Executive Director's Report

May, 2006

Dear Member

NOTICE OF ASSESSMENT

Pursuant to Minn. Stat. § 79A.12, subd. 2, the Minnesota Self-Insurers’ Security Fund Board of Trustees (SISF) levied an assessment on each member of 3% of the paid indemnity losses, as defined by Minn. Stat. § 176.129, during the previous calendar year. The levy is effective April 20, 2006. The last assessment was 6% in 2004.

The Special Compensation Fund reported to SISF the total amount of indemnity benefits paid by your company from January 1, 2005 through December 31, 2005. Therefore, the assessment is based on 3% of that amount.

THE PAYMENT IS DUE WITHIN 45 DAYS.

Please be advised that the Minnesota Self-Insurers’ Security Fund is not subject to federal income tax withholding rules because it is a non-profit corporation. The SISF federal tax ID number is 41-1634385.

If you have any questions regarding the assessment, please contact Andrew Morrison, General Counsel to SISF, at 651-291-9155, ext. 105, or e-mail at morrison@kmchlaw.com.

Very truly yours,

Original Signed

Laurence F. Koll
Executive Director
Minnesota Self-Insurers’ Security Fund