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The Kentucky Association of Counties All Lines Fund held a Board of Trustees meeting at 12:30 p.m. on Wednesday, June 25, 2025. This meeting was held at the KACo office located at 400 Englewood Drive in Frankfort, Ky. and via video teleconference, pursuant to proper notice given in accordance with KRS 61.826 and KRS 65.312(3).
The roll was called. The following Trustees were present: Chairman Orbrey Gritton, Anderson County Judge/Executive; Vice-Chair Stacy Tapke, Kenton County Attorney; Stephen Harmon, Warren County Jailer; Reagan Taylor, Madison County Judge/Executive; and Steve Henry, Webster County Judge/Executive.
Others present included: Jim Henderson, Executive Director/CEO; Temple Juett, Chief Insurance Officer; Jeremy Baird, Director of Insurance; Tim Sturgill, General Counsel; Karen Basham, Chief Financial Officer; Kris Dunn, Underwriting Manager; Michael Ray, Safety and Risk Manager; Jeremy Head, Claims Manager; Crystal Hellard, Litigated Claims Manager; Alyssa Rogers, Staff Accountant; Steve Morrison, Safety and Loss Control Specialist; Steve Clary, Safety and Loss Control Specialist (via video teleconference); Macy Thompson and Kathy Basham, Customer Service Representatives; Lindsey Bowman, Customer Service Representative (via video teleconference); Shellie Hampton, Director of Government Affairs; Jennifer Burnett, Director of Strategic Operations; Sue Porter, Michele Barrett, and Kathy Marshall, Public Entity Insurance/KACo Marketing Agents; Jeremy Russell, Charles T. Taylor, PLLC (via video teleconference); David Livingston, Scott County Magistrate and KACo Immediate Past President; and Beth Pleasant Administrative Specialist.
Chairman Gritton called the meeting to order at 12:30 p.m.
Motion made by Stephen Harmon, seconded by Stacy Tapke, to approve the minutes of the May 28, 2025, meeting as presented. Motion carried.
Ms. Basham presented and discussed the following financial reports: balance sheet, income statement and claims expense report as of May 31, 2025; FY 2024/25 PAF budget as of May 31, 2025; new business activity for May 1 - 31, 2025; FY 2024/25 agent commissions by agency as of May 31, 2025; and FY 2024/25 premium receivable report as of June 18, 2025.
Ms. Basham presented the investment report for May 2025; the investment transactions for May 2025; and the FY 2024/25 investment portfolio summary by month. The board received a full listing of the Fund's investments electronically prior to the meeting. She said the Fund is in compliance with the ratios as statutorily required.
Motion made by Stacy Tapke, seconded by Steve Henry, to acknowledge receipt of the financial reports as presented. Motion carried.
Motion made by Stephen Harmon, seconded by Stacy Tapke, to accept the investment report and to ratify the security changes as presented. Motion carried.
Ms. Basham presented and discussed the FY 2025/26 preliminary draft budget for the board's approval. A final budget will be presented for review and approval when the actuary completes the reserve study.
Motion made by Steve Henry, seconded by Stephen Harmon, to adopt the FY 2025/26 preliminary budget as presented. Motion carried.
Ms. Basham presented and discussed the FY 2025/26 program administration agreement between KACo and the KACo All Lines Fund commencing on July 1, 2025 and expiring June 30, 2026.
Motion made by Stacy Tapke, seconded by Reagan Taylor, to approve the FY 2025/26 program administration agreement as presented. Motion carried.
Mr. Juett presented and discussed an engagement letter from Pinnacle Actuarial Resources to perform an analysis of the unpaid loss and loss adjustment expense as of June 30, 2025 for the Fund.
Motion made by Stacy Tapke, seconded by Reagan Taylor, to approve the engagement letter as presented. Motion carried.
Mr. Juett, giving the executive director's report, provided an update on renewals for the upcoming fiscal year.
The next meeting is July 30, at 12:30 p.m.
Motion made by Stephen Harmon, seconded by Reagan Taylor, to go into closed session at 12:58 p.m. to discuss proposed or pending litigation involving the board as authorized by KRS 61.810(1)(c). Motion carried. Motion carried.
Motion made by Stacy Tapke, seconded by Reagan Taylor, to return to open session at 1:34 p.m. Motion carried. No action was taken in closed session.
Motion made by Reagan Taylor, seconded by Steve Henry, to adjourn the meeting at 1:35 p.m. Motion carried.
