Minutes of the VLCT Property and Casualty Intermunicipal Fund, Inc.
Board of Directors Meeting
Friday, MAY 26, 2017
VLCT Offices, Montpelier, Vermont
Directors Present: Pat Scheidel, Mel Adams, Pete Johnson, Joshua Powers, John Lawe, Brendan Whittaker, Neal Fox (by phone), Aaron Frank, Carl Rogers, Stuart Hurd (by phone)
Staff Present: Joe Damiata, David Sichel, Jeremiah Breer, Maura Carroll, Fred Satink, Jill George (9:30-9:50), Peggy Gates (10:30-noon), Peggy Tucker (10:30-noon)
Others Present: Brian Stiefel (Praxis Claims Consulting) (10:15-10:45), Michael Waterman, Olivia Rogers and Isabella Pang (JLT Re) (arrived 10:30)
The meeting was called to order by President Scheidel at 9:30 a.m.
Upon motion (Powers/Frank) duly adopted, the Board voted unanimously to approve the agenda as presented.
Upon motion (Powers/Johnson) duly adopted, the Board voted unanimously to approve the minutes from the March 24, 2017 meeting as presented.
Joe Damiata provided an organizational update.
- VLCT is close to signing a cloud computing services contract.
- Joe Colangelo, John Lawe, Joe Damiata and David Sichel attended the NLC RISC Trustees Conference in Indianapolis, IN last week.
- VLCT's 50th anniversary celebration will be on June 27, 2017.
- The PACIF Board Retreat on June 23 will be at the Stoweflake resort in Stowe.
- The underwriting software system upgrade is progressing well.It is in testing and should go live by July 1.
- VLCT's upgraded website should be up in about a month.
Jill George presented the first quarter 2017 claims report.
Jeremiah Breer presented the first quarter 2017 financial report.
Upon motion (Rogers/Johnson) duly adopted, the Board voted unanimously to accept the first quarter claims report.
Upon motion (Adams/Powers) duly adopted, the Board voted unanimously to accept the first quarter financial report.
Jeremiah Breer presented the Ten Year Financial Analysis.
Upon motion (Johnson/Frank) duly adopted, the Board voted unanimously to accept the Ten Year Financial Analysis.
Brian Stiefel from Praxis Claim Consulting presented the claims audit report.
Upon motion (Rogers/Powers) duly adopted, the Board voted unanimously to accept the claim audit report from Praxis Claims Consulting.
Michael Waterman, Olivia Rogers and Isabella Pang presented the JLT Re broker stewardship report. They reviewed current reinsurance placements, market conditions and outlook, and 2018 reinsurance renewal plans.
Upon motion (Powers/Johnson) duly adopted, the Board voted unanimously to accept the JLT Re broker stewardship report.
David Sichel presented the BDOHI update. He was assisted in his presentation by Peggy Gates and Peggy Tucker.
Upon motion (Powers/Johnson) duly adopted, the Board voted unanimously to accept the BDOHI update report.
The Board recessed for lunch at 12:05 p.m.
The Board meeting resumed at 12:20 p.m.
Fred Satink reviewed mid-year Coverage Document amendments. The first change inserts wording that was inadvertently omitted from the 2017 Coverage Document. The second change is adding new, stand alone, Cyber Liability and Data Breach coverage. To accomplish this, changes must be made to the Property and Casualty coverage Document to remove the cyber liability coverage that was included in that document.
Upon motion (Whittaker/Frank) duly adopted, the Board voted unanimously to approve the proposed mid-year Coverage Document Amendments and new Cyber Coverage.
The Board discussed underwriting and renewal issues. Staff will be presenting new underwriting, rating and reinsurance options to the Board at the next meeting.
David Sichel provided a legislative report. He updated the board on adoption of legislation which will provide a rebuttable PTSD presumption for workers' compensation coverage for police, fire and ambulance workers. This legislation also expanded workers' compensation coverage for mental conditions.
Legislative efforts to address workers' compensation and independent contractors stalled and will be taken up by the legislature again next year.
Upon motion (Powers/Whittaker) duly adopted, the Board adjourned at 12:52 p.m.
David Sichel, Assistant Secretary