The meeting featured a detailed presentation by Paul Miola, former executive director of the Atlantic County Municipal Joint Insurance Fund (ACMJIF), who addressed the council about the financial pressures facing the insurance industry. Miola detailed a 46% increase in reinsurance costs for property coverage and a 99.3% rise in medical costs over the past three years. He attributed these surges to a hardening reinsurance market and recent statutory and regulatory changes, including those related to COVID-19. Workers’ compensation claims for first responders contracting COVID-19 have financially burdened local joint insurance funds, costing $25 million statewide. Miola also highlighted the rising financial implications of police liability claims, particularly those involving excessive force.

Miola stressed that the ongoing global insurance crisis, exacerbated by events like wildfires and hurricanes, has made securing coverage for coastal properties increasingly difficult. Despite these challenges, he pointed out that the ACMJIF operates efficiently, with less than 10 cents on the dollar spent on administrative costs. The fund boasts a surplus of $13.6 million and over $46 million in cash reserves, and has returned nearly $54 million in dividends to its members, including approximately $1.34 million to Wildwood Crest alone.

The council also discussed important risk management strategies. A representative elaborated on various programs aimed at reducing workers’ compensation claims through training initiatives. These programs have trained approximately 700 managers and supervisors and over 480 police officers, contributing to overall community safety. The discussion included details on Tulip coverage, which provides liability coverage for residents using borough facilities, and updates to Certificate of Insurance guidelines to ensure contracts favor the borough.

Cyber risk management was another focal point, with the establishment of an in-house review to manage escalating cyber insurance costs. The New Jersey Cyber Risk Management Fund incentivizes compliance with risk management protocols, imposing hefty deductibles for non-compliance.

In terms of claims management, the council underscored the success of transitional duty programs, which have reduced disability claims and overtime costs by facilitating the return of employees to work in a modified capacity. This program saved an estimated $636,000 over the past year.

Auto repair costs were also addressed, with reports of inflated estimates and supplemental bills from body shops leading to the implementation of standards requiring prior notification for additional work. Efforts to streamline vehicle storage during repairs and leverage state contracts for vehicle upfitting were discussed to manage and reduce repair expenses effectively.

The council then moved to adopt two ordinances. Ordinance number 1434, concerning restricted parking for persons with disabilities, and ordinance number 1435, a bond ordinance for the acquisition of new equipment, were both passed on second and final reading after public hearings yielded no comments.

Rental property issues were a significant topic of discussion. A council member voiced frustrations about “frat houses” and overcrowding in rental properties, which have led to parking problems and inadequate conditions for J1 student workers. The council member suggested ordinance changes to address these issues and called for a meeting with various officials to draft a plan for enforcement ahead of the next summer season.

A resident named Claire expressed gratitude for the council’s responsiveness to her complaints about a neighboring “frat house” but urged the council to take action on illegal parking issues. Claire emphasized that the lack of consequences for illegal parking enabled ongoing problems, and expressed her distress over the situation, stating she was considering putting her house on the market due to the disturbances.

The chief of police explained the department’s challenges in verifying the number of occupants in private homes due to constitutional privacy protections. He noted that vacation rentals often exacerbate parking issues as many families now drive separate vehicles. An assistant property manager from Casa Damichi highlighted the responsibility of property owners in enforcing rules for their guests.

The council also discussed the status of the Beach Patrol building, with concerns raised about additional funding and change orders related to its construction. The council clarified that they do not yet have a Certificate of Occupancy for the building but are close to obtaining a Temporary Certificate of Occupancy.

Resident Fred Metler raised concerns about newly installed navigation buoys at Sunset Lake, which were causing confusion among boaters. The council clarified that the buoys were likely installed by the State Police Marine Unit and expressed a desire to confirm their origin before proceeding with any changes.