AGENDA Executive Committee

July 28, 2016

WSTIP Office ~ Olympia

9:00 am

CALL TO ORDER – President Emmett Heath

1. Roll Call of Members and Introduction of Guests

2. Changes in Agenda/Motion to Accept Agenda

Sign-in sheet

CONSENT AGENDA

1. Minutes – June 23, 2016

2. June 2016 Administrative Vouchers/Checks – Total voucher approval of

$258,609.84 including staff payroll and internet/credit card payments.

3. June 2016 Claims Vouchers/Checks – Total voucher approval of

$3,013,750.35.

Page #

2

6

15

*WP #

DISCUSSION ITEMS

1. Collision Avoidance Project Update – Spears

2. Vanpool Telematics - Spears

3. 2016 Executive Committee Work Plan

4. Best Practice review of Significant cases - Christianson

5. WSTIP coordination/communication members – Christianson

6. Non-Transit Liability Governance Policy – Franz

18

23

27

33

37

39

STAFF REPORTS

1. Executive Staff Report

41

EXECUTIVE SESSION

1. Executive Director’s & General Counsel’s Evaluation

SUBCOMMITTEE REPORTS

1. Governance Policy Committee – No Report

2. Nominations and Elections Committee – No Report

3. Board Development Committee – Verbal Report

4. Emerging Risks & Opportunities Committee – No Report

5. Executive Director Succession Committee – Verbal Report

6. Driver Recognition Committee – Verbal Report

1:00 pm

RECAP and ADJOURN – President Emmett Heath

*WP = Work Plan Item #

Board Development Committee Meeting – 07/28/16 following EC meeting

Governance Policy Committee Meeting – 08/25/16 following EC meeting

Emerging Risks and Opportunities Committee Meeting – 08/11/16 WSTIP Office

Minutes of the

Executive Committee Meeting

June 23, 2016

Marcus Whitman Hotel ~ Walla Walla

Executive Committee Members Present: Staff Present:

Nick Covey, Past President, Link Transit

Ben Foreman, Large Member Rep, Intercity Transit

Emmett Heath, President, Community Transit

Staci Jordan, Medium Member Rep, Island Transit

Rob LaFontaine, Small Member Rep, Twin Transit

Diane O’Regan, Secretary, C-Tran

Paul Shinners, Vice-President, Kitsap Transit

Shonda Shipman, At-Large Member Rep, Whatcom

Transportation Authority

Anna Broadhead, Member Services Assistant

Tracey Christianson, Member Services Manager

Chris DeVoll, Transit Risk Consultant

Ron Franz, General Counsel

Al Hatten, Executive Director

Andrea Powell, Information Technology Program

Manager

Jerry Spears, Deputy Director

Karey Thornton, Claims and Information Technology

Assistant

Board Members Present:

Amy Asher, RiverCities Transit

Gloria Boyce, Ben Franklin Transit

Danette Brannin, Mason Transit

Mike Burress, Community Transit

Patti Carlin, Grays Harbor Transit

Wendy Clark-Getzin, Clallam Transit

Sara Crouch, Jefferson Transit

Kevin Futrell, Yakima Transit

Jenny George, Asotin County PTBA

Paul Gonzales, Everett Transit

Kevin Hebdon, Ben Franklin Transit

Brandy Heston, Grant Transit

Tom Hingson, Everett Transit

Leann Hubbard, Pullman Transit

Rob Huyck, Pierce Transit

Terry Lohnes, C-Tran

Ed McCaw, Valley Transit

Steve Mertens, Columbia County Public

Transportation

Dale O’Brien, Skagit Transit

Tammi Rubert, Jefferson Transit

Lynda Warren, Spokane Transit

Guests Present:

Jeff Beaver, Yakima Transit

Steve Doolittle, Spokane Transit

David Force, Carlson, McMahon, and Sealby

Brenda Lamb, Link Transit

Justin Leighton, WSTA

Pat McMahon, Carlson, McMahon, and Sealby (via

phone 9:57 – 10:20)

Brian White, Alliant

Call to Order President Heath called the meeting to order at 9:03 am. Heath welcomed all participants as a sign in

sheet was passed around the room. A quorum was determined to be present as Heath adjusted the

agenda to include an Executive Session to discuss possible settlement of a claim. Heath congratulated

Danette Brannin on her recent appointment as General Manager at Mason Transit Authority, and Gloria

Boyce on her appointment at Ben Franklin Transit as well. Heath also introduced the new Island Transit

Executive Director Mike Nortier. Nortier and his family reside in Oak Harbor, he is a retired naval officer.

Nortier thanked everyone for the warm welcome.

Consent Agenda Minutes – May 26, 2016

Heath asked for a motion to approve the minutes. Foreman moved to approve the minutes of May 26,

2016. Shinners seconded the motion and the motion passed. May 2016 Administrative Vouchers/Checks, May 2016 Claims Vouchers/Checks

Heath asked for a motion to approve the May 2016 Administrative and Claims Checks and Vouchers.

LaFontaine moved to approve the May 2016 Administrative Checks and Vouchers and the May

2016 Claims Checks and Vouchers. Foreman seconded the motion and the motion passed.

Action Items Governance Policy Committee Report and Governance Policies Revision: Accounting, Actuarial, Budget Development, Internal Controls, Investment, Pool Treasurer, Property Management, Purchasing, and Reimbursement for Paperless Meeting Devices

Heath said the updated governance policies are in the packet, the governance policy committee requests

the Executive Committee approve the formatting and reference changes to the policies. Franz noted two

additional changes including the accounting policy has a phantom apostrophe that needs to be removed

and the budget development policy subparagraph 4 needs to have its margin adjusted. Foreman moved

to approve the policies (Accounting, Actuarial, Budget Development, Internal Controls,

Investment, Pool Treasurer, Property Management and Reimbursement for Paperless Meeting

Devices) as presented with Franz’s edits. Jordan seconded the motion and the motion passed.

Governance Polices: Assessment Allocation, Financial Target, Minimum Contribution,

and Strategic Financial Target Ratios (do pass recommendation)

Heath said these four governance policies need to be approved by the Board so same introduction as

above (minor clerical changes) we need a do pass recommendation by the Executive Committee. Covey

asked why assessment vs contribution. Hatten explained contributions was from an earlier beginning your

assessments are determined by the Interlocal Agreement. Heath said the Assessment Allocation policy

appears to be re-written but it really is just documenting current practices. Foreman moved to

recommend approval of the Assessment Allocation, Financial Target, Minimum Contribution, and

Strategic Financial Target Ratios policies. Covey seconded the motion and it passed.

Discussion Items Emerging Risks and Opportunities Committee Report

Jordan said the Emerging Risks and Opportunities Committee met on May 12 and are working on putting

together a request for information (RFI) for training simulators. Heath asked Nortier to share his

experience with simulators. Nortier stated simulators provide a way to present risks and conduct

emergency procedures that you are unable to do in a live setting. Lohnes said he also comes from an

aviation background and has seen Tri-Met’s simulator. One of the things he liked was you can add

pedestrians that dart out, emergency vehicles approaching, and changeable weather conditions, etc. to

simulate things a driver may not see in years of driving. Heath asked what the cost of the simulators were.

Jordan said they still don’t have firm numbers but are requesting that information from L3 and other

vendors. Costs range from $300,000 to $600,000 not including truck and trailer. The committee will have

a better idea of costs, logistics, and will think about putting together a focus group. The next Emerging

Risks and Opportunities Committee meeting is August 11 at 10:30 at the WSTIP office.

Executive Committee 2016 Work Plan

Hatten stated that staff had revised the 2016 work plan to coincide with the Strategic Plan and Framework

and thanked the committee for being so engaged. The constant reporting of information is how we keep

the strategic plan moving forward, there are tasks that are Executive Committee specific and tasks that

are for staff and we appear to be on target. Heath said the response rate to the feedback survey for the

March meeting was great, and asked the Board to keep up the responses.

Jeffrey S. Ristau Scholarship Awards

Hatten noted there was one applicant from Pierce Transit for the scholarship this quarter. There is $7,300

remaining for 2016. Warren asked why some agencies had more than one recipient. Hatten said it is only

limited to one per individual per year not limited by agency. So multiple people from one agency could

receive scholarships.

Staff Evaluations: Executive Director and General Counsel

Heath said as has been past practice we will send out a survey to Board members regarding the

Executive Director and a survey to the Executive Committee regarding General Counsel. The Executive

Committee will review General Counsel’s evaluation with him, and then we will review the Executive

Directors evaluation and conclude this topic at the September Quarterly Meeting. Foreman asked if the

Executive Committee could see last year’s questions to see if there needed to be any changes. Heath

asked staff to send out the prior year survey questions.

Staff Reports (deferred to Board meeting)

Sub-Committee Reports

Nominations and Elections Committee

No report.

Board Development Committee

Shipman reported that the Board Development Committee is working on revising the member guest

program to make it easier to understand when you can bring a guest to the Board meetings. We had two

requests for training that wasn’t on the approved list, the request for National Labor Management

Conference was not added but we would entertain a request for reimbursement and the other was a

Super Forecasters group from AGRIP; LaFontaine is going to pilot and see if it is worth adding in the

future. LaFontaine said it is all web based and they are trying to learn how to predict the next big claim.

The committee will meet after the Executive Committee meeting in July.

Executive Director Succession Committee

Heath said the Committee (Heath, Hingson, Covey, Clark-Getzin, and Mehin) met and have a draft plan

which they will present at the July Executive Committee meeting.

Driver Recognition Committee

Foreman said the Driver Recognition Committee wants to recognize the drivers who have outstanding

driving records. For example Intercity Transit recently had a driver retire with 35 years of service with no

chargeable/preventable accidents and felt WSTIP should have recognized that driver. Information was

sent out but we only had one member respond so he will be working with staff to figure out a better way to

message the award, and the deadline will be extended. Lohnes said they had submitted their information

but it took quite a bit of time as they had previously only counted consecutive years of clean driving and

not cumulative. Foreman said this program wasn’t meant to make you create a new system for tracking

employees. Burress said he is currently working through to see if there are any labor implications, and

that he doesn’t agree with the program, and isn’t sure they are even going to participate.

Executive Session The Executive Committee went into Executive Session at 9:57 am pursuant to RCW 48.62.101 for not to

exceed 20 minutes; they extended the session and came out of session at 10:20 am. The Committee

gave staff specific settlement authority.

Recap/Review McCaw briefed participants on the afternoon schedule of activities. Tomorrow morning member

representative meetings will be: small group meet in the front lobby, medium group by the fireplace, and

large group in the restaurant for breakfast.

Adjournment Heath adjourned the meeting at 10:25 am.

Submitted this 28th day of July 2016.

Approved: ________________________________

Diane O’Regan, Secretary

June 2016 Administration Voucher Approval June 1st to June 30th 2016 vouchers audited and certified by the auditing officer as required by RCW 42.24.080,

and those expense reimbursement claims certified as required by RCW 42.24.090, have been recorded on a listing which has been e-mailed to the Executive Committee members on July 21, 2016.

ACTION: I, __________________________, as of this date, ________________________, 2016 Move that the following checks be approved for payment: Vouchers: Check Numbers 26329 through 26398 in the amount of $108,401.09. Internet transfers of $50,209.22 for the 06/15/2016 payroll; $47,315.50 for the 06/30/2016 payroll; and $9,410.82 for Staff Benefits for 06/2016. Internet and ACH payments for staff credit cards, travel/expense reimbursements and professional/misc. services total $43,273.21. Total voucher approval requested, including June 2016 staff payroll and Internet and ACH payments is $258,609.84. The motion was seconded by _________________________________and approved by a unanimous vote.

I, the undersigned, PRESIDENT/VICE PRESIDENT OF THE WASHINGTON STATE

TRANSIT INSURANCE POOL (WSTIP) of the state of Washington, do hereby certify that the merchandise or services, herein specified have been received and the following checks are approved for payment. ___________________________________ PRESIDENT/VICE-PRESIDENT ___________________________________ DATE

Washington State Transit Insurance PoolJune 2016 Administration Vouchers

US Bank Administration Account

Date Num Payee Despcription Account Amount

06/02/2016 26329 AGRiP AGRiP's Superforecasters - R. LaFontaine 300 · Accounts Payable 1,250.00

06/02/2016 26330 CenturyLink Telephone Services 300 · Accounts Payable 740.62

06/02/2016 26331 Comcast Comcast Business Services 300 · Accounts Payable 290.70

06/02/2016 26332 DianeO'Regan Travel Reimbursement 300 · Accounts Payable 395.28

06/02/2016 26333 Emmett--Heath Travel Reimbursement 300 · Accounts Payable 154.38

06/02/2016 26334 Enterprise Rent A Car - Los Angeles Rental Car Exp - J. Kerrigan 300 · Accounts Payable 159.78

06/02/2016 26335 Express Personnel Services Admin Services - Gallela & Spears 300 · Accounts Payable 615.23

06/02/2016 26336 FedEx FedEx Services 300 · Accounts Payable 968.82

06/02/2016 26337 Network Computing Architects, Inc. ShoreTel Phone Replacement 300 · Accounts Payable 588.72

06/02/2016 26338 Office Depot Office Supplies 300 · Accounts Payable 121.26

06/02/2016 26339 PRICEWATERHOUSE COOPERS WSTIP-Shield-MunichRe Discussion 300 · Accounts Payable 800.00

06/02/2016 26340 RICOH USA, Inc (Pasadena) Additional Images 300 · Accounts Payable 145.20

06/02/2016 26341 Shonda Shipman Travel Reimbursement 300 · Accounts Payable 200.40

06/02/2016 26342 Summit Law Group WSTIP/Columbia Co. 300 · Accounts Payable 1,539.00

06/02/2016 26343 Crystal Springs (TX) Bottled Water 300 · Accounts Payable 67.76

06/02/2016 26344 Evergreen Maintenance Landscaping, LLC Landscape Maintenance - May 300 · Accounts Payable 634.81

06/02/2016 26345 Holiday Inn Express - Lacey Board/Staff Lodging 300 · Accounts Payable 334.77

06/02/2016 26346 Island Transit Travel Reimbursement - S. Jordan 300 · Accounts Payable 183.30

06/02/2016 26347 Terminix International Pest Control Services 300 · Accounts Payable 114.24

06/02/2016 26348 Washington State Transit Association 2016 Municipal Research/Srvcs Ctr Membership 300 · Accounts Payable 10,000.00

06/06/2016 26349 Olympic View Group Inc. 2016 WSTIP Property Appraisals 300 · Accounts Payable 17,093.93

06/07/2016 ACH Geneva Financial Services, Inc. Professional Services 300 · Accounts Payable 7,436.00

06/08/2016 ACH Christian DeVoll Travel Reimbursement 300 · Accounts Payable 1,190.92

06/09/2016 26350 Andrea Powell Travel Reimbursement 300 · Accounts Payable 116.64

06/09/2016 26351 Consolidated Technology Services Technology Services 300 · Accounts Payable 818.72

06/09/2016 26352 Crowne Plaza Seattle Airport 2016 Trainer's Showcase - Room & Banquet Fees 300 · Accounts Payable 11,969.86

06/09/2016 26353 Express Personnel Services Admin Services - Gallela & Spears 300 · Accounts Payable 661.05

06/09/2016 26354 ISO Services, Inc. Maintenance Fee 300 · Accounts Payable 25.00

06/09/2016 26355 Law Lyman Daniel Kamerrer & Bogdanovich WSTIP 300 · Accounts Payable 21.50

06/09/2016 26356 Lemay - Pacific Disposal Recycling Services - May 300 · Accounts Payable 93.03

06/09/2016 26357 Network Computing Architects, Inc. ShoreTel Support 300 · Accounts Payable 323.00

06/09/2016 26358 Puget Sound Energy Electric Utilities 300 · Accounts Payable 494.16

06/09/2016 26359 Red Lion Hotel - Olympia Lodging - E. Heath 300 · Accounts Payable 111.69

06/09/2016 26360 RICOH USA, Inc Copier Lease 300 · Accounts Payable 481.69

06/09/2016 26361 StraderHallett PS 2015 Year End Financials 300 · Accounts Payable 6,480.00

06/13/2016 26362 M. Jerry Spears Travel Reimbursement 300 · Accounts Payable 194.40

06/16/2016 26363 American Driving Records Driver Abstracts - Reports 300 · Accounts Payable 33.00

06/16/2016 26364 Dept of Licensing Driver Record Monitoring 300 · Accounts Payable 3,143.52

06/16/2016 26365 Express Personnel Services Admin Services - Gallela & Spears 300 · Accounts Payable 670.60

06/16/2016 26366 Intercity Transit 2016 Risk Management Grant 300 · Accounts Payable 2,500.00

06/16/2016 26367 Island Transit 2016 Risk Management Grant 300 · Accounts Payable 2,500.00

06/16/2016 26368 National Maintenance Contractors Janitorial Services - June 300 · Accounts Payable 200.97

06/16/2016 26369 Office Depot Office Supplies 300 · Accounts Payable 222.66

06/16/2016 26370 Verizon Wireless Staff Wireless Services 300 · Accounts Payable 739.12

Page 1 of 2

Washington State Transit Insurance PoolJune 2016 Administration Vouchers

US Bank Administration Account

Date Num Payee Despcription Account Amount

06/16/2016 26371 Williams, Kastner & Gibbs PLLC Jefferson Transit 300 · Accounts Payable 96.00

06/21/2016 ACH Data Driven Safety, Inc. Driver Record Monitoring 300 · Accounts Payable 29,614.46

06/24/2016 26372 Alliant Insurance - Newport Beach 2016 Broker Fee - July Installment 300 · Accounts Payable 25,300.00

06/24/2016 26373 Citrix Systems, Inc. Citrix XenDesktop Enterprise Ed Licenses 300 · Accounts Payable 2,192.32

06/24/2016 26374 City of Olympia - Utilities Utilities: Current Billing 06-17-16 300 · Accounts Payable 719.57

06/24/2016 26375 Comcast Comcast Business Services 300 · Accounts Payable 290.70

06/24/2016 26376 Express Personnel Services Admin Services - Spears 300 · Accounts Payable 265.80

06/24/2016 26377 Tyco Integrated Security LLC Quarterly Billing: 07/01/16 - 09/30/16 300 · Accounts Payable 800.80

06/24/2016 26378 WhatcomTransportation Auth Travel Reimbursement - S. Shipman 300 · Accounts Payable 239.20

06/27/2016 26379 American Express Costco (Jerry) Credit Card Exps 300 · Accounts Payable 598.05

06/29/2016 26380 Tom Hingson Travel Reimbursement 300 · Accounts Payable 350.08

06/29/2016 Internet US Bank Visa (Purchasing Cards) Credit Card Exps 300 · Accounts Payable 5,031.83

06/30/2016 26381 Ben Foreman VOID: Travel Reimbursement 300 · Accounts Payable 0.00

06/30/2016 26382 Benjamin T Foreman III (Wireless Device) Wireless Device Reimbursement 300 · Accounts Payable 270.00

06/30/2016 26383 CenturyLink Telephone Services 300 · Accounts Payable 736.15

06/30/2016 26384 Crystal Springs (TX) Bottled Water 300 · Accounts Payable 73.82

06/30/2016 26385 FedEx FedEx Services 300 · Accounts Payable 764.96

06/30/2016 26386 Kevin Hebdon Travel Reimbursement 300 · Accounts Payable 60.48

06/30/2016 26387 Leann Hubbard Travel Reimbursement 300 · Accounts Payable 122.04

06/30/2016 26388 Lynda Warren Travel Reimbursement 300 · Accounts Payable 208.10

06/30/2016 26389 Network Computing Architects, Inc. Fortinet Firewall Renewal 300 · Accounts Payable 3,675.79

06/30/2016 26390 Patrice Carlin Travel Reimbursement 300 · Accounts Payable 190.30

06/30/2016 26391 Ramada Lodging Exps - Multiple 300 · Accounts Payable 446.80

06/30/2016 26392 RICOH USA, Inc (Pasadena) Additional Copies 300 · Accounts Payable 229.55

06/30/2016 26393 Shonda Shipman Travel Reimbursement 300 · Accounts Payable 213.39

06/30/2016 26394 Steve Doolittle Travel Reimbursement 300 · Accounts Payable 193.10

06/30/2016 26395 Summit Law Group Columbia Co. 300 · Accounts Payable 1,339.50

06/30/2016 26396 Washington State Transit Association Registrations - Christianson / Spears 300 · Accounts Payable 165.00

06/30/2016 26397 Wendy Clark-Getzin Travel Reimbursement 300 · Accounts Payable 329.22

06/30/2016 26398 Ben Foreman Travel Reimbursement 300 · Accounts Payable 331.56

151,674.30

06/02/2016 5849 Health Care Authority Staff Benefits - Inv Month: 06/2016 300 · Accounts payable 9,410.82

06/15/2016 Wire Trans WSTIP Payroll Account 06/15/2016 Payroll & Taxes 300 · Accounts payable 50,209.22

06/30/2016 Wire Trans WSTIP Payroll Account 06/30/2016 Payroll & Taxes 300 · Accounts payable 47,315.50

Total 258,609.84

Page 2 of 2

June 2016 Claims Voucher Approval June 1st to June 30th 2016 vouchers audited and certified by the auditing officer as required by RCW 42.24.080, and those expense reimbursement claims certified as required by RCW 42.24.090, have been recorded on a listing which has been e-mailed to the Executive Committee members on July 21, 2016.

ACTION: I, __________________________, as of this date, ________________________, 2016 Move that the following checks be approved for payment: Vouchers: Check Numbers 8609 through 8679 in the amount of $3,013,750.35. Total voucher approval requested is $3,013,750.35. The motion was seconded by _________________________________and approved by a unanimous vote.

I, the undersigned, PRESIDENT/VICE PRESIDENT OF THE WASHINGTON STATE

TRANSIT INSURANCE POOL (WSTIP) of the state of Washington, do hereby certify that the merchandise or services, herein specified have been received and the following checks are approved for payment. ___________________________________ PRESIDENT/VICE-PRESIDENT ___________________________________ DATE

Washington State Transit Insurance PoolJune 2016 Claims Vouchers

US Bank Claims Account

Issue Date Check Number Status Pay To The Order Of Bank Account Amount

6/3/2016 8609 Cleared Asotin County PTBA US Bank 4,335.04

6/3/2016 8610 Cleared Baptiste, Tremar US Bank 4,822.39

6/3/2016 8611 Cleared Carlson, McMahon & Sealby, PLLC US Bank 34,355.21

6/3/2016 8612 Cleared Central Collision, Inc. US Bank 2,466.34

6/3/2016 8613 Cleared Counsell, Murphy & Cox, PS US Bank 928.00

6/3/2016 8614 Cleared Enterprise Rent A Car US Bank 248.91

6/3/2016 8615 Cleared Helmsman Mgt Svc TPA for UPS US Bank 132.17

6/3/2016 8616 Cleared Hendricks-Bennett, PLLC US Bank 2,455.00

6/3/2016 8617 Cleared Jacobsen, Jenifer L. US Bank 5,718.00

6/3/2016 8618 Cleared Kitsap Transit US Bank 1,290.64

6/3/2016 8619 Cleared Mason Transit Authority US Bank 22,500.00

6/3/2016 8620 Cleared Port Orchard Auto Body US Bank 60.87

6/3/2016 8621 Cleared River City Body & Paint US Bank 250.00

6/3/2016 8622 Cleared Sanders, Janet US Bank 1,000.00

6/3/2016 8623 Cleared Summit Law Group US Bank 10,739.97

6/3/2016 8624 Cleared TechRecon, Incorporated US Bank 1,970.00

6/3/2016 8625 Cleared Thomas Wickizer US Bank 18,926.25

6/9/2016 8626 Cleared Ben Franklin Transit US Bank 1,584.71

6/9/2016 8627 Cleared CCC Information Services, Inc. US Bank 54.96

6/9/2016 8628 Cleared City South Auto Body US Bank 704.10

6/9/2016 8629 Cleared Community Transit US Bank 300.00

6/9/2016 8630 Cleared Craig Swapp & Associates Trust Acct US Bank 4,500.00

6/9/2016 8631 Cleared Daniel K. Nuner US Bank 4,374.87

6/9/2016 8632 Cleared Enterprise Rent A Car US Bank 248.11

6/9/2016 8633 Cleared Extreme Auto LLC US Bank 1,914.57

6/9/2016 8634 Cleared IOD, Inc US Bank 74.49

6/9/2016 8635 Cleared JG McDonald and Associates US Bank 198.00

6/9/2016 8636 Issued Kassa Insurance Services, Inc. US Bank 413.42

6/9/2016 8637 Cleared Medical Evaluation Specialists, Inc. US Bank 625.00

6/9/2016 8638 Cleared Partners Claim Services, Inc. US Bank 986.00

6/9/2016 8639 Cleared Smith Goodfriend, PS US Bank 4,887.40

6/9/2016 8640 Cleared The Rawlings Company LLC US Bank 81.78

6/9/2016 8641 Cleared Fuller, Kevin & Smaciarz, Tyler US Bank 200.00

6/7/2017 8642 Issued Fuller, Kevin & Smaciarz, Tyler US Bank 2,664.72

6/9/2016 8643 Cleared Gantuku, Peter US Bank 100.00

6/9/2016 8644 Cleared Gantuku, Peter US Bank 850.69

6/10/2016 8645 Cleared Otorowski, Johnston, Morrow & Golden Trust Acct US Bank 2,750,000.00

6/10/2016 8646 Cleared Providence Holy Family Hospital US Bank 86.26

6/10/2016 8647 Cleared Kahler, Ardyce US Bank 1,141.15

6/17/2016 8648 Cleared Applied Cognitive Sciences, Inc. US Bank 288.75

6/17/2016 8649 Cleared Auto Art Body & Paint, Inc US Bank 228.70

Washington State Transit Insurance PoolJune 2016 Claims Vouchers

US Bank Claims Account

Issue Date Check Number Status Pay To The Order Of Bank Account Amount

6/17/2016 8650 Cleared Cascade Valley Hospital US Bank 61.12

6/17/2016 8651 Cleared CCC Information Services, Inc. US Bank 300.89

6/17/2016 8652 Cleared Enterprise Rent A Car US Bank 222.24

6/17/2016 8653 Cleared IOD, Inc US Bank 31.55

6/17/2016 8654 Cleared J&E Appraisal, LLC US Bank 110.00

6/17/2016 8655 Issued Kassa Insurance Services, Inc. US Bank 619.50

6/17/2016 8656 Cleared Law, Lyman, Daniel, Kamerrer & Bogdanovich, PS US Bank 4,433.74

6/17/2016 8657 Cleared Malarchick Law Office US Bank 4,199.00

6/17/2016 8658 Cleared Partners Claim Services, Inc. US Bank 1,224.00

6/17/2016 8659 Cleared The Hartford US Bank 5,413.88

6/17/2016 8660 Cleared Brown-Greer, Sharon US Bank 3,182.61

6/17/2016 8661 Cleared Michael & Alexander PLLC US Bank 20,161.98

6/17/2016 8662 Cleared Olson Law Firm Trust Acct US Bank 25,000.00

6/17/2016 8663 Cleared Paine Hamblen LLP US Bank 897.50

6/17/2016 8664 Issued Vancouver School of Arts and Academics US Bank 5,000.00

6/17/2016 8665 Cleared Williams, Kastner & Gibbs PLLC US Bank 15,095.16

6/24/2016 8666 Cleared American Way Auto Body US Bank 1,470.26

6/24/2016 8667 Cleared Beidle, William US Bank 6,515.76

6/24/2016 8668 Cleared C-Tran US Bank 9,372.03

6/24/2016 8669 Cleared Fine Lines Collision & Customs LLC US Bank 314.22

6/24/2016 8670 Cleared Higgens, Stephen US Bank 4,939.40

6/24/2016 8671 Cleared IntercityTransit US Bank 4,945.06

6/24/2016 8672 Cleared J&E Appraisal, LLC US Bank 148.00

6/24/2016 8673 Issued Kassa Insurance Services, Inc. US Bank 1,846.00

6/24/2016 8674 Cleared Northwest Motorsports US Bank 450.00

6/24/2016 8675 Cleared Partners Claim Services, Inc. US Bank 663.00

6/24/2016 8676 Cleared Summit Law Group US Bank 4,872.50

6/24/2016 8677 Cleared USAA US Bank 463.35

6/24/2016 8678 Cleared Van Cleave, Tommy US Bank 1,875.00

6/27/2016 8679 Issued Larrys Auto Body US Bank 1,216.13

Total 3,013,750.35

July 19, 2016

TO: WSTIP Executive Committee

FROM: Jerry Spears, Deputy Director

SUBJECT: Collision Avoidance Update

Update:

The four-month data collection period for the collision avoidance pilot ended June 30th. Pierce Transit,

King County and Ben Franklin Transit have elected to keep the Shield Plus equipment running on their

buses. Intercity Transit, Community Transit, Kitsap Transit, C-Tran and Spokane Transit have elected to

have the equipment removed.

Under the TRB IDEA Grant research contract, reports are due on a quarterly basis and the research is

broken out in the following ways as outlined below:

Report Number Payment Period Due Date Amount

1st qrtrly report: 01/19/2016 -04/19/2016 04/19/2016 $15,000

2nd qrtrly report: 01/19/2016 07/19/2016 07/19/2016 $15,000

3rd qrtrly report: 01/19/2016 10/19/2016 10/19/2016 $15,000

Stage I report: 01/19/2016 12/19/2016 12/19/2016 $15,000

5th qrtrly report: 01/19/2016 04/19/2017 04/19/2017 $20,000

Final report: 01/19/2016 07/19/2017 07/19/2017 $20,000

TOTAL $100,000

We are currently expected to finish stage 1 of the TRB research by December 2016.

Stage 1: Acquisition and installation of equipment including data collection and historical crash data research

TASK 1: Acquire and install the ROSCO/MOBILEYE equipment COMPLETED

TASK 2: Investigation and data collection COMPLETED

TASK 3: Stage I Report:

A Stage 1 draft report for the project will be prepared and submitted by the project investigators to the expert review panel for their review and comment. Following this review, a Stage 1 final report will be submitted to the IDEA program office, along with written review comments and responses. The Stage 1 report will detail the results and findings of this stage and identify strategies for Stage 2 to address any issues.

Stage 2: Data Analysis, Conclusion, and Final Report

TASK 4: Analysis and Conclusion

Page 2 of 5

The principal researchers will collate and perform analysis on available data to test the hypothesis that collision warning systems reduce accidents, save lives and injury at a cost well below the benefits derived from such systems. Task 4 will involve collision avoidance data analysis, agency operational and maintenance data analysis and the development of installation and operational lessons learned.

TASK 5: Final Report Preparation and Approval

This task encompasses the processes associated with the production of the final research report. The objectives of the report are as follows:

Develop and report the findings and methodology for estimating the full costs savings of

avoided collision for each agency and determine the reasons for anticipated results.

Provide guidance on the approach for implementing collision avoidance including tools to

educate transit leadership on the costs and benefits of implementing this technology.

Provide detailed data on entrance barriers (i.e. operational acceptance and rejection

issues) to the implementation of collision avoidance systems within public transit.

Description of the approach to implementation, considering partnerships, customer base

and lessons learned from this project.

Accomplishments during This 2nd Quarter The objectives of the Active Safety-Collision Warning Pilot are stated below, together with a brief statement of what we accomplished in this quarter towards achieving the objectives:

Objective: Create a robust Rosco/Mobileye demonstration pilot for active/collision avoidance within the State of Washington on a minimum of 35 transit buses at seven WSTIP members. Accomplishments: Operated WSTIP and KC Metro Transit buses equipped with Shield+ systems during this quarter and logged 352,129 miles and 23,798 operating hours.

Objective: Determine the ease of retrofit of the existing fleet. Accomplishments: Examined the operating and maintenance requirements for the Shield+ system by maintaining a “trouble ticket” log. Seventeen trouble tickets were logged.

Objective: Develop a methodology for estimating the full costs savings of avoided collisions for each agency. Accomplishments: Examined 232 closed claims for Washington State Transit Insurance Pool spanning January 1, 2006 - December 31, 2015.

Objective: Develop a methodology and evaluation process for transit operator feedback and acceptance as well as bus passenger feedback. Accomplishments: Three operator surveys were administered.

Objective: Provide detailed data and understanding on entrance barriers to this technology (i.e. operational acceptance and rejection issues). Accomplishments: Approximately 16,600 hours of video data was collected and processed, representing about 10,000 events

captured by the Shield+ system. Work Performed during This Quarter During this quarter, work was performed on Task 2: Investigation and data collection (Duration 5 months)

Upload telematics data to the research database from each vehicle on a routine basis Each bus was equipped with an Ituran telematics unit. Each telematics unit communicated directly with a server and uploaded event data in real time. Three of the 38 buses in the project (Kitsap #752, Pierce #9203, and Spokane #10701) experienced communications failures due to faults in the telematics units and did not report data during the test period. The following event data for 35 buses were logged from the Shield+ system:

Exceeded Speed Limits

HW (Headway Monitoring)

UFCW (Urban Forward Collision Warning; speed 0 to 19 mph)

FCW (Forward Collison Warning; speed > 19 mph)

Page 3 of 5

Mobileye Pedestrian Collision Warning Right (PCWR)

Mobileye Pedestrian Collision Warning Left (PCWL)

Mobileye Pedestrian Collision Warning Left Front (PCWLF)

Mobileye Pedestrian Collision Warning Forward (PCW)

Total Audible alerts

Total Audible alerts related to forward facing events

Total Visual Only - Pedestrian Detections resulting in yellow indicator illumination but no audible alerts (PDZs)

Obtain operator reactions to the warning systems through the use of both manual and automated survey instruments.

Operator survey instruments were developed for administration through distribution of paper

questionnaires and for direct entry via computer. A copy of the questionnaire is attached as

Exhibit A. The survey was administered three times, to determine if driver reactions would

change over time. The following numbers of responses were received: April – 115, May – 85,

and June – 75. King County Metro participated only in the April survey, which increased the

number of responses.

Collect pedestrian incident data on a routine basis for each vehicle. During the test period, for comparison, we also accumulated incident and claims data on all buses not equipped with Shield+ at each of the WSTIP member agencies participating in the pilot. We found the following:

There were no fatal accidents between 4/1/16 and 6/30/16 involving a WSTIP bus and a 3rd

party person or vehicle.

WSTIP has 25 members. Between 4/1/16 and 6/30/16 WSTIP members reported 395 events

involving fixed route buses. There were 39 possible injuries from those 395 events.

WSTIP members reported 44 collision or sudden stop events which resulted in 22 possible

injury claims.

WSTIP’s seven members participating in the pilot reported 284 events on their fixed route

buses during this time period, including six collisions with pedal cycles, three collisions with

pedestrians, and one collision with a motorcycle. There were 34 possible injuries from those

284 events, including two pedal cyclists. No Shield+ equipped buses were involved in any

collision with cyclists or pedestrians.

WSTIP’s seven participating members reported 32 collision or sudden stop events which

resulted in 19 possible injury claims.

Table 1 below shows all reported incidents involving Shield+ equipped buses for the test period. None of the events resulted in injuries. None of the incident types would have generated Shield+ alerts.

Table 1. Reported Incidents from April 1, 2016 through June 30, 2016 for Buses Equipped with Shield+ Source – WSTIP TRB Grant Collision Data 4-1 to 6-30-16xlsx

Agency Bus # Date Incident # Description Additional Detail

Community 11103 4/27 16-001566 Collision with: Other Hit construction cones

Community 11103 5/02 16-001617 Collision with: Fixed object

Hit curbside obstruction damaged Shield+ camera

C-TRAN 2204 4/18 16-001286 Mirror strike Hit parked car mirror with rear of bus

C-TRAN 2215 4/25 16-001517 Collision with: Fixed object

Hit curbing - severe scuff marks on right side of bus

C-TRAN 2204 6/20 16-002433 Mirror strike Hit mirror of another bus

Page 4 of 5

Intercity 411 5/26 16-001947 Collision with: Fixed object

Hit construction fence Shield+ camera knocked off

Intercity 411 6/18 16-002265 Collision with: Other vehicle

Bus hit by turning car

Kitsap 752 6/23 16-002311 Collision with: Other vehicle

Hit parked car mirror

Spokane 10701 5/31 16-002020 Mirror strike Hit parked car

Spokane 12702 6/17 16-002321 Collision with: Other vehicle

Hit parked car while pulling away from curb

Evaluate alerts and warnings for each incident and validate the information against an independent video system. University of Washington’s STAR Lab processed 717 SD cards received from the Dual-Vision XC camera systems installed on each Shield+ equipped bus and converted video clips from asd format into avi format. SD cards are cycled back to the transit agencies for reuse in the project. The video captured approximately 10,000 events spanning 16,600 hours, and required 19 Terabytes (TB) of storage. Telematics and g-force data were downloaded directly from the Ituran web site and stored for retrieval and correlation with video clips at the STAR Lab. A major objective is to extract pedestrian/bus near miss events. In Task 2, a general metric for the closing rate between pedestrians and buses is being developed. Classification categories are being developed for events based on approach direction and time to collision thresholds. More information can be found in Exhibit C.

Mine relevant historical accident data for relevance to the current project We examined 232 closed claims for Washington State Transit Insurance Pool spanning January 1, 2006 - December 31, 2015 as seen in Table 2 below. Major findings include:

100% of fatalities (6 total) were collision-related (vehicle, pedestrian, and bicyclist)

88% of injuries (335 total) resulted from collisions or sudden stops

94% of claims ($24.9 million total) resulted from collisions or sudden stops

Table 2 Tabulations of Washington State Transit Insurance Pool Closed Claims by Type of Claim January 1, 2006 to December 31, 2015

Ben Franklin Fixed Route, C-Tran Fixed Route, Community Fixed Route, Intercity Fixed Route, Kitsap Fixed Route, Pierce Fixed Route, Pierce Sound Transit, Spokane Fixed Route where Coverage is equal to

Auto Liability : Legacy or Auto Liability: Bodily Injury (3rd Party) or Auto Liability: Property Damage (3rd Party)

Run March 31, 2016

Incidents

Total Claims $

% of Total Claims $

Average Claim $

Fatalities

Injuries Fatal + Injured

Collision with Other Vehicle 174 11,834,203 47 68,013 2 212 214

Collision with Person 18 6,476,442 26 359,802 3 15 18

Collision with Bicyclist 2 2,436,701 10 1,218,350

1 0 1

Non-Collision - Sudden Stop 30 1,645,612 7 54,854 0 38 38

Non-Collision - Board/Alighting

36 1,345,139 5 37,365 0 29 29

Collision with Fixed Object 8 878,405 4 109,801 0 29 29

Non-Collision – Slip/Fall/Trip 9 233,656 <1 25,962 0 8 8

Other 5 90,232 <1 18,046 0 4 4

Totals 282 24,940,390 100 -- 6 335 341

Page 5 of 5

Next Steps: On July 7th Pierce Transit, WSTIP Staff and DCS Engineering tested an active collision avoidance solution

at the Pierce Transit base on a Pierce Transit bus installed with Shield Plus. This solution activates the

brakes and throttles down the engine when the underlying Shield Plus system generates a red alert. Click

on the link to view the testing:

Video Link: https://youtu.be/Ydj_umL-rd4

King County introduced WSTIP Staff to DCS. King County would like to continue partnering with WSTIP

on evaluating DCS and Mobil Eye together. They are proposing an additional pilot based on DCS and

MobilEye.

Dr. Jerry Lutin (he is one our principal investigators) will be in Washington State the last 2 weeks of

September. He and I are speaking at the DOT Conference in Wenatchee. Dr. Lutin plans to visit all 7

WSTIP pilot participants to discuss installation, maintenance and utilization of the system. He would like

to meet with Operators at each agency that used the system during the data collection period. This effort

by Dr. Lutin will be incorporated into the overall TRB research.

At the AUVSI conference I learned there are additional vendors that we could evaluate as possible

additional aftermarket collision avoidance solutions. I will gather additional data on this.

Rosco is meeting with Gillig this week to discuss adding Shield Plus as a future option on Gillig bus builds.

300 Columbus Ohio buses will have Shield Plus installed on their fleet by the end of the year. NYC Metro

will have 140 buses installed with Shield Plus by February 2017.

July 19, 2016

TO: WSTIP Executive Committee

FROM: Jerry Spears, Deputy Director

SUBJECT: Fleet Safety Program – Vanpool Telematics

Background:

After the April 2016 collision avoidance meeting in Seattle involving Munich RE, WSTIP, King County,

Pierce Transit and Kitsap Transit, The Munich Re Director of Strategic Innovation suggested to WSTIP

Staff we be might be interested in a 90-day safety pilot with Orion Fleet Intelligence. Munich Re would

pay for the pilot and Munich RE indicated that installation efforts are minimal.

Given all of the following outlined below:

WSTIP commitment to reducing members cost of risk as outlined in the mission statement

Munich RE is paying for this pilot

Installation efforts seem minimal

This appears to be real technology based loss prevention effort with a lot of safety and training

incorporated into the pilot

It seems like a win/win for everyone. Staff approached the Emerging Risk Committee and the Chairs of

the WSTA Vanpool Committee’s to gauge their interest to participate in this pilot. Pierce Transit has

some other projects right now so they could not do it this year. Intercity Transit expressed some interest.

Community Transit is considering it and Island Transit is planning to do the pilot in September. Orion has

spoken to Intercity Transit and Island Transit about it. Community’s initial meeting is scheduled for

August.

What is this program from Orion?

Orion indicated the following will occur with this program:

improves high risk driving by 70%, reducing commercial auto claim frequency by 20% and insurance losses paid by 30%-60%.

We also impact auto related workman’s comp performance.

Focuses on a combination of driver monitoring technology, our in-house data analytics team, and driver coaching. Orion’s Client Success Team does the heavy lifting for the insured to ensure they are successful.

Generates fuel and operations savings, reducing costs and increasing efficiency

According to Orion “Our service combines state-of-the-art technology, expert analytical staff and a unique

delivery approach that generates unmatched results without burdening our customers or their drivers with

more work.

Page 2 of 2

We work hard to make safety and efficiency something that just happens—something that our customers

don’t have to think about or worry about—while holding the results to the highest standard. When we help

our customers achieve and maintain that kind of success, everybody wins: our customer, their insurance

providers and brokers, their drivers and consumers.

From our headquarters in the Philadelphia suburbs, we have been serving our customers nationwide–

both directly, and with the support of our insurance partners, for more than 10 years.” Here is a link to

their website. http://www.orionfi.com/

The pilot program is designed into three phases. They are the baseline, improve and sustain. We appreciate Intercity Transit and Island Transit participating in the pilot and that Community Transit is considering the pilot. If you have any questions or comments, please let me know.

• Guided program ensures value discovery & long-term success• Tailor reporting to your organization’s needs• See impact within weeks• Validate ROI before capital outlay

IMPROVE SAFETY & CUT ACCIDENTS: up to $1,000 per vehicle per year

• Protect your employees, clients & the public• Control the risk of accidents & violations

REDUCE OPERATING COSTS: up to $2,000 per vehicle per year

• Control the rising costs of fuel• Improve driver habits & performance

INCREASE REVENUES & PROFITS: up to $10,000 per vehicle per year

• Improve delivery of products & services• Operate at maximum efficiency

Program Benefits

ORION VALUE DISCOVERY PROGRAM©

Phase I – Baseline: You can’t improve what you don’t measure. Benchmark your current performance to reveal existing safe-ty risks, wasteful practices, and operational inefficiencies.

Phase II – Improve: Realize actual savings and safety gains. Be guided in the use of online tools, and learn how to apply customized reporting and coaching to dramatically cut at-risk incidents, save fuel, and improve operations.

Phase III – Sustain: Create a lasting culture change. Integrate new processes and insights so that operational improvements and safety gains become habitual.

1200

200

0

400

600

800

1000

1 5 6 7 8 9 10 11 123 42

INST

AN

CES

PER

WEE

K

ORION ENHANCED STAGEIMPROVEMENT

STAGEBASELINE

STAGE

WEEKS

SPEEDING6 + MPH

SPEEDING10 + MPH

TRI-PHASE DRIVER IMPROVEMENT PROGRAM

Improved Safety & Fuel Consumption

Endorsed. Facilitated. 90-Day Path To Success

GPS Fleet deployments promise increased safety, lower costs and more efficient operations. But achieving success is not easy. More than great technology, it takes an expert-guided process from a hands-on partner to turn data into lasting value.

That’s why we’re excited to endorse Orion Fleet Intelligence and their truly unique Value Discovery Program©—a low-risk, facilitated, 90-day path to success that will allow you to discover high-impact results within weeks, and teach you how to achieve and sustain success, all before making a long-term capital commitment.

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VALUE DISCOVERY PROGRAM©

Typical Client Results

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90-Day Loss Control Program Includes Hardware, Service, Reporting, Analytics & Driver Coaching

A $3,300 Program For No-Cost Through Your Carrier (For select fleets of 15 vehicles or more. Modified programs

available for fleets under 15)

“We had previously deployed another GPS vendor but halted expan-sion because of the challenged of having to figure out how to make the data meanigful. With the Value Discovery Program©, however, we were able to establish how well Orion filled this need. The decision to expand to our entire fleet was an easy one.”

— CEO, Delta Community Supports

“This program has saved us over $80,000/year in fuel—it actually covers the cost of our auto premiums. We cut dangerous speeding in-stances by 84%, and eliminated 3.2 hours/month/vehicle of unauthor-ized travel. My only regret is not starting sooner.”

— Senior VP, Finance, Human Services

CLIENTS KNOW BEST

CUSTOMIZED ANALYTICSBenchmark Progress & Sustain Successes

OPTIMIZED FLEET OPERATIONS $25-$500Orion’s customized reporting lets you identify and address patterns of lost time to optimize employee and fleet utilization, with metrics including

• on-time starts• adherence to schedule/first stop• time-on-job/time-between jobs• unauthorized stops.

Orion’s data also easily integrates with third-party dispatch and routing systems to improve route opti-mization and on-time service results.

FUEL EFFICIENCY $25-$150High-speed driving and idling result in excess fuel consumption. The Orion Driver Improvement Program typically cuts wasteful driving habits by 25-75%.

UNAUTHORIZED USE $25-$500Orion’s reporting provides visibility into schedul-ing and usage patterns of drivers in afterhours and unauthorized areas, reduces operating costs, and limits operating risk created by non-work activities.

Parking Lot

Pet Store

Known Stop Lunch / Home Stops Idle Stops / Unknown Stop

ShoppingMall

McDonalds

RISK ANALYTICS ENABLE TARGETED COACHING

51 2 3 4 6 7 8

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AVERAGE

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RISK MANAGEMENT $10-$85 Quickly benchmark all drivers and focus compliance initiatives on targeted high-risk behaviors. Targeted training reduces high-risk behavior by 40-97%.Document time and location of all deliveries to sup-port failure-to-deliver/non-delivery claims.

VALUE DISCOVERY PROGRAM©

GPSFLEET INTELLIGENCE

Typical Savings*(per vehicle per mo.)

* Savings vary by customer. Use Orion’s Value Discovery Program© to uncover your company-specific savings before any investment.

2016 Executive Committee Work Plan

Who Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec

2017

Jan Feb Mar

1

Review efficacy of Committees/Charter

and Close Committees EC*

*

2 Ron's evaluation/Al's evaluation President/EC * * *

3 Training Coalition appointment EC / Tracey

4 Executive Director's salary review EC/Board * * * *

5 Employee handbook EC *

20 Audit/Finance

Executive

Committee/Ben

21 Board Development

Ben, Staci, Rob L.,

Shondacharter * * * * * * * * * *

22 Emerging Risks and Opportunities

Staci, Ed, Ben, Rob H.,

Rob L., Ken, & Mike* * * *

23 Governance Emmett, Paul, & Diane * * * * * * * * * *

24 Nominations Emmett, Paul, & Diane * * *

25 Executive Director Succession Committee

Emmett, Ken, Nick,

Wendy, Tom * * * * * * *

28 Driver Recognition Committee

Ben, Paul G., Rob H.,

Mike R., Shonda charter * * * * * * * * * * * * * *

Who Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec

2017

Jan Feb Mar

SP1 Loss Prevention (1a-c) EC * *

SP2 Loss Control (2a-i) EC * * * *

SP3 Board & Staff Relationships (3a-e) EC * * *

SP4 Stable Rates (4a-c) EC *

SP5

Develop Products & Services to meet

member needs (5a-e) EC * * * *

KEY: * = start and SUN SYMBOL = end

Working Principles on Page 3

Mental Models on Page 4

Subcommittees

Strategic Priorities Review

General Work Items

Page 1 of 6

2016 Executive Committee Work PlanWORKING PRINCIPLES*

1 Strive for transparency about the role you are playing.

2 Instead of driving an issue, the Executive Committee will work from its work plan to decide what to do.

3 Operate under parliamentary procedures.

4 Be recognized before speaking.

5 Members will come prepared; read materials in advance and participate during the meeting.

6 Try not to dominate the conversation; let someone else have a turn.

7 Finish the meeting on time.

8 No side conversations.

9 Show respect by adhering to principles 4 and 8.

10 The President runs the meetings; not the Executive Director.

11 The Executive Committee can agree to allocate more time to discuss a topic.

12 The Executive Committee decides by majority rule, but strives for consensus. Consensus is defined as the

ability for every Executive Committee member to be able to live with the decision.

13 The Executive Committee will flag "hot topics" for members to check in with members on.

14 Proposals to the Board are forwarded with Executive Committee endorsement. Proposals that require Board

action, Executive Committee members can share their opinion if they disagree with the Executive

Committee's recommendation.

15 The Executive Committee will review their work plan every month and identify what needs to be taken to

members.

16 Make sure that communication to the Board is complete.

*Working Priniciples originally formed during the 2007 Executive Committee Retreat, November 29 and 30, 2007; revised during 2009

Executive Committee Retreat, Jnauary 22 and 23, 2009. Reviewed at Executive Committee 2011 Retreat. Revised during the 2012 Retreat.

Working principles were not changed in 2014, 2015, and 2016.

TRIBAL RULES*

1 Put the needs of WSTIP first.

2 Serve as member representative before taking a leadership role.

3 Provide a development track for members.

4 Expect people to take a leadership role.

5 Everyone who ran for Executive Committee office can come to the Executive Committee retreat.

6 No side deals -- raise your concerns with the entire Executive Committee

7 Everyone's views are heard. Once Board decision is made, support it.

8 Respect the office -- respect the roles each person takes.

*Tribal Rules added at 2012 retreat and unchanged since addition.

Page 2 of 6

2016 Executive Committee Work PlanMENTAL MODELS

1 . WSTIP Board will meet four times per year.

2 . WSTIP will offer $20,000,000 in policy limits for Auto/General Liability.

3 . All Members will receive the same Risk Management Grant of $2,500.

4 . All members are assessed on the same rating methodology.

5 . The Executive Director will be hired by the Board and evaluated annually.

6 . General Counsel is hired by the EC and evaluated annually.

6 . All best practices will be agreed to on a voluntary basis (exception: driver record monitoring).

7 . Membership is restricted to Washington State transits of a minimum size and experience history.

8 . WSTIP primary purpose is insurance.

9 . No rail or ferry coverage will be offered.

10 . General wage adjustments are subject to the action taken by Intercity Transit and approval by the Board.

11 . Auto liability rates are determined by mileage and experience.

12 . General/Public Officials (E & O)/Property rates are all determined by the actuary with no experience rating.

13 . Claims will be resolved in a "fair, equitable and responsible" manner.

14 . Subrogation is a value added service and all recovery is returned to the members.

15 . WSTIP offices will be located in Olympia.

16 . WSTIP/WSTA relationship will be collaborative and mutual.

Page 3 of 6

2016 Strategic Priority Staff Work Plan

Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar

Executive

Committee * *

Loss Prevention

WSTIP desires to keep people and property

safeReduce claims resulting from aggressive braking,

pedestrian/bicycle strikes and improper mobility

device securement by 10% over the previous year

by December 31, 2017.

By December 2020 have a minimum of a 50%

reduction in claim frequency and severity of claims

greater than $500,000 as compared to the loss data

December 31, 2015.

1a.

Document accountability and compliance to Best

Practices with annual reporting to Board by December

2016. Christianson

1b.

Conduct ongoing reconnaissance for emerging risks

with semi-annual reporting to the Executive Committee

on findings and recommendations. Christianson *

1c. Reduce bus pedestrian/cyclist strikes to "zero."

Christianson &

Spears

*

Report out by June 2017 on outcomes of the Collision

Avoidance Pilot Study. Spears

*

Compare idea grant study to the loss data of December

31, 2015, and index mileage as baseline. Spears

Loss Control

Increase Board member representative awareness

of claim cost via the Origami data reports to be

completed by December 2016.

2a.

Provide access to automated reports on

indemnity/expense claim cost by May 2016 to at least

15 of 25 members. Spears

2b.

Establish a baseline of pedestrian strikes, mobility

device securement accidents, and rear-end collisions by

June 2017. Spears

2c.

Review large loss report greater than $100,000

categories by claim types of the Annual Meeting Spears Achieve fair and equitable settlements as measured

by ensuring member representatives are invited to

settlement discussions and/or to participate in

mediations for claims above $100K effective July 1,

2016.

2d.

Ensure all adjusters know/understand the WSTIP claim

philosophy and claims manual and sign their

acknowledgement by August 1, 2016. Spears

Adopt SMART Goals

2017

Strategic Priority Review

2016Who

Page 4 of 6

2016 Strategic Priority Staff Work Plan

Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar

Adopt SMART Goals

2017

Strategic Priority Review

2016Who

2e.

Ensure all parties (member transit, adjusters, legal) are

kept in the communication loop via the Origami

database. Spears

2f.

Provide notice to members regarding liability

settlements greater than $100K by July 1, 2016. Spears

2g.

Train and support all Origami data-entry users on basic

use by September 2016. Spears

2h.

Establish data points on complaints by claimants and

members. Spears Develop best practices for investigating and

document accidents.

2i.

Have adjusters subscribe to the code of conduct in the

Claims Manual by December 2016. Spears

Board and Staff

Engagement/

Relationships

Improve Board engagement as measured by

participation in Board activities such as meetings,

workshops, member representatives meeting, out-

of-state travel and joint programs with other

stakeholders

3a.

88% participation at all quarterly Board meetings

(minimum of 22 members present). Christianson

3b.

60% participation in board member training

opportunities supported by WSTIP (in and out of state) Christianson

3c.

After quarterly meetings, conduct short surveys on

location, content, like, dislikes, and food. Christianson * * * Improve Board knowledge and education as

measured by testing and completion of the "Behind

the Curtain" exercises.

3d.

75% completion of the Board Orientation program,

"Behind the Curtain" by all appointed and alternate

member representatives by December 2016. Christianson

3e.

Short quizzes at member representative meetings

(pass/fail). Group discussion. Christianson * * *

Stable Rates

Verify that WSTIP composite rates are competitive

as compared to the private insurance market for

similar products and services.

4a.

By Sept 2016 the broker will secure market indicators of

rates for a minimum of 2 WSTIP members based on

low claims events and size. Hatten Maintain WSTIP rate stability and strive to ensure

rates increase are not greater than 5% of the

previous year.

Page 5 of 6

2016 Strategic Priority Staff Work Plan

Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar

Adopt SMART Goals

2017

Strategic Priority Review

2016Who

4b.

No composite mileage, property, and vehicle

components rate increase greater than 5% by

September 2016. Hatten

4c.

Ensure the rate supports the long range goal "to have

the option to self-insurance liability events up to $5

million on or before 2023" by September 2016. Hatten

Develop products

and services

Improve utilization/usefulness of products and

services as measured by 75% participation on a

member survey on a triennial basis by September

2016

Improve member satisfaction, by achieving no less

than an average combined rating of 4 overall on a

scale of 1-5 by October 2016.

Improve response rate of surveys as measured by

prior surveys participation and targeted audiences

to be accomplished by September 2016.

5a. Define who should receive surveys by March 2016. Christianson *

5b. Develop survey to respective audiences by June 2016. Christianson *

5c.

Initiate surveys and work to get a 75% or greater return

by September 2016. Christianson *

5d.

Report out to the Executive Committee by October

2016. Christianson *

5e. Make recommendations to the Board December 2016. Christianson

Page 6 of 6

SERIOUS LOSS REPORT

COLUMBIA COUNTY PUBLIC TRANSPORTATION VS FULBRIGHT

Background on Columbia County’s Service

Columbia County Public Transportation runs a demand response system. A demand response system is

one where passenger trips are generated by calls from passengers or their agents to the transit agency

who then dispatches a vehicle to pick the passengers up and transport them to their destination. The

operation is characterized by the following:

The vehicles do not operate over a fixed route or on a fixed schedule, except perhaps, on a

temporary basis to satisfy a special need

Typically the vehicles may be dispatched to pick up several passengers at a different pick-up

points before taking them to their respective destinations and may even be interrupted in-route to

these destinations to pick up other passengers.

The following types of operations are allowed under the demand response: many origins to many

destinations, many origins to one destination, one origin to many destinations, and even one origin to one

destination.

This means the people with disabilities and people without disabilities are riding together in the same

vehicles in a truly integrated service. When passengers or their agents call to schedule a pickup the only

questions that are asked about a passenger is not about “disabilities” per se but about the assistance the

passenger needs in getting on the bus, off the bus, with their personal belongings. Lastly, they are asked

whether they will need a mobility device securement area. All riders pay the same fare either at time of

service to the driver or by purchasing a monthly pass. Care givers are allowed to ride for free if they pre-

identify with their passenger at the time of the ride being scheduled.

All of Columbia County’s buses are cutaway style buses with seatbelts for every seated position.

Columbia County requires seatbelts to be worn by all passengers including those riding with their mobility

devices.

Background on the Plaintiff Fulbright

Ms. Fulbright was a common passenger on Columbia County’s service. Columbia County began

transporting Ms. Fulbright sometime in 2010 in conjunction with a Dayton School District program to

assist special education students with learning life skills. Specifically Ms. Fulbright went from Dayton to

Walla Walla, approximately 35 miles. Ms. Fulbright’s transportation was coordinated by and paid for by

the Dayton School District. Up until August of 2011, Dayton School District provided a care giver (para

pro) to ride with Ms. Fulbright. In the fall of 2011, Ms. Fulbright began riding to Walla Walla without a care

giver (para pro). At the time of the event, Ms. Fulbright was attending high school and was approximately

age 17 or 18. She is a quiet woman with no visible disability. She lives with her parents in Dayton.

What Happened?

Ms. Fulbright was accosted by another passenger in January of 2012. The passenger sat by her on the

bus on a regular basis, and gradually increased his inappropriate touching of her. Eventually another bus

passenger noticed Ms. Fulbright’s apparent discomfort with the man and mentioned it to the driver. The

driver reported it to management. Management discussed it with Ms. Fulbright and encouraged her to

talk to someone about what was happening. The plaintiff then told her parents and the parents called the

school. The school called the police. Columbia County pulled all available video and was able to validate

the criminal actions of the passenger. The passenger was arrested and prosecuted. That person is in

jail. The parents, on behalf of Ms. Fulbright brought suit against the Dayton School District and Columbia

County.

The allegations were that Columbia County failed in their duty to Ms. Fulbright. They alleged that

Columbia County knew Ms. Fulbright could not protect herself from unwanted advances from males.

They alleged the driver was inadequately trained and could have and should have seen the interactions

between the two passengers and that Columbia County failed their federal regulation to properly train

their drivers to proficiency as appropriate to their duties, so that they operate vehicles and equipment

safely and properly assist and treat individuals with disabilities who use the service in a respectful and

courteous way.

What Did Columbia County Know About Ms. Fulbright?

From a paper trail point of view, Columbia County was aware Ms. Fulbright had a disability (due to the

association with the Dayton School District program). This disability was not obvious and upon

questioning, did not require a securement area within the bus, or even assistance on or off the bus. As

already mentioned, the demand response service that Columbia County provides does not necessitate

passengers to disclose information about disabilities other than their need for a mobility device

securement area or other assistance getting on or off the bus.

However from a small town point of view, individual employees of Columbia County may have known

more about Ms. Fulbright. For example, the Operations Manager, Scott Kirk, holds a second job as a

portrait photographer and took pictures of the Fulbright family. Steve Mertens, the finance manager of

Columbia County, is married to Beth Mertens. Beth Mertens was Ms. Fulbright’s special education

teacher. Stephanie Guettinger admits to seeing Ms. Fulbright in the company of other disabled

individuals obviously interacting with, and by appearance, enjoying their companionship. What each

individual knew and when they knew it could not be established but it is important to note the “small town”

atmosphere of the county was a contributing factor in this case.

As Ms. Fulbright rode on her own, Columbia County learned more about her:

During one transportation event, Ms. Fulbright’s father was not at the drop off point. Ms. Fulbright left the

bus to wait. Ms. Fulbright’s parents called and complained telling Columbia County that Ms. Fulbright was

very frightened and should not have been left alone. The agency told the family that the transportation

agency was to provide transportation and nothing more. If Ms. Fulbright was unable to be left on her

own, then a care giver should be provided. (I could not find documentation of when this was.)

In December of 2011, the operations manager was watching video footage for unrelated reasons when

he noticed a disabled male passenger (Tyler Cooper) being, in his opinion, too friendly and rough with

Ms. Fulbright, and generally loud and obnoxious on the bus. He then wrote a memo to his staff entitled

“passenger safety.” This memo became a sticking point for the defense of this case.

In February of 2012, after the arrest of the passenger that was molesting Ms. Fulbright, there was a

newspaper article that gave details that many individual Columbia County employees were unaware of.

For example, most employees did not know the basis of Ms. Fulbright’s disability (fetal alcohol syndrome)

or that she was deemed by experts to have a functional age equivalent of a 7 or 8 year old.

Was there a written agreement or any written correspondence between Columbia County and the

Dayton School District?

No. However, written material from Columbia County categorized the relationship as collaborative. In

reality the relationship between the school district and the transit agency was no different than any other

passenger’s agent and the transit agency.

Was there communication between the School District and the transit agency after the incident

that gave rise to the passenger safety memo?

Maybe. But it doesn’t appear to be documented.

Was there communication between the School District and the transit agency after the incident

where Ms. Fulbright was left at the medical center alone?

Maybe. But it doesn’t appear to be documented.

Conclusions

Both the original mediator and the judge (by failing to grant summary judgment) expressed an opinion

that the passenger safety memo written by Scott Kirk showed some knowledge that Ms. Fulbright could

not protect herself which increased the burden on Columbia County to provide an enhancement of the

service they were offering. Even though the molestation was done by a different individual and obviously

criminal in nature, Columbia County could not provide any documentation showing further concern for Ms.

Fulbright’s safety after the passenger safety memo was written.

Columbia County has a Code of Conduct policy. If the passenger violated that Code of Conduct policy

then action should have been taken in accordance to that policy. Expressing the agency’s concern as a

safety concern for Ms. Fulbright vs. a conduct issue for the other passenger would have been beneficial

to the defense of this case. The manner that this memo was written likely violated the civil rights of the

disabled passenger that it was actually aimed towards. Passengers with disabilities have the same right

to select their seat as passengers without disabilities.

Recommendations

Management team and legal counsel together should review the Code of Conduct policy. Establish roles

and responsibilities, procedures, and tasks for future use of the policy.

Be vigilant in documentation. Document more yet be careful how information is worded. Words like

“shall” “will” “must” should be used sparingly.

Provide annual documentation to school officials that they in turn can provide to the parents, outlining the

essence of public transportation / demand response service, levels of service and expectations.

Establish in this documentation “touch points” where the two agencies should interact to maintain quality

of service. This same recommendation goes for other agent relationships such as the hospital

discharging patients and arranging rides with the transit agency.

Columbia County’s management staff should be given more training. Specifically the TSI Supervisor

Certification course, Passenger Assistance Safety and Security (PASS), writing policies and procedures,

and writing in plain talk are recommended. The TSI Supervisor Certification course was recommended

as part of the Best Practice review. Other classes such as the WSTTC Supervisor’s school, accident

investigation, TSI Transit System Safety and TSI Transit System Security are recommended as part of

WSTIP’s regular best practice.

Columbia County should work more closely with their legal counsel (at least for the time being). Legal

counsel should review policies and procedures, assist with code of conduct issues and employee

discipline, and for some period of time review correspondence to assist with proper documentation.

To: WSTP Executive Committee

From: WSTIP Staff

Date: July 28, 2016

RE: WSTIP Coordination/Communication with Members

At the Board meeting in June there was frustration expressed by the Members on the driver recognition

program, collision avoidance, and other initiatives WSTIP is taking. Members expressed that WSTIP has

been pushing programs out to agencies requiring much more communication and program management

at the agency level and it appears to be leading to frustration. The need for the Board member to find all

the stakeholders, communicate, and coordinate. It is a growing issue WSTIP staff needs to be aware of.

It’s leading to a different kind of Board member role within our agencies. WSTIP needs to be conscious of

the pace of WSTIP and the pace of the members, some of Members don’t have staff at the agency to do

it.

Program/Service Frequency Communication Type

Commissioned By

ASK Transit Very Frequent Email Member Service

Driver Recognition Program Quarterly Email with spreadsheet

submittal

Driver Recognition

Committee

Above and Beyond

Recognition Program

Hasn’t been

distributed yet

Driver Recognition

Committee

Safety Stars Awards Once Yearly Email Member Service

TransACTION Every two weeks Newsletter via Email Member Service

Charting Our Course Monthly Newsletter via Email Member Service

Cyber Security Best Practice Often? Checklist completion

Remediation plan

Annual self audit

Member Service

Behind the Curtain As needed Twice weekly for 8 weeks Board Development

Committee

Collision Avoidance Project Varies Board / Strategic

Plan

Vanpool Telematics Project Varies Board / Strategic

Plan

Board Meeting Feedback

Survey

Quarterly Email Survey Board / Strategic

Plan

Executive Director and

General Counsel

Performance Evaluation

Survey

Yearly Email Survey Executive

Committee/Board

Miles and Employee Counts Yearly Email Survey Governance Policy

Non-Transit Activities

Exclusion Survey

As needed Email Survey Board

Driver Record Monitoring Monthly or more Email Board

Best Practices Varies Email/Board Packet Board

Best Practice Field Visits

from Chris/Joanne

Varies (at least

annual)

Best Practices

Annual Reports / Risk

Profiles

Yearly Publication Board

Certificates of Insurance

Jeffrey S. Ristau Scholarship Optional Board

WSTTC Training Classes Optional Email / Newsletter Member Service

MSDS Online Optional Online Subscription Member Service

Pre-Litigation Fund Optional Phone/Email Member Service

Risk Management Grants Optional Online Application Member Service

Claims and Litigation Varies Claims

Claims Coordinators

Conference

Yearly Claims

Joint Leadership Training Every other year Leadership Training Board education

Guest Rider Program Optional / Twice

Yearly

Annual meeting

Member Service

Member Satisfaction Survey Once every three years

Multiple Survey Formats Board/Strategic Plan

/ab

 

MEMORANDUM

To: Executive Committee

From: Ronald A. Franz, General Counsel

Date: July 19, 2016

Subject: Policy on Non-transit risks

Introduction

Late last year the Pool’s executive director raised concerns regarding Pool coverage for non-transit risks.

General counsel was tasked to draft non-transit coverage exclusions for the general liability and public

officials liability coverage documents. These exclusions were considered by the Executive Committee and

Board at their March meetings. The Board rejected the coverage changes but requested that the executive

director survey all Members for non-transit exposures at their properties. The results of the survey were

considered by the Executive Committee at its April meeting.

The Executive Committee directed general counsel to draft a best practices/governance policy document

regarding non-transit risks. That document is before you today for consideration. This is one of those

subject areas where your latitude is huge.

Policy on Non-transit risks

1. Definition. The policy defines non-transit risks as those risks which are not a logical or integral part of

transit operations.

2. Third party activities. A Member is required to have a written agreement with a third party that conducts

non-transit activities on transit property. The agreement must have a hold harmless and indemnity in

favor of the Member and requires the third party to obtain general liability insurance with limits no less

than $1 million. There is an exclusion from the insurance requirement for “occasional” use of property by

“community organizations” for “community purposes.”

3. Member activities. For its own activities which are non-transit in nature, a Member must use its “best

judgment” to minimize the risk. I appreciation that this is wishy-washy but I needed to have something

that did not intrude on a Member’s own operations.

4. Annual reporting. Members must report non-transit exposures annually. Perhaps this will be an

additional component of a Member’s annual report card.

5. Indemnity fee. This is the stick element of this policy. The Pool’s liability coverage documents have no

deductible. This indemnity fee is similar to a deductible that would apply to non-transit claims and

losses. My sense was that the Board was reluctant to exclude non-transit risks from coverage. I share

that sense as insurance it intended to provide peace-of-mind. The indemnity fee should encourage

Members to treat non-transit risks seriously while still retaining full coverage.

Policy on Non-transit Risks

Governance Section: Operations Revision Date: 7/13/2016

Page: 1 of 1

Purpose: To reduce the Members’ and the Pool’s exposure to non-transit risks.

Authority

1. RCW 48.62.031(3)(a) (“provide for risk management and for loss control services”),

2. WAC 82-60-040 (a pool “shall have a written risk management program”), and

3. Interlocal Agreement, section 3e (“provide for risk management [and] loss control”).

Policy Statement

1. Definition. Non-transit risks are those which follow from any activity or undertaking not an integral

and logical part of a Member’s transit operations. These risks are either the result of third-party

activities and undertakings or Member’s own activities and undertakings.

2. Third-party activities.

a. Activities or undertakings by third-parties authorized by Member on Member’s premises.

b. Such activities or undertakings must be pursuant to a written lease or agreement which

specifies the activity or undertaking permitted and its location. The lease or agreement

shall contain a hold harmless and indemnity if favor of Member, its officers, employees,

and agents. It shall require the third-party to obtain a comprehensive general liability

insurance policy with limits of no less than $1million per occurrence with Member as an

additional insured.

c. Notwithstanding the insurance requirement of paragraph 2b above, a Member may allow

the occasional use of its premises or facilities by community organizations for community

purposes without the requirement of insurance.

3. Member non-transit activities. A Member conducting non-transit activities or undertakings shall

use its best judgment and practices to reduce its risk.

4. Annual reporting. On an annual basis and in conjunction with furnishing information required for

coverage renewals, Members shall report all non-transit risks to the Pool arising from third-party

and Member non-transit activities and undertakings.

5. Indemnity fee. In the event of any claim or suit against a Member for any non-transit activity or

undertaking which is tendered to the Pool for defense or indemnity, the Member shall pay the Pool

an indemnity fee of $25,000 in the nature of a policy deductible to be used by the Pool to defray

costs which may be incurred.

Passed by the Executive Committee on ____________, ______ 2016.

Emmett Heath, President

Attest:

Diane O’Regan, Secretary

Approved as to form:

Ronald A. Franz, General Counsel

June 24, 2016

TO: WSTIP Executive Committee

FROM: Al Hatten, Executive Director; Jerry Spears, Deputy Director;

& Tracey Christianson, Member Services Manager

SUBJECT: Executive Management Staff Report – July 2016

GEM TRANSIT PROTECTED CELL PROPOSAL

In a phone call with Andrew Halsall, Chief Executive officer of GEM, and Micheon Balmer, General

Manager of the California Transit Insurance Pool (CALTIP), staff discussed the prospect of forming a

Transit Protected Cell Captive (TPCC) for the layer a coverage above our self-insured retention and our

reinsurer(s). This TPCC would be for transit pools or individual transit agencies. We have asked Andrew

to work up some different options and give us some possible numbers on capitalization, startup costs,

regulatory requirements and administration fees. The GEM Board will discuss this proposal and will be

asked to provide funding for a feasibility and implement study. The participants of the protected cell

would still have GEM support but would form a larger transit specific group that would interest other

possible insurers based on the economy of scale.

On a side note, GEM has advised all transit members that the quota-share partners, Markel and Old

Republic, have declined to provide transit coverage in the 2016 renewal. The big question is the

capitalization requirements and how that will be collected.

USE OF FACILITIES FOR NON-TRANSIT ACTIVITIES EXCLUSION

At the direction of the WSTIP Executive Committee, staff conducted a survey to find out what exposures

individual members may have that could potentially be subject to this exclusion should the full Board elect

to do so. Survey results were presented to the Executive Committee at the April meeting. Essentially it

was recommended that no changes are needed in the Memorandum of Coverage for liability. It was

suggested the Executive Committee consider either a new governance policy or a best practice to

address concerns. There appeared to be more interest in a governance policy. General Counsel has

been asked to draft a sample for the Executive Committee review which is presented at this meeting.

WCRP vs. CLARK COUNTY

Oral arguments were heard before the Supreme Court on May 10. Significant comments noted was the

reference to WCRP extensive use of insurance terms in its Memorandum of Coverage. Also, the

emphasis of a “trigger” date of when coverage/notice of the event. There is a long standing question of

when the event occurs and when on-going losses may affect the event date. It was also noticed the

argument to the court to exercise its judgement on the basis of “contract” law vs the Insurance Common

law. A decision is not expected until later this year. BREAKING NEWS: We have been advised that a

possible settlement is close.

Page 2 of 6

JEFFREY S. RISTAU SCHOLARSHIP

One new application from Whatcom Transportation Authority for the third quarter 2016.

INVESTMENT STRATEGY REVIEW

Recently the Washington State Legislature passed ESB 6349 which essentially cleaned up some

antiquated language as it relates to public funds and deposits. The amended language makes it clear that

public entities may invest in other funds if that local government has specific authority to do so.

In a preliminary review, staff has provided this amended legislation to a trusted investment broker to see if

these changes could improve the current WSTIP investment portfolio. The initial review says net interest

yield could be in the range of 1.38 to 1.28% at an effective duration of less than 32 months. The current

return for the LGIP and TCIP is 0.46 and 0.76%. The net difference is approximately .5% or an additional

$100,000 plus annually for unrestricted reserves.

The Washington Cities Insurance Authority (WCIA) and the Washington Schools Risk Management Pool

(WSRMP) both have active management investment portfolios and have net yields of 1.39 to 1.5%. The

focus of this review is to determine if WSTIP should consider our own independent path, join other

Washington State insurance pools in a group program or negotiate different terms with Thurston County

Investment Pool for longer horizons for better yields. The Governance Policy Committee has suggested

staff continue the review and consult with Community Transit who has conducted a similar review and

analysis.

STATE RISK MANAGER AUDIT

Shannon Stuber, regulator for the State of Washington of insurance pools, conducted their annual

primary and secondary asset tests.

Test 1 – looks at he estimated claim liabilities at the “expected” level per actuarial estimate.

Test 2 – looks at the estimated claim liabilities at the 80 confidence level per actuarial estimate.

Both requirements are found in WAC 200-100-03001 (2 & 3). WSTIP passed both tests.

OCTOBER EXECUTIVE COMMITTEE MEETING: CHANGE DATE AND LOCATION

The October Executive Committee meeting is scheduled for October 27 in Olympia. The WSTA/WSTIP

Board Leadership Program is October 24 and 25 in Spokane. Since most Executive Committee

members are planning to attend the Board Leadership event, staff suggest moving the October 27

Executive Committee meeting to October 26 in Spokane. We have enough sleeping rooms and have

secured a meeting room at the Spokane Historic Davenport to accommodate this change should the

Executive Committee wish to make it. The meeting could start at 8:00 or 8:30 and be done by noon.

UPCOMING WSTIP MEETINGS

2016 August 25 - Executive Committee Meeting – WSTIP Offices – Olympia

September 29 -30 – Executive and Quarterly Board Meeting – Everett, WA

October 25 – 26 – WSTA/WSTIP Joint Board Leadership Training – Spokane, WA

October 27 - Executive Committee Meeting – WSTIP Offices – Olympia (see note above)

December 8 – 9 – Executive & Quarterly Board Meeting – Great Wolf Lodge, Grand Mound, WA

2017 January 12 – 13 – Executive Committee Retreat - TBD

Page 3 of 6

March 23 -24 - Executive & Quarterly Board Meeting – Campbell’s at Lake Chelan, WA

STAFF/MEMBER REP OUT-OF-STATE TRAVEL

2016 August 7-10, AGRIP CEO and Senior Staff Institute – Coronado, CA

September 13-16, CAJPA – So Lake Tahoe, CA

September 18-21, WSDOT Conference – Wenatchee, WA

October 2-5, AGRIP Fall Educational Forum – Denver, CO

October 19-21, GEM, Chicago, IL

Board Member Rep travel is in bold.

MEMBER SERVICES ACTIVITIES

Transit Agency Visits – Six months have elapsed and a lot of our field work has been done. Joanne

has visited Asotin, Clallam, C-Tran, Columbia, Grant, and RiverCities vanpool programs. Chris has

visited C-Tran, Pacific, Kitsap, Grant, Link (twice), Spokane, Asotin, Pullman, Grays Harbor, Everett,

Mason, Pierce, Community, Intercity, Jefferson, Island and Valley. Chris has also taught Reasonable

Suspicion/Drug and Alcohol for Supervisors at Ben Franklin Transit (January 26); Intercity Transit

(February 2) and Kitsap Transit (April 12 – 13). He also just completed a one-day supervisor training at

the special request of Jefferson Transit on May 13. Our field work is always focused on Best Practices

and in particular we are focusing on the Best Practice for Operator Training and the Best Practice for

Mobility Device Securement. Joanne’s focus in her field work is the Best Practice for Vanpool

Operations.

Best Practices for Mobility Device Securement / Training Program Development – As part of this Best

Practice, WSTIP contracted with Linda Callecod-Russell to develop a four-hour ADA and securement

refresher training program for supervisors. The pilot for the program was held on Friday, April 15 at the

WSTIP office. Individuals that attended the pilot include: Jeff Benson, Safety and Security Officer,

Whatcom Transit Authority; Shelly Davis, Paratransit Manager, Whatcom Transit Authority; Sue

Woodward, Instructor, Pierce Transit; Clint Wetzel, Operations Manager, Clallam Transit; Tim Ball,

Operations Supervisor, C-Tran; Trina Gwerder, Operations Supervisor, Mason Transit; Dale Tronsen,

Safety Trainer, Grant Transit Authority and Shelley Hawkins, Consultant. Ryan Acker from CTA-NW has

also asked if he could be a part of this pilot and we have agreed). Post-pilot we will amend the program if

needed, decide if it needs to be piloted again, or proceed with a roll-out plan. A portion of the class was

also presented to the trainers at the Trainers Showcase in May to good reviews. We have not decided

how to roll out the class and have put this class aside while working on the RFI for simulators.

Best Practices for Technology Environment and Online Banking / Network Security Consulting Work

– Davis Wright and Tremaine (DWT) has made significant progress on this project. Sean gave a

presentation at the June Board meeting. I will ask for an actual updated report for next month.

WSTIP Webpages / Association Management Software – We have reported since February about our

purchase of a new Association software, Your Membership. Our design was delivered in May and Anna

and I have been working on producing the new website. Staff gave a sneak preview of the site to the

Board at the June quarterly Board meeting. We have asked from some design changes which was

Page 4 of 6

delivered to Your Membership last week. We are now going to ask some individuals to test the site and

give us feedback.

PUBLICATIONS and SAFETY STARS – The Annual Report and Risk Profiles were distributed at the

June Quarterly Board meeting. As part of the analysis needed to do the Risk Profiles, we also determine

who the winners of the Safety Stars awards will be. Safety Stars winners were announced. The winners

are: Community Transit, Whatcom Transportation Authority, and River Cities Transit. There was some

question of these awards so staff reviewed the data and stand by the original announcement of these

winners.

CLAIMS

WSTIP currently has 553 open files with total reserves of $9,521,233 as of 6/30/2016. Most claim files

are from the last three to four years. 2011 and 2014 are the most significant loss years in the last several

years. Most major claims from 2011 are resolved. There are three large claims from 2014.

Outlined below is a quick summary of WSTIP claims by loss year including claim count and average cost

per claim.

Year Open Claims Total Claims Year UNL/Claim RM Incurred/Claim

2006 0 745 2006 $ 6,167 $ 6,167

2007 0 802 2007 $ 3,038 $ 3,043

2008 1 839 2008 $ 7,348 $ 7,387

2009 1 859 2009 $ 5,168 $ 5,192

2010 1 1104 2010 $ 5,563 $ 5,533

2011 5 1034 2011 $ 8,194 $ 8,047

2012 4 1014 2012 $ 4,791 $ 4,856

2013 28 1120 2013 $ 4,864 $ 4,633

2014 55 1083 2014 $ 7,054 $ 5,920

2015 170 971 2015 $ 5,936 $ 3,661

2016 288 436 2016 $ 7,873 $ 1,609

Totals 553 10007 Total 5,935 $ 5,286

The remaining large 2011 case is Clithero vs. Dart. Dart is a subcontractor of Community Transit. In

2011 WSTIP was the primary liability insurer for Dart. Mr. Clithero has cerebral palsy. A Dart vehicle

struck Mr. Clithero on his scooter in a crosswalk. Mediation is planned for later this year or early next

year.

There are three significant claims in 2014. Two claims involve a Pierce Transit bus striking a pedestrian,

while turning left in the Seattle area. The pedestrians suffered significant injuries as result of the

collisions. Neither matter is in lawsuit.

We have one significant claim from 2015 developing. A Kitsap bus hit a cyclist on State Route 305 in

early November. The cyclist suffered significant injuries from the accident. The cyclist is still treating and

has not filed a lawsuit.

Regarding the 2008 Jefferson Transit case where their bus bumped a plumbing truck, we had an

unexpected and adverse judgment for $1.2 million after a June 2016 jury trial. We filed a motion for a

Page 5 of 6

new trial and a remitter motion. Both motions were denied. We appealed the adverse verdict to the

Division 2 Court of Appeals. Appeals take 1 to 2 years for resolution. Oral arguments will be this fall.

We had a significant uptick in open litigated cases. We have twenty-eight open litigated files now

including four employment practice cases. These cases represent the bulk of outstanding reserves for

WSTIP.

INFORMATION TECHNOLOGY

Building the reports, creating dashboards, working with the new electronic documents foundation, figuring

out exposure data collection and paying claims are some of the challenges and opportunities we are

working through with the new system. We went live in January and it will take all year to sort through it.

We can continue to work with individual members on their customized report needs.

THE COLLISION WARNING PROJECT/AUTONOMOUS VEHICLES

Staff created introduction opportunities for Link Transit and Kitsap Transit to have web meetings with

Local Motors (a company out of Arizona) to consider pilots of automated electric buses built by Local

Motors. These vehicles are electric, hold 12 to 15 people and go up to 25 MPH.

FINANCES

The State Auditor is at WSTIP working on the 2015 Financials.

Here is a quick comparative snapshot of WSTIP finances between 2013 and 2015.

0

5000000

10000000

15000000

20000000

25000000 KEY POOL INDICATORS (2015 to 2013)

2015

2014

2013

Page 6 of 6

WSTIP Expenses 2015 to 2013 2015 2014 2013

Claims Self Insurance Fund 6,772,356 6,892,488 6,895,064

Excess Insurance Premiums 1,999,364 2,206,372 2,166,032

Driver Recording Monitoring 299,830 278,718 220,931

Actuary 108,000 59,500 66,525

Administrative Services 41,855 19,868 22,383

Broker Fees 101,200 101,200 103,845

Backup Services 6,121 5,950 8,000

Contracted Services 23,899 46,826 54,759

Legal and Accounting 12,728 12,271 14,613

Loss Control Services 507,181 384,102 313,430

Audits 22,493 26,247 31,204

Staff Wages, Taxes and Benefits 1,232,356 1,120,035 1,074,293

Staff Conferences and Travel 90,322 87,332 82,668

Board Expenses 145,721 119,269 175,379

Information Services 328,265 97,785 94,880

Communications 18,986 19,083 23,588

Occupancy Costs 45,233 39,629 65,732

Office Expenses 50,455 52,276 55,417

Depreciation 17,552 20,560 17,106

Miscellaneous 5,446 8,991 12,822

Operating Expenses 11,829,363 11,598,502 11,498,671

Change in Unpaid Claims Liability 82,334 690,961 -128,413

TOTAL OPERATING EXPENSES 11,911,697 12,289,463 11,370,258