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2.2 Liquidated Damages Liquidated damages shall be assessed when the Custodial Agent has not received premium payments by the close of business by the 10th of any billed month. Custodial Agent shall make notification to the district and an assessment of 1% shall be invoiced on the 11th of any billed month for liquidated damages. Notification by the Custodial Agent shall consist of a phone call to the Assistant Superintendent of Business Services and Trust Unit Delegates and a letter to the District Superintendent, District CBO and Trust Unit Delegates. An assessment of an additional 2% shall be invoiced on the 16th of any billed month. If a district does not pay by the 20th of the month the district shall be terminated from the Trust effective the last paid covered month. The Board may consider a request in writing from the Superintendent of the Member District to waive liquidated damages. No waiver of liquidated damages will be considered until the payment for liquidated damages has been received. Only waivers for catastrophic causes shall be considered. Originally approved on: January 29, 2008 |
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