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HomeMy WebLinkAboutResolution 9620RESOLUTION NO. 9620 CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA AUTHORIZING EMPLOYEE HEALTH BENEFITS POOL MEMBERSHIP AGREEMENT AND BYLAWS WHEREAS, the City of Mounds View is currently a Participant Member of the Sourcewell Risk Management Pool, pursuant to which the City of Mounds View obtains self -funded health insurance coverage for the City of Mounds View's eligible employees and their covered dependents; and WHEREAS, the Sourcewell Risk Management Pool has determined that it is appropriate and necessary to obtain authorization from the Minnesota Department of Commerce to operate as a Political Subdivision Joint Self Insurance Pool in accordance with Minn. Stat. § 471.617 and Minn. R. Ch. 2785; and WHEREAS, effective January 1, 2023 the self -funded health insurance coverage previously provided by the Sourcewell Risk Management Pool will be provided by the duly authorized Political Subdivision Joint Self Insurance Pool named The Better Health Collective; and WHEREAS, Minnesota law requires Political Subdivision Self Insurance Pools to adopt bylaws containing terms and conditions required by Minnesota law, and a governance structure that complies with Minnesota law, which Participating Members must agree to adhere to; and WHEREAS, the City of Mounds View wishes to join the Better Health Collective as a Participating Member effective January 1, 2023. NOW, THEREFORE, BE IT RESOLVED THAT: 1. The City of Mounds View agrees to become a Participating Member of The Better Health Collective effective January 1, 2023. 2. As a Participating Member, the City of Mounds View approves the Membership Agreement and Bylaws of The Better Health Collective in the form attached hereto as Exhibit A. Adopted this 8th day of August, 2022. Al Hull, ATTEST: (seal) Administrator MEMBERSHIP AGREEMENT AND BYLAWS OF THE BETTER HEALTH COLLECTIVE Effective: July 1, 2022 INTRODUCTION This combined Membership Agreement and Bylaws ("Agreement") is made by and between The Better Health Collective and the entities listed in Appendix A ("Participating Members" or "Members") to establish and govern the operations of the Better Health Collective Employee Health Benefits Pool (the "Pool"). WHEREAS, Minnesota Statutes, § 471.59, provides that two (2) or more governmental units may, by agreement, jointly or cooperatively exercise any power common to them; and WHEREAS, the Participating Members are governmental units for purposes of Minnesota Statutes, § 471.59; and WHEREAS, Minnesota Statutes, § 471.617, provides that certain governmental entities which together employ more than one hundred (100) employees mayjointly self -insure employee health benefits; and WHEREAS, together the Participating Members employ more than one hundred (100) employees; and WHEREAS, the Participating Members have jointly established in full force and effect certain self- insurance arrangements to provide certain employee health benefits, and those arrangements constitute a self-insurance pool under Minnesota law, including Minnesota Statutes, § 471.617, and Minnesota Rules, Chapter 2785; and WHEREAS, the Participating Members may, in the future, wish to jointly provide other employee benefits, permitted under applicable law, to their employees; and WHEREAS, the Participating Members authorize the Board of Trustees to act as a joint board for the purpose of exercising certain powers as set forth in this combined Membership Agreement and Bylaws. NOW, THEREFORE, each Participating Member in exchange for the mutual covenants, promises, and obligations contained herein, promises and agrees as follows: ARTICLE I. NAME, PURPOSE, AND AUTHORITY 1.1 Name. The name of the Pool created herein is Better Health Collective. 1.2 Purpose. The purpose of the Pool is to provide health benefits and related services to eligible Employees, Former Employees, and Dependents of Participating Members. 1.3 Authority. 1.3.1 Sourcewell. Sourcewell is a statutory service cooperative authorized pursuant to Minnesota Statutes, § 123A.21, subdivision 7(a)(19) and § 471.617, subdivisions 1-2, to 2.10 Employee Health Benefits Pool. "Employee Health Benefits Pool" means a self-insurance pool that covers employee health benefits, disability benefits, or both. 2.11 Financial Administrator. "Financial Administrator" means an entity engaged by the Board of Trustees to invest the Pool's assets and provide other financial or accounting services. 2.12 Former Employee. "Former Employee" means an individual previously employed by a Participating Member who is eligible for continuing participation in the Plan. 2.13 Membership Agreement. "Membership Agreement" or "Agreement" means this combined Agreement and Bylaws, and any amendments hereto, which prescribe the purpose, government, and administration of the Pool. References to "Bylaws" include this Membership Agreement. 2.14 Participating Member. "Participating Member" or "Member" means any Minnesota Political Subdivision that satisfies the Pool's membership requirements and has been approved by the Board of Trustees for participation in the Pool. The Pool's membership is limited to qualified Political Subdivisions. For the avoidance of doubt, the Pool shall not operate as a public/private pool, and shall not offer membership to any private entity. 2.15 Plan. "Plan" means any Plan maintained by the Board of Trustees and authorized by Minnesota law to provide employee health benefits to eligible Employees, Former Employees, and Dependents of Participating Members. 2.16 Policy Year. "Policy Year" means a 12-month period of employee health benefits coverage under a Plan offered by the Pool to a Participating Member. 2.17 Political Subdivision. "Political Subdivision" means a statutory or home rule charter city, county, school district, or instrumentality thereof, and includes any service cooperative that establishes or operates a self -insured employee health benefits pool. 2.18 Pool. "Pool" refers to Better Health Collective and means a self-insurance fund or agreement for the reciprocal assumption of risk established by or amongst two or more Political Subdivisions for coverage of their respective risks. 2.19 Premium "Premium" means the amount paid or to be paid by Participating Members for Coverage. "Premium" does not include assessments or penalties. 2.20 Reserve. "Reserve" mean amounts established as pool liabilities for all incurred losses, both reported and unreported, and for unearned Premiums, which are maintained pursuant standards established by the Board of Trustees in compliance with applicable Minnesota statutes and rules. 2.21 Runoff Pool. "Runoff Pool" means a pool that no longer has authority to self -insure, but that continues to exist for the purpose of paying claims, preparing reports, and administering transactions associated with the period in which the Pool provided Coverage. 2.22 Self -insure. "Self -insure" means to assume primary liability or responsibility for certain risks or benefits rather than transferring liability or responsibility to some other entity. Page 3 of 24 (g) Developing and adopting Board policies as needed to ensure the day-to-day operations of the Pool are conducted in a compliant and transparent manner; (h) Making or recommending changes to this Membership Agreement and Bylaws for the improvement of the Pool's operation and financial integrity; (i) Monitoring the Pool's compliance with all applicable statutes and rules; and (j) Such other activities necessary to carry out the purposes of this Agreement. 3.2 Board Structure. Pool operations shall be managed by a Board of Trustees consisting of seven (7) voting members, who shall include three (3) members representing Sourcewell as the Sponsoring Association. The remaining four (4) members of the Board of Trustees shall consist of one (1) elected official representing Participating Members that are local school districts; one (1) elected official representing Participating Members that are cities, counties, or other governmental units (CCOGA); at least one (1) staff person representing Participating Members that are local school districts or CCOGA; and one (1) at -large representative of Participating Members, who may be either an elected official or a staff person. 3.2.1 Selection of Trustees. (a) Sourcewell shall appoint three (3) Trustees from its Board of Directors or staff. Sourcewell shall present its appointments to the Board of Trustees at least 30 days before the expiration of its Trustee's term or within a reasonable time after a Trustee appointed by Sourcewell resigns, is removed or disqualified as outlined below, or otherwise needs to be replaced. (b) The remaining four (4) Trustees shall be appointed by the Labor Management Committee. The Labor Management Committee shall present its appointments to the Board of Trustees at least 30 days before the expiration of its Trustee's term or within a reasonable time after a Trustee appointed by the Labor Management Committee resigns, is removed or disqualified as outlined below, or otherwise needs to be replaced. 3.2.2 Term. Each Trustee may serve for a term of four (4) years and may be re -appointed for one (1) additional Term. 3.2.3 Resignation. Any member of the Board of Trustees may resign at any time upon written notice to the Board of Trustees or its Chairperson. Such resignation shall take effect on the later of the date specified in the notice or the date notice is received by the Board or the Chairperson. 3.2.4 Disqualification. A Trustee shall be disqualified from service if they no longer serve as an elected official for a Participating Member or as otherwise required by applicable Minnesota law or rule. A Trustee shall also be disqualified based on the unanimous vote of the Board of Trustees in the event a Trustee fails to fulfil his or her obligations as a Trustee or engages in conduct that calls into question a Trustee's honesty, integrity or suitability to serve as a Trustee. Page 5 of 24 (b) Assist in the preparation of the Annual Budget; (c) Make recommendations regarding requests for expenses in excess of budget; (d) Review quarterly and annual financial reports; and (e) Review all applications for membership in the Pool and make a recommendation to the Board of Trustees. 3.4.2 Other Committees. The Board may designate other advisory or ad hoc committees and delegate authority to them in accordance with this Agreement and applicable Minnesota statutes and rules. The Board shall consider, but is not required to adopt, committee recommendations and proposals. ARTICLE IV. MEMBERSHIP 4.1 Powers, Duties, and Responsibilities. Each Participating Member shall fulfill the duties and responsibilities as outlined herein. At the discretion of the Board of Trustees, failure by a Participating Member to fulfill its duties and obligations may constitute the basis for expulsion pursuant to Section 4.7.2 herein. These duties and responsibilities include, but are not limited to: 4.1.1 Compliance. The duty to fully comply with this Agreement, as written or amended; any delegation of authority from the Board of Trustees; Board policies and procedures; and applicable Minnesota statutes and rules. 4.1.2 Financial Obligations. The duty to pay to the Pool all Premiums, assessments, and other required contributions within the expected timeline and in the appropriate amounts. 4.1.3 Participation. The duty to actively participate in Annual Meetings and other Pool -related matters as requested or required by this Agreement or the Board of Trustees, and to promptly act on matters requiring resolution of the Member's governing body. 4.1.4 Cooperation. The duty to fully cooperate with the Board of Trustees, the Pool's Service Company and Financial Administrator, and any other service provider engaged by the Board. 4.1.5 Communication. The duty to notify Covered Persons within thirty (30) days if the Participating Member withdraws or is expelled from the Pool and any other circumstance in which the Member is obligated to provide notice to Covered Person. 4.2 Contractual ❑blipations. 4.2.1 Continuing Duties and Responsibilities. The duties and responsibilities of Participating Members, including the duty to comply with this Agreement, shall continue throughout the Member's participation in the Pool and thereafter as required herein. 4.2.2 Enforcement. This Agreement may be enforced in law or equity by the Board of Trustees or any Participating Member. Page 7 of 24 Participating Member or its employee or agent shall disclose any information about individual claims or total claims of an individual without the consent of the individual, except that the information may be disclosed to officers, employees, or agents of the Participating Member to the extent necessary to enable them to perform their duties in administering the health benefit program. 4.4 Eligibility and Application. Any Minnesota Political Subdivision may apply to enter the Pool by submitting a Request for Proposal (RFP) or application form and documentation establishing the prospective member's ability to meet the Pool's underwriting standards and any other nondiscriminatory membership criteria adopted by the Board of Trustees. All Coverage offered by the Pool shall be available to all Participating Members and to all eligible Employees, Former Employees, and Dependents according to the same underwriting standards. However, the Board shall not be required to accept prospective members that do not meet the Pool's underwriting standards. 4.5 Approval and Admission of New Members. Upon review and approval of the documentation outlined in Section 4.4 herein, the Board of Trustees shall adopt a resolution approving a prospective member's participation in the Pool and directing the Board Secretary to add the new Member to the list of Participating Members in Appendix Al upon receipt of: 4.5.1 Membership Agreement and Bylaws. An executed copy of this Agreement; and 4.5.2 Board Resolution. A resolution from the governing body of the prospective member outlining the prospective member's commitment to: (a) Fully comply with this Agreement; Minnesota Rules, Parts 2785.0010 to 2785.1600, including joint and several liability; and other applicable Minnesota statutes and rules; and (b) Participate in the Pool for a minimum of one (1) Policy Year. This initial commitment shall automatically renew for subsequent one-year terms unless the Participating Member provides notice of voluntary withdrawal pursuant to Section 4.7. 4.6 Effective Date. The effective date for membership shall be January 1 orJuly 1, whichever is closest to the date the Participating Member meets the requirements outlined herein. The Board of Trustees may permit entry into the Pool at other times and may impose restrictions and limitations with respect to such entry. 4.7 Leaving the Pool. 4.7.1 Voluntary Withdrawal. A Participating Member may withdraw from the Pool without penalty by providing notice to the Board of Trustees at least five (5) months before the end of the Participating Member's Policy Year subject to the following: 1 Appendix A may be modified at any time to pursuant to this Agreement and Bylaws. Such modifications do not constitute an amendment to this Agreement and do not otherwise modify the terms and conditions herein. Page 9 of 24 5.2 Amendment. The Board of Trustees shall have the authority to amend or restate this Agreement and Bylaws at any time, provided such action is taken by resolution at a duly noticed meeting of the Board with an agenda that specifically includes the amendment or restatement as an item of business. The Board of Trustees shall solicit the advice and counsel of the Labor Management Committee in considering any material amendment to this Agreement. The Chairperson shall file any changes to this Agreement with the Commissioner within thirty (30) days after adoption. ARTICLE VI. SERVICE COMPANY 6.1 Powers Duties and Responsibilities. The Board of Trustees shall engage a Service Company to perform services necessary to the Pool's day-to-day operations and the administration of Coverage, except those services and responsibilities reserved to Sourcewell, other Participating Members, the Board, individual Trustees, the Financial Administrator, the accountant, or other service providers. Such services may include but are not limited to: account and record keeping; billing and collection of Premiums and assessments; claims investigation, settlement, and reserving; claims payment, including those subject to stop -loss insurance or member deductibles; general administration; loss control; and underwriting. 6.2 Selection. 6.2.1 Qualifications. The Board shall select a Service Company licensed by the Commissioner as a self-insurance plan administrator, an insurance company authorized to transact insurance in Minnesota, or a service plan corporation. 6.2.2 Procedures. (a) The Board may issue a request for proposal (RFP) with respect to a need for a Service Company at any time, but at least every four (4) years. (b) The Board shall evaluate responses to the RFP in accordance with applicable law, and criteria adopted by the Board and select a Service Company qualified to provide the required services. Notwithstanding the above, the Board may negotiate with any entity that responds to the RFP or disregard the responses altogether. (c) In evaluating a Service Company, the Board shall verify the entity's licensures and consider its experience in delivering service required. The Board shall also ensure there are no potential conflicts of interest between the entity and the Pool. 6.3 Compensation and Agreement. The Board shall negotiate with the Service Company with respect to compensation and other necessary terms, which shall be documented in a contract approved by the Board and executed by the Chairperson and the Service Company. 6.4 Annual Review. The Board shall conduct an annual review of the Service Company's performance and take necessary action if the entity is not performing as expected or required pursuant to the Boards contract with the Service Company. ARTICLE VII. FINANCIAL ADMINISTRATOR Page 11 of 24 (e) Claims administration; and (f) Other practices affecting coverage. 8.1.4 Uniform Underwriting. All Coverages offered by the Pool shall be available according to the same underwriting standards to all Participating Members and, if applicable, to all Member's Employees, Former Employees, and Dependents. 8.1.5 Continuing Responsibility. Notwithstanding cancellation or termination of Coverage to a specific Participating Member, ceasing to offer a particular Coverage or ending or revocation of the Pools authority to self -insure, the Pool retains indefinitely all responsibilities to Members and other Covered Persons associated with the period while Coverage was in force. This responsibility ceases only after the Pool dissolves pursuant Section 12.4 herein. 8.2 Premiums. 8.2.1 Schedule. Participating Members shall pay Premiums owed on a monthly basis with payments due in the month before the Premium is earned. The Board of Directors shall promptly take action to collect past due Premiums. Collection costs shall be the sole responsibility of the delinquent Member. 8.2.2 Minimum Annual Premium. The Pool shall maintain an annual premium volume in accordance with applicable statutory requirements. The Pool shall monitor its premium volume to ensure it is meeting statutory requirements, or other premium volume amount approved by the Commissioner, and shall comply with any and all requirements to notify the Commissioner regarding its premium volume. 8.2.3 New Pool Deposit Premium. The Pool shall maintain an initial deposit premium for its first year of operations in an amount that complies with applicable statutory requirements or pursuant to an arrangement approved by the Commissioner. 8.2.4 Premium Chan es. The Board of Directors shall conduct an annual review, based on sound actuarial principals, of Premiums to determine whether a rate adjustment is required for any Participating Member(s) or Plan(s). Premium changes shall be approved by the Board and disclosed to Participating Members at least sixty (60) days prior to the effective date of the change. Participating Members shall be solely responsible for notifying Covered Persons and appropriate union representatives of such changes. 8.3 Former Employees. Participating Members shall be responsible for determining who, if any, of their Former Employees remain eligible for Employee Health Benefits. If the Member withdraws or is expelled from the Pool, its Former Employees shall no longer be eligible for Coverage. ARTICLE IX. FINANCIAL INTEGRITY 9.1 Standards of Financial Integrity. The Board of Trustees shall establish written standards of financial integrity for the Pool. These standards shall comply with applicable Minnesota law and rule, including, but not be limited to, the following: Page 13 of 24 coverage approved by the Commissioner covering losses from dishonesty, robbery, forgery or alteration, misplacement, or mysterious or unexplainable disappearance. The amount of coverage for each occurrence shall be $300,000 or more. The Pool shall purchase a fidelity bond or policy of insurance coverage approved by the Commissioner covering the required service providers and individuals or submit to the Commissioner separate proof of coverage for all required service providers and individuals not covered under the Pool's bond or applicable insurance coverage. 9.1.6 Separate Accounts. The Board of Trustees may, but shall not be required to, establish separate accounts for the payment of claims or certain types of expenses. The accounts shall be used only by the Service Company, its authorized subcontractors, or the Financial Administrator, as appropriate to the account's purpose. The amount in these separate accounts shall not exceed an amount reasonably sufficient to pay the claims or expenses for which the account is established. All monetary and investment assets not in such accounts shall be under the control of the Pool's Financial Administrator. 9.1.7 Maintenance of Sound Financial Condition. The Board of Trustees shall regularly monitor the Pool's revenues, expenses, and loss development, and evaluate its current and expected financial condition. (a) If necessary, the Board shall attempt, in good faith, to maintain or restore the Pool's sound financial condition, using any means at its disposal, including, but not limited to, adjusting premium rates, underwriting standards, dividend rates, expulsion standards, and other powers granted by applicable Minnesota law or rules and this Agreement and Bylaws. (b) If the Board's actions are inadequate to maintain or restore the Pool's financial condition, the Commissioner shall, as appropriate, order an increase in premium rates, revoke the Pool's self-insurance authority pursuant to Section 12.3.2 herein, or order than an assessment be levied against Participating Members under Section 9.5 herein. 9.2 Reporting. 9.2.1 Financial Statements. The Board of Trustees shall prepare annual financial statements containing a statement of net position; statement of revenues, expenses, and changes in net position; and a statement of cash flows. Such statements: (a) Shall be filed with the Commissioner no later than 60 days after the end of the Pool's Fund Year; and (b) Shall be audited by an independent certified public accountant, who shall submit a report to the Commissioner within 180 days of the end of the Pool's Fund Year. (c) Every second annual financial statement shall be accompanied by a statement from a qualified actuary concerning the statement of net position items that are based on actuarial assumptions and methods. The form of the actuary's statement and the scope of their review shall comply with the Commissioner's instructions. Page 15 of 24 current Participating Members. The assessment may be calculated using any reasonable procedure, consistent with these Bylaws 9.5 Cash Flow and Stop -Loss Insurance. 9.5.1 Cash Flow Difficulties. The Board of Trustees shall protect the Pool from cash flow difficulties using methods that include, but are not limited to, the following: (a) Establishing and maintaining a Surplus consisting of funds contributed by Participating Members and the Pool's net position; or (b) Obtaining language in the Pool's stop -loss insurance policy requiring the insurer to advance funds to the Pool if the policy limits have been or are likely to be exceeded. The funds may be considered an advance against the insurer's potential liability for the policy period. 9.5.2 Stop Loss Insurance. The Pool may purchase excess or stop -loss insurance for indemnification of a portion of its losses. If stop loss insurance is required pursuant to Minnesota law, any such stop -loss insurance shall comply with Minnesota Rules, Part 2785.1300 and Minnesota Statutes, § 471.617. If the Pool determines that an excess or stop -loss insurance policy will be terminated or modified causing a violation of applicable law or otherwise compromising the Pool's financial integrity, the Pool shall notify the Commissioner prior to the termination or modification taking effect and shall indicate what corrective action will betaken. 9.5.3 Stop -Loss Requirements. The Board of Trustees shall comply with the following with respect to any stop -loss insurance it purchases: (a) If the Board elects to terminate or modify a stop -loss policy in a manner that would violate applicable law or otherwise compromise the Pool's financial integrity, the Board shall notify the Commissioner prior to the effective date of the termination or modification and indicate what corrective action will be taken. (b) No liability transferred to a stop -loss insurer may, directly or indirectly, be returned to the Pool or a Participating Member of the Pool. 9.6 Dividends. The Board of Trustees may, but shall not be required to, declare and pay dividends or distributions from its Surplus subject to the following requirements: 9.6.1 Limitations. The Board shall not declare a dividend or distribution from Surplus if doing so will cause the Surplus to be negative or if the Pool has a stop -loss advancement liability. 9.6.2 Allocation. Any dividend declared shall be allocated in proportion to each eligible Participating Member's share of the total Premiums paid during the period used to calculate the dividend. 9.6.3 Eligibility and Member Responsibilities. Only Members participating in the Pool at the time a dividend or distribution is declared shall be eligible to receive the dividend or distribution. If a dividend be distributed, each Participating Member shall be responsible Page 17 of 24 11.2 Formal Dispute Resolution. If a dispute cannot be resolved through informal efforts, the Board may refer the dispute to formal mediation facilitated by a mediator mutually acceptable to the parties to the dispute. In the event the dispute cannot be resolved through mediation, the parties to the dispute may pursue other reasonable procedures for resolution, including formal litigation. ARTICLE XII. DURATION AND DISSOLUTION 12.1 Duration. Pursuant to Minnesota Statutes, § 471.59, subdivision 4, but subject to the provisions herein regarding Member withdrawal, this Agreement shall be ongoing. 12.2 Merger. To the extent not prohibited by applicable law, the Board of Trustees may apply to merge with any other plan or pool established under Minnesota law. The Board of Trustees shall solicit the advice and counsel of the Labor Management Committee in considering any such merger. 12.3 Endin Self -Insurance Authority. 12.3.1 Voluntary Termination of Authority to Self -Insure. The Board of Trustees may elect to end the Pool's self-insurance authority and cease to provide Coverage, provided such decision is made at least 45 days before the end of the current Fund Year. The Board shall provide notice of its decision to the Commissioner within fourteen (14) days. 12.3.2 Revocation of Authoritv to Self -Insure. The Commissioner shall, by order, revoke the Pool's authority to self -insure upon no less than ten (10) days' written notice if any of the following events occur, and the Commissioner judges the event(s) to be material: (a) Failure of the Pool to comply with applicable Minnesota statutes or rules; (b) Failure of the Pool to comply with any lawful order of the Commissioner; (c) Commission by the Pool of an unfair or deceptive practice as defined in Minnesota Statutes, §§ 72A.17 to 72A.32, or in related rules; (d) Deterioration of the Pool's financial integrity to the extent that its ability to meet obligations promptly and in full is or will be significantly impaired. 12.3.3 Runoff Period. The Pool shall continue to exist as a Runoff Pool after its authority to self - insure has ended for purposes of paying claims, preparing reports, and administering transactions associated with the period in which the Pool provided Coverage. The Runoff Pool shall continue to comply with applicable Minnesota statutes and rules. No Members shall be permitted to join, leave, or be expelled from the Pool during the runoff period. 12.4 Dissolution. 12.4.1 Authorization to Dissolve. The Board of Directors shall not dissolve the Pool or Runoff Pool without requesting authorization from the Commissioner. The Commissioner shall grant the request within 60 days of receipt if either of the following conditions are met: (a) The Pool demonstrates that it has no outstanding liabilities, including incurred but not reported liabilities; or Page 19 of 24 202 South 12th Street NE PO Box 219 Staples, MN 56479 If to a Member: To the address set forth in Appendix A or to such other address as any party to this Agreement may, from time to time, specify in writing to the other parties and to the Pool. Any notice required by this Agreement may be waived by the party or parties to whom such notice is required to be provided hereunder. 13.3 Section_ Headings. The section headings inserted in this Agreement are for convenience only and are not intended to, and shall not be construed to, limit, enlarge, or affect the scope or intent of this Agreement or the meaning of any provision thereof. 13.4 Validity and Savings Clause. In the event any provision of this Agreement shall be declared by a final judgment of a court of competent jurisdiction to be unlawful, unconstitutional, or invalid as applied to any Member, the lawfulness, constitutionality, or validity of the remainder of this Agreement shall not be deemed affected thereby. 13.5 Counterparts. This Agreement and any amendments thereto may be executed in any number of counterparts which taken together constitute a single instrument. New Members approved for participation in the Pool after the Effective Date of this Agreement shal I sign the Agreement and their names and contact information shall be added to Appendix A without the need to amend the Agreement as a whole. 13.6 Amendment. The Board of Trustees may, in accordance with Section 5.2 herein, amend this Agreement and such amendment shall be evidenced in writing and executed by the Members. 13.7 Minnesota Law. This Agreement shall be governed by, and the Pool and Plan(s)) shall be operated in accordance with Minnesota Law, including Minnesota Statutes, Chapters 13, 13D, 60A, 62A, 62E, 62L, 70A, 72A, 72C, and 471. 13.8 Other Applicable Law. The Pool and the Plan(s) shall be operated in accordance with applicable federal law, including the Health Insurance Portability and Accountability Act of 1996 (HIPAA) and the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA), as it applies through the Public Health Services Act (PHSA). 13.9 Entire Agreement. All agreements, covenants, representations, and warranties among the Members expressed or implied, oral or written, concerning the subject matter of this Agreement are contained herein. All prior or contemporaneous conversations, negotiations, agreements, representations, covenants, and warranties concerning the subject matter of this Agreement are merged into this Agreement. Union contracts, negotiations, and the like are expressly outside the subject matter of this Agreement, are not merged into this Agreement, and remain the sole responsibility of each Member, and not the Board of Trustees or the Pool. Page 21 of 24 AGREEMENT Pursuant to all applicable state and federal laws, this Membership Agreement and Bylaws of Better Health Collective has been approved by the governing board of the undersigned party as evidence by the signatures below. PARTICIPATING MEMBER SOURCEWELL HEALTH BOARD OF TRUSTEES Name of P rticipating Memb r tom-. Authorized signature Authorized Signature .41 Pull eo!( Name/Title Name/Title 9- 5' ;L_ 0 of a — DATE DATE Page 23 of 24