for reappointment. Included in the agenda was the Underwriting Manager memorandum on the reinsurance/excess renewal. Deputy Underwriting Manager reviewed the highlights of the renewal and said the biggest change on the renewal is the MEL is increasing its self-insurance retention on property to $500,000 less the member JIF’s retention and Zurich will attach at $500,000.

TREASURER: Treasurer thanked the board for reappointment. CONFIRMATION OF PAYMENTS November 2015 $464,650.06 December 2015 $1,926,542.16 RESOLUTION 10-16 FOR JANUARY VOUCHERS: January 2016 $13,730,232.79 RESOLUTION 9-16 JANUARY SUPPLEMENTAL VOUCHER: January 2016 #2 $41,458.44

Confirmation Of October 2015 Claims Payments/Certification Of Claims Transfers:

1988 WC 3157.54 2011 0.00 2012 87311.87 2013 17940.51 2014 2570.28 2015 375698.69

TOTAL 486,678.89 Confirmation Of November 2015 Claims Payments/Certification Of Claims Transfers:

1988 WC 18101.15 2011 0.00 2012 26255.11 2013 29449.78

2014 720 2015 801206.00

TOTAL 875,732.04

MOTION TO CONFIRM PAYMENTS OF NOVEMBER 2015, DECEMBER 2015, APPROVE JANUARY 2016 BILLS LIST RESOLUTION 10-16 AND JANUARY 2016 SUPPLEMENTAL BILLS LIST RESOLUTION 9-16 AND TO APPROVE TREASURER’S REPORT; CURRENT AND CONFIRMING EXPENSES AS PRESENTED:

Moved: Commissioner Second: Commissioner Roll Call Vote: 15 Ayes – 0 Nays CLAIMS:

REPORT: Ms. Schohl thanked the board for reappointment and said there would be a MEL Claims Committee following this meeting.

ATTORNEY: REPORT: Fund Attorney thanked the board for reappointment and congratulated the MEL, David Grubb and Cate Kiernan on today’s 25 year acknowledgements. Fund Attorney provided a summary report of 2015 noting the decreased number of EPL/POL claims to settle and said the new streamlined OPRA process is going well.

MANAGED CARE:

REPORT: A report was included in the agenda showing the Savings and Penetration report as of November 2015 and report as of December 2015 was distributed for information. For 2015, the total billed was $7.3 million with approved bills of $3.3 million for a total savings of 57%.

OLD BUSINESS:

NONE

NEW BUSINESS: NONE

PUBLIC COMMENT: NONE

CLOSED SESSION: There was no need for Closed Session.

MOTION TO ADJOURN: Moved: Commissioner Shives Second: Commissioner Cuccia Vote: Unanimous MEETING ADJOURNED: 12:02 PM NEXT MEETING: March 2, 2016 Forsgate Country Club 11:15 AM

Nancy A. Ghani, Assisting Secretary for ROBERT LANDOLFI, SECRETARY

Resolution No. 2-16 of the

MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND CONCERNING CERTAIN PROFESSIONALS AND SERVICE ORGANIZATIONS

WHEREAS, the Municipal Excess Liability Joint Insurance Fund (hereinafter the Fund) requires the services of certain professionals and service organizations for the 2015, 2016 & 2017 Fund years; and, WHEREAS, NJSA 40a11-16 (6) allows for a contract duration of three (3) years; and, WHEREAS, the Fund resolved to award Professional Service Agreements in accordance with a fair and open process pursuant to NJSA 19:44A-20.4 et. seq.; and, WHEREAS, a notice soliciting proposals was published in the Star Ledger , 2014 issue of the June 19th edition and posted on the MEL website www.njmel.org under the Public Bids section; and, WHEREAS, responses were received from professional service providers and service organizations as listed below on July 15, 2014 at 2 pm; and, WHEREAS, the Fund’s Rules & Contract Committee and Claims Review Committee recommended the award of contracts to the below listed Professional Service Providers and service organizations based on a review of their; responses, experience and prior service provided at the rates established by the Board of Fund Commissioners; and, WHEREAS, the Fund Treasurer has indicated that sufficient funds exist for the award of these contracts in the usual and customary accounts. WHEREAS, the Municipal Excess Liability Joint Insurance Fund resolved to appoint the Fund Professionals – noted below – to three year terms commencing on January 1, 2015 and ending on December 31, 2017 (unless otherwise noted) at its January 2015 Reorganization Meeting in accordance with a fair and open process pursuant to N.J.S.A. 19:44A-20.4 et. Seq.;

1) PERMA Risk Management Services as Administrator, David N. Grubb is appointed as Executive Director, Joseph P. Hrubash and James J. Kickham as Deputy Executive Directors & Cathleen Kiernan as Assistant Executive Director and as agents for process of service at a fee of $1,079,315.91.

2) Fred Semrau as General Counsel and Fund Attorney at a fee of $42,698.17.

3) Christopher Botta, CB Claims LLC - as Administrator of Excess Liability

Claims at a fee of $375,222.30 for excess liability and hourly rate of $185.64 for excess property.

4) Russell R. Huntington, Esquire as Deputy Fund Attorney at a fee of $1,446.70.

5) Michael Zambito as Fund Treasurer at a fee of $24,184.15..

6) The Actuarial Advantage as Fund Actuary at a fee of $48,168.93.

7) Nisivoccia LLP as Fund Auditor at a fee of $27,743.13.

8) Conner Strong & Buckelew Companies as Underwriting Manager at a fee of

$508,474.04..

9) Arthur J. Gallagher Risk Management Services, Inc as Producer at a fee of $ $293,621.28.

10) JA Montgomery Risk Control as Fund Safety Consultant at a fee of $59,303 &

$16.83 per Video for Video Library and Training Consultant at a fee of $97,300.43 for Administration of MSI; $2.31 per participant for the 1st 25,000 enrollees; $1.16 for the next $25,000 and $.88 per over 50,000; $45.98 per class administration fee and $249.33 per class cancellation fee; class fees ranging from $369.27 for one-hour class to $1,340.67 for eight-hour class; and a $10.40 per participant for on-line training.

11) Qual-Lynx as the Claims Administrator for Public Officials/Employment

Practices Liability at an annual fee of $30,000; and Excess Workers Compensation Claims Administrator at an annual fee of $592,000.

12) Wilmington Trust as the Asset Manager - .05% of the market value of the

FUND’s invested assets.

13) Investors Bank for Banking Manager at an earnings rate based on a combined average balance of $20,000,000 of participating joint insurance funds which will earn the federal funds rate less .25% with a floor of .65% and a ceiling of 2.0%

14) Pathways Government Relations, LLC as the Lobbyist at an annual fee of

$25,639.36.

15) Kathleen Wilkinson, Esquire of Wilson, Esler, Moskowitz, Edelson, & Dicker as the Technical Writer at an hourly rate of $231 not to exceed $35,513.

16) LaMendola Associates as Strategic Planning/Communications Consultant at

an hourly rate of $160.24 not to exceed 30,392.79 and to assist with Information and Training Material an hourly rate of $150 not to exceed $15,000 to develop and conduct 3-day training programs.

17) QualCare as Managed Care Provider at a fee of $515,000.

18) Carr, Riggs & Ingram LLC as Internal Auditor for Financial Services at a

fee of $10,500 per Internal Audit for: Electronic Data Process, Treasury & Investment, and Accounting & Reporting over the term of the contract.

19) E.Fitz Art for Graphics Design at an hourly rate of $110 not to exceed

$4,053.40 for the annual report and $1,351.40 for newsletters plus 17% of the agency fee to manage printing of report for the Annual Report.

20) ParenteBeard as Internal Auditor of Insurance Services for a fee not to

exceed $17,238 for Underwriting; $14,586 for Actuarial Pricing Analysis; $12,597 for Actuarial Second Opinion; $37,700 for Claims Management Review: $25,500 for Reinsurance Audit and $4,080 for Critical Checklist – over the term of the contract.

21) NewTech as Website Manager at an hourly rate of $140.76..

22) FirstNet Learning, Inc for the Learning Management System at a fee of

$8,280 Annual License Operating & Maintenance, $30,000 Annual Hosting & Customer Support Costs for up to 60,000 users, $500 Annual Resource Management Hosting, $250 Online Custom Course, per course to upload or make available

23) VCS as Online and Webinar Training Producers at a fee not to exceed

$8,532.50 per course for Online Training and a fee not to exceed $7,838.75 for Webinar Producer.

24) Exigis for Online Underwriting Database at an annual fee of 108,834.50

25) Vanguard as Excess Property Adjuster at an annual fee of $137,700.

NOW, THEREFORE, BE IT RESOLVED that the Board of Fund Commissioners does hereby increase service fee compensation by 2% for the period of January 1, 2016 through December 31, 2016, except where specifically requested and approved otherwise, as noted.

BE IT FURTHER RESOLVED, all Professional Service Providers and Service Organizations appointed pursuant to this Resolution shall service the Fund in accordance with the terms and conditions of the Professional Service contracts attached to this Resolution. BE IT FURTHER RESOLVED, that in accordance with NJSA 19:44A-20.7, the decision of the Fund’s Board of Fund Commissioners that the procurement process utilized, constitutes a fair and open process, shall be final. ADOPTED: this day before the Governing Body: _____________________________ ______________________ Chairman date ____________________________ ______________________ Secretary date

RESOLUTION NO: 3-16 MUNICIPAL EXCESS LIABILITY MUNICIPAL JOINT INSURANCE FUND

(hereafter referred to as “THE FUND”) ESTABLISHING A FISCAL MANAGEMENT PLAN

FOR THE 2016 FUND YEAR WHEREAS, THE FUND is duly constituted as a Municipal Joint Insurance Fund, as permitted under the laws promulgated by the State of New Jersey, (N.J.S.A. 40A-36, et.seq.); and WHEREAS, THE FUND is subject to the requirements contained within the Local Fiscal Affairs Law (N.J.S.A. 40A-5, et.seq.) ; and NOW, THEREFORE BE IT RESOLVED, THE FUND’s Governing Body hereby appoints the following professionals for the 2016 Fund Year: I. All funds for Administrative Expenses, Reinsurance, Dividends and Miscellaneous Expenses, shall be withdrawn from the official named Depository (ies) by check for Investors Bank account, which shall bear the signatures of at least two (2) of the following persons, duly authorized pursuant to this resolution. _________________________________ CHAIRMAN _________________________________SECRETARY _________________________________MICHAEL ZAMBITO, TREASURER ________________________________, MEL FUND COMMISSIONER II. All funds for Claims payments handled by Qual Lynx shall be withdrawn from the Official Depository(ies) by check, which shall bear the signatures of at least two (2) of the following persons, duly authorized pursuant to this Resolution. Ann L. Noble, Qual-Lynx

Dave S. Ruber, Qual-Lynx Alice Lihou, Qual-Lynx Joy DiPatri, Qual-Lynx Janet Buggle, Qual-Lynx

Michael Zambito, Fund Treasurer III. All funds for Claims payments handled by CB Claims shall be withdrawn from the Official Depository(ies) by check, which shall bear the signatures of at least two (2) of the following persons, duly authorized pursuant to this Resolution. Christopher Botta, Esquire

Georgeanne Jussel Robert Fisher, Esquire

Michael Zambito, Fund Treasurer ______________, MEL Fund Commissioner IV. All funds for Claims payments handled by Vanguard Claims shall be withdrawn from the Official Depository(ies) by check, which shall bear the signatures of at least two (2) of the following persons, duly authorized pursuant to this Resolution.

Robert Gilliam, Vanguard Martha Gilliam, Vanguard Brian Gilliam, Vanguard Michael Zambito, Fund Treasurer

FOR WIRE TRANSFERS - that the FUND does hereby require that Investors Bank obtain voice confirmation prior to executing wire transfers to external accounts from the Fund Treasurer V. The Cash and Investment Policy attached herewith, shall be adopted.

VI. The rate of interest assessed by the Fund, for delinquent assessments shall be ten (10) percent per annum, from the due date for any such assessment.

VII. Certifying and Approval Officer for all FUND expenses shall be the FUND’s Executive

Director and/or the Account Manager so designated by the Executive Director. ADOPTED: this day before the Governing Body: _____________________________ ______________________ Chairman date _____________________________ ______________________ Secretary date

RESOLUTION NO: 4-16

MUNICIPAL EXCESS LIABILITY MUNICIPAL JOINT INSURANCE FUND (hereafter the “FUND”)

ESTABLISHING PUBLIC MEETING PROCEDURES

WHEREAS, the FUND must establish meeting procedures for Fund Year 2016, and NOW, THEREFORE BE IT RESOLVED BY the Fund’s Governing Body

I. That the FUND shall hold public meetings during the year 2016 at 11:15 am in the Forsgate Country Club, Jamesburg NJ on Wednesday, March 2, 2016, June 1, 2016, September 7, 2016 and October 19, 2016, as well as, November 16, 2016 at 5:00 p.m. at the Atlantic City Convention Center, Atlantic City, NJ and January 4, 2017 at 11:15 am at the Forsgate Country Club, Jamesburg NJ. Board of Fund Commissioners will also meet for a one-day retreat on February 19, 2016 at 9:00 at the Princeton Forrestal Center, Princeton, NJ.

II. The MEL Claims Committee will meet on the same days as the Executive Committee at the above listed locations immediately following the Fund meeting. The MEL Claims Committee will not be meeting in November.

III. The following is hereby designated the official newspaper (s) of the FUND: The Star Ledger, Newark, NJ; the Asbury Press, Neptune NJ; the Courier Post, Cherry Hill, NJ; and the Atlantic City Press; Atlantic City, NJ. In addition, the MEL’s webpage is designated for official notices – www.njmel.org.

IV. The FUND Secretary or designated assistant shall provide notice of any and all

meetings, including special or emergency meetings, to each official newspaper and shall issue all official notices required to be published in at least one of the official newspapers.

ADOPTED this day; _____________________________ ______________________ Chairman date _____________________________ _______________________ Secretary date

RESOLUTION NO: 5-16

MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND (Hereinafter the “FUND”)

ESTABLISHING A FUND RECORDS PROGRAM

WHEREAS: The FUND must establish a formal record retention program for the 2016 fund year. NOW, THEREFORE BE IT RESOLVED, by the Board of Fund Commissioners that: I. , Fund Secretary, is hereby designated as custodian of the

FUND records, which shall be kept at the office of the Fund Administrator, located at 9 Campus Drive, Suite 216, Parsippany, NJ 07054.

II. The Account Manager designated by the Executive Director is hereby appointed as Assistant

Fund Secretary. III. The records of the FUND shall be retained in accordance with the municipal records retention

schedule as promulgated by the New Jersey Division of Archives and Records Management, and/or otherwise specified by the New Jersey Department of Insurance and Community Affairs.

IV. Each fund professional and service organization shall have the duty and obligation to maintain

such records as are entrusted to him/her and to relinquish such records to the Fund Secretary upon termination of services or otherwise upon request.

Records and files not required to support current operations, but which must otherwise be

retained, shall be stored in the record retention facility, located at Allstate Archives, 24 Beckwith Avenue, Paterson, New Jersey. The FUND’s Executive Director shall coordinate the archive process and shall insure that all records are properly indexed and accessible.

ADOPTED: this day by the Board of Fund Commissioners _______________________ ____________ Chair date _______________________ ____________ Secretary date

RESOLUTION NO. 6-16

RESOLUTION OF THE MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND

FOR EXCESS LIABILITY, EXCESS WORKERS' COMPENSATION AND PROPERTY COVERAGES

FOR FUND YEAR 2016 WHEREAS, the Board of Fund Commissioners of the Municipal Excess Liability Joint Insurance Fund has determined that it is necessary to purchase commercial policies for excess liability, excess property, excess workers’ compensation and excess public officials/employment practices liability; and WHEREAS, the Board of Fund Commissioners of the Municipal Excess Liability Joint Insurance Fund, at its November 18, 2015 meeting had authorized the Reinsurance Committee to negotiate certain insurances; and this being completed; NOW, THEREFORE BE IT RESOLVED that the Board of Fund Commissioners ratifies and confirms the purchase of the coverages and rates as noted below:

ADOPTED: this day before the Governing Body ____________________________ ____________ Chairman date ____________________________ ____________ Secretary date

RESOLUTION NO. 7-16

MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND CONCERNING ASSEMBLY BILL 1347 AND SENATE BILL 264 WHEREAS, the Municipal Excess Liability Joint Insurance Fund, hereinafter called the MEL, represents 376 New Jersey Municipalities, 72 Utility Authorities, 90 Housing Authorities, 39 Fire/First Aid Districts, 2 Health Commissions and 1 County, organized into nineteen (19) local JIFs; WHEREAS, Senator Greenstein and Senator Cunningham introduced Senate Bill #264 and Assemblywoman Stender, Assemblyman Egan, Assemblyman O’Donnell and Assemblyman Wimberly introduced A 1347, which is an act concerning workers’ compensation for public safety workers; and WHEREAS, this bill would create a rebuttable presumption that if, in the course of employment, a public safety worker is exposed to a carcinogen or pathogen, that any subsequent injury, disability, chronic or corollary illness or death is compensable under workers' compensation; and WHEREAS, this bill would be the most expensive bill of its type in the country and needlessly subsidizes the Federal Government at the expense of the New Jersey tax payers; and WHEREAS, A-1347/S-264 presumes that all cancers are due to on the job exposures. The current scientific evidence does not support that broad presumption. The most comprehensive study was recently published by the prestigious National Institute for Occupational Safety and Health (NIOSH). The study does not support the presumption in S-264 that all cancers are related nor does not support a presumption for volunteers. WHEREAS, the Legislative Committee of the Municipal Excess Liability Joint Insurance Fund has reviewed the bills and took a position to oppose Assembly Bill 1347 and Senate Bill 264; and NOW, THEREFORE, BE IT RESOLVED by the Board of Fund Commissioners of the Municipal Excess Liability Joint Insurance Fund does hereby oppose Assembly Bill 1347 and Senate Bill 264; and BE IT FURTHER RESOLVED that the Board of Fund Commissioners of the Municipal Excess Liability Joint Insurance Fund urges the Governor to veto Assembly Bill 1347 and Senate Bill 264. MUNICIPAL EXCESS LIABILITY Attest: JOINT INSURANCE FUND

January 6, 2016 25 MEL Open Minutes

RESOLUTION NO 8-16 MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND

DVD PRODUCTION

WHEREAS, proposals for DVD Production for “Safe Lifting for Emergency Responders” were received opened in public at the Fund’s Executive Director’s office on December 18, 2015 at 2:00 pm by Cate Kiernan, Account Manager in the Office of the Executive Director; and

WHEREAS, proposals were received from VCS Video in the amount of $35,910 for English and Spanish versions, and

WHEREAS, there is adequate funding in the 2016 Safety & Education budget to finance this contract; NOW, THEREFORE, BE IT RESOLVED by the Board of Fund Commissioners of the Municipal Excess Liability Joint Insurance Fund that a contract be awarded to VCS Video for “Safe Lifting for Emergency Responders” DVD Production for a cost not to exceed $35,910; BE IT FURTHER RESOLVED that the Chairman and Secretary are authorized to sign a contract with VCS Video on behalf of the MEL. ADOPTED: this day before the Governing Body: _____________________________ ______________________ Chairman date _____________________________ ______________________ Secretary date

January 6, 2016 26 MEL Open Minutes

MUNICIPAL EXCESS LIABILITY JOINT INSURANCE FUND

BILLS LIST Resolution No.10-16 JANUARY 2016 WHEREAS, the Treasurer has certified that funding is available to pay the following bills: BE IT RESOLVED that the Municipal Excess Liability Joint Insurance Fund’s Executive Board, hereby authorizes the Fund treasurer to issue warrants in payment of the following claims; and FURTHER, that this authorization shall be made a permanent part of the records of the Fund. FUND YEAR 2015 CheckNumber VendorName Comment InvoiceAmount

000855 000855 FORSGATE COUNTRY CLUB EXECUTIVE DIRECTOR MEETING - 6/23/15 751.62 751.62 000856 000856 RUTGERS THE STATE UNIVERSTY NJ REF NO. 436800-09500-002F - 12/16/15 9,725.00 9,725.00 000857 000857 VIDEO COMMUNICATION SERVICES RIGHTS AND DUTIES ECORM VERSIONS 12/18 437.50 437.50

Total Payments FY 2015 10,914.12 FUND YEAR 2016 CheckNumber VendorName Comment InvoiceAmount

000858 000858 CONNER STRONG & BUCKELEW PROPERTY/BOILER & MACHINERY - 2016 8,700,000.00 000858 CONNER STRONG & BUCKELEW EXCESS PROPERTY-DIFF IN CONDITION 2016 415,000.00 9,115,000.00 000859 000859 CONNER STRONG & BUCKELEW OPT LMT EXCESS LIABILITY - 2016 1,825,539.00 000859 CONNER STRONG & BUCKELEW NON-OWNED AIRCRAFT PREMIUM 2016 41,651.00 1,867,190.00 000860 000860 CONNER STRONG & BUCKELEW EXCESS WORKERS COMP 1 OF 3 INSTALL 2016 908,050.00 908,050.00 000861 000861 QUALCARE, INC. MANAGED CARE FEE 01/2016 41,666.67 41,666.67 000862 000862 CONNER STRONG & BUCKELEW OPTIONAL POL/EPL 1ST QTR 2016 223,422.00 223,422.00 000863 000863 QUAL-LYNX CLAIMS - POL - 01/2016 2,500.00 000863 QUAL-LYNX CLAIMS - EXWC - 01/2016 24,333.33 26,833.33 000864 000864 PERMA EXECUTIVE DIRECTOR FEE 01/2016 89,942.99 89,942.99

January 6, 2016 27 MEL Open Minutes

000865 000865 ARTHUR J. GALLAGHER RMS, INC. RMC FEE 01/2016 24,468.52 24,468.52 000866 000866 CONNER STRONG & BUCKELEW UNDERWRITING MANAGERS FEE 01/2016 42,372.66 42,372.66 000867 000866 CONNER STRONG & BUCKELEW EXCESS LIABILITY ANNUAL PREMIUM 2016 1,380,372.50 1,380,372.50

Total Payments FY 2016 13,719,318.67

TOTAL PAYMENTS ALL FUND YEARS $13,730,232.79

_____________________________________ Chairperson Attest: ____________________________________ Dated:______________________________ I hereby certify the availability of sufficient unencumbered funds in the proper accounts to fully pay the above claims. ____________________________________ Treasurer