ORDER ND. 19484
APPROVAL OF PARTICIPATION AGREEMENT BETWEEN
KERR COUNTY AND THE TEXAS ASSOCIATION OF COUNTIES
On this the 26th day of April 1990, upon motion made by
Commissioner Ray, seconded by Commissioner Baldwin, the Court
unanimously approved the execution of a participation
agreement between Kerr County and the Texas Association of
Counties.
• PLEASE FURNI H ONF ORI INAf AND VFN OPI OF THIS RF(JUFS"t ANn nnri u~nrr.iTc
1U DC REVIEWED DY 111 ~ O lRT
MADE BY: Dorothy Hilburn, County Treasurer OFF ICE: ~~ COUNTY TREASURER
MEETING DATE: April 26, 1990 TIME PREFERRED: n/a
SUBJECT: (PLEASE 8E SPECIFIC): PARTICIPATION AGREENIENI - TAC ONIINPLOYMENT FUND
ESTIMATED LENGTH OF PRESENTATION:
n/a
IF PERSONNEL MATTER -NAME OF EMPLOYEE:
NAME OF PERSON ADDRESSING THE COURT: DORO'ITIY HILBtJRN, COUNTY TREASURER
Time for submitting this request For Court to assure that the matter Is posted In
accordance with Article 6252- 17 Is as follows:
• Meetings held on second Monday: 12:00 P. M. previous Wednesday
• Meetings held on Thursdays: 5:00 P. M. previous Thursday.
If preferable, Agenda Requests may be made on office stationery with the above
Information attached.
THIS REQUEST RECEIVED BY:
THIS REQUEST RECEIVED ON:

~ ~___''' _~~r r,
All Agenda Requests will be screened by the County Judge's Office to determine If
adequate Information has been prepared for the Court's formal consideration and action at
time of Court meetings. Your cooperation will be appreciated and contribute towards
your request being addressed at the earliest opportunity.
PARTICIPATION AGREEMENT
for
TEXAS ASSOCIATION OF COUNTIES UNEMPLOYMENT FUND
This Agreement, entered into by and between the Texas Association of Counties Unemployymmeennt
Fund (hetCinaftet called "FUnd" 8nd Kerr rn,,,,r~ r (herelnafter Called "Fwtd
Member") shall be effective as of the date hereinaRer shown.
RECITALS:
WHEREAS, the Fund was established by the Texas Association of Counties (hereinafter called
'TAC") as a means of providing a single vehicle for the payment of reimbursements to the Texas
Employment Commission (hereinafter called 'TEC") required under art. 5221b, and 4413(32b)
V.A.T.S.: and
WHEREAS, Fund Member, a political subdivision, desires to' tare advantage of the benefits
made available through the Fund;
NOW, THEREFORE, pursuant to the provisions of Art. 5221b, V.A.T.S. it is Agreed and
Understood among the Parties as follows:
1.01. AggoiIItmGnt
Fund is hereby appointed Agent of the Fund Member and authorized to repr+eaent Fund
Member before the TEC.
1.02. j&n h of ppointnrent
Fund shall continue to serve as Agent of Fund Member for purposes of this Agneemem until such
time as this Agreement is terminated in accordance with its terms.
2.01. Elution
Fund Member hereby elects to become a member of and participate in the Fund.
2.02. Teeth of Election
Fund Member's election under paragraph 2.01 of this Agreement shall be effective until
terminated in accordance with the terars of this Agreement.
2.03. Nanirr of Ele~don
By its election under paragraph 2.01 of this Agreement, Fund Member elects to join and
participate in the TAC Group Account maintained by TEC under Account Number 99-991,884-0. The
Group Account is maintained for the purpose of receiving wntributions required under art. 5221-Sb,
V.A.T.S. and paid by the Fund
3.01.
Fund member hereby confers upon Fund all authority necessary to cats out the purposes of
this Agreement. Fund shall have the authority to construe the provisions of thrs Agreement and the
rules, regulations, contribution schedules and Bylaws of the Fund Any construction of the above
named items by the Fund shall be binding on all Fund Members and their employees.
3.02. Powers of Fond
Fund shall have any power necessary to carry out the purposes of this Agreement which may
be conferred by this Agreement and the rules, regulations, contribution schedules and Bylaws of the
Fund including, without limitation, the following:
e. The power to collect and retain all monies required from Fund Member,
b. The power to establish a Contribution Rate for Fund Member,
c. The power to require and accept from Fund Member reports of wages paid to non-elective
employees of Fund Member,
d The power to require and accept from Fund Member unemployment reports with respect to
employees of Fund Member leaving the employ of Fund Member,
e. The power to uire the appointment by Fund Member of an Unemployment Coordinator,
f. The power to delegate any power or duty conferred by this Agreement to an independent
contractor, including the power to act as Fund Member's agent before the TEC;
g. The power to develop and establish unemployment cost control services;
h. The power to maintain a separate account or accounts for Fund Member and to co-mingle the
funds of the Fund Members;
i. To the extent pemutted by the Unemployment Commission Act of Texas, the power to review
claims, determine their validity, and dispose of claims coming to the Fund;
j. The power to appoir-t legal counsel to handle the legal affairs of the Fund;
k. The power to open and maintain bank accounts in the name of the Fund; and
1. The power to perform any act whether or not expressly authorized herein, which Fund deems
necessary to accomplish the general objectives of the Fund
3.03.
Fund is hereby authorized to execute any notice or other instrument in writing required to carry
out the purposes of this Agreement and all persons, partnerships, political subdivisions, corporations or
associations may rely thereupon that such notice or msavment is duly authorized and is binding on
Fund and Fund Member.
3.04. Liabili of FLnd
Fund shall be responsible far monies solely when, as, and if received by it from Fund
Member, and Fund shall not be liable to anyone if for any reason whatsoever this Agreement is
terarinated
s.os. nay t~ Act
Fund shall be under no duty to take any action, except as specifically provided for in this
Agreement and except as it shall hereinafter agree in writing to take.
4.01.
Fund shall retain all awnies paid to Fund by Fund Members until such time as Fund ceases to
be liable to TEC for any charges incurred by Fund Member during the period Fund Member
participated in TEC Group Account Number 99-991-8840. Should the monies retained by Fund on
behalf of Fund Member be insufficient to pay charges attributable to Fund Member, the charges in
excess of the monies retained by Fund shall be paid by Fund Member to Fund within ten days of
written notice of such charges. The above is understood and agreed to even in the event of termination
of this Agreement. In the event of termination of this Agreement and subsequent to determination that
Fund is no longer liable for any of the above outlined charges to TEC, Fund shall remit to Fund
Member any remaining balance in Fund Member's account on behalf of Fund Member.
4.02 1~teinten~~rp of Separate Account
Fund shall maintain a separate account for Fund Member. Fund may maintain more than one
separate account for Fund Member and treat each such account as a separate entity. The maintenance
by Fund of more than one account for Fund Member does not serve to relieve Fund Member of
responsibility for the account. If more than one separate account is maintained by Fund for Fund
Member, each separate account represents an activity of Fund Member Any detemrination with
respect to the activity within any of the above mentioned separate accounts by TEC shall be binding on
Fund Member.
s.01.
Fund shall calculate Fund Member's Contribution Rate based on Fund Member's actual
experience in Fund; provided, however, in no event shall the contribution rate be less than 1/20 of one
percent (.0005) of Fund Member's payroll, subject to the minimum contribution requirement stated in
Section s.02 herein. It is further agreed and understood that until Fund Member has been included in
the TAC Group Account with TEC for six (6) calendar quarters, Fund Member's Contribution Rate
shall be 8/10 of one percent (.008) of Fund Member's payroll. Fund shall determine the Contribution
Rate for Fund Member subsequent to the above mentioned six (6) calendar quarter period during the
fast quarter of each calendar year, and the Contribution Rate shall apply to all payments predicated on
the year's payrolls.
5.02. R~Sponsibility to Contrib ~ .
Fund Member shall contribute to Fund a portion of its payroll for the preceding calendar quarter
for all non-elective employees (full-time, part-time and temporary). In calculating the contribution,
the Fund Member's contributing rate shall be applied to the total gross payroll of all non-elective
employees. However, a minimum contribution of $25.00 per quarter shall be made by all Fund
Members.
5.03.
A new Member shall pay an initial contribution determined by either its actual gross payroll for
all non-elective employees owed in the c(uarter or by an estimated gross payroll for the next calendar
quarter if Fund Member has had no prevtous payroll history. In no event shall the initial contribution
be less than the minimum contribution of $25.00 per quarter.
5.04. Contrihadnn Pa~prnts and Repo c
Fund Member agrees to promptly make all payments required by this Agreement to Fund Fund
Member agues to furnish reports of wages paid to non-elective employees and other necessary
information in a manner acceptable to TEC and Fund. ,
5.05. D ~ Datr of Contrih ~tions nd R .ports
Quarterly Unemployment Records and Contributions shall be due and payable no later than the
10th day of each new quarter. For purposes of this Agreement, quarters will commence on the first
day of January, April, July and October of every year. Reports or contributions postmarked after the
10th day of a new quarter shall be subject to a late penalty equal to the greater of $25.00 or 596 of
Fund Members contribution for the quarter.
6.01.
Fund member shall by written instrument appoint an Unemployment Coordinator. The
Unemployment Coordinator shall be responsible to Fund for the timely and accurate completion of the
quarterly unemployment report, and for promptly providing Fund or its contractor any required
information.
6.02.
Fund Member may change its Unemployment Coordinator by giving written notice to Fund of
such change prior to the effective date of the change.
6.03. ~gponsihility of ilnem~ lovment Coordinator
Any failure or omission of the Unemployment Coordinator shall be deemed a failure or
omission of Fund Member. Fund or its contractor are not required to contact any other individual with
respect to Fund Member's business except the named Unemployment Coordinator. Any notice given
the Unemployment Coordinator by Fund or its contractor shall be deemed notice to Fund Member.
7.01. Mice.
This Agreement may be temunated by either party giving sixty (60) days written notice of intent
to terminate the Agreement to the other party. Any notice of intent to terminate must be delivered by
deposit in the U. S. mails Certified Return Receipt Requested.
7,02, 1,iahili~C~ ba tent to T 'nation
Termination of this Agteet~nt shall not serve to relieve Fund Member of any obligation or
liability for any obligation or liability Fund may have to TEC as a result of Fund Member's rnclusion
in the TAC Group Account with TEC.
8.01 [l~m+ l~vnxnt Cnxt Cnntml Cervicex
Fund Member shall be furnished with periodic statements of claim activity and the status of
claims by Fund or its contractor pursuant to Fund's contract for unemployment cost control services.
8.02. F.li˘ihili(y of Fund Member
Fund Member is a member in good standing or located within a county that is a member in
good standing of TAC.
8.03. Agreement to Comn~ly with Bylaws
Fund Member agrees to comply with the Bylaws of fund as adopted by Fund's Board of
Trusters.
8.04. AQ~pdp~pt
This Agreement may be amended or modified at any tithe by the parties hereto; any such
amendment or modification shall be evidenced by a written instrument attached to and made a part of
this Agreement.
8.05. Anplicahle Law
This Agreement is entered into and executed in the State of Texas, and all questions pertaining
to its validity or constmcdon shall be determined in accordance with the laws of the State of Texas.
8.06. Acts of F ranc .
No act of forebearance on the part of either party to enforce any of the provisions of this
Agreement shall be construed as a modification of this Agreement nor shall the failure of any party to
exercise any right or privilege herein granted be wnsideted as a waiver of such right or privilege.
8.07 Fffect of Partial Invalidity
In case any provision of this Agreement is held illegal or invalid for any reason, said illegality
or invalidity shall not affect the remaining provisions of this Agreement.
8.08 Hr di gs nd 'ohs
The headings and captions in this Agreement are inserted for the purpose of convenience only
and shall not be considered in the construction of any provision.
8.09 Notices
Any notice required to be given or payment required to be made to Fund shall be deemed
properly sent if addressed to:
Texas Association of Counties
P. O. Box 2131
Austin, Texas 78768
IN WITNESS WHEREOF, we hereunto affix our
fir; ~ , 19 90.
TEXAS ASSOCIATION OF COUNTIES
UNEMPLO NT
BY:
ecudve ctor
signature this 26th day of
FUND E
BY: Kerr County Judge on behalf
Title of Kerr County
TEXAS AvSOCIATIOI`I G~= COCII`ITIES
P.O. Box 2131, Austin, Texas 78768
1204 San Antonio (512) 478-8753
Sam D. Seale, Executive Director
Apri19, 1990
Dear Unemployment Fund Member:
To comply with the pronouncement from the Governmental Accounting Standards Board,
"GASB," we have begun to account on an accrual basis for the unemployment group fund.
This has necessitated changes in the bylaws of the "fund" and the participation agreements
(hereinafter, called interlocal agreements) of the fund members.
The amended sections of the bylaws are as follows:
Section 10. -Powers and Duties
Section 13. -Members Vested Right to Income
The amended articles of the interlocal are as follows:
Article V. -Contribution Rate/Contribution
Due to these changes, it is necessary for each fund member to execute new copies of the
interlocal agreement. Please find enclosed copies of the amended bylaws, for your files, and
copies of the amended interlocal agreement. Please execute the copy of the interlocal and
return to the Texas Association of Counties.
If you have any questions, please contact myself or Terry Wyatt at the TAC office,
1-800-222-5974.
Sincerely,
`-
Stephen E. Lowell
Director, Unemployment Compensation Fund
PARTICIPATION AGREEMENT
for
TEXAS ASSOCIATION OF COUNTIES UNEMPLOYMENT FUND
This Agreement, entered into by and between the Texas Association of Counties Unemplo~+ment
Fund (hereinafter called "Fund" and (hereinafter called 'Fund
Member") shall be effective as of the date hereinafter shown.
RECITALS:
WHEREAS, the Fund was established by the Texas Association of Counties (hereinafter called
"TAC") as a means of providing a single vehicle for the payment of reimbursements to the Texas
Employment Commission (hereinafter called "TEC") required under art. 5221b, and 4413(32b)
V.A.T.S.: and
WHEREAS, Fund Member, a political subdivision, desires to take advantage of the benefits
made available through the Fund;
NOW, THEREFORE, pursuant to the provisions of Art. 5221b, V.A.T.S. it is Agreed and
Understood among the Parties as follows:
1.01.
Fund is hereby appointed Agent of the Fund Member and authorized to represent Fund
Member before the TEC.
1.02. l.rngth of Annointment
Fund shall continue to serve as Agent of Fund Member for purposes of this Agreement until such
time as this Agreement is terminated in accordance with its terms.
2.01. Election
Fund Member hereby elects to become a member of and participate in the Fund
2.02. Trpngtb of Election
Fund Member's election under paragraph 2.01 of this Agreement shall be effective until
terminated in accordance with the terms of this Agreement.
2.03. Nature of Election
By its election under paragraph 2.01 of this Agreement, Fund Member elects to join and
participate in the TAC Group Account maintained by TEC under Account Number 99-991,8840. The
Group Account is maintained for the purpose of receiving contributions required under art. 5221-56,
V.A.T.S. and paid by the Fund
3.01.
Fund member hereby confers upon Fund all authority necessary to carry out the purposes of
this Agreement. Fund shall have the authority to construe the provisions of this Agreement and the
rules, regulations, contribution schedules and Bylaws of the Fund. Any construction of the above
named items by the Fund shall be binding on all Fund Members and their employees.
3.02. P.flwers of Fund
Fund shall have any power necessary to carry out the purposes of this Agreement which may
be conferred by this Agreement and the rules, regulations, contribution schedules and Bylaws of the
Fund including, without limitation, the following:
a. The power to collect and retain all monies required from Fund Member,
b. The power to establish a Contribution Rate for Fund Member;
c. The power to require and accept from Fund Member reports of wages paid to non-elective
employees of Fund Member;
d. The power to require and accept from Fund Member unemployment reports with respect to
employees of Fund Member leaving the employ of Fund Member;
e. The power to require the appointment by Fund Member of an Unemployment Coordinator,
f. The power to delegate any power or duty conferred by this Agreement to an independent
contractor, including the power to act as Fund Member's agent before the TEC;
g. The power to develop and establish unemployment cost control senrices;
h. The power to maintain a separate account or accounts for Fund Member and to co-mingle the
funds of the Fund Members;
i. To the extent permitted by the Unemployment Commission Act of Texas, the power to review
claims, determine their validity, and dispose of claims coming to the Fund;
j. The power to appoint legal counsel to handle the legal affairs of the Fund;
k. The power to open and maintain bank accounts in the name of the Fund; and
1. The power to perform any act whether or not expressly authorized herein, which Fund deems
necessary to accomplish the general objectives of the Fund.
3.03. Signature of Fund
Fund is hereby authorized to execute any notice or other instrument in writing required to carry
out the purposes of this Agreement and all persons, partnerships, political subdivisions, corporations or
associations may rely thereupon that such notice or instrument is duly authorized and is binding on
Fund and Fund Member.
3.04. i.iahili y of Fund
Fund shall be responsible for monies solely when, as, and if received by it from Fund
Member, and Fund shall not be liable to anyone if for any reason whatsoever this Agreement is
terminated.
3.05. Duty to Act
Fund shall be under no duty to take any action, except as specifically provided for in this
Agreement and except as it shall hereinafter agree in writing to take.
4.01.
Fund shall retain all monies paid to Fund by Fund Members until such time as Fund ceases to
be liable to TEC for any charges incurred by Fund Member during the period Fund Member
participated in TEC Group Account Number 99-991-8840. Should the monies retained by Fund on
behalf of Fund Member be insufficient to pay charges attributable to Fund Member, the charges in
excess of the monies retained by Fund shall be paid by Fund Member to Fund within ten days of
written notice of such charges. The above is understood and agreed to even in the event of termination
of this Agreement. In the event of tetmittadon of this Agreement and subsequent to detettnination that
Fund is no longer liable for any of the above outlined chazges to TEC, Fund shall remit to Fund
Member any remaining balance in Fund Member's account on behalf of Fund Member.
4.02 Maintenance of SeRarate Account
Fund shall maintain a sepazate account for Fund Member. Fund tray maintain mote than one
separate account for Fund Member and treat each such account as a separate entity. The maintenance
by Fund of mote than one account for Fund Member does not serve to relieve Fund Member of
responsibility for the account. If more than one separate account is ttutintained by Fund for Fund
Member, each separate account represents an activity of Fund Member. Any determination with
respect to the activity within any of the above mentioned separate accounts by TEC shall be binding on
Fund Member.
5.01.
Fund shall calculate Fund Member's Contribution Rate based on Fund Member's actual
experience in Fund; provided, however, in no event shall the contribution rate be less than 1/20 of one
percent (0005) of Fund Member's payroll, subject to the minimum contribution requirement stated in
Section 5.02 herein. Tt is further agreed and understood that until Fund Member has been included in
the TAC Group Account with TEC for six (6) calendar quarters, Fund Member's Contribution Rate
shall be 8/10 of one percent (.008) of Fund Member's payroll. Fund shall determine the Contribution
Rate for Fund Member subsequent to the above mentioned six (6) calendar quarter period during the
fast quarter of each calendaz year, and the Contribution Rate shall apply to all payments predicated on
the year's payrolls.
5.02. Regponsihility to Contribute
Fund Member shall contribute to Fund a portion of its payroll for the preceding calendar quarter
for all non-elective employees (full-time, part-time and temporary). In calculating the contribution,
the Fund Member's contributing rate shall be applied to the total gross payroll of all non-elective
employees. However, a minimum contribution of $25.00 per quarter shall be made by all Fund
Members.
5.03.
A new Member shall pay an initial contribution determined by either its actual gross payroll for
all non-elective employees owed in the quarter or by an estimated gross payroll for the next calendar
quarter if Fund Member has had no prevtous payroll history. In no event shall the initial contribution
be less than the minimum contribution of $25.00 per quarter.
5.04, C nntrihution Payments and ReDOrtS
Fund Member agrees to promptly make all payments required by this Agreement to Fund. Fund
Member agrees to furnish reports of wages paid to non-elective employees and other necessary
information in a manner acceptable to TEC and Fund
5.05. Due Date of Contrihutions and Reports
Quarterly Unemployment Records and Contributions shall be due and payable no later than the
10th day of each new quarter. For purposes of this Agreement, quarters will commence on the first
day of January, April, July and October of every year. Reports or contributions postmarked after the
10th day of a new quarter shall be subject to a late penalty equal to the greater of $25.00 or 5% of
Fund Members contribution for the quarter.
6.01.
Fund member shall by written instrument appoint an Unemployment Coordinator. The
Unemployment Coordinator shall be responsible to Fund for the timely and accurate completion of the
quarterly unemployment report, and for promptly providing Fund or its contractor any required
information.
6.02.
Fund Member may change its Unemployment Coordinator by giving written notice to Fund of
such change prior to the effective date of the change.
6.03. hcponsihility of Tne hvment Ccxirciinator
Any failure ur omission of the Unemployment Coordinator shall be deemed a failure or
omission of Fund Member. Fund or its contractor are not required to contact any other individual with
respect to Fund Member's business except the named Unemployment Coordinator. Any notice given
the Unemployment Coordinator by Fund or its contractor shall be deemed notice to Fund Member.
7.01. Np i
This Agreement may be terminated by either party giving sixty (60) days written notice of intent
to terminate the Agreement to the other party. Any notice of intent to terminate must be delivered by
deposit in the U. S. mails Certified Return Receipt Requested.
7,02, i.iahili S,~yb~ecinent to Tertt>ination
Termination of this Agreement shall not serve to relieve
liability for any obligation or liability Fund may have to TEC as
in the TAC Group Account with TEC.
8.01 Unem+ lovment Cnst Control Cervices
Fund Member of any obligation or
a result of Fund Member's inclusion
Fund Member shall be furnished with periodic statements of claim activity and the status of
claims by Fund or its contractor pursuant to Fund's contract for unemployment cost control services.
8.02. F1l 'bili of Fnnd Member
Fund Member is a member in good standing or located within a county that is a member in
good standing of TAC.
8.03. AA~reement to Comply with Bylaws
Fund Member agrees to comply with the Bylaws of fund as adopted by Fund's Board of
Trustees.
8.04. Amendment
This Agreement may be amended or modified at any time by the parties hereto; any such
amendment or modification shall be evidenced by a written instrument attached to and [Wade a part of
this Agreement.
8.05. Annlicahle Law
This Agreement is entered into and executed in the State of Texas, and all questions pertaining
to its validity or construction shall be determined in accordance with the laws of the State of Texas.
8.06. A .ts of For .b . ranee
No act of forebearance on the part of either party to enforce any of the provisions of this
Agreement shall be construed as a modification of this Agreement nor shall the failure of any party to
exercise any right or privilege herein granted be considered as a waiver of such right or privilege.
8.07 Effect of Partial Invalidity
In case any provision of this Agreetent is held illegal or invalid for any reason, said illegality
or invalidity shall not affect the remaining provisions of this Agreement.
8.08 Hai gs net ions
The headings and captions in this Agreement are inserted for the purpose of convenience only
and shall not be considered in the construction of any provision.
8.09 Notices
Any notice required to be given or payment required to be made to Fund shall be deemed
properly sent if addressed to:
Texas Association of Counties
P. O. Box 2131
Austin, Texas 78768
IN WITNESS WHEREOF, we hereunto affix our signature this day of
19_.
TEXAS ASSOCIATION OF COUNTIES
UNEMPLO NT
FUND MEMBER
BY• BY:
ecutive ctor Title
BYLAWS OF THE
TEXAS ASSOCIATION OF COUNTIES
UNEMPLOYMENT COMPENSATION GROUP ACCOUNT FUND
The Texas Association of Counties Unemployment Compensation Group Account Fund is
hereby created by rosoludon adopted on the 9th day of December, 1977 by the Board of Directors of
the Texas Association of Counties. The following Bylaws are adopted to authorize and govern the
operation of this Fund:
-1-
I) TAC means the Texas Association of Counties
2) TEC means the Texas Employment Commission
3) Hoard of Dirrrtats means the TAC Board of Directors
4) Fund means the TAC Unemployment Compensation Group Account Fund
S) Fund Member means a political subdivision that has signed an interlocal agreement to participate in
the Fund and has been authorized to do so by the TEC
6) Bos_*+d of Trustrss means the Board of Trusxes of the Fund established by these Bylaws
7) Co mitt .. nr Fx .c ~dv .Commit rr means the Executive Committee of the Board of Trustees
established by these Bylaws
-2-
The Fund shall consist of an unincorporated association of political subdivisions of the State of
Texas (hereinafter called Fund Members). A county must be adues-paying member of the Texas
Association of Counties to be eligible to participate as a Fund Member. Any county which withdraws
its membership in the Texas Association of Counties is ineligible to continue to participate as a Fund
Member and shall be terminated. Political subdivisions of the State of Texas otitis than counties may
be admitted as Fund Members. The Fund is intended to be the contracting mechanism by which each
Fund Member finances and administers its obligations under the Texas Unemployment Compensation
Act, as amended.
-3-
The Fund shall be governed by a Board of Trustees and its Executive Committee which are
hereby created. All actions and decisions may be reviewed by the TAC Board of Directors who retain
final authority. The Board of Trustees shall supervise the administration and operation of the Fund
through its Executive Committee.
-4-
The Board of Trustees shall be composed of eleven voting members. The voting members of the
Board shall be appointed by the TAC Board of Directors upon the nomination of the Presidents of the
various statewide associations of county officers. There shall be a voting member representing each of
the following county offices and who shall also hold the office represented: 1) County
Assessor-Collector of Taxes; 2) County Attorney; 3) County Auditor, 4) County Clerk; 5) County
Commissioner, 6) Constable; 7) County Judge; 8) Justice of the Peace; 9) Sheriff; 10) County
Treasurer, and; 11) District Cleric. The President of TAC staff be an ex-officio member of the Board
and Executive Committee. Nonvoting members may be appointed by the TAC Board of Directors.
-5-
Trustees shall serve staggered terms beginning January 1, 1989. The five Trustees who are
holding the public offices of Assessor-Collector of Taxes, Constable, Sheriff, County Attorney, and
County Commissioner shall serve irtidal Trustee terms of three years from January 1, 1989 through
December 31, 1991. The six Trustees who are holding the public offices of County Clerk, District
Clerk, County Judge, County Auditor, County Treasurer, and Justin of the Ponce shall serve initial
Trustee terms of two years from January 1, 1989 through December 1, 1990. After these initial toms,
all Trustees shall serve two year terms commencing on January 1, of each year. All Trustees who
ceases to hold the county office being represented on the Board, or whose county of residence ceases to
be a Fund Member, ceases to be a Trustee. A Trustce who fails to attend more than two meetings
consecutively without a proper excuse may be replaced by rho TAC Board of Directors. A vacancy on
the Board of Trustees shall be filled for the unexpired terms and in the same manner as the original
appointment. A Trustee may not serve more than two consecutive terms; however, a Trustee may
serve until a successor has been appointed and has been qualified.
.~
Annually, the Board shall hold a Meting for the purpose of rho election of officers, except for
the Chairman and Vice Chairman, and such other business that tray come before it. Amtually, during
each January, the President of the Texas Association of Counties, with the approval of the Board of
Directors of the Texas Association of Counties, shall appoint a Chairman and a Vice Chairman from
the members of the Fund's Board of Trustees. The officers of the Board shall serve one year terms
until December 31 of each year. The Board may hold such other meetings as may be necessary when
called by any three voting Trustees. All mcetings shall be held in Austin, unless 30 days written notice
has been sent to all Trustees designating another location. In lieu of a formal meeting, the Board and
the Executive Committee may transact business by electronic conference. In the event of an electronic
conference vote, the TAC staff at the direction of the Chairman or any three voting Trustees of the
Board shall attempt to contact all the voting Trustees with information concerning the time of the
conference and the matter to be discussed. In the event of an electronic conference vote by the
Executive Committee, the TAC staff at the direction of the Chairman or any two Committer members
shall attempt to contact all the Committee with information concerning the time of the conference and
the matter to be discussed. A majority of the Trustees or Committee members must participate in the
conference and vote. Electronic conference votes must be confirmed in writing by each participating
Trustee or Committee member or by subsequent approval of minutes reflecting such vote. Action
taken pursuant to such procedures in each such case shall be binding.
.~.
nFF[CF.RS~ ni 07 RLiM
The Officers of the Board shall consist of a Chairman and a Vice Chairman. The Chairman
shall see that the minutes and seconds of the Board are kept. A majority of Trustees of the Board shall
constitute a quorum. A majority of the Executive Committee (as established in Section 8 of these
Bylaws) shall constitute a quorum. Concurrence of a majority of those present and voting shall be
necessary for any official action taken by the Board or by the Committee.
-8-
The Executive Committer of the Board of Trustees shall be composed of five members. The
Chairman of the Board shall be the Chairman of the Committee and a voting member. The Vice
Chairman of the Board shall be the Vice Chairman of the Committee and a voting member. The Board
shall choose by lot three of its members to serve on the Committee. The Committee shall be chosen
annually. The Committee is authorized to carry out the functions, powers, and duties of the Board
between regular and called Board meetings. The Board may by resolution reserve specific functions,
powers and duties to itself. All actions and decisions of the Committee may be reviewed by the Board
of Trustees and the TAC Boazd of Directors.
-9-
The members of the Boatel shall serve without compensation, but shall be entitled to
reimbursement of reasonable actual expenses incurred is the performance of their official dudes upon
the approval of the Board
-10.
The Board, in addition to other powers and duties herein conferred and imposed or authorized by
law, shall have the following powers and dudes:
A. It may exercise any power or authority conferred on the Fund by the provisions of any
interlocal participation agreement with any Fund Member.
B. It may, in the exercise of its power to establish a contribution rate far each Fund Member,
make adequate provision for the payment of chrimr, the payment of expenses, the aceumulation of
reserves and the payment of deficits in any account of a Fund Member.
G It may require payments from Fund Members in addition to the quarterly contributions
otherwise required for the purpose of avoiding m extinguishing any deficit in the accounts of fund
Members or for the purpose of establishing ar maintaining sufficient reserves, as may be required by
the Board.
D. It tray make interest charges to the account of any fund Member whose account is in
deficit which the Board deems to be sufficient to compensate the remaining fund Members for their
pro rata shares of investment income lost due to such deficit.
E. The Board shall have the authority, provided the loss position and the financial condition
of the Fund is sufficiently sound, to return some or all of the reserve funds to the Fund Members as the
Board deems appropriate in the exercise of its discretion.
-11-
Each of rho Fund Members shall be required to pay to the Fund not less than quarterly the
amounts charged by the Fund as provided by the Interlocal Agreement between the fund and the Fund
Member. Failure to pay the amounts requited when due shall tender the membership of the Fund
Member subject to termination by action of the Boatel or Executive Committee. In the event there is
any disagreement between the Fund Member and the Fund representative, the Fund Member shall have
the tight to appeal to the Executive Committee. If the disagreement is unresolved rho Fund Member
tray appeal to the Board of Trustees and final appeal shall test with the TAC Board of Directors.
-11A-
Nothing herein shall be construed to prevent the acceptance of Associate Members of the Fund
and such category of membership is permissible. The Associate Members shall not be voting members
of the Fund. Associate Members shall be endued to all services as specified by Agreement between
Associate Members and the Fund, except that Associate Members will not deposit any contributions
with the Fund, and the Fund shall not administer dte accounts in which Associate Member retain their
own unemployment compensation funds. Each Associate Member shall pay to the Fund fees for tite
services of the Fund as set by the Board of Trustees.
-12-
The fiscal year for the Fund shall be from the 1st day of January of each year and ending on the
31st day of December of that year. --
-13-
MFMS .R'C S D i ,H'1' TO INCt)MF.
Each Fund Member shall receive credit for its pro rata share, as determined by the Board, of
income earned by the Fund in each fiscal year. Any excess of income and contributions, together with
any reserve requirements established by the Board, over expenses and losses shall accrue to the Fund
Members and will be used to reduce contribution payments, to build reserves, or to pay dividends, in

the manner, amounts and at the times as may be determined by the Board.
-14-
Any Fund Member may withdraw from the fund at any time upon 6o-aay written notice m the
Board subject to rho rules of rho Texas Employment Commission and law. The Fund Member
withdrawing may not withdraw the reserves on any of the claims that are being paid from the Fund or
may be required to be repaid from the Fund except as may be authorized by the Board. The Fund
shall continue the servicing of any claims as requited by law after the withdrawal of the Fund
Member. The withdrawing Fund Member shall make adequate provision to indemnify the Fund for
charges attributable to its aceount. After the Fund Member withdraws from the Fund and all claims
are paid and serviced, the Board shall return to the withdrawing Fund Member such Fund Member's
reserve, if any, determined as of the dau of the Ftmd Member's withdrawal from the Fund and such
Fund Member's share of accnted income or dividends, in accordance with rho determination of the
Board.
-15-
The Bylaws may be amended by the TAC Board of Directors after notice of the proposed
amendment has been mailed to the members of the Board of Directors at least ten (10) days prior to the
day of the mating to consider same. The Board of Trustees may recommend such changes as it
dams necessary or desirable from time to time.