BOARD OF DIRECTORS MEETING
May 26, 2016
2:00 p.m.
Or Upon Adjournment or Recess of the
Investment Committee Meeting, Whichever is Later
State Compensation Insurance Fund
333 Bush Street, 7th floor
San Francisco, CA 94104
BOARD MEMBERS
Sheryl A. Chalupa, Chair
Robin L. Baker
Daniel M. Curtin
Marvin P. Kropke
Sen. Michael J. Machado (Ret.)
Lawrence E. Mulryan
Jack L. Neureuter
Steven L. Rank
Thomas E. Rankin
Scott K. Reid
William M. Zachry
Christine Baker (Ex-Officio)
| OPEN SESSION | Thursday, May 26, 2016 @ 2:00 p.m. |
|
| Action/Sheryl Chalupa | 1. | Call to Order and Roll Call |
| Action/Sheryl Chalupa | 2. | Antitrust Admonition |
Action/Sheryl Chalupa |
3. | Consent Calendar1 |
a. |
Approval of February 18-19 Open Meeting Minutes | |
b.
| Board Member Educational Opportunities and Approval of Planned Board Member Education and Expense Reimbursement | |
c.
| Annual Review and Approval of State Fund By-Laws | |
d. |
Annual Review and Approval of Board Delegated Authority and Approval Levels | |
e. |
Board Member Education and Travel Expense Reimbursement Policy | |
f |
Annual Review and Approval of Committee Charters | |
g. |
Approval of Retirement Resolutions (originals available for signature at meeting) |
|
| Information/Andreas Acker | 4. | Staffing Update |
a. |
Staffing | |
b. |
Employee Leave Balance and Usage | |
| Information/Peter Guastamachio | 5. | Financial Update – 1st Quarter 2016 |
| Information/Milliman | 6. | Statement of Actuarial Opinion |
| Information/Vernon Steiner | 7. | President’s Report |
| 8. | Reports by the Chairs of Committee Activities | |
| Information/Lawrence Mulryan | a. |
Governance Committee |
i. |
Governance, Compliance and Privacy Update | |
| a) Compliance Training/Integrity in Action Hotline | ||
| b) Reporting Obligations Compliance (annually) | ||
| c) Review of 2016 Code of Conduct | ||
| Information/Sheryl Chalupa | b. |
Audit Committee |
i. |
Update on Completed Closed Audits | |
| Information/Michael Machado | c. |
Investment Committee |
i. |
Bond Transactions and Compliance Report | |
| Information/Sheryl Chalupa | 9. | Chairwoman’s Report |
| Information/Sheryl Chalupa | 10. | Board Member Reports |
| Information/Sheryl Chalupa | 11. | Public Comment on Appropriateness of Closed Session for Items 14 through 27 |
| Information/Sheryl Chalupa | 12. | Public Comment |
CLOSED SESSION |
||
| Action/Sheryl Chalupa | 13. | Approval of February 18-19, 2016 Closed Meeting Minutes |
| Information/Lawrence Mulryan and Margie Lariviere | 14. | Board and Committee Effectiveness [Government Code Section 11126(j)(4)] |
| Information/Milliman | 15. | Independent Actuarial Reserve Report [Government Code Section 11126(j)(4)] |
| Information/Jennifer Vargen and Rhonda Myers | 16. | Legislative Strategic Update [Government Code Section 11126(j)(4)] |
| Action/Vernon Steiner and Peter Guastamachio | 17. | Update on Strategic Plan 2016-2018 [Government Code Section 11126(j)(4)] |
a. |
Annual Review of Dividend Plan | |
b. |
Update on Pension and Other Post-Employment Benefits (OPEB) | |
c. |
State Contract Strategic Plan Update | |
| Action/Ken Van Laar | 18. | Pricing Strategy [Government Code Section 11126(j)(4)] |
| CLOSED SESSION | Friday, May 27, 2016 | |
| Information/Lauren Mayfield and Len Welsh | 19. | Workplace Safety and Loss Prevention Strategic Plan Update [Government Code Section 11126(j)(4)] |
| Information/Stephen Hunckler | 20. | Update on Claims Strategic Plan [Government Code Section 11126(j)(4)] |
| Information/Ken Van Laar and Randy Hogan | 21. | Enterprise Risk Management Update [Government Code Section 11126(j)(4)] |
| Information/Marj Hutchings | 22. | Update on IT Strategic Plan [Government Code Section 11126(j)(4)] |
| Information/Sheryl Chalupa and Vernon Steiner | 23. | Planning for Board Strategic Meeting [Government Code Section 11126(j)(4)] |
| Information/Vernon Steiner and Margie Lariviere | 24. | Human Resources Strategic Planning [Government Code Sections 11126(a), (j)(4)] |
a. |
Exempts’ Compensation Update | |
| Information/Sheryl Chalupa | 25. | Significant Open Audits Report and Fraud Litigation Report [Government Code Sections 11126(e), (j)(2), (3), (4)] |
| Information/Michael Machado | 26. | Financial and Investment Considerations Related to the Strategic Plan [Government Code Section 11126(j)(4)] |
| Information/Judith Sapper and Margie Lariviere | 27. | Pending and Potential Litigation [Government Code Sections 11126(e), (j)(4] |
a. |
Angelotti Chiropractic, Inc. et al. v. Edmund G. Brown, Jr., et al.; U.S. Court of Appeals for the Ninth Circuit, Case Nos. 13-56996, 13-57080; U.S. District Court, Central District of California (Los Angeles), Case No. SACVB-1139-GW/JEM | |
b. |
Baker v. Sierra Pacific Fleet Services et al.; State Fund; Workers’ Compensation Appeals Board; Third District Court of Appeal Case No. C080895; WCAB No. ADJ8111772 | |
c. |
Margaris v. California Highway Patrol; State Fund; Workers’ Compensation Appeals Board; Second District Court of Appeal Case No. B269038; WCAB No. ADJ9397913 | |
d. |
Zuniga v. Interactive Trucking; State Fund; Workers’ Compensation Appeals Board; First District Court of Appeal Division Two Case No. A143290; WCAB No. ADJ2563341 | |
e. |
Ramirez v. The State of California Department of Health Care Services; State Fund; Workers’ Compensation Appeals Board; Third District Court of Appeal Case No. C078440, WCAB No. ADJ6821103 | |
f. |
State Compensation Insurance Fund v. Sana Ulla Khan, et al.; U.S. District Court, Central District of California, Southern Division Case No. 8:12-cv-01072 CJC-JCG (mLGx) | |
g. |
State Compensation Insurance Fund v. Michael D. Drobot, Sr., et al.; U.S. District Court, Central District of California, Southern Division Case No. SACV13-00956 AG (CWx) | |
h. |
Hablian, et al. v. Zurich, et al.; Van Nuys WCAB Case No. VNO 403 724 | |
i. |
Electronic Waveform Lab v. EK Health Services, et al.; Los Angeles Superior Court Case No. BC467496; U.S. District Court for the Central District of California, Case No. 2:15-cv-08061-DMG-RAO | |
j. |
John Lopez, et al. v. State Compensation Insurance Fund; Fresno Superior Court Case No. 14CECG03641 | |
| OPEN SESSION | May 27, 2016 @ 10:00 a.m. or upon adjournment or recess of the Closed Session, whichever is later. | |
| Action/Sheryl Chalupa | 28. | Call to Order and Roll Call |
| Information/Sheryl Chalupa | 29. | Proposals and Suggestions for July 27-29, 2016 Agenda |
| Next Board Meeting: July 27-29, 2016 at The Lodge at Sonoma Renaissance, 1325 Broadway, Sonoma, CA | ||
| 1Items on the Consent Calendar include routine actions or matters already considered by a committee of the Board and will be enacted by one motion and one vote. There will be no separate discussion of these items unless a Board Member or the public so requests. It is in the Board’s discretion to remove items already considered by a committee of the Board from the Consent Calendar. Any item removed from the Consent Calendar will be considered in its normal sequence on the agenda. If you wish to have an item removed from the Consent Calendar, please submit a speaker card or make your request at the time the Board Chairperson asks if any member of the public wishes to remove an item from consent. After an item, if any, removed from the Consent Calendar has been discussed, the Board will vote to approve all items remaining on the Consent Calendar. | ||
| Note: Items designated for information are appropriate for Board/Committee action if the Board/Committee wishes to take action. Any agenda item from a properly noticed Committee meeting held immediately prior to this Board meeting may be considered by the Board. Agenda items may be taken out of order with the approval of the Chairperson. Public comment will be limited to three (3) minutes per speaker and ten (10) minutes per subject item. | ||
