FUNBING AGREEMENT BFWWEEN TEMS MUTUAL AND THE: SF THE TRAV .18: CHENEY E3133 Agreement i3 entergd iam- bemeen {he Of?ce 0? the {harm 0f ?ZE?ravis Gamay, Tami; (?Hawwior?? and "3?3an Mama}. Inmrance Comma}! fif'agi'mpany a? RECETALS E?msawter reca?ws Conmiaims and Sizgagcss in {he invesiigation 313$ of aliegeszi criminal Viaia?iigns dike isms (313 the: Siam 0f Tamra. Pmsacutm mad the: wish :0 pz'cwide far {312;- mceivmg 0f mmpiah?s and 1313 investigaiien and wag?cu??im 0f criminai ??mscg against {ha Ma?a/1g 'wark?era? campema?an i?asurancc wepsm?w?r 1.211%? mm ?rms and Barth 13r?23?cumr and 1116 Gamma}; wish 31> aims: ?lm} a fuzzding age-amen? far ti?m pmaaumian ofaffmses aging: the Campany gmmuant :0 "1E:an Ensuran Cecie: Am. Sy?im 3, was). NGWS QWEREFURE, Prosecmm and me {lemgian}: mm'uaiiy agrw the 'fmiiewing terms; emci Term o??gmemgnt 3.93, Yarn} and Renewai. ?aisz Agreczmm i5; effaciive {Emmy 3% ?394.. and: M31 rana?w for azzenyear p?rieds an {Iiizmbe}: 1 017621031 yeai E133 Winci-dewn Fericsc?. if ihs Agi?eemmi m: remewe?? {he Agreement may E38: eximciaci by what.? party by writtm natiaa is the ether far a perim? m: amazed gitx that {fate a? the Easi indimmem returne? gamma: this; Agreemgm, 2&3, ?E?emzination. 'il?hisi ?e?Xgreemem may bf: terminated at my ?rm: by uit?mzf gmriy apex: mm}; days? a?vame writie? mam. 2.0 Scope of Agreement 2.01. Services Provided by Prosecutor. Prosecutor will: Investigate and prosecute when warranted any alleged criminal violation of the Texas Insurance Code; Subtitle A, Title 5, Texas Labor Code; or other penal laws of the state relating to crimes committed against the Company. Special emphasis will be given to major fraud, large premium and healthcare fraud cases. Receive complaints of violations of state penal laws relating to workers? compensation insurance from the Company, any person designated by the Company, or any law enforcement agency or person, and prosecute when warranted any alleged criminal violations revealed by such complaints within the jurisdiction of the Prosecutor. Provide investigative and other assistance to the extent that resources will allow to the Company or to the prosecuting attorney of another county in Texas for any of the aforementioned violations if such violation occurs outside the jurisdiction of the Prosecutor. Study the present law and suggest to the Company and the Legislature any changes that might make detection and prosecution of workers? compensation insurance fraud more effective. 2.02. Payment of Services. The Company will pay the salary (including associated bene?ts) and expenses of two assistant district attorneys and one support person, as well as incidental expenses, such as witness expenses and temporary help, as needed. The annual amount paid under this Agreement may not exceed $290,000. The Agreement will be amended to include increases in the amount paid if necessary to fund additional renewals. 3 .0 Express Warranties and Acknowledgments 3.01. Prosecutor is charged by the Texas Constitution and Texas statutes with the sole responsibility for decisions relating to the prosecution of offenses within his jurisdiction, and nothing in this Agreement can or is intended to delegate or abrogate that responsibility and authority. 3.02. The services above are necessary and essential for activities that are properly within the statutory functions and programs of the parties. 3.03. The proposed arrangements serve the interest of ef?cient and economical administration of state government. 3.04. The services, supplies or materials contracted for are not required by Section 21 of Article 16 of the Constitution of Texas to be supplied under contract given to the lowest bidder. 3.05. The Company has the authority to contract for the above services by authority granted in Texas Insurance Code, Art. 5.76-3, 3.06. The Prosecutor has the authority to perform the services contracted for by authority in Article 2.01, Texas Code of Criminal Procedure, and the Texas Constitution. 4.0 Compliance with Law Prosecutor and Company will comply with all laws applicable to performance of this Agreement. 5.0 Amendments Any change to the provisions of this Agreement or any attachments to it will be made in writing and signed by both parties. Each party will submit all requests for changes to this Agreement or any attachment to it to the other party. 6.0 Non?Waiver andBeservation of Remedies 6.01. Non-Waiver. Any act of forbearance by either party to enforce any provision of this Agreement is not a modi?cation of this Agreement or a waiver of any breach or default of the other party that then exists or may later exist. The failure of either party to exercise any right or privilege granted in this Agreement does not waive that right or privilege. 6.02. Reservation of Rights and Remedies. All rights of both parties under this Agreement are Speci?cally reserved. Any payment, act or omission by a party will not impair or prejudice any remedy or right of that party under this Agreement. Any right or remedy stated in this Agreement does not preclude the exercise of any other right or remedy under this Agreement, the law or at equity. No action taken in the exercise of any right or remedy waives any other rights or remedies. 7.0 Law and Venue This Agreement is governed by the laws of the State of Texas and all obligations under this Agreement are performable in Travis County, Texas. 8.0 Entire Agreement Agreement All Inclusive. All oral and written agreements between the parties of this Agreement relating to the subject matter of this Agreement that were made before the execution of this Agreement have been reduced to writing and are contained in this Agreement. 9.0 Severabili? If any portion of this Agreement is ruled invalid by a court of competent jurisdiction, the remainder of the Agreement will remain valid and binding. 10.0 Assignabili? Neither party may assign any of the rights or duties created by this Agreement without the prior written approval of the other party. 1 1.0 Legal Authority 11.01. The Company Signors. The person signing this Agreement on behalf of the Company, or representing himself as signing this Agreement on behalf of the Company, does hereby warrant and guarantee that he has been duly authorized by the Company to sign this Agreement on behalf of the Company and to bind the Company validly and legally to all terms, performances and provisions in this Agreement. 11.02. Prosecutor Signors. The person signing this Agreement on behalf of Prosecutor, or representing himself as signing this Agreement on behalf of Prosecutor, does hereby warrant and guarantee that he has been duly authorized by Prosecutor to sign this Agreement on behalf of Performing Agency and to bind validly and legally to all terms, performances and provisions in this Agreement. The undersigned parties bind themselves to the faith?il performance of this Agreement. EXECUTED in duplicate originals this the7J?-day of a. 35 . .2004. THE COMPANY: PROSECUTOR: 13% 9 BY: Russell R. Oliver Ronald Earle President Travis County District Attorney E:\Contracts 2004\Consulting Conuacts\Funding Agreement (District Attomey).doc insuranca Campany Funding Agreement Behaveen Texas Mutual Insurance Company and The Office 0f the Travis Caunty District Attorney Madi?catiml No. 1 Texas Mutuai insurance Campany is issuing this Modification N0. 1 to the Agreement baiwean Texas Mama} insurance Campany (?the Company?) and Of?ce of the District ,Attemey of Travis Caunzy, Texas (?the I?msecutmf?) to make the ??lowing changes: 1. Ammd Paragraph 2.92 Paw"an of Services: $0 read as fblicvws: The Company wiil my the mummy salary (inaiuding assc?iate? bene?ts) am} expenses 0f two assistant district attomeys am! one support persan, as we}! as operating ami other incidenta? expenses, as needed. The annua} 3111mm paid under this Agresment may mat exceed $074168. The Agreemsem will be amended 1:0 inciu?a increases in the amoum pai? if necessary to fund additiona?i reqewais. All other terms and couditioris 0f the Agreement remain the same. Please return a signed Griginai of this Agreement madi?caiinn t0 the Company, t0 the attentima of Sammy Cat-sum, at {he below rci?renced addrem. THE COMPANY: PROSECUTOR: By: .J h? By: Russgl} R. Giivsr Rangld Earle i?ms?i?m Travis? {hunt}? District Atmmey 1 I ?be w? 33? E?ffw {:ngszan Date Date Imuragzce Campanjg Fundina Agreement Between Texas Mama! Insurance Company and The Gf?ce afthe Travis County Bistrict Atmrney N6. 2 "56an Mama? {13553372113033 Cgmp?my is issuing {hi3 CQl?lifEiC/i Na the Agreamsm bistwaen Mmuai 'ffngumnce Camgazmy fails: and Of?ce Sf {12$ District Mammy {3f "[?ravis {Sammy Rxars {i?the mecumr?) make the ?i'Eiryiiawing chanch effective Omaha: 1, 2007: 1, mm Paragraah 2.92 Pavznent 9f Services i0 mad as: fbiiaws: Th3 Company will pay mommy mmihiy saiafy aSseciate? hem?t?) emf: expenses sf arasigtam district: a?omeys ami {meg Suppart persg{iyn:nei wail as; incidentai expel/1363, ?nch wimegg expeascs; anti iemperary 2183;}, as need?d. 35hr: a: mug} amount paid undar this Agmemeni may massed "fine skgreemam wit} be amended :9 mm massages the aamuai paid if nacegsary ?md additiena? mmwais. grimy terms and ofthe Agmemem remain that game. Please: rsmirn a signed wiggmag of {5?83 Agreemwm the (Timmpany, :0 $113 attri-mti