HomeMy WebLinkAbout18842 - RESOLUTIONS - 6/19/1996 RESOLUTION NO. 18842
OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS,
CALIFORNIA, EXERCISING ITS RIGHT UNDER ARTICLE 20
OF THE JOINT POWERS AGREEMENT CREATING THE
COACHELLA VALLEY JOINT POWERS INSURANCE '
AUTHORITY AND GIVING FORMAL NOTICE OF
WITHDRAWAL FROM MEMBERSHIP AND PARTICIPATION
IN THE COACHELLA VALLEY JOINT POWERS INSURANCE
AUTHORITY.
WHEREAS, California Government Code Section 990.4 provides that a local public entity may
self-insure, purchase insurance through an authorized carrier, purchase insurance through a
surplus line broker, or any combination of these; and
WHEREAS, the City of Palm Springs became a member of the Coachella Valley Joint Powers
Insurance Authority (the "Authority") effective July 25, 1985, and has maintained its membership
in the Authority continually since: 1985; and
WHEREAS, pursuant to Article 20 of the Joint Powers Agreement, because of the City's
increased cost to participate in the Authority, written notice was submitted to the Authority's
General Manager on March 13, 1996 that the City might chose to exercise its right to withdraw
membership effective July 1, 1996; and
WHEREAS, the City Council now determiners that the purchase of commercial insurance offers '
significant advantages to the City in terms of cost and protection, and the purchase of such
insurance would be and is in the best interest of this City.
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs,
California, as follows:
Section 1. That it hereby directs the City Manager to execute all necessary documents in
connection with notice to the Authority of the City's decision to withdraw in order
to purchase commercial insurance coverage in excess of the self-insured retention
levels appropriately established to protect the City's assets.
Section 2. That Resolution 18591, which provided for an Amended and Restated John Powers
Agreement of the Coachella Valley Joint Powers Insurance Authority pursuant to
the Memorandum of Understanding between the Coachella Valley Association of
Governments (CVAG) and the Authority, to disassociate from CVAG, is hereby
rescinded, said document never having been executed.
ADOPTED this 19th day of June, 1996.
AYES: Members Barnes, Hodges, 0den, Spurgin and Mayor Kleindienst
N None
NOES:
None
ABSENT:
ATTEST: CI PALM-SPRINGS, CALIFORNIA
Tit Clerk � "" Chy Manllger
REVIEWED & APPROVED