winter 2016 ny sir. org€¦ · buildings. classroom supplies. office furniture. computers. science...

NEW YORK SCHOOLS INSURANCE RECIPROCALCAL BOCES EDITION

WINTER 2016 NYS IR .ORG

NYSIRNews

– it belongs to everybody, after all –

there’s a seemingly endless array of physical property

involved in delivering it.

Buildings. Classroom supplies. Office furniture. Computers.

Science paraphernalia. Cafeteria appliances and

equipment. Tools. Grounds-keeping equipment. Buses, cars

and more. Much more. And keeping track

of it all isn’t just a nicety. It’s a necessity.

Having accurate property valuations is

essential when it comes to obtaining the

right insurance coverage for schools,

for instance. And under Government

Accounting Standards Board rules (GASB

34), school districts and BOCES are

required to adhere to a comprehensive

Continued on page 2.

It’s a Material World

For something as obviously non-proprietary as public education

Having accurate property

valuations is essential when

it comes to obtaining the

right insurance coverage

for schools.

Having accurate property

valuations is essential when

it comes to obtaining the

right insurance coverage

for schools.

NYSIR is a member-owned property and casualty insurer serving only New York State public schools and BOCES. Although many of NYSIR’s coverages, risk management programs and value-added services apply equally to all our subscribers, BOCES are different from districts, and deserve a newsletter customized to their singular needs and operational approaches. That’s why we’re delighted to introduce you to our special BOCES edition of the NYSIR News.

Continued on page 7

Continued from front page.

framework for financial reporting

aimed at making annual reports

easier to understand and more

useful to taxpayers.

THE BOCES POV

If you think maintaining control of

all that property – knowing what

is exactly where and when − could

easily get out of hand, you’re right.

And it can be even worse for Boards

of Cooperative Educational

Services (BOCES), whose mission is to

provide shared services to a range of

school districts to help meet evolving

educational needs. BOCES property can

be found in a variety of offsite programs

operating out of schools or hospitals or

correctional facilities, for example, and

member school districts also use equipment

supplied through BOCES-related RICs,

or Regional Information Centers (see p. 4).

Keeping tabs on all of that property

is a big job, according to Ron Acebal,

National Director of CBIZ Valuation

Group, LLC. And an expensive

one. “BOCES need to first establish

and then update equipment

inventories across the board,”

he notes, and it’s fair to say that

correctly carrying out fixed-asset

inventories on a regular basis

can cost tens or even hundreds of

thousands of dollars. It’s a pricey

and time-consuming process, says

Acebal, which is why he recommends

effectively off-loading the responsibility

to an organization like NYSIR, an

insurance reciprocal owned and operated

by 354 school districts and

BOCES across New York State.

NO-COST APPRAISALS

Working with CBIZ, NYSIR

provides a Property Valuation

Program for BOCES that

includes no-cost fixed-asset

inventories and comprehensive

insurance appraisals to assist members

in establishing property values that

support both insurance and GASB 34

property cost-accounting requirements.

“We recognize the unique inventory and

appraisal needs of BOCES,” says Paul

Weinstein, Vice President and Director

of NYSIR Marketing and Subscriber

Support, “and we’ve tailored value-

enhanced services to help meet those

specific needs.”

Some of those services include:

Working with BOCES officials to

identify their particular inventory

thresholds, as well as their specific

fixed-asset processes and policies

Verifying locations where assets

can be found and identifying any

construction projects or leasehold

improvement activities in which a

BOCES has been involved

Conducting full walk-throughs

of campus-based locations and

administrative sites

And conducting inventories of

offsite programs in supported

districts and non-traditional facilities

Its a Material World, CONTINUED

WINTER 2016NYSIR NEWS BOCES EDITION

BOCES need to first establish and then update equipment inventories across the board.

1

2

3

4

We recognize the unique inventory and appraisal needs of BOCES

Keeping tabs

on all of that

property is a

big job.

Equally as important – and

maybe even more important

in terms of budget constraints

faced by education

institutions all across New

York – NYSIR pays for

comprehensive property

valuations for BOCES

subscribers every five years. Working with

CBIZ, NYSIR allocates funding to conduct

those appraisals, according

to Acebal, who adds that

“it’s up to each district or

BOCES to decide when they

want that done. What we’ll

do is rotate through the

districts” on a schedule

that touches each of them

every five years.

In recognition of the some-

times wide and varied

distribution of BOCES

property, valuations also

can be conducted on

20 percent of a specific

BOCES’ locations each

year over a five-year

period to make things

more manageable.

The upshot, says NYSIR

Acting Executive Director

Thomas Austin, is that

BOCES are able to cost-effectively

avail themselves of a fixed-asset

inventory and insurance

appraisal program

customized to their

special requirements. “Our

BOCES subscribers –

currently there are 17

of them – are able to

maintain up-to-date

fixed-asset records as

they relate to GASB

34 regulations, and in

support of accurate

property values as they

pertain to insurance

placement and proof-of-

loss documentation.”


WHEN IT COMES TO PROPERTY AND LIABILITY INSURANCE, NYSIR COVERAGES MAY HAVE SPECIAL APPEAL TO BOCES.

NYSIR pays forcomprehensive

property valuations for

BOCES subscribers every

five years.

BOCES areable to

cost-e�ectively avail themselves

of a fixedasset inventory and insurance

appraisalprogram

customizedto their special requirements.

NYSIR’s general liabilitycoverage for BOCES subscribers, for instance,

extends beyond

employees, student

teachers, school board

members and authorized

volunteers to include BOCES

employees who are working

as interim or acting school

officials. In addition, a blanket

$50,000 coverage limit

applies to miscellaneous

equipment associated

with any off-site BOCES

student work-study or intern

program on file with

NYSIR. (Additional limits

are available if needed)

To cover liability claims and

damage associated with

vehicles in the care, custody

or control of BOCES, NYSIR

also issues a Garage Liability

and Garage-Keepers policy

to all BOCES subscribers, at

no additional premium.

Also in NYSIR’s specialized

insurance package for

BOCES: coverages for

data breaches and cyber

liabilities; replacement

costs for BOCES-owned

buses 10 years old

or newer; and liability

insurance in connection

with the specified use

of unmanned drone

aircraft by authorized

employees or students

of BOCES.

Centers (RICs), each

administratively aligned under a BOCES.

They include: Central New York (CNY) RIC,

Eastern Suffolk (SUFF) RIC, EduTech RIC,

Greater Southern Tier (GST) RIC, Lower

Hudson (LH) RIC, Mid-

Hudson (MH) RIC, Mohawk

(Mo) RIC, Monroe RIC,

Nassau RIC, Northeastern

(NE) RIC, South Central

(SC) RIC, and Western New

York (WNY) RIC.

Regionalizing services

through RICs means

school districts can take

advantage of a wider

range of technology,

increased buying power

and consistent technical

standards. It also creates

an increased need for

cutting-edge security and controls to

ensure data, records and equipment are

protected.

BEST PRACTICES

The Western New York (WNY) RIC

serves more than 100 school districts

in western New York State. The WNY

RIC is composed of the Erie 1, Erie 2,

Orleans/Niagara and Cattaraugus/

Allegany BOCES, and sets the bar for

best practices.

Jim Fregelette is the Executive Director

of Administration and Operations at

Erie 1 BOCES, a NYSIR subscriber. He

explains that to ensure the security

of the 90,000 computers in the WNY

RIC network, a monitoring system

continually checks for security breaches

and threats to any machines.

“We monitor every computer that’s

hooked up to our system,” according to

Fregelette. “The RIC

provides that service to

districts. We do security

patches and updates

on a nightly basis using an

end-point management

system to make sure

they have the most

up-to-date security on

their computers.”

A RIC not only monitors

the districts it supports

remotely, but its staff is

out in the field every day.

“We’re involved every

step of the way for most

schools’ technology,” says Fregelette.

Stephen Tibbetts, Assistant Superintendent

for Business at Southern Westchester

BOCES, suggests that having an outside

auditor assess a RIC is also an important

measure to consider.

“We had an independent auditor come in

to review our internal controls related

to data security in a SOC-1 audit. We’ve

received a certificate that says we’re in

compliance with the current standards for

data security. It’s a good thing for RICs to

consider doing,” Tibbetts explains.

Along with supplying computers and

networks to districts, RICs provide

Regional Information Centers: A Look at Best Practices and Customized Coverage


Today there are 37 BOCES in New York with 12 Regional Information

Regionalizing services through

RICs means school districts

can take advantage of a wider range of

technology, increased buying

power and consistent technical

standards.

training and support and help districts

set their own best practices. “We

provide storage, we provide backup and

we provide policy guidance on how it’s

done in each district,” notes Fregelette,

adding that it’s important to consider

what procedures are in place if an issue

arises. “A RIC should be guiding the

districts on what the best practices are

for each of their buildings.”

EQUIPMENT

Districts purchase significant amounts

of equipment through RICs. “It’s

an interesting relationship,” says

Tibbetts. “If something happens to

the equipment at that school district,

our BOCES insures it. NYSIR has

been great to work with on that.

We’ve had school districts that have

been flooded or had damage or theft,

and there’s never been an issue with

NYSIR in submitting a claim. They’re

just so responsive.”

Tibbetts also explains why NYSIR’s

Fixed-Asset Inventory and Insurance

Appraisal Program is so important for

RICs and BOCES. “It’s a huge benefit

because if we had to go out and secure

that ourselves, we would have to pay

$10,000-$15,000. I don’t know of

any other insurance company that would

come out and inventory everything

you’re insuring.”

NYSIR COVERAGEAND CUSTOMIZATION

Fregelette points out the importance of

RICs having appropriate insurance and

both first- and third-party coverage when

it comes to cyber-liability insurance.

As of the summer of 2016, NYSIR

incorporated cyber-risk insurance by

endorsement into its general liability

policy and now provides two-part data

security insurance − CyberOne™ and Data

Compromise insurance − at no additional

premium charge for all NYSIR member

districts and BOCES. The insurance covers

first-party direct costs for dealing with

breaches of privacy or failures of security,

as well as third-party claims made against

BOCES by affected individuals and

organizations or government entities

acting on their behalf.

The WNY RIC worked closely with Greg

Hawk, NYSIR Regional Manager for

Marketing and Subscriber Support for the

Buffalo/Rochester region, to customize its

coverage to suit its size and unique needs.

“When it comes to BOCES and RICs,

the NYSIR program is unique within the

industry,” says Hawk. “We are aware

of BOCES and their distinguishing

components in the educational arena,

and we tailor our servicing approach

with that in mind.”

“A one-size-fits-all approach sounds

good,” he adds, “but is definitely not the

approach NYSIR takes when it comes to

meeting the needs of BOCES and RICs.”

NYSIR takes a partnership approach

to accommodate each RIC and what it

offers its components.

“It’s that awareness that generates trust

within the RIC partnership. It allows us to

forge a solid risk management approach

and first-party insurance program, which

in turn establishes credibility within the

component BOCES-RIC relationship,”

says Hawk.


Peter N. LaDuca, Executive ManagerNassau BOCES Health and Safety Training and Information Services

Recently, an event occurred in a New

York State school that once again

brought to light the confusion that

continues to exist in emergency

response procedures, specifically related

to lockdown and lockout.

In the above instance,

a community resident

thought she observed four

men, two of whom

had shotguns, walking

into a preserve area

adjacent to a high school

and two elementary

schools. The woman

contacted police, who

alerted the high school

based on her report.

In discussion with the

police department, district

administrators were

advised to lock down the

high school and other

nearby schools. School administrators

indicated they believed it ought to be a

lockout situation, but the police

insisted they were to lock down their

buildings. Not wanting to go

against police direction, the district

complied, even though officials

knew better. Fortunately, the report

ultimately turned out to be

false, but the confusion remains.

While on the surface it may appear

that, aside from disrupting the school

day, no harm was done,

there is further reason

for concern. During a

lockdown, students

in classes being held

outside have been trained

to move away from the

building. Fortunately,

the district had ensured

that all students were

inside before going into

lockdown. Had they not

been, in this instance

students would have

been moving directly

toward the preserve −

exactly where the danger

had been reported.

It must be emphasized that a LOCKDOWN

is called in a school building when

the threat is already in the building.

Emergency Response Protocols for Schools


Administrators were advised

to lock down the high school

and other nearby schools. School administrators indicated they

believed it ought to be a lockout

situation, but the police insisted they were to

lock down their buildings.

Although it may be a rare occurrence, it is the

most serious situation a school can face (an

example might be an active shooter) and should

result in the following:n A communication with those

outside the building to move

away from the building or not

to return to the buildingn Everyone (including security

and facilities staff) are

locked down in the nearest

safe location at that moment

in timen Classroom teachers quickly

check hallways for students

before locking the door

and getting everyone out

of sight and quietn Lights, blinds, door-view glass

all remain as isn Persons remain in lockdown until physically

released by emergency responders

A LOCKOUT is called when the threat is outside the building. It is a much more common

occurrence (an example might be police activity

in the area) and results in:n Communication with those

outside to quickly return to

the buildingn All exterior doors are locked

and monitoredn Generally, no one enters or exits

the buildingn Interior building activities

continue as normaln A lockout remains in effect

until an announcement is made

for release

All schools should review their

lockdown and lockout procedures during safety

team meetings, and in coordination with local

emergency responders.


All schoolsshould reviewtheir lockdown

and lockout procedures

during safetyteam meetings,

and in coordination with local emergency

responders.

Continued from front page.

This new publication is the first of two planned for biennial distribution exclusively to BOCES members who are part of the NYSIR family, and its purpose is to address topics of particular interest to BOCES. In this issue, for instance, you’ll find articles about Regional Information Centers, emergency response protocols and the particular value of property appraisals to BOCES.

And while you’ll find an emphasis on the different needs of BOCES, we hope you’ll also discern the many similarities between BOCES and NYSIR, especially the cooperative nature of each organization, their common goals of efficiency and cost-effectiveness, and the belief that a shared purpose makes us all stronger.

We’re continually looking for new and inventive ways to provide value to BOCES, and we’re interested in your feedback. Please feel free to drop me an email at [email protected] with any thoughts, ideas or experiences from your BOCES that can be shared in a future edition.

Shoes don’t talk. but the men and women who wear them do, and sometimes listening to people who’ve walked a

mile or two in yours can make a difference. Here are some thoughts about the New York Schools Insurance Reciprocal from BOCES officials and administrators

from across New York… in their own words.

You feel like

NYSIR is going

to support whatever

you need to do to

get things back and

running and fixed in

a timely manner. The

organization allows

flexibility for schools

to be able to alert

them of an incident,

and they tell us to do

whatever you need

to do to get it fixed

and they’ll support us.

I’ve been with BOCES

for 14 years, and

when we’ve had a

claim there’s never an issue. The response

times have been great, even after

Superstorm Sandy. Within hours, they

had people here doing the remediation

and repair.

STEPHEN TIBBETTSASSISTANT SUPERINTENDENT FOR BUSINESS AND ADMINISTRATIVE SERVICESSOUTHERN WESTCHESTER BOCES

We have always

found NYSIR to be

an engaging partner in our

efforts to promote safety

and risk management

initiatives within OCM

BOCES and our local school

districts. Having access to

high-caliber professionals

and their expertise has been

a tremendous resource. Our

cooperative efforts with NYSIR have

included the development and

delivery of multiple safety training

workshops to assist school districts

with relevant safety and risk issues.

Our partnership with NYSIR is active

throughout the entire year, and

has developed well beyond the

traditional relationship between

carrier and insured.

DAVID L. DAIGNAULT, CSPCOORDINATOR OF HEALTH AND SAFETYOCM BOCES

Erie 1 BOCES/WNY RIC has

benefitted greatly through the

partnership of CBIZ and NYSIR.

WNY RIC provides services for 100

districts in western New York, and

faces a tremendous challenge in

keeping track of the technology

inventory that’s part of those services

in the districts it supports. Because

Erie 1 is a member of NYSIR, CBIZ

conducts inventory audits to help

ensure an accurate accounting of RIC

equipment, auditing 20

percent of the districts

annually at no additional

cost. That saves Erie 1

thousands of dollars

annually, and is part of

the added value of

belonging to NYSIR.

JIM FREGELETTE , DIRECTOR OF FINANCE, ERIE 1 BOCES

In Their Own Words


winter 2016 ny sir. org€¦ · buildings. classroom supplies. office furniture. computers. science...

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