OPEN SESSION MINUTES

BURLINGTON COUNTY MUNICIPAL JOINT INSURANCE FUND

Hainesport Township Municipal Building

1 Hainesport Centre – Rt. 537

Hainesport, New Jersey

April 20, 2010 - 4:00 PM

 

OPEN SESSION MINUTES

The regular meeting of the Burlington County Municipal Joint Insurance Fund (BURLCOJIF) was held at the Hainesport Township Municipal Building, 1 Hainesport Centre – Rt. 537, Hainesport, New Jersey, on Tuesday, April 20, 2010 at 4:00 PM, prevailing time. Chair Donna Ryan, Westampton Township, presiding. The meeting was called to order at 4PM.

 

STATEMENT OF COMPLIANCE WITH OPEN PUBLIC MEETING ACT

Notice of this meeting was given by: (1) sending sufficient notice herewith to the Burlington County Times, Mt. Holly, NJ, and to the Courier Post, Cherry Hill, NJ; (2) filing advance written notice of this meeting with the Clerks/Administrators of all member municipalities of the Burlington County Municipal Joint Insurance Fund; and (3) posting notice on the public bulletin boards of all member municipalities of the Burlington County Municipal Joint Insurance Fund.

 

ROLL CALL

Those in attendance were:

T. Richard Bethea, Bass River

Heather Cheesman, Bordentown City (arrived 4:05pm)

Leonard Klepner, Bordentown Township

Michael Templeton, Delanco

Jeffrey Hatcher, Delran

Linda Dougherty, Edgewater Park (arrived 4:05pm)

Richard Brook, Florence

Edward Ruggiano, Alternate, Hainesport

Michael Mansdoerfer, Lumberton

Kathy Burger, Medford

David Matchett, Shamong

Doug Cramer, Tabernacle

Donna Ryan, Westampton

James Ingling, Representative, Wrightstown

 

Absent were:

Dawn Human, Beverly

Glenn McMahon, Chesterfield

Arthur Puglia, Mansfield

Jennifer Blumenthal, Mt. Laurel

Monica Zur, North Hanover

Meghan Jack, Riverside

Michael McFadden, Southampton

J. Paul Keller, Springfield

 

Those also in attendance were:

Paul Forlenza, Deputy Executive Director, AJG Risk Management Services

William Kearns, Jr. Esquire, Fund Solicitor, Kearns, Reale & Kearns

Tom Tontarski, Fund Treasurer

John Seville, Loss Control Consultant, Conner Strong Risk Services

Alice Lihou, Vice President of Account Management, Scibal Associates

Jen Pard, Senior Account Representative, CSG

 

Also present were the following Risk Management Consultant agencies:

EJA & Associates

Insurance Agency Management

Conner Strong

James Tunney Insurance

The Barclay Group

 

MONTHLY MEETING CONDUCT

Chair Ryan entertained a motion to allow that this monthly meeting be conducted directly by the Fund Commissioners present with all matters to be decided upon by a combined majority vote of all Fund Commissioners.

Motion by Mr. Mansdoerfer, seconded by Mr. Hatcher to allow the meeting to be conducted directly by the Fund Commissioners present. All in favor. Motion carried by unanimous vote.

 

APPROVAL OF THE MINUTES

Chair Ryan presented the meeting minutes of the March 16, 2010 Executive Committee Meeting, as found in the agenda packet, for approval.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

Chair Ryan entertained a motion to approve the meeting minutes of the March 16^th Executive Committee Meeting as presented.

Motion by Mr. Hatcher, seconded by Mr. Cramer to approve the meeting minutes of the March 16^th Executive Committee Meeting as presented. All in favor. Motion carried by unanimous vote.

 

APPROVAL OF CLOSED SESSION MINUTES

There was a distribution of the Closed Session Meeting minutes to the Executive Committee at this time.

Chair Ryan presented the Closed Session Meeting minutes of the March 16, 2010 Executive Committee Meeting for approval.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

Chair Ryan entertained a motion to approve the Closed Session Meeting minutes of the March 16, 2010 Executive Committee Meeting.

Motion by Mr. Hatcher, seconded by Mr. Mansdoerfer to approve the Closed Session Meeting minutes of the March 16^th Executive Committee All in favor. Motion carried by unanimous vote.

The Closed Session Meeting minutes of the March 16^th meeting shall not be released to the public until the reason(s) for their remaining closed is no longer applicable and the Fund Solicitor has had the opportunity to review them.

Closed Session Meeting minutes from the March 16, 2010 meeting were collected at this time.

 

EXECUTIVE DIRECTOR'S REPORT

Mr. Forlenza stated the Executive Director’s Report is found in the April 2010 agenda packet and is self-explanatory. He highlighted the following items from the report.

-       2009 Safety Incentive Program Awards – A letter describing how to collect the 2009 SIP award moneys was mailed out February 12^th. Members should follow the instructions for claiming awards. The deadline for claiming or encumbering these funds is November 30, 2010.

-       2010 Optional Safety Budget – A reporting detailing the available balances for each member for the 2010 OSB is included in the packet. The deadline for claiming or encumbering these funds is November 30, 2010.

-       Statutory Bond Status – Included in the agenda packet for members’ review if the latest listing of Statutory Bonds issued by the MEL for JIF members. The list should be reviewed for accuracy. Any questions should be directed to Cate Kiernan at PERMA.

-       EPL Plan of Risk Management – A copy of the October 1, 2009 correspondence outlining the program is made a part of the agenda packet. Members submitting the required checklist by May 1, 2010 will qualify for both the deductible and rate incentives retroactively to January 1, 2010.

-       New Fund Commissioner Orientation – This session was held on April 19, 2010 by webinar. There were 7 – 8 participants on-line. Another session can be held if there is additional need.

-       Financial Disclosure Forms – The deadline to submit these forms to the Fund Office has past. These forms will be filed with the State on April 22. All Fund Commissioners, the Executive Director, Fund Solicitor, and Treasurer were asked to complete these forms and provide two copies with original signatures to the Fund Office.

-       2010 BURLCO Planning Retreat – This year’s retreat will take place on May 21, 2010 at the Bradford Estates in Hainesport. A formal invitation was e-mailed to all members today, April 20^th, with a draft copy of the retreat agenda.

-       Meeting Attendance – A report detailing attendance through the 1^st Quarter of 2010 is provided to members in the agenda packet.

-       Loss Ratio Snapshots – The JIF Loss Ratio Snapshot valued as of March 31, 2010 is provided to members as a handout. The snapshot incorporates the member’s three-year history and shows all open claims.

The MEL Loss Ratio Snapshot valued as of March 31, 2010 is also provided to members as a handout. This snapshot incorporates the member’s five-year history and shows all open and closed claims.

Members can contact the Executive Director Claims Administrator with questions.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

SOLICITOR'S REPORT

The Fund Solicitor had nothing to report in Open Session.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

SAFETY DIRECTOR'S REPORT

The Safety Director’s Report is made part of the agenda packet and is self-explanatory. Mr. Saville highlighted the following items from the report.

-       MSI Training Programs – Upcoming MSI training programs for May, June, and July are listed in the report. Pre-registration is required. A full listing can be found on the MEL website.

-       Advanced Safety Leadership Class – An announcement dated March 23^rd is made a part of the report. It contained the dates, times, and locations of upcoming classes. Pre-registration is required. Persons with safety leadership responsibilities, including Managers, Supervisors, Safety Coordinators, Fund Commissioners, DPW or Utility Management Department Superintendents are invited.

-       CEU/ TCH Programs – A listing of programs that qualify for CEU/ TCH’s is made a part of the report.

-       Safety Director’s Bulletin – Bulletin S2010-1 – Motor Vehicle Records Checks: Annual Reminder is provided in the report.

-       RTK Survey Notice – A notice dated April 12, 2010 regarding 2009 Right-To-Know Survey Form(s) is provided to members as a separate handout. All 2009 Survey Cover Pages must be submitted to Connor Strong Risk Control no later than June 1, 2010.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

CLAIMS ADMINISTRATOR'S REPORT

The Claims Administrator’s reported on the following item.

-        Lessons Learned from Losses – April 2010 (handout)

Emergency Volunteers

Volunteer Fireman or other emergency personnel, while responding to emergency calls, are occasionally involved in motor vehicle accidents in their personal vehicles. Automobile liability and collision insurance follows a private or commercial vehicle. The JIF coverage document does not provide collision or comprehensive insurance coverage to the volunteer’s personal vehicle. In responding to a call, the volunteer’s personal automobile liability policy is primary and the JIF liability coverage is excess over the primary policy limits.

CAT Storm No. 96

The Nor’easter storms of March 13 & 15, 2010 have been classified as a catastrophe or CAT storm. Scibal is recommending that all potentially covered first party property claims be reported as quickly as possible. A copy of the ACORD Form, the preferred reporting form, is made a part of the report. If a member is not sure if damaged is covered under the JIF coverage document, Scibal should be contacted. Each claim will be evaluated to coverage potential.

Client Services

Bridget Gielis is the AVP of Client Services, formerly the Risk Service Department. This is the department that provides loss runs, claims experience summaries, and all other data/ system reports. An e-mail contact has been created that will be directly to Client Services so that clients can request forms from a central location. Report requests should be sent to: SCIBALClientServices@Scibal.com

The remainder of the Claims Administrator’s report is for Closed Session.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

MANAGED HEALTH CARE REPORT

Ms. Pard presented the self-explanatory Managed Care Report for March 2010 from CSG Solutions, which is contained in the agenda packet.

Lost Opportunity Days Summary Report – March 2010

The Lost Opportunity Days Summary Report of Open Cases as of March 25, 2010 reflected 83.63% utilization of Transitional Duty days utilized for the BURLCOJIF.

Lost Time v. Medical Only Cases

The BURLCOJIF Lost Time v. Medical Only Cases for the 13-month period of March 2009 thru March 2010 reflects the following averages.

Managed Care Update

Ms. Pard presented the Managed Care Update as a handout to the membership. This month’s report highlights the following.

§       Monitoring Reports

o      Orthopedic EPO Provider Study

o      Occupational Medicine Compliance Study

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

TREASURER'S REPORT

Mr. Tontarski presented an overview of the Treasurer's Report for the one month period of March 2010, a copy of which was included in the agenda packet for members’ consideration.

 

Investment Interest

Interest received or accrued for the reporting period totaled $8,792.17. This generated an average annual yield of .99%. However, after including an unrealized loss of $9,825 in the asset portfolio, the yield is adjusted to -.12% for this period. The total overview of the asset portfolio for the Fund shows an overall gain of $33,457.50 as it relates to market value vs. the amount invested.

 

Receipt Activity for the Month(s)

None.

 

Claim Activity for the Month(s)

Claim activity during the period for claims paid by the Fund and claims payable by the Fund at period end in the amount of $196,203.36. The claims detail is as follows:

Chair Ryan asked if there were any questions at this time. No questions were entertained.

Chair Ryan asked for approval for payment of the above-mentioned Claims Activity for the Month of March 2010 in the amount of $196,203.36.

Motion by Mr. Hatcher seconded by Mr. Cramer to approve the Claims Activity as submitted by Mr. Tontarski.

All in favor. Motion carried by unanimous vote.

 

Cash Activity for the Month(s)

During the reporting period the Fund’s “Cash Position” changed from an opening balance of $10,759,490.05 to a closing balance of $10,512,501.96 showing a decrease in the Fund of $246,988.09.

 

April 2010 Bill List - Approval

For the Executive Committee’s consideration, Mr. Tontarski presented the April 2010 Bill List in the amount of $462,335.14 as provided to the membership in the agenda packet. The April 2010 Bill List consists of the 2^nd MEL Installment Premium and administrative costs for operating the Fund.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

Chair Ryan entertained a motion to accept the March 2010 Treasurer’s Report, and approve the April 2010 Bill List in the amount of $462,335.14 as presented.

Motion by Mr. Hatcher, seconded by Mr. Cramer to accept the March 2010 Treasurer’s Report, and approve the April 2010 Bill List in the amount of $462,335.14 as presented.

All in favor. Motion carried by unanimous vote.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

COMMITTEE REPORTS

Executive Safety Committee Report – March 16, 2010

Ms. Jack gave a verbal account of the March 16^th Executive Safety Committee Meeting last month. The official meeting minutes are made a part of the April agenda packet.

Finance Committee Report – April 1, 2010 (handout)

Mr. Mansdoerfer stated the April 1^st Finance Committee Meeting minutes serve the membership as a handout. They are self-explanatory.

Mr. Mansdoerfer presented the following action items.

Authorization to Prepare, Solicit, and Receive Requests for Qualifications for Liability and Workers Compensation Defense Panel Members

The members of the Fund’s Defense Panel are appointed until June 30, 2010. The Fund must undertake a “Fair and Open” process with the intent of appointing attorneys to the Defense Panel at the June Executive Committee Meeting with appointments effective July 1, 2010.

Chair Ryan entertained a motion for Authorization to Prepare, Solicit, and Receive Requests for Qualifications for Liability and Workers Compensation Defense Panel Members.

Motion by Mr. Hatcher, seconded by Mr. Cramer for Authorization to Prepare, Solicit, and Receive Requests for Qualifications for Liability and Workers Compensation Defense Panel Members.

All in favor. Motion carried by unanimous vote.

Budget Amendment

Mr. Mansdoerfer stated that a public hearing has been duly advertised to take place today. The 2010 Proposed Budget Amendment is for the addition of Wrightstown Borough into the BURLCOJIF. The addition for Wrightstown is $42,497 bringing the 2010 Proposed Amended Budget Total to $6,295,805.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

2010 Budget Amendment Public Hearing

Chair Ryan entertained a motion to Open the 2010 Budget Amendment Public Hearing.

Motion by Mr. Hatcher, seconded by Ms. Burger to Open the 2010 Budget Amendment Public Hearing. All in favor. Motion carried by unanimous vote.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

Chair Ryan entertained a motion to Close the 2010 Budget Amendment Public Hearing.

Motion by Mr. Hatcher, seconded by Mr. Cramer to Close the 2010 Budget Amendment Public Hearing. All in favor. Motion carried by unanimous vote.

2010 Budget Adoption

Chair Ryan entertained a motion to Adopt the 2010 Amended Budget in the amount of $6,295,805 as presented.

Motion by Mr. Hatcher, seconded by Mr. Cramer to Adopt the 2010 Amended Budget as presented.

All in favor. Motion carried by unanimous vote.

2010 Amended Assessment Certification Adoption

Chair Ryan entertained a motion to Adopt the 2010 Assessment Certification for 22 BURLCOJIF members as presented.

Motion by Mr. Hatcher, seconded by Mr. Cramer to Adopt the 2010 Assessment Certification for 22 BURLCJIF members as presented.

All in favor. Motion carried by unanimous vote.

Joint Finance Committee Report – April 1, 2010

Mr. Mansdoerfer stated the April 1^st Joint Finance Committee Meeting minutes are provided to the membership in the agenda packet. One of the topics discussed is the CSG Managed Care Fee Proposal.

Mr. Forlenza went onto explain that currently the Fund contracts with Scibal to provide a Managed Care Program for the Fund through CSG.

In 2009, Scibal was purchased by a managed care company. To protect their business interests, CSG approached the Fund seeking a direct contractual relationship with the Fund. The Executive Director’s office was authorized by the Fund to negotiate a form of contract. During the Fall and Winter of 2009, the form of contract was finalized.

In February 2010, Mr. Morrone, President and CEO of CSG, submitted a proposal to increase the managed care fees for Fund Year 2010.

All three Funds – BURLCO/ ACM/ TRICO JIFs - are pleased with the quality of services that they are currently receiving from CSG.

Mr. Kearns indicated that in accordance with the Local Public Contract’s Law, the Funds should undertake a Competitive Contracting Process prior to entering into an agreement with any Managed Care Provider.

This topic will be further discussed in Closed Session.

Strategic Planning Committee Report – April 13, 2010 (handout)

Chair Ryan stated the April 13^th Strategic Planning Committee Meeting minutes are presented to the membership has a handout and are self-explanatory. Two main topics of discussion were the Annual Planning Retreat taking place on May 21^st at the Bradford Estates in Hainesport and the 20^th Anniversary of the Fund in 2011.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

 

MEL/RCF/ E-JIF REPORT

There were no MEL/ RCF/ E-JIF Reports.

 

MISCELLANEOUS BUSINESS

Next Meeting

The Regular Meeting of the BURLCOJIF will be held on Tuesday, May 20, 2010 at 4:00 PM at the Hainesport Township Municipal Building, Hainesport, New Jersey.

 

PUBLIC COMMENT

Chair Ryan opened the meeting to the public for comment.

Hearing no comments, Chair Ryan closed the public portion of the meeting.

 

EXECUTIVE SESSION MEETING – Resolution 2010-16

Chair Ryan presented Resolution 2010-16 and entertained a motion to go into a Closed Session to discuss matters effecting the protection and safety in the public and to discuss pending or anticipated litigation and/or contract negotiations.

Motion by Ms. Burger seconded by Mr. Mansdoerfer, to approve Resolution 2010-16. All in favor. Motion carried by unanimous vote.

A Closed Session of the BURLCOJIF was held and the meeting was then reopened to the public.

 

REOPEN PUBLIC PORTION OF THE MEETING

Chair Ryan entertained a motion to Reopen the Public Portion of the Meeting.

Motion by Mr. Hatcher seconded by Mr. Cramer, to reopen the public portion of the meeting. All in favor. Motion carried by unanimous vote.

 

CLAIMS PAYMENTS - APPROVAL

Chair Ryan asked for a motion for Approval of Claims Payment on the following claims as presented in Closed Session.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

Motion by Mr. Mansdoerfer, seconded by Mr. Hatcher, to approve the following claims as discussed in Closed Session.

 

All in favor. Motion carried by unanimous vote.

 

AUTHORIZATION TO ABANDON SUBROGATION - APPROVAL

There were no matters presented for Abandonment of Subrogation.

Chair Ryan asked if there were any questions at this time. No questions were entertained.

CSG MANAGED CARE FEE PROPOSAL

As discussed in Closed Session, the Executive Committee recommends the Executive Director and Fund Solicitor move forward with the Request for Qualifications Process and enter into a Shared Service Agreement for the Request for Qualifications Process with five other Joint Insurance Funds – ACM, TRICO, ACCASBO, BCIP, and GSCCD for Managed Care Services.

Chair Ryan entertained a motion to authorize the Executive Director and Fund Solicitor move forward with the Request for Qualifications Process and enter into a Shared Service Agreement for the Request for Qualifications Process with five other Joint Insurance Funds – ACM, TRICO, ACCASBO, BCIP, and GSCCD for Managed Care Services.

Motion by Mr. Hatcher, seconded by Mr. Mansdoerfer to authorize the Executive Director and Fund Solicitor to move forward with the Request for Qualifications Process and enter into a Shared Service Agreement for the Request for Qualifications Process with five other Joint Insurance Funds – ACM, TRICO, ACCASBO, BCIP, and GSCCD for Managed Care Services

All in favor. Motion carried by unanimous vote.

 

MOTION TO ADJOURN

Chair Ryan entertained a motion to adjourn the April 20, 2010 Executive Committee Meeting of the BURLCOJIF.

Motion by Mr. Mansdoerfer, seconded by Mr. Cramer to adjourn the April 20, 2010 Executive Committee Meeting of the BURLCOJIF. All in favor. Motion carried by unanimous vote.

The meeting was adjourned at 5:00 PM.

 

_______________________________ Colleen Ross, Recording Secretary for

_____________________________________________ KATHY BURGER, FUND SECRETARY