Res 1999-134 - Laserfiche WebLink

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The agent of record named by the Company is an independent agent. He or she is not a trustee of the Plan, a Plan Administrator (within the meaning of ERISA Section 3(16)(A) and Section 414(g) of the Internal Revenue Code), a named fiduciary of the Plan (within the meaning of ERISA Section 402 (a)(2), or a fiduciary who is expressly authorized in writing to manage, acquire, or dispose of the assets of the Plan on a discretionary basis. The Claims Administrator may receive additional compensation in the form of cash bonus and/or certain travel bonuses awarded by the insurance carrier or PPO. The bonus is developed and paid by the carrier or PPO based on several aspects of the Claims Administrator's entire block of business with the carrier. These bonuses do not represent a payment from plan assets, nor do these bonuses affect the premium paid by the Plan Administrator for insurance. Additional charges, per employee per month, will include a fee of $5.40 for the Utilization Review/PPO/Precert Company. The PPO services provider will be Health Smart. The Claims Administrator shall not make a change in the PPO provider without the written consent of the Plan Administrator. SECTION VII Term of Agreement Termination Of Agreement For Claims Administrator 7.1 The term of this agreement shall be a one-year period from August 1, 1999 to July 31, 2000. This agreement may be extended for four additional one-year periods. This renewal option, if exercised, will be executed in the form of a letter agreement not later than the final day of the current contract term. This option requires the mutual agreement of the parties. The Claims Administrator will provide a cost proposal to the Plan Administrator for the third and subsequent years of this agreement no later than 120 days prior to the expiration of the current contract term. 7.2 Funding for this agreement is provided through the Company's budget for the current fiscal year only. State statutes prohibit the obligation and expenditure of public funds beyond the budget year for which a budget has been approved. However, the cost of the services provided under this agreement is considered a recurring requirement and is included as a standard and routine expense of the Company to be included in the current and future budgets for the foreseeable future. The Company expects this cost to be included in future budgets to be approved during the term of this agreement; however, the Company does not guarantee the availability of funds, and enters into this contract only to the extent funds are currently available and may be made available in the future. The Company's fiscal year is from October 1 st to September 30th of the following year. 7.3 This Agreement may be terminated at any time by either party by providing ninety days written notice to the other party. Upon notification of termination by either party, the 10