01-06-98 SpecialSOUTH TAHOE PUBLIC UTILITY DISTRICT
"Basic Services for a Complex World"
James Jones, President BOARD MEMBERS Christopher Strohm, Vice President
Duane Wallace, Director Mary Lou Mosbacher Pembroke Gochnauer, Direct%
SPECIAL MEETING OF THE BOARD OF DIRECTORS
MEETING AS THE EMPLOYEES' BENEFITS PLAN TRUSTEES
SOUTH TAHOE PUBLIC UTILITY DISTRICT
January 6, 1998
MINUTES
The Board of Directors of the South Tahoe Public Utility District, met as the Employee Benefit Plan
Trustees, in a Special Session on January 6, 1998, 5:00 p.m., at District Office, 1275 Meadow Crest
Drive, South Lake Tahoe, California.
BOARD OF DIRECTORS:
Vice President Strohm, Directors Wallace,
Gochnauer, Mosbacher. (President Jones was
away on District business.)
ROLL CALL
STAFF:
Baer, Sharp, Hussmann, McFarlane.
ITEMS FOR BOARD ACTION
Nancy Hussmann reported when providing renewal
quotes for excess and life insurance, the ArmTech
consultant neglected to obtain a quote for life insur-
ance and that Transamerica would not write life
insurance for the District. The District is unable to
obtain life insurance independently of the excess
insurance carrier. Further, Transamerica increased
their initial renewal quote upon receiving complete
claims history by approximately 20%.
SELF-INSURED MEDICAL PLAN RENEWAL
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SPECIAL MEETING MINUTES - EMPLOYEE BENEFIT PLAN TRUSTEES, JANUARY 6, '1998 PAGE - 2
Guarantee Life was the other carrier considered for
excess insurance. The aggregate attachment point
is lower with Guarantee Life than with Transamerica
($1,037,487 vs. $1,059,614), and with the change in
the Transamerica quote, the premium is lower and
includes life insurance. Life insurance through
Guarantee Life is $641.70 per employee per month.
Guarantee Life has sent a letter stating their insurance
coverage will be retroactive to January 1, if the Board
approves coverage with them.
Moved Strohm/Second Wallace/Jones Excused/
Passed to rescind 12/18/97 Board action approving
Transamerica as excess insurance carrier.
Moved Gochnauer/Second Wallace/Jones Excused/
Passed to approve Guarantee Life as excess in-
surance carrier and issue binder premium to bind
coverage, with the caveat if terms of Guarantee
Life's contracts are found to be unacceptable, staff
can substitute an insurance carrier deemed appro-
priate and empower a Board ad hoc insurance
committee to approve another carrier.
3:35 P.M.
SELF-INSURED MEDICAL PLAN
RENEWAL
(continued)
ADJOURNMENT
/obth Tahoe PublldUtility District
ATTEST:
K~'thy Sh?_~7~erk of BeZa-rd
South Tahoe Public Utility District
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