A (3)

release- 2paqes

Texas Windstorm Insurance Association Lee Talbert HR Administrator

July 28,2011 Bill Tassin 2202 Eastside Drive Austin, TX 78704 Dear Mr. Tassin: Thank you for your letter requesting initiation of TWIA's grievance process. To begin the process, please provide a detailed explanation in writing of why you believe your termination violated any policy of TWIA or was otherwise inappropriate. Enclosed for your reference is a copy of TWIA's current employee handbook. Please describe in detail the actions you contend TWIA took that were inappropriate, and why you believe they were. To the extent you are claiming that you did not violate any policy of TWIA cited in your termination meeting, please explain in foil why you believe you did not violate such policies. Specifically, please explain 1) why you believe you were not in violation of TWIA's conflict of interest policy; and 2) why you removed TWIA files from the office and refused to return them until after TWIA filed suit seeking their return. We will consider your explanation as part of the grievance process. Very truly yours,

Lee Talbert Enclosure

Texas Windstorm Insurance Association 5700 South MoPac Expressway, Building E, Austin, Texas 78749 P.O. Box 99090, Austin, Texas 78709-9090 512-899-4900 > Fax 512-899-4950

Texas Windstorm Insurance Association David T. Weber Vice President - Legal September 12,2011 Scott DeShazo DeShazo & Nesbitt, LLP 100 Congress Avenue, Suite 800 Austin, TX 78701 Re: Mr. Bill Tassin letter dated August 17,2011

Dear Mr. DeShazo: Thank you for your letter regarding Mr. Bill Tassin. We have reviewed Mr. Tassin's request to reconsider his termination and have determined that his termination was not in violation of any TWIA policies or otherwise unlawful. Accordingly, Mr. Tassin's termination will stand. Your letter confirms that "in several situations" Mr. Tassin recommended that TWIA use Herman Johnson, a contractor with whom Mr. Tassin had a prior and current business relationship. Despite this fact, Mr. Tassin omitted Mr. Johnson in his required annual disclosure required by TWIA policy. Mr. Tassin does not appear to dispute these facts. Second, as you know, Mr. Tassin removed property from TWIA premises without permission and not only refused to return them but did not return them until TWIA filed a lawsuit against him seeking their return and obtained a temporary restraining order. If you have any caselaw suggesting that removing company property (for any purpose) and refusing to return it is protected by the Whistleblower Act, please feel free to forward it to me and TWIA will evaluate it accordingly. Very truly yours. verytrm^vours,

David T. Weber Cc: Mr. John W. Polak, General Manager Ms. Lee Talbert, Human Resources

Texas Windstorm Insurance Association

5700 South MoPac Expressway, Building E, Suite 530, Austin, Texas 78749 P.O. Box 99090, Austin, Texas 78709-9090 512-899-4929 / Fax 512-505-2198