NSSTA Board of Directors Meeting Notes San Diego, California November 7, 2018

Chair Presiding: Geoff Kissel, President

NSSTA BOD Members Present: Melissa Baldwin, Jordan Bossler, Michelle Caine, Susan Clark, Mal Deener, Ross Duncan, Jim Early, Michael Goodman, Ryan Jandreau and Louis Masry

NSSTA Staff Present: Debbie Sink, John Stanton, Craig Ulman and Eric Vaughn

Industry Updates: The NSSTA BOD discussed the following industry organizational and management developments:

--Forge Consulting: Charlie Schell has left Forge and TSSG. Tim Dennehy was named President of TSSG. Spooner Phillips and Cory Phillips are co-owners of Forge --Millennium Settlements and The Settlement Alliance expect to reach a final agreement in 2019 to form a new structured settlement company named Sage. Kyle Bollman will serve as the President at Sage --Structures.com has decided to separate from the IFS Group of Companies and Sean Coleman will serve as the President of Structures.com --Quest Consulting: Louis Masry has formed a new company called Quest Consulting, reporting up through Millennium --SFA has named Rich Regna as President and named Bob Lee as Chairman

NSSTA Strategic Initiative: The NSSTA BOD discussed the issues and developments under the NSSTA Strategic Outlook:

--Federal Tax Reform Legislation—Part II: The BOD discussed tax reform legislation that passed the House of Representatives right before the mid-term elections. The House- passed bill would make the personal income tax changes passed in the 2017 Tax Reform bill permanent and approved dozens of technical corrections to the 2017 “Tax Cuts and Jobs Act.”

--S. 3079, “The Medicare Secondary Payer and Workers’ Compensation Settlements Agreements Act of 2018:” The NSSTA BOD discussed legislation introduced in the Senate by Senator Rob Portman, R-Ohio that would negatively impact the use of structured

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settlements to settle Worker’s Compensation cases with CMS utilizing a Medicare Set-aside Account.

--Federal Employee Compensation Act: The NSSTA BOD discussed plans to ask Senator Chuck Grassley, R-Iowa to introduce legislation supporting the expanded the use of structured settlements in Federal worker’s compensation programs. The BOD directed staff to draft legislative language to allow the Department of Labor to utilize structured settlements across all four of the federal worker’s compensation claims programs.

--DC SSPA Legislation: The NSSTA BOD discussed action by the District of Columbia City Council Judiciary Committee to approve a new Structured Settlement Protection Act for the District of Columbia. A final vote on the DC SSPA bill is scheduled for mid-December.

--2018 Mid-term Elections: The NSSTA BOD discussed the results and implications for the structured settlements industry from the 2018 Mid-term elections. With the Democrats claiming control of the U.S. House of Representatives, Congressman Richard Neal, D- Massachusetts will become the Chairman of the House Ways and Means Committee and the Democrats will have the opportunity to add as many as 10 new Members to serve on the Committee. In the U.S. Senate, Senator Orrin Hatch has decided to retire from Congress and Senator Chuck Grassley, R-Iowa will serve as the Chairman on the Senate Finance Committee in the 116th Congress.

--Innovation: The NSSTA BOD discussed the development of a presentation for NSSTA members on the Liability MSA issue during the 2018 NSSTA Fall Educational Meeting.

--Genworth Update: The NSSTA BOD discussed the efforts by the Delaware Department of Insurance and the Virginia Department of Insurance to review the Genworth-Oceanwide merger.

--Closed Structured Settlement Block—2018 Master List: The NSSTA BOD discussed the Closed Structured Settlement Block materials provided by Toni Warbington and proposed sending these materials to the NSSTA Legal Committee to review and to request the Legal Committee to take over the management and the updates necessary to maintain the Closed Structured Settlement Block Master List.

2019 NSSTA BOD Elections: The NSSTA BOD plans to elect a new NSSTA President-elect at the January 2019 NSSTA BOD Meeting in Park City, Utah. Electing the new President-elect three to four months before the NSSTA Annual Meeting enhances continuity and effectiveness of BOD leadership.

The 2019 NSSTA BOD elections will include three BOD seats currently held by Jim Early, Ryan Jandreau and Mal Deener. The NSSTA BOD established a new Elections Task Force to help identify candidates to run for the NSSTA BOD in 2019.

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NSSTA Staff Report on NSSTA Operations: The NSSTA BOD discussed several association management operations, including; the new NSSTA Office in Washington, DC: The new NSSTA Office is open and fully operational. The NSSTA Office is located at 601 Pennsylvania Avenue, NW, just six blocks from the U.S. Capitol, status of 2019 NSSTA Provider member dues invoices, NSSTA website maintenance update, 2017-2018 Fiscal Year Audit schedule and the Website Analytics Report.

NSSTA BOD Calendar 2018-2019: The NSSTA BOD discussed NSSTA BOD Meetings and NSSTA Conferences in 2019 and 2020:

• January 14-15, 2019: (Monday-Tuesday): NSSTA BOD Meeting in Park City, Utah • February 2-5, 2019 (Saturday -Tuesday): AAJ Winter conference in Miami, Florida • March 6-10, 2019: (Wednesday-Sunday) CSSC & MSSC Programs at Notre Dame • March 12, 2019: (Tuesday) AAPD Gala in Washington, DC • March 13, 2019: (Wednesday) NSSTA Takes the Hill in Washington, DC • April 1-2, 2019: (Monday-Tuesday) NSSTA BOD Meeting in Charleston, South Carolina • April 2, 2019 (Tuesday): NSSTA Committee Meetings and Annual Meeting Welcome Reception Charleston • April 3, 2019: (Wednesday) NSSTA Annual Business Meeting, NSSTA Annual Meeting and President’s Reception, Charleston, South Carolina • April 4, 2019: (Thursday) NSSTA Annual Meeting and “Bill Tocchi Golf Tournament” Wild Dunes Golf Resort, Charleston • May 14-15, 2019: (Tuesday-Wednesday) NSSTA BOD Meeting in Dallas • August 13-14, 2019: (Tuesday-Wednesday) NSSTA BOD Meeting in Boston • October 15-16, 2019: (Tuesday-Wednesday) NSSTA BOD Meeting in Chicago • October 16, 2019: (Wednesday) NSSTA Committee Meetings and NSSTA Fall Meeting Reception, Chicago • October 17, 2019: (Thursday) NSSTA Fall Educational Meeting and President’s Reception, Chicago • October 18, 2019: (Friday) NSSTA Fall Educational Meeting • January 14-15, 2020: (Tuesday-Wednesday) NSSTA BOD Meeting, Ft. Lauderdale • April 28-29, 2020: (Tuesday-Wednesday) NSSTA BOD Meeting, Washington, DC • April 29, 2020: (Wednesday) NSSTA Committee Meetings and NSSTA Annual Meeting Welcome Reception • April 30, 2020: (Thursday) NSSTA Business Meeting, NSSTA Annual Meeting, President’s Reception- Washington, DC • May 1, 2020: (Friday) NSSTA Annual Meeting, Washington, DC

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New NSSTA Members: The NSSTA BOD approved Liberty Mutual as a new Practitioner Member and NuQuest as a new Associate Member

New NSSTA Committee Members: The NSSTA BOD approved Jen Smith with Cozen O’Conner, Susan Stauss with Cozen O’Conner, Sandy Jones with Drinker Biddle and Trish Sandberg with Pacific Life as new members on the Legal Committee. The NSSTA BOD approved Alicia Jackson with Prudential as a new member on the Marketing Committee. The NSSTA BOD approved adding Chris Larned with Arcadia to the NSSTA-PAC Board.

NSSTA Committee Co-Chair Reports: The NSSTA BOD welcomed the NSSTA Committee Co-Chairs to the NSSTA BOD Meeting. The NSSTA Committee Co-Chairs presented the following reports to members of the BOD.

--Education Committee Report: Martha Hunt and Christi Fried, the NSSTA Education Committee Co-Chairs stated that one of their primary goals for the 2018 Fall Educational Meeting and the 2019 Annual Meeting is to build a program agenda that would attract more NSSTA members to attend the meetings. Martha and Christi also provided the NSSTA BOD with an overview of how they have divided the Committee members into two teams— one focused on the Fall Meeting and one focused on the Annual Meeting. Christi Fried proposed to the BOD including a special MSSC Paper Award on the 2019 Annual Meeting Agenda. The NSSTA BOD suggested including all of the MSSC program graduates to be honored at the Annual Meeting and singling out one MSSC Paper for special recognition.

--CSSC/MSSC Committee Report: Chris Shumate, Co-Chair CSSC/MSSC Committee stated that the CSSC Committee has produced a program agenda for the 2019 CSSC Program at the University of Notre Dame. Chris stated that the new CSSC Agenda will include practical industry information sessions with the traditional Notre Dame faculty academic sessions. Chris stated that eight people have registered for the 2019 CSSC Program. Chris stated that the Committee would like to get 20 people registered for the CSSC Program. Chris also reported that the CSSC/MSSC Committee has produced a solid draft program agenda for the 2019 MSSC Program and hopes to have that Agenda completed in the next two weeks.

--Legal Committee: Tim O’Driscoll, the Legal Committee Co-Chair stated that the Legal Committee has established the Legal Authority Working Group to work on updating the citation for State SSPAs and State laws on Payments to Minors. Tim also reported that the Legal Authority Working Group has identified guaranty association laws, bankruptcy laws and UCC Article 9 and neurological birth defect statutes for additions to the web site.

--Legs & Regs Committee: Kerri Poe, NSSTA Legs & Regs Committee Co-Chair, included the following highlights in her report; efforts to address the industry concerns with the Medicare Secondary Payer and Workers Compensation Settlements Act legislation, Liability

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MSA issues, plans for the 2019 Take the Hill initiative, the DC SSPA legislation and efforts to expand the use of structured settlements in federal worker’s compensation cases.

--Innovation Committee: Greg Micoletti, Chair of the Innovation Committee stated that the Innovation Committee has focused considerable time and attention on the constructive role the structured settlements industry can play in the development of a “White Paper” focused on the Liability MSA challenges and opportunities for our clients. Greg also stated that the Committee continues to identify someone at Notre Dame or at Wharton who might be interested in co-authoring a paper on dissipation.

--Marketing Committee Report: Ryan Christian Oliphant, Marketing Committee Co-Chair, provided the BOD with copies of the new NSSTA “Financial Strength” marketing brochure. Ryan stated that the Marketing Committee continues to focus on efforts to update and upgrade information on the NSSTA web site. Ryan also stated that the Marketing Committee is very pleased to be working with Lu Ann Reeb on the NSSTA Members First Campaign. Ryan reported that the Marketing Committee has decided to review and evaluate all current NSSTA brochures with the objective of eliminating outdated brochures. Finally, Ryan stated that the Committee was very proud of the new NSSTA News and the new NSSTA member portal on the NSSTA web site.

--NSSTA-PAC Report: Colin Finn, the Chair of the NSSTA PAC Board stated that only 97 NSSTA members have made direct contributions to NSSTA PAC in 2018. Colin stated that the PAC Board’s goal is “Member Participation”, to double or even triple the number of members making contributions to the PAC. Colin stated that he has reached out to the heads of all NSSTA member companies to encourage them to encourage members to support the PAC. Colin stated that Porter Leslie with Ametros and Chris Larned with Arcadia have agreed to serve on the NSSTA PAC Board.

Adjourn and Next NSSTA BOD Meeting: The next NSSTA BOD Meeting will be in Park City, Utah, January 14-15, 2019.

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