Minutes of:

Executive Committee Meeting Via Conference Call

Date & Time:

Thursday, October 18, 2001, 2:15 p.m. to 2:40 p.m.

Location:

Meeting Held Via Conference Call Pursuant to Notice E-mailed October 15, 2001

Presiding Officer:

Nancy Newman-Limata, President

Executive Committee Members Present:

Frank J. Aquilino, Treasurer

Louis Grumet, Executive Director

Executive Committee Members Absent:

Carol C. Lapidus

Others Present:

None

Staff Present:

James A. Woehlke

RESOLVED, that for purposes of staggering the terms of board members from the six provisional chapters which began operations in 2001, such chapters should be divided into an upstate group of three and a downstate group of three.

RESOLVED, further, that within each group, a random process should be used to assign one chapter’s initial board member a one-year initial term, another chapter’s initial board member a two-year initial term, and the final chapter’s initial board member a three-year initial term.

Ms. Newman-Limata called on Mr. Sinegal, the NYSSCPA insurance manager, to explain the issue being presented to the committee. Mr. Sinegal noted that the society’s life insurance program is divided into two groups, one composed of members who had first purchased their policies before 1998, and the second composed of members who purchased policies after 1997. Seabury & Smith, the Society’s insurance broker had renegotiated the terms of the policy for the ensuing year, including several alternatives, one of which needed to be selected by the Society.

The Members Insurance Committee considered the three alternatives and selected one that attempted to best balance the effects of changes in the cost and coverage among the various age groups covered by the plan. The committee’s recommendation to the Executive Committee is as follows:

• Increase premiums by 23% for policyholders aged 60 and above, and 18% for those under 60, with all policies to maintain a "premium waiver benefit."
• Reduce coverage by 50% at age 70, and again by a further 50% at age 75, with sustained coverage to age 80 where applicable.
• Cap coverage at $500,000 and $250,000 for ages 70 and 75, respectively.
• “Grandfather” insureds already aged 70 through 80.

Messrs. Sinegal and Grumet provided an overview of the other alternatives considered by the Members Insurance Committee.

Mr. McCoy moved that the Members Insurance Committee’s recommendation be approved. Ms. Fierstein seconded. Following a discussion, which included the thorough review of the matter given by the Members Insurance Committee, the motion was unanimously approved. Ms. Golden abstained.

Ms. Newman-Limata noted that at least two officers in the new provisional chapters are associate members of the Society. She noted that while the bylaws preclude associate members from being officers and directors of the Society itself, they are silent as to whether associate members may serve as committee chairpersons or chapter officers. The bylaws do provide at Article I, section 3(f) “Except as otherwise provided herein, an associate member is eligible for all Society services and benefits.”

Ms. Fierstein moved that associate members may be chairs of committees other than oversight committees, but may not hold chapter officer positions. Mr. Frank seconded. Following a thorough discussion a vote was taken and the motion failed.

By consensus, the Executive Committee agreed to place this item on the December board agenda.