Public Risk May/June 2022

PUBLISHED BY THE PUBLIC RISK MANAGEMENT ASSOCIATION MAY/JUNE 2022

WELCOME TO PRIMA'S

2022 ANNUAL CONFERENCE PAGE 12

ALSO IN THIS ISSUE

RE-INTRODUCING PRIMA’S NEW PRESIDENT, SCOTT KRAMER, MBA, ARM PAGE 6

PREPAREDNESS CRITICAL TO DISASTER RECOVERY: LONG-TERM RESPONSE OFTEN OVERLOOKED IN PLANNING PROCESS PAGE 13

IT’S ALL YOUR FAULT… OR IS IT?: PUBLIC ENTITY DOCUMENTATION SUPPORTS “NO NOTICE” CLAIMS DEFENSE PAGE 17

Register for PRIMA’s APRIL WEBINAR

FREE TO MEMBERS

The Change Cycle: Building Resilience & Success in a World of Change MAY 18 | 12:00 PM – 1:00 PM EST SPEAKER: Jackie Martin, CEO & Founder, A Matter of Motivation Feeling overwhelmed or exhausted by recent change but desire to feel more positive, flexible and hopeful? Learn what change really is and why we think, feel and behave the way we do in changing times.

Discover how to use change as a catalyst to build your own resilience as a leader and improve your ability to guide your team through uncertain times.

ATTENDEE TAKEAWAYS: 1. Discover the predictable and unpredictable elements of how we deal with change 2. Recognize the specific skills each person needs to move through the next stage of change 3. Create a plan for yourself and others to move through change more smoothly and positively

Register at primacentral.org/education/webinars

MAY/JUNE 2022 | Volume 38, No. 3 | www.primacentral.org

CONTENTS

The Public Risk Management Association promotes effective risk management in the public interest as an essential component of public administration.

PRESIDENT Melissa R. Steger, MPA, CRM Asst. Dir., WCI & Unemployment Ins. University of Texas System Austin, TX PAST PRESIDENT Sheri D. Swain Director, Enterprise Risk Management Maricopa Community Colleges Tempe, AZ PRESIDENT-ELECT Scott J. Kramer, MBA, ARM County Administrator Autauga County Commission Prattville, AL DIRECTORS Dana S. Henderson, CWCP Risk Manager Town of Mount Pleasant Mount Pleasant, SC Steve M. LePock, II Risk Manager Virginia Beach City Public Schools Virginia Beach, VA

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The Impactful Return of PRIMA’s Annual Conference

By Claire Howard

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Re-Introducing PRIMA’s New President, Scott Kramer, MBA, ARM

By Claire Howard

13 Preparedness Critical to Disaster Recovery Long-Term Response Often Overlooked in Planning Process

By John Roy

17 It’s All Your Fault… Or Is It? Public Entity Documentation Supports “No Notice” Claims Defense

By John Roy

Ann-Marie A. Sharpe, ARM, RMPE Director, Risk Management City of Miami Miami, FL Laurie T. Olson Sr. Risk Management Consultant City/County Insurance Services Salem, OR Adam F. Maxwell, CLRP Director, Administrative Services City of Westerville Westerville, OH Michael S. Payne, ARM, HEM Risk Manager City of Reno Reno, NV NON-VOTING DIRECTOR Jennifer Ackerman, CAE Chief Executive Officer Public Risk Management Association Alexandria, VA EDITOR Claire Howard Manager of Marketing & Communications 703. 253.1262 | choward@primacentral.org ADVERTISING Claire Howard Manager of Marketing & Communications 703. 253.1262 | choward@primacentral.org

Public Risk is published 6 times per year by the Public Risk Management Association, 700 S. Washington St., #218, Alexandria, VA 22314 tel: 703.528.7701 • fax: 703.739.0200 email: info@primacentral.org • Web site: www.primacentral.org Opinions and ideas expressed are not necessarily representative of the policies of PRIMA. Subscription rate: $140 per year.

Back issue copies for members available for $7 each ($13 each for non-PRIMA members). All back issues are subject to availability. Apply to the editor for permission to reprint any part of the magazine.

POSTMASTER: Send address changes to PRIMA, 700 S. Washington St., #218, Alexandria, VA 22314.

IN EVERY ISSUE

| 4 NEWS BRIEFS | 20 ADVERTISER INDEX

Copyright 2022 Public Risk Management Association

MAY/JUNE 2022 | PUBLIC RISK

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MESSAGE FROM PRIMA PRESIDENT MELISSA STEGER

an you believe our last in-person PRIMA Annual Conference was in June 2019? That’s three years since our conference attendees have been in the same vicinity, learning and sharing experiences together. The show did not stop as we adapted to a successful virtual event, but I’m excited to regain the camaraderie and ad hoc conversations experienced in past years. Yes, the PRIMA Annual Conference, PRIMA22, will be in-person June 5-8, in San Antonio, Texas!

Since the pandemic, I’ve attended two in-person conferences in Texas. The first was Texas PRIMA hosted in November 2021.

The event brought 600 attendees together in Galveston. There was a buzz of excitement as people reunited. Measures were in-place to address the varying levels of comfort and ensure safety of attendees. The event was successful, and attendees remained healthy.

My second occasion, The Higher Education Risk Management Conference, was in San Antonio, the same city where PRIMA22 will be held. The Higher Education Risk Management Conference was hosted over four days in April 2022. Attendance exceeded 550, a record high, with representatives from 61 different universities nationwide. The conference felt very similar to pre-pandemic times. The sessions and events were well attended, and people respected each other’s level of comfort.

Attendees at this event remained healthy, and it was delightful to regain in-person interaction with friends and colleagues. Conferences in Texas are back, and it feels great!!

According to the City of San Antonio’s COVID-19 dashboard, the risk level as of April 21, 2022, is low with COVID-19 positivity rates from April 1 through April 21 ranging from 2.7 – 3.7%. Hospital trends in the area, average case rates, and positivity rates are low

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PRIMA is thrilled to return our members

to an in-person annual conference at the

Henry B. Gonzalez Convention Center on

the Riverwalk in San Antonio. The PRIMA22

four-day event has more than 80 presenters

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C

The Return of PRIMA’s Annual Conference

offering 55 educational sessions along with seven unique networking opportunities. as of the latter part of April with a mild decline in cases. The Institute for Health Metrics and Evaluations (IHME) projects a steady decline in positivity rates in Texas through the PRIMA22 conference timeframe and ongoing.

The projected decrease is promising news with PRIMA22 approaching.

PRIMA is thrilled to return our members to an in-person annual conference at the Henry B. Gonzalez Convention Center on the Riverwalk in San Antonio. The PRIMA22 four-day event has more than 80 presenters offering 55 educational sessions along with seven unique networking opportunities. The educational experience is suitable for new, intermediate, and seasoned public risk management professionals. PRIMA22 includes a business exchange where PRIMA members can interact with more than 70 vendors ready to support the needs of public risk professionals. The event is an opportunity to not only learn through educational sessions, but also from colleagues and professionals from across the country stimulating innovative solutions to issues faced within our profession.

As a lifelong Texan currently serving as PRIMA’s President, I am elated to welcome so many colleagues to my great home state. Texas is known not only for its size, but also its warm southern hospitality as demonstrated by the kickoff event hosted by Texas PRIMA. The Real San Antonio Tour begins at 9:30 a.m. on Sunday June 5. The event offers a fun, interactive tour of San Antonio ending with lunch. You certainly won’t want to miss this.

Mark your calendars and get your bags ready because the PRIMA Annual Conference will be here before you know it. See y’all in San Antonio!

Sincerely,

Melissa R. Steger, MPA, CRM PRIMA President 2021–2022 University of Texas System Austin, TX

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NEWS BRIEFS

NEWS Briefs

VIEWPOINT: GLOBAL RISKS MULTIPLY May 3, 2022 | Claire Wilkinson | Business Insurance

For multinational companies, wherever they are based, navigating the global risk landscape is anything but straightforward. Aside from a slow-to-dissipate pandemic, these organizations are dealing with a range of challenges including supply chain issues, inflation, and workplace talent shortages, not to mention possible ramifications from the regional conflict arising from Russia’s invasion of Ukraine. Brokers and underwriters trying to help these policyholders assess, mitigate and transfer part or all their risks in the shifting environment are similarly faced with complex and changing scenarios.

Several experts attending the Risk and Insurance Management Society Inc.’s first in-person annual convention in three years in San Francisco in April said that cost pressures, increased taxes and regulations make operating on the global stage more complicated today than in the past. In addition, multinationals are facing a period of rapid digitization brought on by the pandemic. While this has accelerated efficiency, provided new revenue opportunities and introduced more expedient ways of working, there are obvious risk downsides. Cyber threats have shot up the risk rankings published by major industry players, for example.

Against this backdrop, risk managers are facing persistent price increases.

Insurance rates continued to increase in the first quarter, according to the latest global insurance index from Marsh. That marked the 18th consecutive quarter of rate increases in the commercial property/casualty insurance marketplace, albeit rate hikes are decelerating for many lines.

In this environment it should come as no surprise that multinationals are seeking every available edge to manage costs, create efficiency and ensure consistency in the way their operations are protected.

Read More: https://www.businessinsurance.com/article/20220503/NEWS06/912349533/ Viewpoint-Global-risks-multiply

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PUBLIC RISK | MAY/JUNE 2022

WHAT IS RISK MANAGEMENT AND WHY IS IT IMPORTANT April 24, 2022 | Matthew Tsai | Nav

Like everything else in life, running a small business comes with risks. As a business owner, there’s a non-zero chance you’ll have to deal with challenges like damaged equipment, market fluctuations, employee theft, unforeseen pandemics, or personal emergencies.

The good news is you don’t have to be helpless against these unpredictable circumstances. In fact, you can lessen the impact by planning ahead with risk management. Let’s take a closer look at how risk identification works, and the practical steps you can take to implement a risk management program.

What is Risk Management?

The SBA boils this down to “minimizing the effects of risks on your business.” Their definition of “risk” is divided into two types of risk: internal and external.

Internal risks occur within your business. Examples include: • Illness or death of an employee or business owner • Theft or fraud committed by employees • Low employee motivation • Malfunctioning equipment that requires maintenance and repair • Insufficient cash flow caused by either daily operations or business expansion opportunities External risks come from outside your business. Examples include: • Broader market changes and increased competition • Increasing rent or healthcare costs • Legal and regulatory changes by the government or financial institutions • Changes in the needs of your target demographic • Damages caused by natural disasters and climate change • Cybersecurity threats Effective risk assessment helps you plan ahead for these situations so you can minimize the potential impact on your business and stakeholders if and when they happen.

Read More: https://www.nav.com/blog/risk-management-1341045/

CYBER INSURERS URGE COMPANIES TO IMPLEMENT BETTER RISK MANAGEMENT STRUCTURES — REPORT May 4, 2022 | Lyle Adriano | Insurance Business Magazine Before any coverage is purchased, cyber insurers want organizations to first have better risk management strategies in place.

backups for data, incident response plans, patching software, and cyber awareness training for employees.

Similarly to how insurance companies from other lines of business want to know how their clients are working to actively avoid risks, cyber insurers also want to see their clients doing their best to prevent cyber threats, experts say.

While listing costs both before and after a cyberattack could be costly for both insurers and customers, IT World Canada said, both parties may get caught up in trying to fix the situation, overlooking other vulnerabilities that could lead to other costly problems.

“Insurers want to know there is an organized and proactive effort to manage cybersecurity risk,” Travis Wong, vice president of risk engineering and security services at cyber insurer Resilience told IT World Canada.

One key risk in particular that both cyber insurers and their clients must carefully prepare against is data theft.

Some of the risk management strategies suggested by cyber insurers for organizations include multi-factor authentication (MFA),

“

Read More: https://www.insurancebusinessmag.com/ca/ news/cyber/cyber-insurers-urge-companies-toimplement-better-risk-management-structures-report-404747.aspx

Insurers want to know there is an organized and proactive effort to manage cybersecurity risk.

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Travis Wong, vice president of risk engineering and security services at cyber insurer Resilience

3 THINGS TO THINK ABOUT IN VENDOR RISK MANAGEMENT

April 24, 2022 | Rhett Power | Forbes Launching a startup is risky, and things only get riskier when outsourcing services.

Most leaders will require some vendor risk management, or VRM, to give them the confidence to succeed.

“Launching a startup is already a high-risk venture, and unfortunately, outsourced services bring more risk,” Todd Boehler, senior vice president of strategy at ProcessUnity, said. “Even the most basic vendor risk management processes can significantly benefit a company’s longevity.”

But the exact nature of that VRM will vary between startups. For example, fintech startups might require immediate vendor risk management programs to protect sensitive data processing and expand outsourced services to support rapid development.

Although many companies are just starting out, that doesn’t mean they can’t identify essential information about their vendors: what they do, what they can access, and how they monitor that access for misuse or abuse.

That information can set customers at ease regarding sensitive data. In a time of increasing cyberthreats, transparency and vigilance go a long way in differentiating a startup from its competitors.

Maintaining a strong public commitment to security is an excellent step in building brand advocates.

Read More: https://www.forbes.com/sites/rhettpower/ 2022/04/24/3-things-to-think-about-invendor-risk-management/?sh=64808d392014

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RE-INTRODUCING PRIMA’S NEW PRESIDENT,

Scott Kramer, MBA, ARM

N

BY CLAIRE HOWARD

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O STRANGER TO THE ROLE AS PRIMA’S PRESIDENT, Scott Kramer’s initial term was in 2019. Having worked in this industry for more than 30 years and being a member of PRIMA since 2004, Kramer has seen what the risk management industry valued before the pandemic and how focuses are shifting now that things are steadily returning to normal.

PUBLIC RISK | MAY/JUNE 2022

Kramer began his career working for Ingalls Shipbuilding in Pascagoula, MS as an Assistant Risk Manager. Over the years, his responsibilities grew and he was tasked with managing and designing the healthcare plan for the 13 unions, overseeing the third-party administrator handling workers comp for the 15,000 employees, as well as handling the liability insurance for the fleet of vehicles.

In 2003, he became the Risk Manager of Montgomery County Commission. During his tenure, Kramer was able to create a successful onsite primary care and wellness clinic for the employees, retirees and dependents. Currently Kramer is the Autauga County Administrator with a responsibility of 210 employees, 60,000 residents and 7 departments including risk management.

Leaving his mark with every title he’s held over the years, Kramer is determined to reach back to the incoming risk management community as he embarks on his 2022-2023 term as President of PRIMA. WHAT SKILLS DO RISK MANAGERS NEED TODAY THAT THEY DID NOT NEED IN THE PAST? Understanding the differences of different generations.

WHAT CAN PRIMA DO TO SUPPORT THE NEW CHALLENGES RISK MANAGERS FACE? Continue to be the go-to association for training and education with our annual conference and on-line tools and training programs.

WHAT ARE THE BIGGEST CHALLENGES RISK MANAGERS FACE IN THE NEXT YEAR? IN THE NEXT FIVE YEARS? If there is one thing we learned as risk managers during the pandemic, it is to be adaptable to the challenges that we experience. Processes may have to be changed with remote learning.

Cybersecurity will continue to be a growing challenge as we move to keep our data secure.

WHAT IS THE BIGGEST CHALLENGE YOUR OWN ENTITY HAS FACED IN THE LAST 5 YEARS?

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The biggest benefit I have experienced with PRIMA is networking with my peers. It is so beneficial to bounce a particular scenario off one of my peers with a similar experience and receive their expertise.

Without a doubt, trying to maintain operations through the pandemic and mitigate and minimize exposures to our personnel has been my biggest challenge.

HOW DID YOU DEAL WITH IT? Having a good staff to research the protocols established by the CDC and follow the guidance that a Covid-19 PRIMA task force shared to its members assisted us in addressing our concerns.

DID BEING A MEMBER OF PRIMA HELP YOU? Absolutely, the tips and resources to manage through the Covid-19 pandemic were extremely useful. The webinars that the Covid-19 task force provided members timely advice in the ever-evolving pandemic.

PLEASE TELL US AN EXAMPLE OF HOW YOU’VE HAD TO PIVOT IN THE LAST YEAR DUE TO THE PANDEMIC AS WELL. The Autauga County Commission was able to continue to provide services by rotating the staff over several weeks. But it did require us to purchase resources to ensure that employees had the tools to accomplish getting their respective work completed remotely.

I remember one of the biggest challenges we experienced was to maintain the social distancing of our inmates in a jail that was already at capacity. We contracted with another neighboring county with space in their jail to accomplish this goal.

WHAT CAN PRIMA MEMBERS DO TO GET THE MOST OUT OF THEIR PRIMA MEMBERSHIP? I am always wanting to stay ahead of the trends by staying informed of what my peers are experiencing. The Public Risk Magazine and the Public Risk newsletters are great resources to stay informed on the industry concerns. The annual conference provides many opportunities

“

for relevant educational sessions that will assist you in doing a better job. In addition, the annual conference provides opportunities to network with your peers to determine how they address certain issues that arise in risk management.

WHAT ARE SOME OF THE BEST THINGS PRIMA OFFERS ITS MEMBERS? • Networking • Cybrary • Podcasts WHAT ARE YOUR GOALS FOR THE SECOND TERM OF YOUR PRESIDENCY? After experiencing the pandemic, the last couple of years, I want to focus on: • Enjoying this experience of getting back together and re-connecting after COVID • I would like to see us reinstitute our outreach program of attending other conferences to attract new members and communicating the value of risk management.

• The current Board leadership has made good strides in attracting university students to share our excitement with risk management, and I want to continue this trend.

• I want us, as an industry, to start really considering the selection of our replacements, succession planning WHERE DO YOU SEE YOURSELF IN FIVE YEARS? My intent is to continue being a County Administrator and looking for opportunities to share my experience and learn from others in the industry.

Scott Kramer will be sworn in as president at PRIMA’s 2022 Annual Conference in San Antonio, TX. Claire Howard, Manager of Marketing and Communications, PRIMA

THE IMPACTFUL RETURN OF PRIMA’S ANNUAL CONFERENCE

BY CLAIRE HOWARD

Join Us in San Antonio, TX June 5-8 2022 8

PUBLIC RISK | MAY/JUNE 2022

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N SUNDAY, JUNE 5, IN SAN ANTONIO, TX, PRIMA’s 2022 Annual Conference will take place over the span of four days at the Henry B. Gonzalez Convention Center. PRIMA is honored to bring the Annual Conference back in-person for the first time since 2019. If you work in the public sector—state government, local community, special district, intergovernmental pool or a municipality—and risk management is a part of your daily routine, you should be at PRIMA22!

We are aware that there are still some concerns when it comes to COVID-19, and as such, we are committed to the safety and well-being of all conference attendees, exhibitors, staff and guests. All participants must provide proof of full vaccination against COVID-19 OR an official negative COVID-19 test within 72 hours of arriving at registration.

PRIMA has partnered with Health Pass

by Clear, a free mobile app that provides a

secure and digital platform to upload your COVID-19 health status. By downloading the Health Pass by Clear in advance, Annual Conference registration processing time will sure to be a breeze.

On Sunday, find your way to our newly created Fireside Chat sessions highlighting “Innovation in Law Enforcement Risk Management” and “Using Social Media for Growth, Transparency, and Influence.”

INNOVATION IN LAW ENFORCEMENT RISK MANAGEMENT | 3:45 – 4:45 PM Sponsored by Join us for an informative and interactive session sharing the latest advancements and best practices in law enforcement risk management. Our panel of public safety and risk management experts will share knowledge and lessons learned from their work to identify risk and implement loss control programs that address escalating severity for law enforcement liability and workers comp / PTSD.

USING SOCIAL MEDIA FOR GROWTH, TRANSPARENCY, AND INFLUENCE | 3:45 – 4:45 PM Sponsored by A discussion around the proper use, pitfalls, and stories for social media to create growth, foster transparency, and boost engagement with your community.

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THE IMPACTFUL RETURN OF PRIMA’S ANNUAL CONFERENCE

MONDAY GENERAL SESSION | PIVOT POINT: PREPARING FOR THE FUTURE OF RISK MANAGEMENT

SHAWN RHODES | 8 AM – 9:30 AM | STARS AT NIGHT BALLROOM B1 & B2 In the world of business, the best plans may not always work out as planned. To address the constant challenge of planning for change and ensuring plans achieve results, TEDx speaker and nationally syndicated columnist Shawn Rhodes will share how the best teams and organizations across industries pivot to leverage change when it occurs, build engaging cultures and ensure the experience of senior leaders doesn’t leave when they do. Sponsored by

TUESDAY GENERAL SESSION | LIAR, LIAR, PANTS ON FIRE!

TRACI BROWN | 8 AM – 9:30 AM | STARS AT NIGHT BALLROOM B1 & B2 Learn to read fraudsters like a book with renowned body language expert Traci Brown. You can quit second guessing your instincts and immediately tell fact from fiction when Traci teaches the nine telltale signs someone is lying, how to quickly uncover the truth and how to keep nefarious people from making you a victim. Sponsored by

WEDNESDAY KEYNOTE LUNCH & LEARN | SUCCESSFUL PUBLIC RISK MANAGEMENT JOURNEYS: HOW DID WE GET HERE?

CARLEEN PATTERSON, TERRI EVANS, AMY LARSON, MICHAEL FANN, DAN HURLEY | 11: 30 AM – 1:30 PM | STARS AT NIGHT BALLROOM B1 & B2 Moderated by Alliant's First Vice President Public Entity, Carleen Patterson, join this panel of industry experts in the field of public risk management sharing their professional journeys. Attendees are afforded the opportunity to learn about successes and challenges from respected practitioners in the profession. Lunch will be provided. Sponsored by

Kick off the first night of the conference with a bang—join your risk management peers at the Welcome Reception on the San Antonio River Walk, sponsored by Munich RE. Famous for encompassing shopping, sightseeing, rich history, food and fun on a 15-mile urban waterway, The River Walk, or Paseo del Rio, is a San Antonio treasure and the largest urban ecosystem in the nation. Open only to PRIMA conference attendees and their guests, enjoy a lively reception and a few special guests!

Feel like you won’t have enough time to explore the River Walk during the Welcome Receptions? No worries, we’ve partnered with Visit San Antonio for the exclusive conference program, Show Us Your Badge. Select restaurants and attractions have will offer discounts and free items in exchange for simply showing your PRIMA22 conference badge. To receive easy access to this list of participating businesses from your mobile device, text: “VSA Meet” to 415-528-7403.

AWARD-WINNING IDEAS AND LESSONS FROM PRMYS

SPEAKERS: JOHN BURKHOLDER, MEGAN A. DAMATO, JOSE PERALTA

IGNITING NEXT GEN TO RISK MANAGEMENT & INSURANCE CAREERS

KAREN CATERINO, JULIE MILEHAM

WHERE HAVE ALL THE RISK MANAGERS GONE?

DEAN COUGHENOUR, DAN HURLEY, SARAH PERRY

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PUBLIC RISK | MAY/JUNE 2022

This year’s general sessions are jam packed with heavy hitters such as Shawn Rhodes, Traci Brown, Carleen Patterson, Terri Evans, Amy Larson, Michael Fann and Dan Hurley. With a combined experience of more than 75 years, these industry experts will discuss the future of risk management, navigating the ins and outs of nefarious people trying to blindly make you a victim and insider tips on building a successful risk management career.

Monday, June 6 3:00 PM - 4:15 PM Tuesday, June 7 11:15 AM - 12:30 PM Wednesday, June 8 8:30 AM - 9:45 AM

Room 221 B

Room 225 A

Room 221 C

Since 2020, almost every career professional has had to pivot and re-evaluate the way in which their work flow affects their personal life. While many are still figuring it out, others have rightfully mastered the art of adapting to change and flourishing while doing so. This year, during the PRIMA Awards Luncheon, we are thrilled to honor the individuals and entities that have excelled in their risk management professions in the categories of: Public Risk Manager of the Year (Sponsored

by AON), Achievement Awards, Chapter Recognition Awards and Chapter Service Awards. Directly following the program, PRIMA will host a Dessert Reception in

the Business Exchange where you’ll have the opportunity to mix and mingle with award recipients and peers.

PRIMA is known for bringing hot topic sessions to its conference on things that will impact all risk managers. This year, join us for a panel of PRIMA Public Risk Managers of the Year (PRMY) who will discuss implementable strategies with million dollar impacts that can make you a superstar in their organization. You’ll also have the opportunity to strategically address the growing talent gap while creating your own succession plan road map. Last but not least, are you many of

your employees aging out of the workplace?

If so, don’t miss our session focusing on a companies’ smooth transition between retirees and new-hires.

PRIMA prides itself in being the #1 source of networking for public risk management professionals. In addition to the many education sessions we offer, check out the listing of networking events during PRIMA22.

Important to Note: Never underestimate the power of networking, you never know, your next job referral tip or mentor may be in one of these rooms!

WELCOME RECEPTION

SUNDAY, JUNE 5 | 6:30 PM-8:30 PM | LDR & GROTTO (LOWER LEVEL, RIVERWALK) Sponsored by Munich RE, this year’s Welcome Reception is one you won’t want to miss. Open only to PRIMA conference attendees to enjoy a lively reception, open bar and a few special guests!

HEADSHOT LOUNGE

MONDAY, JUNE 6 | 9:30 AM-12:00 PM & 2:00-3:00PM | HALL 1 TUESDAY, JUNE 7 | 9:00 AM-1:30 PM | HALL 1 NEW! Join your friends at Midwest Employers Casualty to get an electronic professional headshot. Perfect for social media accounts, resumes and creating the perfect brand, YOU.

PRIMA'S AWARDS LUNCHEON

MONDAY JUNE 6, 2022 | 12:15 PM-1:15 PM | STARS AT NIGHT BALLROOM Join us as we celebrate the top risk managers within the profession, including the 2022 Public Risk Manager of the Year. Dessert reception in the Business Exchange to follow. PRMY Sponsored by AON

DESSERT RECEPTION

MONDAY JUNE 6, 2022 | 1:15 PM-2:15 PM | HALL 1 Let's Eat Cake as we toast to our industry's top influencers.

PRIMA SIGNATURE SOCIAL EVENT

TUESDAY, JUNE 7 | 7:00 PM-10:00 PM | SOUTHBANK RIVER WALK The Southbank River Walk has something for everyone. From pulling up a barstool, to dancing the night away or just lounging by the riverwalk. PRIMA's signature event is one you can't miss.

Sponsored by Euclid Public Sector | Genesis *Shuttle Service Available

PRIMA'S KEYNOTE LUNCH & LEARN

WEDNESDAY, JUNE 8 | 11:30 AM-1:30 PM | STARS AT NIGHT BALLROOM Join PRIMA and a host of industry experts as we discuss top industry topics that are affecting risk management professionals everywhere! Sponsored by Alliant

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THANK YOU PRIMA 2022 SPONSORS PLATINUM

GOLD

SILVER

®

PATRON Crivello Carlson, S.C.

PREPAREDNESS CRITICAL TO DISASTER RECOVERY LONG-TERM RESPONSE OFTEN OVERLOOKED IN PLANNING PROCESS

BY JOHN ROY

M

UNICIPALITIES ARE GENERALLY PREPARED TO RESPOND TO THE immediate aftermath of disasters, and most states mandate that local governmental entities have an emergency management plan. However, many municipalities have not paid close attention to, or planned for, the complicated and expensive long-term recovery process.

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PREPAREDNESS CRITICAL TO DISASTER RECOVERY

It can take months, or even years, for a community to recover when a disaster causes serious property and infrastructure damage.

Municipal leaders must face the reality that long after the brush is cleared and water and electricity have been restored, they will face the challenge of rebuilding their community.

Including long-term disaster recovery planning in their emergency management plan can alleviate some of the challenge and speed the community’s recovery.

FOUR PHASES OF EMERGENCY MANAGEMENT There are four phases of emergency management: mitigation, preparedness, response and recovery.

PHASE ONE: MITIGATION Mitigation efforts are intended to prevent or lessen the cause, impact and consequences of disasters.

According to Pew Charitable Trusts, every $1 spent on mitigation yields a savings of $6 in recovery costs. In larger numbers, $1 million invested in pre-mitigation efforts can save $6 million post disaster.

For example, consider the installation of fire doors. While the initial outlay is more expensive than that of wood core doors, the cost of cleaning-up and repairing the damage of a one-room fire is significantly less than the restoration or loss of an entire building.

Mitigation efforts potentially not only reduce the negative effects of a disaster and save money, but also create a more sustainable community. It is important to determine which mitigation efforts best serve the needs and interests of the municipality and its citizens.

These could include, for example: • Planning and zoning • Floodplain protection • Property acquisition and relocation • Public outreach programs

PHASE TWO: PREPAREDNESS While mitigation seeks to lessen the impact of or even prevent a disaster, preparedness is the ability to respond to one. Preparedness is the planning, training and educational activities for events that cannot be mitigated.

Examples of municipal preparedness actions: • Developing an emergency management plan • Installing disaster warning systems • Purchasing radio communication equipment • Conducting emergency response training and drills PHASE THREE: RESPONSE With an emergency management plan, municipalities can improve their ability to be ready for the response phase of a disaster, which includes: • Executing disaster response and communication plans • Mobilizing first responders • Addressing threats to people and property • Distributing resources

FEDERAL EMERGENCY MANAGEMENT AGENCY RESOURCES

The U.S. Department of Homeland Security’s Federal Emergency Management Agency (FEMA) provides resources to help local governments plan for, respond to and recover from all types of disasters.

Local governments should determine how to best utilize federal assistance programs before disaster strikes, rather than in the aftermath of an event.

DISASTER INFORMATION

fema.gov/disaster

PRE-DISASTER RECOVERY PLANNING GUIDE FOR LOCAL GOVERNMENTS

fema.gov/sites/default/files/2020-07/pre-disaster-recoveryplanning-guide-local-governments.pdf MITIGATION IDEAS: A RESOURCE FOR REDUCING RISK TO NATURAL HAZARDS fema.gov/sites/default/files/2020-06/fema-mitigationideas_02-13-2013.pdf LOCAL DISASTER RECOVERY MANAGERS RESPONSIBILITIES fema.gov/emergency-managers/national-preparedness/frameworks/ community-recovery-management-toolkit/recovery-planning/localdisaster-recovery-managers-responsibilities

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ASSISTANCE FOR GOVERNMENTS AND PRIVATE NON-PROFITS AFTER A DISASTER fema.gov/assistance/public COMMUNITY RECOVERY MANAGEMENT TOOLKIT fema.gov/emergency-managers/national-preparedness/frameworks/ community-recovery-management-toolkit EMERGENCY MANAGEMENT COURSES AND TRAINING National Training and Education Division firstrespondertraining.gov/frts Online Course Catalog: firstrespondertraining.gov/frts/npccatalog CENTER FOR DOMESTIC PREPAREDNESS cdp.dhs.gov EMERGENCY MANAGEMENT INSTITUTE training.fema.gov/emi

Municipal leaders must face the reality that long after the brush is cleared and water and electricity have been restored, they will face the challenge of rebuilding their community. Including long-term disaster recovery planning in their emergency management plan can alleviate some of the challenge and speed the community’s recovery.

Once emergency issues are handled, municipalities can then shift their focus to immediate cleanup, restoration, repair and reconstruction activities that enable continuity of government and business.

PHASE FOUR: RECOVERY The recovery phase includes both short- and long-term measures. Short-term recovery efforts return the community to its minimum operating standards. Long-term recovery measures return it to its pre-disaster condition, when possible, and include enhancements that will help build resilience and protect the community from future disasters.

Local governments often have not invested sufficient resources in planning how they will recover from a disaster, especially for the long-term recovery process.

In the recovery phase of emergency management, local governments must address the impacts of the disaster and reduce risk and vulnerability to future disasters. This is achieved by: • Dealing with short- and long-term interruption to services and resources • Rebuilding what was destroyed and building safer, stronger infrastructure that meets the community’s modern needs

• Obtaining federal, state and local disaster assistance funding In developing an effective disaster recovery plan, municipalities must establish clear leadership roles and plan for early and consistent communication throughout the recovery phase to boost public confidence in its leaders.

Municipal leaders must also plan for the effective identification of recovery needs and how they will minimize costs while maximizing opportunities for disaster funding and building resilience into the recovery process.

MAY/JUNE 2022 | PUBLIC RISK

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PREPAREDNESS CRITICAL TO DISASTER RECOVERY

OTHER EMERGENCY MANAGEMENT PREPAREDNESS AND DISASTER RESOURCES AMERICANS WITH DISABILITIES ACT EMERGENCY PREPAREDNESS ada.gov/emerg_prep.html CENTERS FOR DISEASE CONTROL AND PREVENTION emergency.cdc.gov NATIONAL WEATHER SERVICE STORMREADY® PROGRAM weather.gov/StormReady SPB sbpusa.org/who-we-help/policy-makers sbpprotects.org/resources/navigatingfema-and-the-sba-process-pdf STATE EMERGENCY MANAGEMENT AGENCIES usa.gov/state-emergency-management U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT hud.gov/program_offices/comm_ planning/cdbg-dr youtube.com/watch?v=Lrmwz8IXXdQ U.S. SMALL BUSINESS ADMINISTRATION https://www.sba.gov/funding-programs/ disaster-assistance

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The U.S. Federal Emergency Management Agency (FEMA) National Disaster Recovery Framework strongly recommends municipalities appoint a Local Disaster Recovery Manager(s) (LDRM) to lead disaster recovery activities. This person(s) should participate in FEMA emergency preparedness training and education for the knowledge and skills needed to help people and support rebuilding the community. (See FEMA sidebar.)

Local officials need to understand that the total amount of federal assistance their municipality will receive from Housing and Urban Development (HUD) through a Community Development Block Grant - Disaster Recovery is directly correlated to the number of maximum FEMA assistance awards ($33,000) provided to the community’s homeowners.

This means that when homeowners do not apply for FEMA assistance or if they settle for less than the full amount, the municipality receives less funding. Having LDRM(s) who can help residents with the FEMA assistance process to receive the maximum award helps ensure the municipality receives more relief funding.

Taking steps now to ensure your community has detailed emergency management plans will help protect lives and property, save money, maximize disaster funding, and speed the community’s long-term recovery after a disaster.

John Roy is a senior risk control field representative for Tokio Marine HCC – Public Risk Group.

IT’S ALL YOUR FAULT… OR IS IT? Public Entity Documentation Supports “No Notice” Claims Defense

BY JOHN ROY

S

LIPS, TRIPS, FALLS AND VEHICLE accidents on municipal property are common insurance claims. The many causes for these incidents include potholes, raised sidewalks, and damaged, obscured or missing traffic signs.

While specific laws and immunities for governmental entities vary by state, a common thread throughout jurisdictions regarding liability for infrastructure defects is “notice and an opportunity to cure.” This means that to prevail on a claim based on the defective condition of municipal property, a plaintiff must show that the entity had notice of the condition and sufficient time to fix the issue, but failed to do so.

The laws on what constitutes notice can also vary by jurisdiction, but the question is always the same – did the entity know (or should it have known) about the problem? Are there known problem areas that are not being inspected or maintained or not often enough?

MAY/JUNE 2022 | PUBLIC RISK

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IT’S ALL YOUR FAULT… OR IS IT?

A multi-layered system for reporting and logging potential liabilities and documenting the steps taken to investigate and correct issues provides critical information that can support the defense of a claim.

The ability to show various methods of reporting and produce record keeping that proves there was no indication of a problem is far more convincing than simply stating there was no notice of it.

DOCUMENTATION CRITICAL TO CLAIM DEFENSE

When it comes to “should have known,” courts often employ a reasonable care standard which is the degree of caution that an ordinarily prudent person – or entity in this case – would employ in a like or similar circumstance. This is often a jury question, which means going to trial, resulting in resources being redirected from the entity’s day-to-day operations and the expense of legal representation.

In the early stages of litigation, defendants will be expected to respond to interrogatories answered under oath and produce documents—including emails—related to any similar incidents or complaints about the area in question. Answering “there are no similar incidents or complaints” is only credible if there is a system of tracking incidents and complaints that can be produced to show that there is nothing related to the plaintiff’s complaint.

Interrogatories often include requests such as, “Please state each and every time in the six months preceding the incident an employee was within a six-block radius of the accident site.”

If the entity has no tracking system in place, even if the area in question is checked regularly, it will be a challenge proving it had either no notice or insufficient time to correct the defect.

However, if the entity has a system of logging incidents or complaints, they would be able to

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attest to the fact that employees routinely check the area in question and an absence of an entry indicates no notice was provided because all complaints are logged and addressed.

It is also likely the entity would receive a request for any documents regarding the policies and procedures of any system or practice of inspection and routine maintenance. An answer of “none” to this request is almost certain to lead to liability as the public expects the entity to have a plan. Not having a plan in place would be considered unreasonable in just about any circumstance.

Responding to these requests, particularly those regarding previous incidents and complaints, could be extremely time consuming if it requires combing through boxes of time records and work logs. This task would be costly as staff would have to be diverted from their routine work, and it would certainly be expensive if defense counsel were to examine entity records. Proactively devising a system of record keeping that allows for efficient response to these types of requests is time well spent and will certainly save public funds.

Consider a claim that a street was in disrepair and caused an accident. How difficult would it be for the entity to determine when maintenance was last performed at or near the site?

If the entity’s defense is that it did not know about the situation, how would it prove that without documentation? Stating that no one remembers getting a call is not a defense posture. A person could claim that she reported it to the entity, creating a “he said/she said” scenario that would likely result in the claim being settled and possibly invite similar actions.

Training municipal employees to look for issues and report them is a good practice.

However, relying on that practice as the sole source of information about potential liability issues will likely not meet the reasonable standard of care and is not a reliable defense against claims.

IMPLEMENT A MULTILAYERED SYSTEM

A multi-layered system for reporting and logging potential liabilities and documenting the steps taken to investigate and correct issues provides critical information that can support the defense of a claim. The ability to show various methods of reporting and produce record keeping that proves there was no indication of a problem is far more convincing than simply stating there was no notice of it.

Consider implementing a system that includes multiple methods for reporting issues and captures the data needed to establish notice:

• Perform routine inspections with checklists for municipal employee observation and procedures for reporting damage and deficiencies.

• Log all incoming calls and generate work orders for inspection of reported issues.

• Include a link on the entity’s website for reporting issues which, like calls, are logged and initiate inspection.

• Document all inspections and all maintenance and repair work to municipal property, including start and completion dates.

• Store all municipal records as required by state law.

The practice of logging all calls and website submissions, including the date and time received, can strengthen a “no notice” defense of a claim. If someone claims to have reported an issue but the logs show no such entry, a claim denial is more credible and defensible.

If someone is injured at a park on a damaged piece of play equipment or by tripping on a defect on a walking path, the entity is not providing a strong defense against a claim by simply stating that the park turf is mowed at least once a week and employees did not see any issues.

However, providing documentation that the park was mowed at least once a week and each time employees followed an inspection checklist to document the conditions of the play equipment, walking paths, trees, ball fields, etc., significantly strengthens the defense.

IF IT ISN’T WRITTEN DOWN, IT DIDN’T HAPPEN

This may all seem routine and mundane, and it is.

It is the routine and mundane that is necessary in establishing there was no notice provided. It is the lack of information in records routinely kept that leads to the conclusion that notice didn’t happen, proving the adage, “if it isn’t written down, it didn’t happen.”

An effective system of documentation is one that logs and categorizes when notice was received and when and what action was taken.

A software program that does this, such as Novo Solutions, ESRI and PubWorks, can be a valuable investment for entities.

In defending a claim, it is difficult for defense counsel to “go to bat” for their clients when their clients haven’t given them a bat. The strongest defense is solid documentation.

Entities should work with their insurance agent, risk control representative and legal representation to design a multi-layered documentation system and then consistently execute the system, supporting a strong defense of no notice under the reasonable care standard.

John Roy is the Senior Risk Control Field Representative for Tokio Marine HCC – Public Risk Group

Well-documented logs can also establish a defense of lack of notice. A spreadsheet that details what areas were inspected and when shows a commitment to being proactive about safety issues. There are sample forms and logs online that entities can customize for their needs. The PRIMA listserv and PRIMAtalk can also be resources for how other organizations have handled the issue.

An additional benefit of implementing a multi-layered system of reporting and logging potential liabilities is that it instills a culture of risk management within the organization.

Promoting a culture of risk management that permeates the entire organization leads to fewer claims, injuries, and higher overall job satisfaction.

MAY/JUNE 2022 | PUBLIC RISK

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CALENDAR OF EVENTS PRIMA’s calendar of events is current at time of publication. For the most up-to-date schedule, visit www. primacentral.org.

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month, Public Risk features articles from practitioners like you. Share your successes with your colleagues by writing for Public Risk magazine! For more information, or to submit an article,

contact Claire Howard at CHoward@PRIMACentral.org or 703.253.1262.

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PRIMA ANNUAL CONFERENCES June 5–8, 2022 PRIMA 2022 ANNUAL CONFERENCE San Antonio, Texas Henry B. Gonzalez Convention Center June 4–7, 2023 PRIMA 2023 ANNUAL CONFERENCE Long Beach, California Long Beach Convention Center June 16–19, 2024 PRIMA 2024 ANNUAL CONFERENCE Nashville, Tennessee Gaylord Opryland Hotel

PRIMA WEBINARS May 18 The Change Cycle: Building Resilience & Success in a World of Change June 29 You Have Insurance but Do You Have Coverage?: Emphasis on Exclusions and Coverage Gaps July 27 Risk Management’s Role in Addressing the Insider Threat Security Risk

PRIMA INSTITUTE October 17-21, 2022 Old Town Alexandria, VA The Westin Alexandria Old Town

Keep up with what’s happening at PRIMA and connect with your risk management peers!

Visit us at linkedin.com/company/prima-central/.

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PUBLIC RISK | MAY/JUNE 2022

Register for PRIMA’s JUNE WEBINAR

FREE TO MEMBERS

You Have Insurance but Do You Have Coverage?: Emphasis on Exclusions and Coverage Gaps JUNE 29 | 12:00 PM – 1:00 PM EST SPEAKERS:

Jeff Buyze, CPCU, CIC, Commercial Lines Senior Property Analyst/ Assistant Vice President, USI Insurance Services LLC Daniel Sims, Jr., Senior Client Executive/Vice President, USI Insurance Services LLC Todd Caton, CLCS, SBCS, Senior Commercial Lines Account Manager, USI Insurance Services LLC In this presentation, attendees will learn how to interpret the language that lies within their coverage policy and how their coverage could be affected. Also up for discussion are negotiation methods that will aid in garnering better claim outcomes. Attendees will walk away with the presence of mind to choose the coverage that is ideal for their entity.

ATTENDEE TAKEAWAYS:

1. Learn how to read your policy 2. Understand how coverage is impacted 3. Negotiate toward better claim outcomes 4. Replace the carrier if possible

Register at primacentral.org/education/webinars

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