ALC-Executive Subcommittee

The executive said committee arts are legislated council. First up we've got to consideration motor part park are so department of education redivision of elementary secondary education and if we will have mister roads and I believe representative evidence is going forward. And others that you are from being here today and we'll let you tell us who you are who you with for the record. Good morning sharing members of the committee monitors and screwed on the chief legal council to the department of education. Then your short step to local council for the department representative brown evans uh house chair of joint education courting salaries for a chief of staff for the department of education we had thank you for being here in your recognized present thank you chair and members of the committee so before you as an emergency rule governing literacy tutoring grants and high impact this will provide the framework for two separate two doing programs one is the same to help struggling readers in the cater three space with personalized tutoring and the other is the signed to allow public school districts to provide high impact tutoring during the school day to help struggling students at all great levels for the first program this rule provides families and opportunity to invoice up to five hundred dollars per school year to pay for tutoring services. For a children reading below grade level from k to three these services will be paid from an account of funds deposited by the department and payments will go directly to providers priority will be given to students already retain from the previous year obviously they'll be for your two the lowest fifteen percent of the cape to three reporting category then to the lowest remaining quartel in the third grade and the second grade then first grade and then finally kindergarten these services are intended to be provided ask outside of school hours for the second program the department will pay for tutoring services by a proof providers at school distractor in the school day. The department will maintain a little a less of a proof providers that have demonstrated experience and providing tutoring services showing evidence of student outcomes received training in the science of reading among other criteria. These high impact tutoring services can occur either in a personal or group setting for a minimum of three times per week for a minimum of thirty minutes at a time. This tutoring is on a substitute to court subject matter learning it can only simple be instruction. The public common period for the permanent rule that marries this emergency role just and we will be presenting the permanent rule to the staple of education on the february meeting at here in a couple weeks and will be submitting it to the bureau wants to prove by the state board of education and are available for questions. Okay before we go to represent about a coach or long question in looking at the first section you explain you explain that I have five hundred dollars how much tutoring can a student obtain its under reading level for five hundred dollars. So can I be across survey of different binders that are looking at this those sessions run anywhere from they can get ten to potentially twenty twenty five individual sessions based upon that five hundred dollars dipend. And out of those ten twenty five sessions is there anything or any data that supports that that's going to bring the reading little leave reading level up you can notice I can't even do it so right so that's going to depend greatly on obviously that the level of tutoring services that they are receiving during that time as well as the individual issues even particular student it's gonna vary as representative evans said based on the location the tutoring service itself and the quality that's being provided we are going to continually monitor to ensure that the highest quality is being provided and of course these tutoring services alone may not bring every student at to where they need to be but this is just a piece of the larger plan which also involves the high impact tutoring that the school district will be providing and of course this is just the first year so we would intend on this to continue throughout the years i'm glad you said that you're going to continue to monitor because what I would like to see is. The monitoring of the students that actually take advantage of this program nc what their scores do obviously we we watch scores as it is today i'd like to see if this money is actually affectively bringing the scores up. I'll get back to you how want that reported but will come up with a method to get that council we would agree with you on that. Thank you many members with questions. Not seeing members center hammer you get a question you recognize thank you shared in this being redundant apologize the vetting process before the money is actually released. Two determined who's going to be on the list that is qualified to receive this money would what should say about th. So this is for the high impact tutoring grants yes so for the read for the five hundred dollars you're just mentioned what I mean those providers would have to apply to be providers within the program and again it's. It all works within the system where the account has five hundred dollars those have to be approved providers within the program so they have to be accepted by the department to bill for those tutoring services um our team at believe learning services would be working on the actual value of this applicant we've already started compiling the list of approvable tutors they did apply they would go through a very extensive process through our content specialist in our learning services division as to you again looking at the quality of the tutoring services being provided the staff that is going to be providing their services and so yes it was a very strangent process for them to get to be on that approved list and on that on that approved less can it be individuals. And indicates that employee individuals or is it. Either or it can be either as long as they meet the requirements in statute and in art thank you. It ripped out who evans let me represent yes which chairs are joined education committee reviewed list of the presentation on the proposed embarrassing rules there was good discussion on about the same questions were answered that ranchered here just a previously there was no distance on the we reviewed and approved the emergency rural sentitive executive subcommittee. Any other questions. Without objection to proposed emergency room is reviewed and approved and then view and approval shall be effective about a german they lc meeting tomorrow friday january twenty sixth twenty twenty four home payers say I post that cares thank you I just meant it victor who I got a motion mr. I make a motion this committee recommends the full council for drafting of special language for annual report in july on the utilization of the tutor program and it's test for score test resort to show the the effectiveness of the program. Which proper motion discussion on the motion. Take note to go to now in favor I post that passes thank you. You near the discussion for we let this will go. Not seen anything else for me and here appreciate that thank you. Thanks step we have a report on study on the education of facilities property insurance and. The shadow group with them meters adams and lee in church back weather german good see again if you will identify yourself for the record. The. Robertson matters items late. Car morgan matters amazonly clant lamberth matters and some way they go will let you go ahead with your presentation. Okay so a lot of you've seen the presentation that's been sitting around there's sixty five slides in it we're not going to take the time to go through all sixty five other. I'm sure you're happy to hear that we also have a special treat today that called morgan is going to lead or discussion owner concentrations are risk concentrations and owner claims analysis. The. And before we get into that let's go to the the first largest work i'll give you an update on where we are on our process. The snow last week pushing things back we're a little ahead of where we from where this was presented we are currently through our concentration mapping. We're gonna be looking at the claims all the way through this entire process that's something that that never fully ends to see you know anything that we can see and there that's going to tell us the direction we need to go whether modeling we're pretty much done with that we've made some good headway on evaluation our structure in funding which will be prepared to talk about in our next presentation and beginning some market evaluation so that's really where we are to date on the process you can go to the next one there so just minute and members of if you're looking your band or ridge back in the genuine day of you will be able to follow up away. So you've seen the side before these are the state level concentrations of catholic twelve and higher together. And when we're looking at this were really just trying to to understand you know where our biggest areas of risk what's the most you know the worst thing that could possibly happen do we have adequate limits to protect all of the property that's out there in any time in insurance that you're looking at losses and your evaluating losses in doing a loss analysis a lot of times there's something that really just jumps out at you as you look through claims and you can look at it and say hey if we could just fix this one thing we can really make this you know controller risk better it bring our costs down so we're we're looking at it to make sure that we're insured properly and then we're looking at it to see if there's anything you know what's in there that we can control in what can we expect so that's what we were trying to achieve by looking at this it's going to be what you're going to see over the next sixty five slides sixty three sides you're going to see catherine twelve by region the concentrations then you're going to see the claims in each region by type. And then you'll see them again losses over a million dollars. After that you'll see higher ed by region claims by type and then you'll see losses over a million dollars in the lost types and then you'll see a combination of those and when we met earlier this week I asked you know did anybody did anybody think that there was going to be anything that just jumped off the page at us and everybody said no and that's correct to the one thing that is consistent that you're going to see in this is that in arkansas if you have property regardless of where you have it you're going to have insurance claims and they're going to vary from type and they're going to vary across the state so having said that and when it turned it over to call morton and he's morgan asian lead the rest of the discussion. So this is really broken down in the three parts you start with k twelve the move into higher and then we combine it at the end before wrapping it up and showing a summary of all the losses so starting off with northwest arkansas k twelve you'll see these zones are five miles top to bottom on each one and any they have over a hundred million dollars in insured value within it or a highlighted yellow so there's about four billion in here. And moving on to the claims we see that like it it's got bad as of recently when in hail we've really we've picked these four I should clarify when inhale there's not much you can really do you're at you know the wind. The weather's marth weather's mercy this word you can you can have better roofs you can less in those claims fire and frozen pipes it's either really bad or it's not there as well really seen but those are both some that you can more prevent so that's how we broke it out and then we have other of course in that number right to the left of the dollar sign is the actual quantity of those claims. So as you can see a gun worse more recently. And. With all the four billion dollars that you have in there there's three k twelve claims on record so far for. You know all from springdale high school. I deal with their roos. In damage so it's not quite driven as you think when you see the second largest concentration of twelve only has three three big claims in there and they're all from one school. So and you moved down to fort smith and this you get two point two there same story more recent years you have more larger problems. And there's that. And they moved to central arkansas this is by far your largest concentration in as you'll see the same for higher edition of course combined this is what you really look at this is a blue print that you kind of plan for and you have. Everybody can see yeah that's a there's six billion dollars and insured value as it stands in this picture. So you moved down fairly clean sheet honestly and again more recently it's picked up but there is no late we're not really showing any big window hail claims like we're seeing on the other ones it's really spread out and they've gone a fairly good shake of things out so. And then you move in a hot springs there's a two and a half million dollar loss. In this picture and I want you to kind of look at the different regions and try and guess which one it's in. And you look. And I go one more. Then jesse will jesse village in that number one region up there but hot springs village that's kind of what we're seeing when we say it's random you'd you know everyone about money that's in five six or seven but instead it's. And there it is right there they had a fairly clean sheet smaller zone. Are you moving to jones borrow and it's as expected one and a half billion. Again you say it's like that they got a fairly clean sheet but they got a recent one as well. They move in a westmin fist this is an interesting one because you wouldn't think it'd be really included but that four hundred and eighty seven million dollars very close to the loss limit that you see for these programs in the when you worry about the loss limit you might think of central arkansas in the six billion dollars that you have there but then you look at the claims and tells a different story this is another way that that could get hit you know it's just something that's. Small but so compact all in one area you know it's the duality I guess but they have a clean sheet so history doesn't indicate that but it's still. That's kind of scary you know so any move on the higher ed and of course. Pretty much everywhere you go there's just one really concentrated hexigan that's of course the. Um. You have here same story as we've seen before it gets worse more recently. Are you big losses of course you have a and I will say that eleven a half million dollar loss that's not just at the european favor we had our losses it's like a combined over multiple their campuses figured I had to go somewhere and this is probably the you know. Leaving place to put it why does little guest work as possible obviously you a fort smith. Arkansas tech they had one claim there's no claim in you a forcement that there's no large loss claim that means there's nothing else. And so they have had that one fire so that's something you know. And any move in the central arkansas and that you got. Five billion six hundred fifty million in it. And fairly clean sheet here as well it's just picked up recently I know that their big pipe claim is the basketball court whenever pipe bus in that flooded and then you have that fire thing it's a uca yeah. And so those are again too that she could really do something medicate we we would think so. They move into jones borrow. Picked up again recently have some historically and. Think their number at the bottom of this calculator. So into the combined second. Okay so now this brings us to the combined for northwest arkansas you have. The. Seven and a quarter billion dollars here and if you look at twenty one right there is going to lost a finance that's three and a half billion right there alone in that seven times your loss limits. As it stands. And everything is you can see is picked up recently and it's just again the spring garden you have a that you've seen earlier. And then here's central arkansas in kind of thing try to predict what you think that like this would look like you have twelve billion you have your biggest concentrate you think your losses for this this area would just be terrible all over the place when you look at it you know it's all things considered is not really I mean you're under million dollars total encouraged for a lot of those years. And especially when you're considering a few outliers like the ten million dollars fire uca and then pipes personal UALR that that takes out a water that. So really just. Two big claims in this entire region with twelve billion. That's notable. So this brings us to the k twelve total losses. And we can see the like. Ten captures all the way up to like between up to like twenty nineteen and then after that you start seeing ten million dollars captures in all the way up until then you see a start growing in that hundred and fifty six million dollars that's got a. The wind claim is in here at a hundred and thirty two million I believe and I know that when when you take out the whole private adjuster thing I believe the number that I had on my email as for a statement we got eighty million dollars was the actual shorter ban damage on their. And then when you look at higher ed you would think that the losses would be like a lot larger on there. No two million captures. What over they had that big year in seventeen eighteen and they get small again and is growing but is not nearly the losses as well would expect. And then that brings us to the combined total losses we're looking at it and again ten million captures a lot of it up until the twenty sixteen and that just exceeds a little bit it's obviously picking up towards the end but it's not as. Not driven by higher end as much as one would think. So there's a lot there to go through their there's a lot of different ways to look at all of this. But when you really look at all of the losses combined you look at all of the values combined. You know what you realize is is that regardless of whether it be wand hail fire pipes or you know we're putting all different loss types in the all other category. You mean you're gonna have claims with this property there's just no way around it went in hale really not a lot you can do about window hail. Fire you know there are fire suppression systems we don't have the detail on you know exactly what the you know cause the fires or what could be done about him that something that can be considered and can be looked at frozen pipes. You know we have a lot of claims in our agency this week and we've had a lot of phone calls this week from frozen pipe so this is something that I think our kansas are getting better with us and that people are learning from this so hopefully that's something that. You know that we can work on trying to reduce the risk for the schools and i'm sure that the wrist managers are working their best to do that. So you know what is this tell us one thing that is noticeable in your look at the frozen pipes is you see you have like nine point one claim zero claims like it's all next to no claims and they have two years in there we have seventy four frozen pipe claims forty eight frozen pipe claims it comes in waves it's either not a problem destroy building to be big claims. And that's the kind of thing that we were looking at when it happens it's bad. Go to the next slide so you know what this really tells us is it tells us that. When you take the outliers out and you combine all this you can expect to have but twenty five maybe as much as thirty million and claims a year. And that's what looked back. What we're doing internally right now is we're working on a look forward so you know you can't just look back and you know not consider the fact that we have inflation that you know claims are going to cost more I mentioned the other day I feel like we're doing for some good weather and the state of arkansas and there were a period of time where we had some good weather and these programs work pretty well so maybe the timing will be right if we launch something new that will be blessed with some good weather because people in our state need it and deserve it. But having said that. And i'm gonna tell you this is a really tall hill decline this is not something that we have tested at this point as far as the hypothesis in ability to be able to do this but we probably need to be looking at a minimum of two and a half billion dollars of insurance to adequately protect against a major catastrophe in this state and right now with three separate programs and i've said over and over again I think that the people that ran these programs who are doing the absolute best they could with what they had to work with and so we we understand the challenges that they have phased in the constraints that they have worked in with the money that they had to spend in how to did these schools could afford to pay so none of that is lost on us the challenge that we have is to take is to figure out a way to create a program that has twenty five you know million dollars of losses guaranteed that currently has you know that's considerably under insured in tom and terms of the limit and figure out how to structure a program and bring that in into cost that brings in a limit the child enough to cover everything or at least get close to covering everything and then do it at a cost that the schools can afford so it's not an easy thing to figure out I know that was a lot a no kyle went through it really really quickly and were prepared to answer. Any questions that you have what I would tell you is go back look at your region look at where your schools are if you have questions for us let us know we're happy to answer any specific questions you have if the program managers have any specific information that they'd like to share anything that they saw that didn't make sense in the presentation we put together we're happy to hear that in for them to weigh earn so basically what I would expect for the next report for you to see it structure in funding is we're moving towards understanding where a price break will be for an attachment point for a state run program for reinsurance and you know have tested the hypothesis of whether or not i'm getting the two and a half billion dollars of insurance is even achievable inside the current structure inside with the amount of money that's currently being spent on the program and I can't sit here and tell you that we know the answer that we haven't gotten that far so that is the report that we have. We're here to answer any questions that that anybody has force. Thank you in question from committee. Where others are. App and enjoyed going through the report mine because it touches all parts of arkansas it's going to mind staggering looking at all the numbers in that but it it really shows in order to greatly appreciate work i've done this far is thirty proceeds and it is encouraging one you got a no what you're needing is anything you said it is to go to be something you can afford in do something but changes have to be made in and this is a a huge part of getting there so we greatly appreciate that I think people in the insurance business there watching this probably question how the world we're going to figure out how to do this so. You know they understand the the rates that are out there the challenges that are out there and I can't even imagine what program managers have not their illness to be quite honest with you it it is a lot has been a lot for them so thank you questions media or non committee members and loudesternate thank you gentlemen for me and here is we continued work toward a solution. And the business of appreciate the interest part being here commissioner but claim you have anything that you like to address but we we brief we appreciate your attention to the us and working with us so if. Okay she had lower did you have anything to dress today okay irania you're with injured barbara did you see that okay anyway we we appreciate everybody working on this it's it's just a huge neil and and again not tell everybody touches all parts of state so I appreciate uh the the elected appreciates who took down to be here today and help you stay involved in the assets really really important and with that uh no other benefits we are. Yeah.