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The Operating Agreement is a proprietary document between the Service Cooperative and the <br /> provider. However,at the request of any Participant,the Board may provide that Participant with <br /> any information regarding the applicable Operating Agreement that is reasonably necessary for <br /> the Participant to understand its rights and obligations thereunder. <br /> 4.5 SC Service Fees. The SC may be paid a service fee in consideration for services <br /> rendered pursuant to this Agreement and any Operating Agreements. The amount and source of <br /> such service fee shall be established from time to time by the SC Board. <br /> 4.6 Service Providers. <br /> 4.6.1 Selection. The Participants hereby delegate to the Board the right to select the <br /> Providers for Group Employee Benefits and Other Financial and Risk Management Services. <br /> 4.6.2 Governmental Unit Bidding and Contract Laws. As applicable,the Board <br /> shall comply with all state and federal laws relating to requests for proposals,review of <br /> proposals, length of Group Contract rules,and other laws and regulations relating to contracting <br /> for Group Employee Benefits and Other Financial and Risk Management Services. <br /> 4.6.3 Service Provider Rate Increases. The Board will annually review renewal <br /> information as presented by Providers,make recommendations and determine if requests for <br /> proposals are necessary. Rate renewals for group insurance will be determined on the basis of the <br /> aggregate change of premiums. <br /> 4.7 Premiums and/or Contract Charges. To the extent not established by the applicable <br /> Operating Agreement or in any other manner prescribed by this Agreement,premium and/or <br /> contract charges shall be determined by the Board in its discretion;provided,however,that in <br /> accordance with Section 6.5,no retroactive assessment may be made without the consent of the <br /> affected Participants. <br /> 4.8 Advisory Committee(s). The Board may, but is not required to,appoint one or more <br /> advisory committees. The purpose of any such committee may include, without limitation,the <br /> receipt and processing of information relating to group employee benefits, and the future <br /> direction of such benefits as well as other programs and services. The Board shall consider, but is <br /> not required to adopt,advisory committee recommendations and proposals. Labor representation, <br /> when appropriate,on any advisory committee formed by the Board shall be, in so far as in <br /> reasonably possible,representative of the bargaining representatives of individuals covered in the <br /> relevant Pool. Not withstanding anything to the contrary in this Section 4.8,the SC shall create a <br /> labor-management committee to advise it on certain matters as required by Minn. Stat. 123A.25. <br /> 4.9 Authority of Board. The Board,with due consideration given to recommendations <br /> submitted by any advisory committee which may be established, shall, unless otherwise expressly <br /> agreed,retain final authority in all matters relative to this Agreement and to the Group Employee <br /> Benefits and Other Financial and Risk Management Services subject to this Agreement,provided, <br /> however, that nothing in this Agreement shall permit the Board to enter into a Group Contract on <br /> behalf of a Participant,and that, subject to any applicable notice rules, nothing in this Agreement <br /> shall prevent a Participant from withdrawing from this Agreement, any Group Employee Benefit, <br /> or any Other Financial and Risk Management Service. <br /> -6- <br />