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The Kentucky Association of Counties Unemployment Compensation Self-Insurance Fund held a Board of Directors meeting at 9 a.m. on Wednesday, August 20, 2025. This meeting was held 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 Directors were present: Chairman David Fields, Pendleton County Judge/Executive; Vice-chair John Ward, Hardin County Sheriff; Elbert Bennett, Caldwell County Magistrate; Jacqalynn Riley, Grant County Magistrate (via video teleconference); Randy Dial, Casey County Judge/Executive; and David Livingston, Scott County Magistrate.
Others participating included: Jim Henderson, Executive Director; Jeremy Baird, Director of Insurance; Karen Basham, Chief Financial Officer; Tim Sturgill, General Counsel; Marie Skinner, Accounting Manager; Lindsey Bowman, Customer Service Representative; Andrea Morse, Insurance Agency Manager, Rich Ornstein, Staff Attorney; Alyssa Rogers, Staff Accountant; Shellie Hampton, Director of Government Affairs; Jennifer Burnett, Director of Strategic Operations; Dan Smereck, Strategic Asset Alliance (via video teleconference); Jesse Penn, Computer Support Specialist; and Sonya Chesser, Executive Assistant to the CEO/Director of Administrative Services.
Chairman Fields called the meeting to order at 9:03 a.m.
Motion made by David Livingston, seconded by Randy Dial, to approve the minutes of the July 23, 2025, meeting as presented. Motion carried.
Ms. Skinner presented and discussed the following financial reports: balance sheet as of July 31, 2025; statement of activities for July 2025; and FY 2025/26 PAF budget for the period July 1 - 31, 2025. She also presented the customer balance summary as of Aug. 12, 2025.
Motion made by Jacqalynn Riley, seconded by David Livingston, to acknowledge receipt of the financial reports as presented. Motion carried.
Ms. Basham presented and discussed a summary of the Fund's investments and security transactions for the month of July 2025. The Board received a full listing of the Fund's investments electronically prior to the meeting.
Motion made by David Livingston, seconded by Elbert Bennett, to acknowledge receipt of the investment report and to ratify the investment transactions as presented. Motion carried.
Ms. Basham presented an engagement letter with CPA firm, Cherry Bekaert, LLC, to perform the audit of financial statements for the year ending June 30, 2025.
Motion made by David Livingston, seconded by Randy Dial, to authorize Chairman Fields to sign the engagement letter with Cherry Bekaert, LLC for auditing services. Motion carried.
Mr. Smereck provided an overview of the Fund's asset allocations. He recommended liquidating the high dividend portfolio (the Conning HDE portfolio (i.e., Common Stock) and reinvesting in ETFs and mutual funds.
Motion made by Randy Dial, seconded by Elbert Bennett, to accept the recommendation by Mr. Smereck as presented. Motion carried.
Ms. Bowman presented the second quarter claim charges from April 1, 2025 through June 30, 2025.
Ms. Bowman presented a list of potential benefit claims for July 2025 and a report on the monthly unemployment rates by county.
Mr. Henderson, providing a KACo update, said that the listening sessions are being held across the state, and a recurring topic among members has been the regional driver's license offices. KACo will survey its members on the issue in the future.
The next meeting is Sept. 24, at 9 a.m.
Motion made by David Livingston, seconded by Jacqalynn Riley, to adjourn the meeting at 9:52 a.m. Motion carried.
