Membership Selection Policy

Originally Adopted by MVRMA Board: March 16, 1989

Purpose

This policy has been established in order to maintain the best possible standards of risk management and risk pooling for all members of the Miami Valley Risk Management Association and to provide a fair and reasonable basis upon which to evaluate pool applicants. This policy's adoption is intended to maintain a highly homogeneous risk profile for all current and future pool members. It is also intended that this policy will reasonably ensure that all MVRMA members will enjoy the best possible protection against unexpected, unusual or unforeseen accidental losses.

Oversight

The MVRMA President shall appoint a "Membership & Marketing Committee" chaired by the MVRMA Vice-President to oversee the marketing activities of the MVRMA Executive Director and to make recommendations of prospective members.  In addition to the responsibilities described above, Committee members may also recommend improvements to the membership selection policy as circumstances warrant. Changes to this policy shall be incorporated only upon approval of the MVRMA Board of Trustees.

Membership Criteria

Applicants will be assessed with regard to a variety of criteria, which may include, but not necessarily be limited to, the following factors:

1. Demonstrated commitment to the concepts of risk management and loss control/loss prevention.
2. Demonstrated commitment to the concepts of risk pooling risk assumption, and risk sharing.
3. Loss experience which is substantially consistent with MVRMA members' loss histories.
4. Demonstrated commitment to work place safety and minimizing exposure to liability.
5. Demonstrated commitment to the appropriate transfer of risk.
6. Demonstrated commitment to improving loss control through proper documentation, implementation of new safety-related practices and procedures, and employee orientation/training.
7. Geographical proximity to the greater Dayton-Cincinnati-Columbus area.
8. Residential population of less than 65,000 people.
9. Work force of less than 500 full-time employees.
10. Demonstrated history of financial stability and professional management.

Admission Process

In an effort to provide direction to the Executive Director as to communities desired by the Board and to maintain the homogeneity of the Association, the following procedure will be used in admitting new members into MVRMA:

1. The Membership & Marketing Committee, on an ongoing basis, shall identify prospective member municipalities which may be considered for membership in MVRMA.
2. Periodically, the Membership & Marketing Committee shall submit the names of one or more prospective member municipalities to the MVRMA Board seeking authorization to engage in direct marketing activities with so designated municipalities. Following Board authorization, these municipalities shall be added to MVRMA's Approved List, where they shall remain for three years. Prior to the three year expiration date, the Committee shall recommend to the MVRMA Board whether to extend the term for an additional three years. The Approved List shall include an accurate expiration date for each city listed as well as the dates of all proposals provided by MVRMA subsequent to July 1, 1993.
3. Following Board authorization, the MVRMA Executive Director shall engage in all appropriate marketing activities, up to and including the preparation of cost quotations as part of comprehensive insurance proposals to designated prospective member municipalities.
4. In connection with submitting a final proposal to the prospective member municipality, the MVRMA Executive Director shall provide copies of the cost quotation, along with revised pool contribution factor calculations, to all current MVRMA member municipalities.
5. Prospective members shall be admitted into MVRMA only by a vote of the MVRMA Board in accordance with the Agreement and By-Laws of MVRMA and upon such other terms and conditions as may be determined by the then existing members of the MVRMA Board.

Notification

Each applicant will be advised, in writing, of the decision of the Board of Trustees following the Board meeting at which a vote on the applicant's membership is taken.

In accordance with its By-Laws, a decision by the MVRMA Board to approve the application of a prospective member shall not be binding until such time as the applicant municipality meets all of the terms and conditions of membership, including a positive vote for membership by that prospective member's governing board.

Application Fees/New Member Fees

An application fee shall be charged to municipalities which ask for more than one (1) insurance quotation from MVRMA. There shall be no charge for an initial quotation; however, one hundred dollars ($100) shall be charged for a second quotation, and three hundred dollars ($300) shall be charged for a third quotation, and any additional quotations thereafter. There shall be no statute of limitations associated with these fees. This practice applies to any quotes requested from MVRMA subsequent to July 1, 1993. Any application fee paid by the prospective member to MVRMA may, in that particular year, be applied towards their first year's contribution.

MVRMA Marketing Activities

Cities Approved for Marketing Activities

Effective June 16, 1997, the following municipalities are approved by the MVRMA Board for marketing by the Executive Director, including cost proposals:

Other Municipalities Deleted from the "Approved List"