RESOLUTION

WHEREAS:

a) The Municipality has participated with other municipalities and regional districts in a self-
insurance study undertaken by the Union of B.C. Municipalities.

b) The UBCM Liability Task Force has proposed to participating municipalities the creation and
operation by subscribing members of a Reciprocal Insurance Exchange within the meaning of Section
302 of the Insursnee Act of British Columbia to be known as the “Municipal Insurance Association of
British Colurmbia” (the “Association”),

¢) The proposal of the Liability Task Force is contained in a report entitled “Report of the UBCM
Liability Task Force Self-Insurance Study Phase Il, a Proposal to Establish the: Municipal Insurance
Association of British Columbia, May 1987” (the “Report”).

a) The Liability Task Force has requested that each municipality and regional district participating
in the self-insurance study, review the Report and determine whether it would subscribe for membership
in the Association if the Association was created and administered in accordance with the Reciprocal
Insurance Exchange Agreement attached as Appendix “A” to the Report.

¢) The creation and operation of the Association is conditional upon not less than 100 municipalities
and/or regional districts in the Association and the issuance to the Association by the Superintendent of
Insurance of a permit to operate a reciprocal insurance exchange pursuant to Section 302 of the Insurance
Act of British Columbia.

NOW THEREFORE BEIT RESOLVED:

1) = That the hereby
irrevocably undertakes to all other municipalities and regional districts participating in the UBCM self-
insurance study that it will, as and when requested by the chairman of the UBCM Liability Task Force
as such person is designated in *1e Report, subscribe for membership in the Association by executing and
delivering as a binding obligation of the Municipality the Reciprocal Insurance Exchange Agreement
attached as Appendix “A” to the Report and will pay the Association its assessments as provided for in
the said Reciprocal Insurance Exchange Agreement, and will do and perform all such further acts and
execute and deliver such further documents and assurances as may reasonably be required to create and
establish the Association and to constitute the Municipality a member thereof.

4) ‘This undertaking is conditional upon the Liability Task Force receiving similar undertakings from
not less than 100 other municipalities and regional districts, and the Superintendent of Insurance issuing,
orundertaking to issue upon satisfaction of reasonable conditions, a permit to the Association to Operate
a Reciprocal Insurance Exchange pursuant to Section 302 of the Insurance Act.

3) This undertaking is given as a binding obligation of the Municipality and may be enforced against
it by any municipality or regional district who has participated in the self-insurance study undertaken by
the UBCM and which has given a similar undertaking i. 1 the Liability Task Force thereof,