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HomeMy WebLinkAbout24623RESOLUTION NO. 24623 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AUTHORIZING KEENAN & ASSOCIATES, AS THE CITY'S BROKER OF RECORD, TO PURCHASE PROPERTY LIABILITY, EXCESS EARTHQUAKE/FLOOD LIABILITY (DIFFERENCE IN CONDITION), EXCESS LIABILITY, EXCESS WORKERS COMPENSATION, AIRPORT OWNERS AND OPERATORS LIABILITY, VILLAGEFEST LIABILITY, MULTI MEDIA LIABILITY, AIRCRAFT HULL LIABILITY, CRIME/FIDELITY LIABILITY, AND CYBER LIABILITY INSURANCE POLICIES FROM VARIOUS CARRIERS FOR POLICY YEAR 2019-2020, EFFECTIVE JULY 1, 2019. THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, FINDS: A. The City is self -insured for major risk programs, such as property, general liability, auto liability and workers' compensation. B. The City annually purchases various lines of insurance coverage to minimize the adverse effects of accidental losses and claims against the City. C. The City is located in the vicinity of several known active and potentially active earthquake faults, including the San Andreas, the San Jacinto and the Elsinore faults. D. The topography of the City makes it prone to flooding, especially during times of heavy rainfall. E. The City purchases a primary earthquake and flood insurance policy. F. The City supplements its primary insurance policy with excess coverage to insure against losses arising from litigation, employee injuries and/or deaths arising from potential catastrophes, losses arising from the City's Airport, and to properly protect public facilities from catastrophic loss from earthquake or flood. G. The City Council appoints a broker of record to purchase insurance policies for the City, and the City's insurance broker has solicited proposals from various insurance companies for insurance coverage, and presented proposals to the City to ensure the best coverage obtainable based upon a reasonable expenditure of public resources with respect to premiums. Resolution No. 24623 Page 2 NOW, THEREFORE, THE CITY COUNCIL RESOLVES: SECTION 1: The City Council of the City of Palm Springs, California based upon the true and correct recitals above incorporated herein by this reference as findings in support of this Resolution, hereby authorizes Keenan & Associates, as the City's Broker of Record, to purchase the following insurance policies for Fiscal Year 2019-20: COVERAGE: Premium FY 19-20 PROPERTY TIV $500M Premium $252,948 Deductible $10,000 Terrorism coverage included DIC (Earthquake/Flood) Premium $ 207,123 (City+Airport) SIR $5M Limit $10,000,000 per occurrence Premium $151,317 (dedicated WWTP) Limit $25,000,000 per occurrence Deductibles 5%ofTIV,$50KminEQ,$100K flood COMPREHENSIVE EXCESS GENERA & AUTO LIABILITY Premium $549,250 SIR $1 M Law Enf & Auto, $650K all others Limit $10,000,000 per occurrence EXCESS WORKERS' COMP Premium $168,700 SIR $1,000,000 Limit $50,000,000 per occurrence AIRPORT LIABILITY Premium $30,687 Deductible $1,000 Limit $50,000,000 annual aggregate Terrorism coverage included AIRCRAFT HULL Premium $2,914 Deductible $100 static/$500 in motion Limit $5,000,000 per occurrence Terrorism coverage included VILLAGE FEST Premium $12,365 Deductibles $1,000 Limit $1,000,000 peroccurrence MULTI MEDIA Premium $5,510 Deductible $5,000 Limit $1,000,000 per occurrence Resolution No. 24623 Page 3 COVERAGE: Premium FY 19-20 CRIME/FIDELITY Premium $5,578 Deductible $10,000 Limit $1,000,000 per occurrence CYBER/DATA BREACH Premium $16,330 SIR $15,000 Limit $1,000,000 per occurrence Total Premiums $1,402,722 SECTION 2. The City Manager is hereby authorized to accordingly adjust the budget and allocate the insurance expense to the appropriate enterprise and other funds and may authorize any changes that result in lower premium costs for the same or better coverage that the broker may present between now and June 30, 2019. SECTION 3. The City Manager is hereby authorized to execute any documents necessary to effectuate the authorized actions specified herein. ADOPTED THIS 5T" DAY OF JUNE, 2019. David H. Ready, Esq., Ph City Manager ATTEST: Arftl6ony J. M ji MM City Clerk Resolution No. 24623 Page 4 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) CITY OF PALM SPRINGS) CERTIFICATION SS. I, ANTHONY MEJIA, City Clerk of the City of Palm Springs, hereby certify that Resolution No. 24623 is a full, true and correct copy as was duly adopted at a regular meeting of the City Council of the City of Palm Springs on the 5th day of June, 2019 by the following vote: AYES: Councilmembers Holstege, Middleton, Roberts, Mayor Pro Tern Kors, and Mayor Moon NOES: None ABSENT: None ABSTAIN: None IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this 2ci+— day of 'TT -At::- 20 6,, - Lt, � �ArAhony J. ejia, City Clerk