By Karen Norris, Executive Director, Texas Association of Counties

Reaping Rewards From Financial Strength

Members of TAC’s self-insurance pools are controlling losses and reaping more rewards.

February saw the first board meeting of the newly established TAC Risk Management Pool, the result of combining our Workers’ compensation, Liability and Property programs. Thanks goes to Pool chair Bill Freeman, Cooke County judge, and Vice chair Tab Thompson, Erath County judge, for their leadership with this important cost-saving endeavor. Based on the Pool’s 2007 performance, the Board approved another $4 million in dividends for members participating in liability coverages. For a clearer picture of the total savings Pool members received in recent years, here are some numbers:

The renewal credit initiative began with much fanfare in 2006 as our field staff presented commissioners courts with “Big Checks” to call the public’s attention to the savings counties were receiving by joining with other counties to self insure their risk. Strong pool performance has resulted in additional awards. Each year will stand on its own, but TAC pools have the strong financial bottom line necessary to make these awards possible.

Claims costs are in the driver’s seat with this one. Counties with good claims experience naturally receive the most dividend benefit. Let’s keep up the good work!

Important Comments from Lt. Gov. Dewhurst On page 6, you will read about a February visit to the TAC Board of Directors meeting by Lt. Gov. David Dewhurst. He addressed several issues his office is currently finding solutions for, including the growing crisis of Texas’ medically uninsured – an issue of common concern to county officials. The Lieutenant Governor was also very candid about his recent interim charge to the Senate Finance Committee to study revenue and appraisal caps, as well as alternative revenue sources for local governments. Our group was obviously concerned about that study, recently assigned to a subcommittee chaired by State Sen. Tommy Williams (R-The Woodlands). In his remarks, Dewhurst recognized the issue’s complexity but said citizen frustration with property taxes and the challenge of bringing lasting relief continue to drive the debate. The interim study was his way to get everyone involved in a needed dialogue. Dewhurst encouraged all local officials to visit with him directly.

Carl Neu from the Center for the Future of Local Governance out of Colorado also visited TAC. Neu’s expertise is on preserving local authority within the local-state government relationship. Neu speculated that local control as we know it is at-risk and said there is a “fairly narrow window” for county officials to weigh in on the rapidly changing roles of state and local government. It is critical officials make use of that window and have the attention of the Senate and Lieutenant Governor. County leaders will need hard data and a willingness to provide credible input on all workable avenues.

Glen Whitley and NACo membership On page 11, you will read that Tarrant County Judge Glen Whitley is seeking the National Association of Counties 2nd Vice President position at the upcoming NACo Annual Conference in Kansas City. Glen has been encouraged to run again after a voting irregularity during last summer’s election denied him the position. During its last meeting, the TAC Board unanimously endorsed Glen’s candidacy
and charged our staff to support his campaign. We are proud to do so.

Glen’s supporters from around the country are working on his behalf, but Texas counties must lead the way by actively participating in the election process. Texas has seen impressive growth in NACo membership in the last two years, but there are still counties that can benefit by joining. A number of non-member counties are now seriously considering both the service benefits and the importance of having a Texas county voice heard on the national level. We have a great opportunity to place a Texan in the leadership of NACo. We will need every Texas county and every Texas vote.

By Karen Ann Norris, Executive Director, Texas Association of Counties