Meeting &Agenda Reports TOWNSHIP OF PISCATAWAY

MUNICIPAL BUILDING

October 18, 2017

2 PM

CENTRAL JERSEY JOINT INSURANCE FUND AGENDA

MEETING OF FUND COMMISSIONERS CALLED TO ORDER OPEN PUBLIC MEETING ACT STATEMENT

In accordance with the Open Public Meetings Act, notice of the meeting was provided by: 1. Sending sufficient notice to the Fund’s designated newspaper, the Home News Tribune; 2. Filing Advanced written notice of this meeting with each member municipality; and 3. Posting notice of this meeting on the Public Bulletin Board of all member municipalities.

PLEDGE OF ALLEGIANCE ROLL CALL OF FUND COMMISSIONERS APPROVAL OF MINUTES

September 20, 2017 Open …. ....................................................................…….Appendix I

CORRESPONDENCE – None

REPORTS:

EXECUTIVE DIRECTOR/ADMINISTRATOR – PERMA Risk Management Services .Executive Director's Report ............................................................................................ Page 1 TREASURER – Richard Lorentzen

.Monthly Voucher List – October Resolution No. 25-17 ................................... … ….Page 12

.Treasurers Report………………………………………………………………….. Page 14

CLAIMS SERVICE – Qual Lynx .Monthly Report ............................................................................................................ .Page 21

MANAGED CARE – Qual Care .Monthly Report ............................................................................................................ .Page 23

UNDERWRITING MANAGER – Conner Strong & Buckelew

.Monthly Certificate Holding Reports ........................................................................... Page 28

MARKETING MANAGER – Reliance Insurance Group

SAFETY DIRECTOR – J.A. Montgomery Risk Control .Monthly Report ............................................................................................................. Page 31

RISK MANAGERS EXECUTIVE SESSION - FOR CERTAIN SPECIFIED PURPOSES FOR PERSONNEL,

SAFETY, PUBLIC PROPERTY OR LITIGATION

OLD BUSINESS NEW BUSINESS PUBLIC COMMENT MEETING ADJOURNMENT

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Central Jersey Joint Insurance Fund 9 Campus Drive – Suite 216

Parsippany, NJ 07054 Date: October 18, 2017 Memo to: Fund Commissioners Central Jersey Joint Insurance Fund From: PERMA Risk Management Services Subject: Executive Director's Report

2018 Budget – Included on Page 3 is the proposed 2018 Budget. The Rules and Contracts

Committee met last week to review the Budget and a copy was sent to Fund Commissioners under separate cover. The budget will be discussed and introduced at the meeting.

Motion to introduce the 2018 budget and schedule a public hearing at 2:00 pm on

Monday, November 20, 2017 at the Piscataway Municipal Building.

2018 RFQ Process – As reported last month, Requests for Qualifications were issued for all Fund Professional positions. Multiple Reponses were received for Managed Care, Claims Administration, Auditor & Workers Compensation Litigation Management Services. The Rules and Contracts Committee met last week. A report will be provided at the meeting.

Potential New Membership – The marketing manager has sent a potential new member application to the Executive Director office for a proposal. The marketing manager will provide an update during their report.

EJIF Regulatory Compliance Training - The EJIF would like to extend an invitation to you and members of your municipality and utility authority to an upcoming workshop – “Keeping Up with Changing Regulations” to discuss staying in compliance with new, changing and problematic rules. (Page 4)

MEL, EJIF & RCF Meetings – The MEL, EJIF & RCF met earlier today at the Forsgate

Country Club. The MEL introduced its 2018 budget; the EJIF & RCF adopted their respective 2018 budgets. The recap of those meeting will be in next months agenda.

Elected Officials Training – This year’s elected officials training program will focus on

“Ethics for Governmental Officials”. A session is scheduled at the League of Municipalities Conference for 3:45 pm in Atlantic City on Wednesday, November 15, 2017.

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November Meeting Date – This is a reminder that next months meeting has been moved due to the League of Municipalities. It is scheduled for Monday, November 20th .

Central JIF Monitoring Reports – The Executive Director will review the Fund’s Pro

Forma Monitoring Reports, included in the agenda. Financial Fast Track Page 5 Fixed Income Summary & Rate Comparison Page 6 Pure Loss Ratio Report Page 7 Claims Activity Report Page 8 Lost Time Accident Frequency Reports Page 9 EPL/POL Status Page 10 Regulatory Checklist Page 11

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Central Joint Insurance Fund Annual Regulatory Filing Check List

Year 2017 as of October 1, 2017

Item Filing Status

Budget Filed 3/2/17

Actuarial Certification Filed 6/30/17

Reinsurance Policies Filed 6/6/17 Fund Commissioners Filed 3/2/17

Fund Officers Filed 3/2/17

Renewal Resolutions Filed 3/2/17

Withdrawals None

New Members None

2017 Risk Management Plan Filed 3/2/17

2017 Cash Management Plan Filed 3/2/17 2017 Risk Manager Contracts In process of

Collecting

2017 Certification of Professional Contracts Filed

Unaudited Financials Filed 3/10/17

State Comptroller Audit Filing Filed

Annual Audit Filed 6/30/17

Ethics Filing On Line Filing

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RESOLUTION NO. 25-17

CENTRAL JERSEY JOINT INSURANCE FUND BILLS LIST – OCTOBER 2017

WHEREAS, the Treasurer has certified that funding is available to pay the following bills: BE IT RESOLVED that the Central Jersey 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 CLOSED Check Number Vendor Name Comment Invoice Amount

001270 001270 MUNICIPAL EXCESS LIAB. RCF 2017 RCF ASSESSMENT 1,136,027.62

1,136,027.62 Total Payments Closed Year 1,136,027.62 FUND YEAR 2016 Check Number Vendor Name Comment Invoice Amount

001271 001271 EAST BRUNSWICK TOWNSHIP OVERPAYMENT OF 2013 ASSESSMENT 50.00

50.00 Total Payments FY 2016 50.00 FUND YEAR 2017 Check Number Vendor Name Comment Invoice Amount

001273 001273 ACRISURE, LLC MARKETING MANAGER FEE 10/2017 10,362.42

10,362.42 001274 001274 QUAL-LYNX CLAIMS ADJUSTING SERVICES - 10/2017 41,127.17

41,127.17 001275 001275 J. A. MONTGOMERY RISK CONTROL LOSS CONTROL SERVICES 10/2017 10,527.55

10,527.55 001276 001276 PERMA RISK MANAGEMENT SERVICES POSTAGE FEE 09/2017 8.78 001276 PERMA RISK MANAGEMENT SERVICES EXECUTIVE DIRECTOR FEE 10/2017 46,007.75

46,016.53 001277 001277 THE ACTUARIAL ADVANTAGE ACTUARIAL CONSULTING SERVICES - 10/2017 2,752.58

2,752.58 001278 001278 NEWTECH SERVICES INC. MONTHLY WEBSITE MAINTENANCE/HOSTNG 10/17 75.00

75.00 001279 001279 RICHARD LORENTZEN TREASURER FEE 10/2017 1,427.19

1,427.19 001280

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001280 BOB SMITH & ASSOCIATES LITIGATION MANAGEMENT FEE 09/2017 1,437.50 001280 BOB SMITH & ASSOCIATES ATTORNEY FEE 09/2017 3,607.50

5,045.00 001281 001281 FINANCIAL INS. CONSULTANTS LLC RMC FEE 4TH QTR 2017 - PISCATAWAY TWP 21,063.43 001281 FINANCIAL INS. CONSULTANTS LLC RMC FEE 4TH QTR 2017 - EDISON TWP 57,921.79

78,985.22 001282 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - PORT READING FAS 274.26 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - WOODBRIDGE TWP 48,219.69 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - FRANKLIN TWP 15,752.41 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - WTARS 1,399.64 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - AVENEL-COLONIA FAS 422.47 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - COLONIA DIST 12 FAS 464.94 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - FIRE DIST #2 639.93 001282 NORTH AMERICAN INSURANCE MGMNT RMC FEE 4TH QTR 2017 - FIRE DIST #1 1,498.23

68,671.57 001283 001283 ALLSTATE INFORMATION MANAGEMNT ACCT: 225 - ACT & STOR 9/30/2017 34.39 001283 ALLSTATE INFORMATION MANAGEMNT ACCT: 225 - ACT & STOR 8/31/204 34.39

68.78 Total Payments FY 2017 279,485.32

TOTAL PAYMENTS ALL FUND YEARS $ 1,415,562.94

____________________________________ Chairperson _____________________________________Dated:_______________________ Secretary I hereby certify the availability of sufficient unencumbered funds in the proper accounts to fully pay the above claims.

____________________________________

Treasurer

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APPENDIX I - MINUTES

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CENTRAL JERSEY JOINT INSURANCE FUND MEETING MINUTES

September 20, 2017 PISCATAWAY MUNICIPAL COMPLEX

MEETING OF THE EXECUTIVE COMMITTEE CALLED TO ORDER AT 2:00 P.M. OPEN PUBLIC MEETING STATEMENT READ INTO RECORD PLEDGE OF ALLEGIANCE ROLL CALL OF THE 2017 EXECUTIVE COMMITTEE

Robert Landolfi, Township of Woodbridge Present Daniel Frankel, Borough of Sayreville Present William Northgrave, Township of Edison Present Robert Vornlocker, Township of Franklin Absent Nancy Costa, Township of Hillsborough Present Michael Gross, City of South Amboy Present Timothy Dacey, Township of Piscataway Present Colleen Connolly, Borough of Belmar Absent

ALSO PRESENT: Jeremy Solomon, Bob Smith & Associates

Richard Lorentzen, Treasurer Marge Guinane, Qual Lynx Tony Jones, Qual Lynx Donna Setzer, Qual Lynx Amy Pieroni, North American Insurance Management Dave McHale, JA Montgomery Risk Control Joseph Hrubash, Perma Brad Stokes, Perma Rachel Chwastek, Perma Robert Rosario Heather Rosario

MINUTES: July 19, 2017 Open Minutes

MOTION TO APPROVE MINUTES FOR JULY 19, 2017

Moved: Commissioner Gross Second: Commissioner Costa Vote: 5 Ayes, 1 Abstention (Frankel)

CORRESPONDENCE: Bulletin: Contributing to Disaster Relief – The Executive Director advised this bulletin details information regarding assistance to Disaster Areas, i.e. Houston after the Hurricane. 2018 RFQ Process – The fund office advertised Requests for Qualifications for all Fund Professional positions. Responses were received back on July 25, 2017; the results were included

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in the agenda. There were multiple responses received for Managed Care, Claims Administration, Auditor and Worker’s Compensation Litigation Management Services. The Fund office will be scheduling a meeting of the Rules and Contracts Committee in early October. 2018 Budget Introduction – The 2018 Budget introduction will be held at the October meeting. The Fund’s Rules & Contracts Committee will also review budget status and options. Membership Renewals – The Fund has one member up for renewal at the end of this year. Renewal documentation was sent out to the member in August. 2018 Renewal: Risk Managers received notification that the database is set up to begin the 2018 underwriting renewal. The deadline for completion was August 15, 2017. As of last Friday, approximately 72% of the renewal process is complete. RCF Report: The RCF met on September 6, 2017 at the Forsgate Country Club; a copy of Commissioner Landolfi’s report was enclosed in the agenda. The Residual Claims Fund amended 2017 Budget and the proposed 2018 Budget was introduced. The public hearing on the RCF budget will be held on October 18, 2017 10:30 a.m. at Forsgate. EJIF Report: The EJIF met on September 6, 2017 at the Forsgate Country Club; a copy of Commissioner Landolfi’s report was enclosed in the agenda. The 2018 budget was introduced and will be adopted at the October 18, 2017 meeting. MEL Report: The MEL met on September 6, 2017 at the Forsgate Country Club; a copy of Commissioner Landolfi’s report was enclosed in the agenda. The MEL’s 2018 budget introduction is scheduled for October 18th at Forsgate. MEL Cyber Task Force: MEL Cyber Task Force: The MEL’s Cyber Task Force made recommendations to the MEL at the September 6th meeting. The Cyber Task Force developed minimum risk control standards . The JIFs’ policies with XL Caitlin carries a $10,000 deductible. To encourage members to implement risk control, the MEL Board of Fund Commissioners voted to participate in the deductible based on a member’s level of compliance with minimum standards (to be determined at time of claim). Enclosed in the agenda were the minimum standards approved by the MEL. The MEL Underwriting Manager will be preparing material to distribute to members shortly. The Executive Director suggested sending the minimum standards to the IT committee for a first look, the Chairman agreed. The MEL Board also agreed to enter into a contract with Palindrome Technologies to conduct a study evaluating one member per JIF’s computer network for possible cyber threats and vulnerabilities at a cost of $17,100. At the end of the study, Palindrome will provide a report to each participant as well as a summary report for the MEL that will provide insight to members’ cyber security readiness. The Chairman appointed Franklin as the participant in the study, due to the fact that Vornlocker volunteered to Chair the Cyber Committee, his town should benefit.

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Central JIF Monitoring Reports – The Executive Director reviewed the Fund’s Pro Forma Monitoring Reports, and advised the fund is doing well. The Executive Director then asked if there were any questions and concluded his report.

Reports Made Part of Minutes.

SAFETY DIRECTOR: - Dave McHale advised the Safety Director’s report was included in the agenda. The report included a list of loss control activities for the months of July and August and scheduled MSI Training Programs through November. The agenda also included multiple notices; Special Law Enforcement Officer – Class III, MSI Class Requests, Preventing Heat-Related Illnesses- A Team Approach, Resources for School Crossing Guard Safety Programs, Ticks and Tick-borne Diseases and Firefighter Fitness for Duty and Medical Evaluations. Mr. McHale advised the Central JIF will be holding regional training for accident investigations on 9/27/17. There are currently about 40 registrants. He asked if there were any questions and then concluded his report. The Fund Chairman thanked the Safety Director for his work on the new Safety Program. The Safety Director advised LTAF is down 30% in the first year of the program. TREASURER: The Treasurer, Mr. Richard Lorentzen, advised the switch to Investors and Wilmington Trust has been a positive thing for the Central JIF and then presented the Bill’s List.

RESOLUTION 23-17 AUGUST 2017 VOUCHER PAYMENTS

2017 $ 140,224.66

RESOLUTION 24-17 SEPTEMBER 2017 VOUCHER PAYMENTS

2017 $ 132,217.92

MOTION TO ADOPT RESOLUTION 23-17 AND RESOLUTION 24-17 APPROVING

THE VOUCHER PAYMENT LISTS, AS SUBMITTED:

Moved: Commissioner Northgrave Second: Commissioner Dacey

Roll Call Vote: 6 Ayes, 0 Nays

Voucher Lists, Treasurer Report & Investment Portfolio Reports Made Part of Minutes. CLAIMS/ MANAGED CARE:

CLAIMS – Kathy Kissane reported the Claims Committee reviewed the PAR’s for September today. She respectfully requested a motion to ratify the PAR’s that were approved by the Claim Committee today for September.

PAYMENT AUTHORIZATION REQUESTS: Executive Committee reviewed payment authorization requests presented by Claims Service in September. Claims Review Committee reviewed and recommended as submitted.

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MOTION TO APPROVE PAYMENT AUTHORIZATION REQUESTS FOR SEPTEMBER CLAIMS PRESENTED IN EXECUTIVE SESSION BY QUAL-LYNX:

Moved: Commissioner Costa Second: Commissioner Frankel

Roll Call Vote: 6 Ayes, 0 Nays MANAGED CARE:

CLAIMS – Donna Setzer reported savings was at 65% with a network penetration of 98%. UNDERWRITING MANAGER: Three MEL Underwriting Bullets were emailed to the fund members; Bulletin 17-30: Public Officials Liability – Optional Excess Land Use Coverage, Bulletin 17-31: Public Officials/Employment Practices Policy Form Changes and Bulletin 17-32: Fire Trucks. If you have any questions, please contact the fund office.

LIST OF CERTIFICATES ISSUED – Mr. Cooney advised 3 certificates were issued 7/22/2017 to 8/21/2017.

List of Certificates made part of the minutes.

MARKETING MANAGER: – Amy Pieroni advised she is working with one potential submission and report back to the fund in October. RISK MANAGERS: NONE OLD BUSINESS: NONE NEW BUSINESS: NONE PUBLIC COMMENT: NONE

MOTION TO ADJOURN

Moved: Commissioner Dacey Second: Commissioner Frankel Vote: Unanimous Meeting adjournment at 2:18 p.m. Prepared by Rachel Chwastek, Assisting Secretary for _______________________________ William Northgrave, Secretary

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