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HomeMy WebLinkAbout24440 RESOLUTION NO. 24440 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AUTHORIZING KEENAN AND 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 2018-2019, EFFECTIVE JULY 1, 2018. 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. 24440 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 2018-19: COVERAGE: Premium FY 18-19 PROPERTY Premium $230,771 Deductible $10,000 Terrorism coverage included DIC (Earthquake/Flood) Premium $129,000 (City+Airport)) Limit $5,000,000 (excess of$5.OM) Premium $131,580(dedicated WWTP) Limit $25,000,000 Deductibles 5%ofTIV,$50KminEQ,$lOOK flood COMPREHENSIVE EXCESS GENERA &AUTO LIABILITY Premium $540,000 SIR $1M Law Enf&Auto,$650K all others Limit $10,000,000 EXCESS WORKERS' COMP Premium $163,993 SIR $1,000,000 Limit $50,000,000 per occurrence AIRPORT LIABILITY Premium $29,171 Deductible $1,000 Limit $50,000,000 Terrorism coverage included AIRCRAFT HULL Premium $2,824 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 peroccurrence CRIME/FIDELITY Premium $3,665 Resolution No. 24440 Page 3 COVERAGE: Premium FY 18-19 Deductible $10,000 Limit $1,000,000 CYBER/DATA BREACH Premium $16,330 SIR $15,000 Limit $1,000,000 Total Premiums $1,265,209 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, 2018. SECTION 3. The City Manager is hereby authorized to execute any documents necessary to effectuate the authorized actions specified herein. ADOPTED THIS 61h DAY OF JUNE, 2018. David H. Ready, q., Ph.D. City Manager on J. M jia City Cle Resolution No. 24440 Page 4 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, ANTHONY MEJIA, City Clerk of the City of Palm Springs, hereby certify that Resolution No. 24440 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 June 6, 2018 by the following vote: AYES: Councilmembers Holstege, Kors, Middleton, Mayor Pro Tern Roberts, 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 _ lo4- day of �, . A ny . Me 'a, MM City Cle