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• • There followed a brief discussion wherein there was CONSENSUS to schedule the budget hearings on September 81, and 16', 1998 at 5:01 p.m. All members were present and there was no opposition. 11.E.2. ANNUAL SELF-INSURANCE FUND ACTUARIAL STUDY CONTINUATION - COOPERS & LYBRAND The Board reviewed a Memorandum of March 4, 1998: TO: James E. Chandler, County Administrator THRU: Joe Baird, OMB Director FROM: Beth Jordan, Risk Managers DATE: 4 March 1998 SUBJECT: Annual Self -Insurance Fund Actuarial Study Staff requests consideration of the following information on the consent agenda for the March 17, 1998, regular meeting of the Board of County Commissioners. Since the inception of the modified self-insurance fund in 1988, Coopers & Lybrand has performed the annual actuarial services. Initially, this was part of the County's overall annual audit With the selection of Cotherman Harris and Associates, staff confirmed with Ross Cotherman that actuarial services are not performed by that firm. Coopers, however, continues to be available to perform this service and staff recommends that the Board authorize them to proceed with the annual update. The annual actuarial study provides the County with the following information. It separately addresses general liability, automobile liability and workers' compensation self-insured coverages to project ultimate losses by fiscal year, accrued liability as of 12/31/97 including case reserves, late reported claim reserves and case development reserves; funding recommendations as of 12/31/97 and projected as of 09/30/98 for use in determining the appropriate balances in the various funds, giving consideration to excess insurance and Special Disability Trust Fund recoveries; prospective funding recommendations for FY 98-99; cash flow estimates for claims payments; determination of an appropriate margin for adverse development; and prospective expected loss rates. The study considers the protections afforded through Florida's sovereign immunity statute. Each year, the study builds upon past loss data, which for the past seven (7) years has been collected and analyzed by Coopers. Coopers is lvmowledgeable of the County's operations and its exposures. In FY 95-96, the cost to perform the service was over $3,000.00 less than in previous years due to the experience with the project, and costs this year have been projected at a cost not to exceed $12,500.00. Staff recommends that the Board approve continuation of the actuarial relationship with Coopers at a cost not to exceed $12,500.00. March 17,1998 55