2022-20RESOLUTION 2022-20
To Authorize Membership in the League Insurance Government Health Team (LIGHT)
COUNICL MEMBER STEWART INTRODUCED THE FOLLOWING RESOLUTION:
WHEREAS, the City of Blair desires to enter into the League Insurance Government Health Team
Interlocal Agreement (the "Interlocal Agreement") attached hereto.
RESOLVED, that the City of Blair approves and enters into the Interlocal Agreement and
authorizes the Clerk of the Municipality to execute the Interlocal Agreement.
RESOLVED FURTHER, that the City of Blair approves the attached League Insurance
Government Health Team Membership Agreement (the "Membership Agreement") and authorizes the
Clerk of the Municipality to execute the Membership Agreement.
RESOLVED FURTHER, that the City of Blair authorizes and directs the Clerk of the Municipality
to execute such documents and take such action as may be necessary and appropriate to effectuate the
Municipality's membership in LIGHT and to obtain coverage for Municipal employees through the LIGHT
Member Health Plan.
COUNCILMEMBER STEWART MOVED THAT THE RESOLUTION BE ADOPTED AS READ,
WHICH SAID MOTION WAS SECONDED BY COUNCILMEMBER RUMP. UPON ROLL CALL,
COUNCILMEMBERS HAFER, HALL, WOLFF, WILLIS, RUMP, STEWART, AND SHEPARD
VOTING "AYE", AND COUNCILMEMBERS NONE VOTING "NAY", THE MAYOR DECLARED
THE FOREGOING RESOLUTION WAS PASSED AND ADOPTED THIS 14TH DAY OF JUNE 2022.
Signature:� �
Title: City Clerk
Name of Municipality: City of Blair, Nebraska
Date: June 14, 2022
LEAGUE INSURANCE GOVERNMENT HEALTH TEAM
INTERLOCAL AGREEMENT
This Interlocal Agreement (the "Agreement") is made and entered into by and among the undersigned
municipalities of the State of Nebraska (each a "Member") for formation of, and participation in, the League
Insurance Government Health Team ("LIGHT") and the LIGHT Member Health Plan (the "Plan"). Membership
in the League Insurance Government Health Team shall make health insurance coverage available for the
Members' eligible employees and dependents who participate in the Plan. This Agreement is based upon certain
understandings and in furtherance of certain purposes, as follows:
WHEREAS, the Interlocal Cooperation Act, Neb. Rev. Stat. §§ 13-801 et seq., ("ICA") permits two or
more public agencies to make and execute an agreement providing for joint and cooperative actions;
WHEREAS, if applicable, the Intergovernmental Risk Management Act, Neb. Rev. Stat. §§ 44-4301 et
seq. ("IRMA") permits two or more public agencies to make and execute an agreement providing joint and
cooperative action to form, become members of, and operate a risk management pool for the purpose of providing
to members risk management services and insurance coverages in the form of group self-insurance or standard
insurance, including any combination of group self-insurance and standard insurance, to provide health, dental,
accident, and life insurance member's employees and officers;
WHEREAS, the Members have determined the need to join together to provide for group health insurance
for the Members' employees and their dependents;
WHEREAS, the Members have determined it is in the best interests of the Members' employees to
establish a group health plan in order to provide affordable health insurance to Members' employees and their
dependents; and
WHEREAS, the Members desire to make and to execute an agreement providing for joint and cooperative
action for the purpose of providing health insurance coverage for Members' employees and their dependents.
NOW THEREFORE, in consideration of the foregoing and the respective mutual promises contained
herein, the undersigned parties agree as follows:
1. Definitions.
1.1. "Administrator" shall mean an individual, partnership, corporation, or unincorporated
association engaged by the League Insurance Government Health Team for the purposes of carrying out the
policies established by the League Insurance Government Health Team Board and to provide day-to-day
management of the League Insurance Government Health Team. The League of Nebraska Municipalities shall be
the Administrator of the Plan.
1.2. "Board" shall mean the Board of Directors of the League Insurance Government Health Team.
1.3. "Bylaws" shall mean the bylaws established and approved under this agreement governing the
operation of the League Insurance Government Health Team.
1.4. "Dental insurance" shall mean a contractual arrangement to provide specified dental services, in
consideration of a specified payment for an interval of time, regardless of whether the payment is made by the
beneficiaries individually or by a third person for them, in such a manner that the total cost of such services is to
be spread directly or indirectly among a group of persons.
1.5. "Director" shall mean the State of Nebraska Director of Insurance.
1.6. "Health insurance" shall mean any hospital, surgical, or medical expense -incurred policy or
health maintenance organization contract. Health insurance does not include (a) accident -only, disability income,
hospital confinement indemnity, dental, or credit insurance, (b) coverage issued as a supplement to liability
insurance, (c) medicare or insurance provided as a supplement to medicare, (d) insurance arising from workers'
compensation provisions, (e) automobile medical payment insurance, (f) any other specific limited coverage, or
(g) insurance under which benefits are payable with or without regard to fault and which is statutorily required to
be contained in any liability insurance policy.
1.7. "League" shall mean the League of Nebraska Municipalities.
1.8. "League Insurance Government Health Team" or "LIGHT" shall mean the entity established
and operated under this Agreement.
1.9. "Member" shall mean a Municipality (a) whose application for membership in the League
Insurance Government Health Team has been approved by the League, and (b) that has lawfully entered into this
Agreement and into the League Insurance Government Health Team membership agreement.
1.10. "Municipality" shall mean any city or village in the State of Nebraska that is a dues -paying
member in good standing with the League.
1.11. "Public agency" shall mean any county, city, village, school district, public power district, rural
fire district, or other political subdivision of the State of Nebraska, the State of Nebraska, the University of
Nebraska, and any corporation whose primary function is to act as an instrumentality or agency of the State of
Nebraska.
1.12. "Risk management pool" shall mean an association formed by two or more public agencies by
an agreement, pursuant to IRMA if applicable, providing for joint and cooperative action in the use of their
financial or administrative resources in order to accomplish any of the public and governmental purposes
authorized by state or federal law.
1.13. "Standard insurance" shall mean any policy of insurance issued by a company licensed to
transact insurance business in the State of Nebraska for any policy of insurance issued in accordance with the
requirements for a lawful surplus lines insurance transaction.
2. Establishment of LIGHT. All Members who execute this Agreement hereby, pursuant to the
applicable provisions of ICA, jointly and cooperatively establish the League Insurance Government Health Team
as a separate entity, with all the rights, powers and privileges vested in and conferred such entity as set out in this
Agreement and under the laws of the State of Nebraska. The League Insurance Government Health Team will
provide health insurance coverage for its membership's employees and their dependents in the form of standard
insurance. The membership of the League Insurance Government Health Team consists of those Municipalities
which have entered into this Agreement. The League Insurance Government Health Team shall have perpetual
duration unless or until terminated or dissolved pursuant to the terms of this Agreement or its Bylaws, or in
accordance with IRMA (as applicable) or ICA, or as otherwise required by law.
3. Purpose and Duration. The purpose of this Agreement is to establish and to operate a group health
insurance plan through a standard insurance policy for the benefit of Members' employees and their dependents.
This Agreement shall be for an unlimited duration until formally terminated as provided herein.
4. Powers. In order to carry out this purpose, the League Insurance Government Health Team shall
exercise and enjoy all the powers, privileges and authority exercised or capable of exercise by a joint entity under
ICA, constituting a separate public body politic under the laws of the State of Nebraska, exercising public powers
and acting on behalf of the public agencies which are parties to this Agreement as set out by law.
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If applicable, the League Insurance Government Health Team shall exercise and enjoy all the powers,
privileges and authority exercised or capable of exercise by a pool created pursuant to IRMA, including, but not
limited to, the power to issue bonds or other obligations on behalf of public agencies or to otherwise assist in the
issuance by such public agencies of such obligations; provided, however, that nothing herein shall prevent any of
the parties hereto from separately exercising any such powers, privileges or authority. The League Insurance
Government Health Team shall specifically have the power to sue and be sued, make contracts and other
instruments necessary or convenient to the exercise of its powers, hold and dispose of real and personal property,
borrow money, contract debt, and pledge any assets in the name of the League Insurance Government Health
Team.
5. Financial Plan. The League Insurance Government Health Team shall sponsor a fully -insured group
health insurance plan through a standard insurance policy that provides coverage to Members' employees and the
employees' dependents. The Board, on behalf of the League Insurance Government Health Team and its
constituent Members, shall enter into a contract, or renew an existing contract, with a company licensed to transact
insurance business in the State of Nebraska on an annual basis for health insurance. Each Member will be required
to complete a subgroup application in order to participate in a League Insurance Government Health Team -
sponsored plan. Each Member shall make payment of premiums and any fees for Plan coverage and/or any other
fees approved by the Board to fund the operation of the League Insurance Government Health Team, pursuant to
the terms and conditions of the (a) LIGHT membership agreement and (b) subgroup application, master group
application, and/or master group contract or other relevant documentation required by the insurance company
providing the policy for health insurance coverage for the Plan. The League Insurance Government Health Team
shall ensure that the Plan receives documentation from the insurance company setting forth the types of coverage
to be offered and applicable deductible levels. The Board will review annually the necessity of maintaining cash
reserves, additional standard insurance, or excess insurance, taking into account the fully -insured nature of League
Insurance Government Health Team -sponsored plan.
Plan of Management.
6.1. Board of Directors. The governing authority of the League Insurance Government Health Team
shall be a Board of Directors consisting of a minimum of five and maximum of fifteen elected or appointed
officials of Members. In addition, the Board shall include the Executive Director of the League as an ex -officio,
non-voting member. The initial Board of Directors shall be composed of an elected or appointed official from five
municipalities which executed the Interlocal Agreement prior to July 1, 2022, each of whom shall be approved as
a Director by the respective governing body of the participating Member. The number and tenure of directors of
the Board shall be as provided in the Bylaws; provided that, in no event shall the number of directors of the Board
be less than the requisite number of directors needed to transact the business of the League Insurance Government
Health Team.
6.2. Board of Directors Duties.
(a) The Board shall be responsible for entering into negotiations and negotiating with one or
more insurance companies for the provision of health insurance coverage on behalf of the Members. The Board
shall be responsible for entering into one or more agreements with insurance companies for the provision of health
coverage.
(b) The Board shall be responsible for managing the property, business, and affairs of any
League Insurance Government Health Team -sponsored plans, including the establishment and maintenance of a
budget.
(c) The Board shall take all necessary precautions to safeguard the assets of the League
Insurance Government Health Team and exercise fiduciary duties concerning those assets and the overall
operations of the League Insurance Government Health Team.
(d) The Board shall make and enter into any and all contracts, leases, and agreements
necessary or desirable for the administration and management services to carry out any of the powers granted or
duties imposed under this Agreement or any applicable law or regulation.
(e) The Board shall establish the duties and responsibilities of the Administrator and any
delegation of its duties to the Administrator.
(f) The Board shall select and contract, either directly or indirectly, with service providers,
including but not limited to insurance brokerage firm(s), accounting firm(s), legal counsel, consultants, and other
qualified service providers or advisors as deemed necessary by the Board to carry out the intent and purposes of
the League Insurance Government Health Team.
(g) The Board may adopt bylaws pertaining to the exercise of its purpose and powers (the
"Bylaws"). The Board may, from time to time, revise the Bylaws. The Board may also from time to time adopt
policies, rules and procedures for the administration and operation of the League Insurance Government Health
Team, by majority vote of the Board, so long as such policies, rules, and procedures are not inconsistent with this
Agreement or the Bylaws. No provisions of the Bylaws, policies, rules or procedures shall be inconsistent with
this Agreement, the ICA, or, if applicable, IRMA.
(h) The Board may exercise such other powers as are necessary for the proper operation of
the League Insurance Government Health Team to carry out the terms of this Agreement and to comply with ICA,
IRMA (if applicable), rules and regulations adopted under either ICA or IRMA (if applicable), and any other
applicable State or Federal laws, rules or regulations, and the League Insurance Government Health Team Bylaws.
6.3. Membership Procedures.
(a) Application. A Municipality may apply to become a Member of the League Insurance
Government Health Team by completing and submitting a League Insurance Govermnent Health Team
membership agreement. The applicant must also provide all information required by the insurance company
providing the policy for health insurance coverage at the time of application, including any required subgroup
application. If the applicant (i) meets the eligibility requirements as set out in the League Insurance Government
Health Team membership agreement, (ii) enters into this Agreement and the League Insurance Government Health
Team membership agreement by resolution passed by its governing body, and (iii) provides all documentation
and forms to the insurance company providing the policy for health insurance coverage at the time of application,
the applicant will become a Member upon the League's approval of the Municipality's eligibility as set out in the
League Insurance Government Health Team membership agreement and upon the execution of this Agreement
by the Board.
(b) Voluntary Termination. A Member may voluntarily terminate its participation in the
League Insurance Government Health Team by written notice of termination given to the League Insurance
Government Health Team prior to the desired termination date and in compliance with the timeframe stipulated
by the insurance company providing the policy for health insurance coverage at the time of termination. Members
seeking to voluntarily terminate participation shall comply with all notice requirements contained in IRMA, if
applicable.
(c) Involuntary Termination. A Member may be involuntarily terminated as a Member of the
League Insurance Government Health Team if, after due notice and hearing, the Board (or relevant regulatory
authority) determines that: (i) the Member has failed to pay any contribution or assessment to the League Insurance
Government Health Team; (ii) the Member has failed to discharge any other obligation it owes to the League
Insurance Government Health Team; or (iii) the Member has failed to comply with the laws of the state, rules of
the Department of Insurance, or bylaws of the League Insurance Govermnent Health Team.
(d) Effect of Termination. A former Member shall remain liable for any costs and obligations
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incurred by the League Insurance Government Health Team while the Municipality was a Member, and for any
contractual obligation the Municipality has entered into with the League Insurance Government Health Team on
or before the date of termination. A former Member who has terminated participation in the League Insurance
Government Health Team, or whose participation is involuntarily terminated pursuant to this Section 6.3, may
apply for participation in the League Insurance Government Health Team after the lapse of 24 months following
the date of cancellation.
6.4. Funds and Reserves by Exposure Area. The Board shall review appropriate actuarial analyses to
identify appropriate funds and reserves by exposure area, as applicable. Each Member must make payment of its
premiums and any fees for the League Insurance Government Health Team -sponsored coverage pursuant to the
terms and conditions of the (a) LIGHT membership agreement, and (b) subgroup application, master group
application, master group contract, or other relevant documentation required by the insurance company providing
the policy for health insurance coverage for the Plan.
6.5. Claim Payment. All claims shall be paid pursuant to the standard insurance policy issued by a
company licensed to transact insurance business in the State of Nebraska for health insurance and in accordance
with any master group application, master group contract, and/or other relevant documentation issued by the
insurance company providing the policy for health insurance coverage for the Plan and entered into by the League
Insurance Government Health Team for the benefit of its membership.
6.6. No Private Benefit. No part of the net earnings or assets of the League Insurance Government
Health Team shall inure to the benefit of any private person.
6.7. Distribution of Surplus at Dissolution. At the dissolution of the League Insurance Government
Health Team's existence, any surplus funds over and above those necessary to pay or reserve against the expenses
and liabilities of the League Insurance Government Health Team shall vest in and be distributed among the
Members. Such distribution shall be allocated among Members in proportion to the contributions made by each
Member.
6.8. Loss Control Program. To the extent applicable and necessary, the Board shall approve a system
or program of controlling Member losses.
7. Dissolution. The League Insurance Govermnent Health Team shall only be dissolved at such time as (a)
the Board determines that the number of Members is too small to continue to provide coverage, (b) the Board is
unable to secure a policy of insurance on behalf of the Members, or (c) in the event the League's Executive Board
withdraws its support. The Board shall be responsible for all actions necessary to dissolve the League Insurance
Government Health Team, in compliance with and as required by law. Upon the occurrence of an event of
dissolution, to the extent required by law, the Board shall place the matter before the Members for a vote.
8. Banking Relationships. The League Insurance Government Health Team shall establish bank accounts
necessary to carry out the terms and meet the operational needs of this Agreement. Controls shall be established
and funds shall be invested so that the League Insurance Government Health Team is managed in a conservative
and prudent manner.
9. Member Examinations and Audits. The League Insurance Government Health Team may examine and
audit a Member's records at any time during the period this Agreement is in effect, and during any extensions
hereof, and within three years after such Member is no longer a Member of the League Insurance Government
Health Team, insofar as the records may relate to the subject matter of this Agreement.
10. Place of Business. The principal place of business for the League Insurance Government Health Team
shall be 1335 L Street, Lincoln, Nebraska 68508 or at such other place as determined by the Administrator. Notice
provided via United States Postal Service by a member to the League Insurance Government Health Team at this
address shall be considered proper notice to the League Insurance Government Health Team and all participating
members of the League Insurance Government Health Team. The Administrator may employ necessary staff for
the positions authorized by the Board; the Administrator also may purchase, lease, or rent real or personal property
with the approval of the Board in order to carry out the business and purpose of the League Insurance Government
Health Team.
11. Conformity with Law. In the event any term or provision of this Agreement is in conflict with the laws
and statutes of the State of Nebraska as they now exist or are hereafter amended, this Agreement shall be
automatically deemed amended to conform to such laws and statutes.
12. Fiscal Year. For the initial year in which the League Insurance Government Health Team is formed, the
fiscal year shall begin on July 1, 2022 and end on September 30, 2022. Thereafter, the League Insurance
Government Health Team's fiscal year shall begin on October 1 of each year and end on September 30 of the
following year, unless determined otherwise by the Board.
13. Liabili . No Member in the League Insurance Government Health Team shall, by reason of this
Agreement, have any liability for claims brought by third parties against any other Member. The liability for any
claim against a Member shall remain the sole and exclusive liability of the Member.
14. Termination of the Agreement. This Agreement shall terminate upon the occurrence of all of the following
events: (a) the League Insurance Government Health Team has dissolved pursuant to Section 7; (b) all amounts
owed by the Members have been paid in full; and (c) all amounts owed for claims and other expenses have been
paid in full.
15. Execution in Counterpart. This Agreement may be executed in several counterparts, each of which shall
be regarded as an original and all of which shall constitute one and the same document.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the dates set forth in the
attached Resolutions and acknowledged below.
MEMBER MUNICIPALITY
Signature:
Title: City Clerk
Name of Municipality: City of Blair, Nebraska
Date: June 14, 2022
LEAGUE INSURANCE GOVERNMENT HEALTH TEAM
Signature:
Chairperson, League Insurance Government Health Team
6/29/22
Date:
LEAGUE INSURANCE GOVERNMENT HEALTH TEAM
MEMBERSHIP AGREEMENT
This Agreement is entered into by and between the League Insurance Government Health Team
("LIGHT") and City of Blair, Nebraska (the "Member"), a Nebraska employer, for participation
in LIGHT and the LIGHT Member Health Plan (the "Plan"), for coverage effective July 1, 2022. Membership in
LIGHT shall make health insurance coverage available for the Member's eligible employees and dependents who
participate under the Plan. In consideration of mutual promises, the undersigned parties agree as follows:
Section 1. Membership. The undersigned employer hereby agrees to become a member of LIGHT
(a "Member") upon and subject to the terms and conditions of the League Insurance Government Health Team
Interlocal Agreement (the "Interlocal Agreement"), Bylaws of LIGHT, and this Agreement for and during the
term of this Agreement.
In order to qualify for membership, the undersigned employer represents that it meets all of the following
qualifications:
(i) Is a city or village in the State of Nebraska;
(ii) Constitutes an employer as defined under ERISA § 3(5);
(iii) Employs in the State of Nebraska at least one common law employee;
(iv) Is a dues -paying member in good standing with the League of Nebraska Municipalities;
and
(v) Elects to participate in the Plan and executes a Plan subgroup application, which is
incorporated by this reference.
Section 2. Agreement with Respect to Formation and Existence of LIGHT. The Member
acknowledges and agrees that LIGHT is an entity that has been formed by constituent members, and as such, is
and shall have such powers as are set forth its Interlocal Agreement and Bylaws.
Section 3. Member Obligations. For and during the Term of this Agreement, the Member agrees as
follows:
(i) To maintain its status as a qualified Member under the provisions of Section 1 of this
Agreement and to notify the LIGHT Board of Directors as soon as the Member has knowledge that it no longer
meets the qualifications under Section 1 of this Agreement;
(ii) To comply with the Interlocal Agreement and Bylaws of LIGHT as the same now exist
or may from time to time hereinafter be amended;
(iii) To maintain a membership in good standing with the League of Nebraska Municipalities;
(iv) To comply with all administrative requirements and procedures of the Plan, including,
but not limited to, continuation coverage under state or federal law;
(v) To notify the insurer timely and accurately within thirty (30) days of any change to the
name; address; eligibility for coverage, including, but not limited to, any changes to the eligibility of a Member's
employee who fails to satisfy the "actively -at -work" requirement or minimum weekly working hours
requirement;1 or other change to enrollment of the Member, the Member's employee, or the Member's employee's
dependent;
(vi) To provide any and all data, documents, and information, including enrollment and
eligibility information, which LIGHT, its agents, or its consultants may from time to time require in order for
LIGHT to administer the Plan;
(vii) To cooperate with LIGHT in all matters related to LIGHT's administration of the Plan
including, but not limited to, cooperating with any and all Plan audits by LIGHT or the insurer, and completing
any and all certifications received by the Member from LIGHT or the insurer for the purpose of verifying a
Member's eligibility, a Member's employee's eligibility, or a Member's employee's dependent's eligibility to
participate in the Plan;
(viii) To comply with the terms and conditions of the Plan as the same may from time to time
be amended and modified;
(ix) To make payment of premiums and any fees for Plan coverage or operational expenses
pursuant to the terms and conditions determined by the insurer for the Plan;
(x) To make payment of any fees approved by the Board to fund the operation of LIGHT;
(xi) To distribute Plan documentation in the manner specified by law, LIGHT, and/or the
insurer, as applicable, to Member's employees and dependents. The Member agrees to indemnify LIGHT, the
Plan, the insurer and their employees, agents, directors, officers and assigns (collectively, the "Indemnitees") and
to hold each of them harmless from any and all liabilities, claims, penalties, tax assessments or other obligations
which may arise, directly or indirectly, from the Member's failure to comply with its obligations as set forth in
this Section 3(xi);
(xii) To annually sign a subgroup application furnished by the Plan verifying compliance with
Plan requirements;
(xiii) To authorize LIGHT to act as the Plan Sponsor for the Plan; and
(xiv) To authorize the League of Nebraska Municipalities to act as the Plan Administrator for
the Plan.
Section 4. Services Provided by LIGHT. For and during the Term of this Agreement, LIGHT, acting
as the agent for and on behalf of its Members, hereby agrees as follows:
(i) To enter into negotiations with one or more insurance companies for the provision of
health, dental, or other insurance coverage;
(ii) To enter into one or more agreements with an insurer for the provision of health, dental,
or other insurance coverage and to provide the Member with a copy of each said agreement and all amendments
thereto as soon as is reasonably possible following their complete execution; and
(iii) To manage the property, business, and affairs of the Plan, including the administration of
the Plan.
1 The "actively at work" requirement shall be met under the following three circumstances: (1) the employee is actively performing the
customary duties, responsibilities, and obligations of the role which the employee is employed to perform; (2) the employee is on leave
under the Family and Medical Leave Act (FMLA), whether paid or unpaid; and/or (3) the employee is on an approved paid leave. The
minimum weekly working hours requirement is waived for all periods in which the employee is on FMLA leave, but shall apply in all other
circumstances, including periods of approved paid leave. Where an employee is on approved paid leave, to meet the minimum weekly
working hours requirement, the employee must have available and use paid leave equal to or in excess of such requirement.
2
Section 5. Term and Termination
Section 5.1 Term. Subject to any Renewal Term(s) and unless sooner terminated as provided
below, this Agreement shall be for a term commencing on July 1, 2022, and continuing thereafter until June 30,
2023 (the "Initial Term"). This Agreement shall renew automatically for subsequent one year terms (the "Renewal
Term(s)") unless and until (i) a new Agreement is required by LIGHT, (ii) this Agreement is terminated as
provided herein, or (iii) notice of non -renewal is provided in accordance with Section 5.2 of this Agreement. The
Initial Term and any Renewal Term(s) shall be referred to collectively herein as the "Term" or the "Terms."
Section 5.2 Notice of Non -Renewal. Notwithstanding anything herein to the contrary, the
Member may preclude the automatic renewal described in Section 5.1 of this Agreement by providing written
notice to LIGHT at least thirty (30) days prior to the commencement of the Renewal Term.
Section 5.3 Termination. This Agreement may be terminated during its Term as follows:
(i) Voluntary Termination. At any time by mutual written consent of each of the parties, and
in compliance with any timeframe stipulated by the insurance company providing the policy for health insurance
coverage at the time of termination.
(ii) Involuntary Termination. After due notice and hearing, at any time upon the affirmative
vote of a majority of LIGHT's Board of Directors in the event the Member fails to pay any contribution or
assessment to LIGHT, fails to meet the qualifications of Section 1 of this Agreement, fails to comply with the
Member obligations of Section 3 of this Agreement, or fails to comply with the laws of the state, rules of the
Nebraska Department of Insurance, or bylaws or Interlocal Agreement of LIGHT.
Section 5.4 Effect of Termination or Expiration on Plan Participation. Participation in the
Plan will cease on the date this Agreement terminates or expires. The Member shall remain liable for any costs
and obligations incurred by LIGHT while a Member, and for any contractual obligation the Member has entered
into with LIGHT on or before the date of termination.
Section 6. Indemnification. The Member hereby agrees to indemnify and hold LIGHT and its
officers, directors, employees, agents, and representatives harmless from any and all liabilities, losses, damages,
penalties, fines, costs, or expenses (including without limitation court costs and reasonable attorneys' fees) to the
extent the same are incurred in connection with any demand, suit, audit, investigation, or other proceeding and
arise out of or relate in whole or in part to: (i) any act or omission of the Member or any of its board members,
officers, employees, agents, or representatives which occurs in the course of the Member's performance of this
Agreement; or (ii) failure by the Member to observe or perform any obligation, undertaking, or agreement required
to be observed or performed by the Member pursuant hereto. The Member hereby further agrees to indemnify and
hold the Plan, LIGHT, and LIGHT's officers, directors, employees, agents, and representatives harmless from any
and all liabilities, losses, damages, penalties, fines, costs, or expenses (including without limitation court costs
and reasonable attorneys' fees) to the extent the same are incurred in connection with any demand, suit, audit,
investigation, or other proceeding, and arise out of, or relate in whole or in part to, or that occur as a result of the
Member's failure to comply with applicable law with respect to the Plan.
Section 7. Budgeting and Finance. The Board of Directors of LIGHT will establish a budget
covering the operations of LIGHT each year, on an annual basis. LIGHT intends to obtain the funding for its
budget through member fees. The Member acknowledges and agrees that LIGHT may collect such fees to cover
its operational expenses in the amount, at the time, and in the manner determined by LIGHT's Board of Directors.
To facilitate planning, the estimated amount of funds required annually from each Member will be set by the
Board and reflected on Exhibit "A" attached hereto and incorporated by this reference. To the extent the costs and
expenses of operating LIGHT are not otherwise paid or provided by these sources, said costs and expenses will
be financed by the Members and, unless otherwise agreed in writing, will be prorated based on the ratio of the
Member's number of participating employees receiving coverage under the Plan for the immediately preceding
calendar year to the aggregate number of total participating employees receiving coverage under the Plan for such
year.
Section 8. Amendment. This Agreement may be modified only by a written amendment duly
executed by both the Member and LIGHT. No alteration or variation of the terms and conditions of the Agreement
shall be valid or binding unless made in writing and signed by both the Member and LIGHT. Every amendment
shall specify the date on which its provisions shall be effective.
Section 9. Assignment. Neither the Member nor LIGHT may assign or transfer any of its or their
interest, rights, or duties under this Agreement to any person, firm, or entity without prior written consent of the
other party to this Agreement, which consent may be granted or withheld by the other party in its sole discretion.
In the absence of such written consent, any such assignment or attempted assignment shall be invalid and shall
constitute a breach of this Agreement.
Section 10. Governing Law. This Agreement shall be subject to, governed by, and construed
according to the laws of the State of Nebraska.
Section 11. Entire Agreement, This written Agreement represents the entire agreement of the parties
with respect to the subject matter hereof, and any prior or contemporaneous representations, promises, or
statements by the parties that are not expressly incorporated herein or therein shall not serve to vary, contradict,
augment, modify, or supplement the terms set forth in this Agreement.
Section 12, Survival. All rights, remedies, obligations, and all covenants and agreements set forth in
this Agreement which by their terms require or contemplate performance which is to extend or occur after the
expiration or termination of the Agreement shall survive the termination or expiration of the Agreement and shall
remain in effect and be enforceable as between the parties hereto in accordance with the terms.
Section 13. Counterparts. This Agreement may be executed in two (2) counterparts, each of which
shall constitute an original, and all shall constitute one and the same instrument.
IN WITNESS WHEREOF, the undersigned have signed this Agreement fully intending the same to be
binding upon themselves and their respective trustees, receivers, successors and permitted assigns.
Employer Member
City of Blair, Nebraska
Name of Employer
Ey:
Signature
League Insurance Government Health Team
By:
Signature
Brenda Wheeler, City Clerk 06/14/2022 R. Paul Lambert, Chairperson 6/29/22
Print Name and Title Date Print Name and Title Date
EXHIBIT "A"
Member Fees
Pursuant to Section 7 of this Agreement, Member fees for the Plan Year beginning July 1, 2022 will be
zero dollar ($0.00) per month for each employee covered under the Plan. LIGHT will notify the Members of the
amount of the Member fees determined by the Board prior to each subsequent Plan Year.