ORDER OF BUSINESS. 1. CALL TO ORDER 1:30 p.m. 2. OPENING PROCEDURES. 2.1Roll Call

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1 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP Annual Board of Directors Meeting Thursday, April 11, :30 3:00 p.m. CCCSIG Conference Room 550 Ellinwood Way, Pleasant Hill, CA (866) To ensure an orderly meeting and an equal opportunity for each speaker, persons wishing to address the Committee must fill out a speaker s card. Cards are located in the lobby and should be turned in to the Receptionist. The President of the Board may limit each speaker to three minutes and/or set a limit of twenty minutes for all speakers on any one subject. The Contra Costa County Schools Insurance Group will provide reasonable accommodations for persons with disabilities planning to attend Executive Committee or Board meetings who contact the Executive Director at least 24 hours before the meeting, at 1 (866) ext ORDER OF BUSINESS 1. CALL TO ORDER 1:30 p.m. 2. OPENING PROCEDURES 2.1Roll Call Contra Costa Community College District Pittsburg Unified School District Acalanes Union High School District Antioch Unified School District Arcohe Unified School District Brentwood Unified School District Byron Union School District Canyon School District Castro Valley Unified School District Contra Costa County Office of Education John Swett Unified School District Knightsen Elementary School District Lafayette School District Liberty Union High School District Martinez Unified School District Moraga School District Mt. Diablo Unified School District Oakley Union Elementary School District Orinda Union School District San Ramon Valley Unified School District Travis USD Walnut Creek SD West Contra Costa Unified School District Eugene Huff, President Norma Gonzales, Vice President Julie Bautista Jessica Romeo Troy Miller Roxane Jablonski-Liu Kathy Bell Monica Santiago Suzy Chan Bill Clark Susan Mathern Cindy Friedmann Diane Deshler Liz Robbins Helen Rossi Daniela Parasidis Deborah Cooksey Cindy Peterson Teresa Sidrian Keith Rogenski Trudy Barrington Griselda Barraza, Alternate John al-amin Quorum Requirement 12 members Voting requirements for Agenda Action Items Workers Compensation Program (WCP: Each member of the Board whose agency participates in the WCP shall have one vote on WCP business items presented. Quorum Requirement 10 members that participate in the WCP Voting Requirements for Agenda Action Items Health Benefits Program (HBP): Each member of the Board whose agency participates in the HBP shall have one vote on HBP business items presented. Quorum Requirement Five (5) members that participate in the HBP 4/5/2019 AGENDA 1 of 45

2 3. PUBLIC COMMENT 3.1 Items on the Agenda 3.2 Items of Interest to the Public 4. Agenda Review and Adoption... Action Required 5. GENERAL FINANCIAL AND ADMINISTRATIVE ITEMS 5.1 Overview of Program Rate, Actuarial Report and Ex Mods... Information Only for FY 2019/20 The CFO will review the rates for ten (10) fiscal years, Actuarial Report, Program Rate and Ex-Mods for FY 2019/ Approve Workers Compensation Administrative Budget... Action Required for FY 2019/20 The Board will be asked to consider approval of the 2019/20 budget. 5.3 Approve Minutes of Board Meeting Held on April 12, Action Required The Board will review April 12, 2018 minutes for approval. 5.4 Election of Directors to the Executive Committee.... Action Required The Board will elect one Executive Committee member to term July 1, 2019 through June 30, Election of Officers for FY2019/ Action Required The Board will elect Officers for FY2019/ Executive Committee Strategic Planning Session Results... Information Only The Execuctive Director will present the results of today s Executive Committee Strategic Planning Session. 6. ADJOURNMENT. 4/5/2019 AGENDA 2 of 45

3 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP Board of Directors Meeting AGENDA ITEM DETAIL Date: April 11, 2019 Item Number: 5.1 Issue: Overview of Program Rate, Actuarial Report and Ex Mods Information: Action: X Attachment: X Analysis The chart below depicts CCCSIG s Program rate spanning the last ten fiscal years. CCCSIG 10-Year Rate History Policy Year 80% CL Actuarial Rate Adopted Rate Est. Equity Growth/Equity Rebate Ending Equity Balance Used $2.39 $2.39 $3,500,000 $24,577, $2.43 $1.95 $3,992,096 $17,786, $2.41 $1.95 $3,761,279 $14,681, $2.58 $2.32 $2,116,797 $14, $2.52 $2.52 $17,959, $2.62 $2.62 $18,160, $2.32 $2.47 $23,292, $2.55 $2.32 $2,219,531 $24,247, $2.41 $2.12 $3,000,000 $29,352, $2.40 $2.27 $1,441,182 Total $16,530,885 $3,500,000 In a $2.27 rate was adopted to return equity growth/equity of $1.44M to our members. Attached is the written portion of the draft Actuarial Study, which includes the Projected Actuarial Rate of $2.36 for a $750k Self-Insured Retention at the 80% confidence level (Table III- 5B, page 11, row D, column 6). The Executive Committee approved the Ex-Mods; approved a rate of $2.18 ($2.36 for the 4 districts that ended 15/16 with negative equity), using $1.93M of equity growth/equity to cover the remainder of the Actuarially-derived premiums; and approved the draft Actuarial Study. Recommendation Information only. 4/5/2019 AGENDA 3 of 45

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27 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP Board of Directors Meeting AGENDA ITEM DETAIL Date: April 11, 2019 Item Number: 5.2 Issue: Approve Workers Compensation Administrative Budget for 2019/20 Information: Action: X Attachment: X Analysis The Actuarial Rate came in at $2.36, but the Executive Committee voted to approve funding at a $2.18 rate, using $1.93M of equity growth/equity to cover the remainder of the actuarially derived premiums. (Canyon, Moraga, Orinda, and Walnut Creek ended FY with negative equity due to rebates paid in 1997, 1998, and 2000 using incorrect pro-rata shares. The Executive Committee has chosen not to return equity to these districts to help reduce their negative equity positions, so the $2.36 base rate was approved and is being used for these districts.) The Administrative Budget, based on a rate of $2.18 ($2.36 for the negative equity districts) at a $750k Self-Insured Retention (SIR) has been reviewed and recommended for adoption by the Executive Committee at their April 11, 2019 meeting. The budget is being presented to the Board, along with the assumptions/changes and fixed asset purchases sheets, for approval. Recommendation The Board is asked to approve the Administrative budget as modified or presented. 4/5/2019 AGENDA 27 of 45

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39 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP Board of Directors Meeting AGENDA ITEM DETAIL Date: April 11, 2019 Item Number: 5.3 Issue: Approve Minutes of Board Meeting Held on April 12, Information: Action: Attachment: X X Analysis The Board of Directors will be asked to review the minutes of the Board Meeting held on April 12, 2018 and approve or modify as necessary. Recommendation The Board is asked to approve the April 12, 2018 as modified or presented. 4/5/2019 AGENDA 39 of 45

40 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP ANNUAL BOARD OF DIRECTORS MEETING MINUTES Thursday, April 12, 2018 Contra Costa County Schools Insurance Group, Conference Room 550 Ellinwood Way, Pleasant Hill, CA Present were: Board of Directors: Gene Huff, President Norma Gonzales, Vice President Julie Bautista Jessica Romeo Troy Miller Roxane Jablonski-Liu John Hild Bonnie Franzoni Cindy Friedmann Liz Robbins Helen Rossi Daniela Parasidis Mary Brakefield Greg Medici Trudy Barrington Audrey Katzman Chris Mount-Benites Staff: Bridget Moore, Executive Director Joe Emmett, Chief Financial Officer Karen Ward, Claims Manager Denise Schreiner, Health & Safety Services Manager Erica Williamson, HR/Communications Manager Guests: Izac Chyou CCC College District Pittsburg USD Acalanes UHSD Antioch USD Arcohe USD Brentwood Union SD CCC Office of Education John Swett USD Knightsen SD Liberty Union High SD Martinez USD Moraga SD Orinda Union SD San Ramon Valley USD Travis USD Walnut Creek SD West Contra Costa USD CCCSIG CCCSIG CCCSIG CCCSIG CCCSIG PFM 1. CALL TO ORDER The meeting was called to order at 10:20 a.m. by President Huff. 2. OPENING PROCEDURES 2.1 Roll Call 3. PUBLIC COMMENT 3.1 Items on the Agenda No public comment items. 3.2 Items of Interest to the Public No items of interest to the public. 4. AGENDA REVIEW AND ADOPTION Motion was made by Katzman to approve Agenda as presented; second by Romeo. AYES: Huff, Gonzales, Bautista, Miller, Jablonski-Liu, Hild, Franzoni, Friedmann, Robbins, Rossi, Parasidis, Brakefield, Medici, Barrington and Mount-Benites. ABSENT: Pedersen, Faircloth, Chan, Deshler, Cooksey and Peterson. 4/5/2019 AGENDA 40 of 45

41 Board of Directors Meeting April 12, 2018 Page 2 5. GENERAL FINANCIAL AND ADMINISTRATIVE ITEMS 5.1 PFM Investment Overview Izac Chyou with Public Financial Management provided an overview of the Group s Investment Portfolio, current market conditions and information related to how changing the maximum maturity of investments would affect the Group s portfolio. Discussion followed regarding various investment portfolio options and how best to maximize the Group s portfolio, as well as how CCCSIG s CFO would remain involved should there be an increase to the maximum maturity allowable. Motion was made by Parasidis to modify the Group s investment policy to increase the maximum maturity to ten years, with the red-lined policy being brought forth to the Executive Committee at their next meeting for consideration; second by Miller. AYES: Huff, Gonzales, Bautista, Romeo, Jablonski-Liu, Hild, Franzoni, Friedmann, Robbins, Rossi, Brakefield, Medici, Barrington, Katzman and Mount-Benites. ABSENT: Pedersen, Faircloth, Chan, Deshler, Cooksey and Peterson. 5.2 Equity Allocation Report The CFO reviewed the Equity Allocation Summary Report prepared by James Marta & Company as of June 30, 2016, which calculates each member s share of CCCSIG s Total Equity by policy year. There were five members of the workers compensation program who ended this period with negative equity. This was due to the $20 million of rebates paid in 1997, 1998 and 2000 being distributed using incorrect pro rata shares, where these members were paid too much. There was no action necessary for this item. 5.3 Overview of Program Rate for 10 FY and Program Rate and Ex-Mods for FY 2018/19 The Program Rates for the past 10 fiscal years, along with the current program rate and experience modification factors were reviewed with the Board of Directors. As the 2018/19 program rate was chosen to return some equity growth/equity to our members, the Executive Committee has decided not to return equity to the members with a negative equity position, with the intent of improving their equity position. There was no action necessary for this item. 5.4 Approve Workers Compensation Administrative Budget for 2018/19 The CFO reviewed the 2018/19 Budget Assumptions/Changes that were reflected in the proposed budget worksheets. A request was made to include the percentage of the change, in addition to the dollar amount, for future budget review. Motion was made by Romeo to approve the 2018/19 Administrative budget as presented; second by Bautista. AYES: Huff, Gonzales, Miller, Jablonski-Liu, Hild, Franzoni, Friedmann, Robbins, Rossi, Parasidis, Brakefield, Medici, Barrington, Katzman and Mount- Benites. ABSENT: Pedersen, Faircloth, Chan, Deshler, Cooksey and Peterson. 5.5 Approve Minutes of Board Meeting Held on March 23, 2017 Motion was made by Katzman to approve minutes as presented; second by Friedmann. AYES: Huff, Gonzales, Bautista, Romeo, Miller, Jablonski-Liu, Hild, Franzoni, Robbins, Rossi, Parasidis, Brakefield, Medici, Barrington and Mount-Benites. ABSENT: Pedersen, Faircloth, Chan, Deshler, Cooksey and Peterson. 5.6 Election of Directors to the Executive Committee Current Directors Robbins and Mount-Benites have terms expiring on June 30, Both incumbents have expressed interest in continuing on the Executive Committee. Motion was made by Jablonski-Liu to re-elect Robbins and Mount-Benites to new three-year terms (July 1, 2018 to June 30, 2021); second by Romeo. AYES: Huff, Gonzales, Bautista, Miller, Hild, Franzoni, Friedmann, Robbins, Rossi, Parasidis, Brakefield, Medici, Barrington, Katzman and Mount-Benites. ABSENT: Pedersen, Faircloth, Chan, Deshler, Cooksey and Peterson. 4/5/2019 AGENDA 41 of 45

42 Board of Directors Meeting April 12, 2018 Page Election of Officers for FY2018/19 Incumbent Officers Huff (President) and Gonzales (Vice-President) have expressed interest in continuing their leadership roles as Officers of the Executive Committee. Clark (Secretary) will be stepping down from his role as Officer but will continue in his role on the Board of Directors. Bautista expressed interest in the Secretary position for the 2018/19 fiscal year. Motion was made by Robbins to re-elect Huff as President; Gonzales as Vice-President and elect Bautista as Secretary for FY2018/19; second by Romeo. AYES: Huff, Gonzales, Bautista, Miller, Jablonski-Liu, Hild, Franzoni, Friedmann, Rossi, Parasidis, Brakefield, Medici, Barrington, Katzman and Mount-Benites. ABSENT: Pedersen, Faircloth, Chan, Deshler, Cooksey and Peterson. 5.8 Executive Director Recruitment Process Update The Board President presented an update on the recruitment process for the Executive Director position, which will need to be filled as the current Executive Director will be retiring in October The final candidate(s) were interviewed by the Executive Committee immediately prior to the Board of Directors meeting and it is anticipated that a new Executive Director will start in August/September. There was no action necessary for this item. 6. ADJOURNMENT The meeting was adjourned at 11:57 a.m. Respectfully submitted, Secretary of the Board of Directors Contra Costa County School Insurance Group 4/5/2019 AGENDA 42 of 45

43 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP Board of Directors Meeting AGENDA ITEM DETAIL Date: April 11, 2019 Item Number: 5.6 Issue: Election of Directors to the Executive Committee Information: Action: X Attachment: Analysis Executive Committee members are elected by and from the Board of Directors for terms beginning with the upcoming fiscal year. Currently, the Executive Committee is comprised of the following members: Officers (elected to one-year terms, expiring 6/30/19) Eugene (Gene) Huff, President, Contra Costa Community College District Norma Gonzales, Vice President, Pittsburg Unified School District Julie Bautista, Secretary, Acalanes Union High School District Non-Officer Positions (elected to three-year terms) Jessica Romeo, Antioch Unified School District (term expires 6/30/19) Daniela Parasidis, Moraga School District (term expires 6/30/20) Roxanne Jablonski-Liu, Brentwood Union School District (term expires 6/30/20) Bill Clark, Contra Costa County Office of Education (term expires 6/30/21) Liz Robbins, Liberty Union High School District (term expires 6/30/21) Vacant (previously held by Audrey Katzman, Walnut Creek School district (term expires 6/30/20) On June 30, 2019, Jessica Romeo s term on the Executive Committee will expire. The incumbent has expressed interest in being re-elected for another term. In addition, an advising all Board members of the election and soliciting interest was sent on April 1, It should be noted that according to the Bylaws, unexpired vacant non-officer EC terms (such as the one held by Audrey Katzman) are to be filled by appointment by the Executive Committee after notification to the Board and solicitation of interest from current Board members. Following this meeting, an communication will be sent to the Board members that participate in the CCCSIG Workers Compensation Program to determine those interested in filling any of the then-existing unexpired, vacant Executive Committee terms. The Executive Committee will determine the filling of those vacancies either at its regular August meeting or at an earlier Special Meeting. 4/5/2019 AGENDA 43 of 45

44 Recommendation The Board will be asked to elect a member to the Executive Committee to fill the expiring term as noted above, for the period of July 1, 2019 to June 30, /5/2019 AGENDA 44 of 45

45 CONTRA COSTA COUNTY SCHOOLS INSURANCE GROUP Board of Directors Meeting AGENDA ITEM DETAIL Date: April 11, 2019 Item Number: 5.7 Issue: Election of Officers for FY 2019/20 Information: Action: X Attachment: Analysis The Group Officers are elected at the Annual Board of Directors meeting for the upcoming fiscal year. The current Group Officers are: President Vice President Secretary Eugene (Gene) Huff, Contra Costa Community College District Norma Gonzales, Pittsburg Unified School District Julie Bautista, Acalanes Union High School District Gene and Julie have asked to serve in their current positions for fiscal year 2019/20. Norma Gonzales will be leaving Pittsburg Unified School District, which leaves the Vice President position open. Daniela Parasidis wishes to be considered for the Vice President position effective July 1, 2019, for the fiscal year 2019/20. No other Executive Committee members have expressed interest in serving in the Officer positions. Recommendation The Board is asked to elect the positions of President, Vice President and Secretary for FY 2019/20 as noted. 4/5/2019 AGENDA 45 of 45