HomeMy WebLinkAbout9/8/2010 - STAFF REPORTS - 2.T. 4.��P p L M s40
�y
V A
�*oRRYio
CITY COUNCIL STAFF REPORT
DATE: SEPTEMBER 8, 2010 CONSENT CALENDAR
SUBJECT: EXTEND THE CONTRACT SERVICES AGREEMENT FOR CLAIMS
ADJUSTMENT AND ADMINISTRATIVE SERVICE WITH CARL WARREN
& COMPANY TO JUNE 30, 2011.
FROM: City Clerk and City Attorney
SUMMARY
The City Council will consider extending the current agreement with Carl Warren &
Company to June 30, 2011 to provide the City with claims adjustment and
administration services.
RECOMMENDATION:
1. Approve Amendment No. 3 to Agreement No. A5322 with Carl Warren & Company
extending the Agreement to June 30, 2011.
2. Authorize the City Manager to execute Amendment No. 3 to the Agreement.
STAFF ANALYSIS
Carl Warren & Company has provided claims adjustment and administrative services to
the City of Palm Springs and acted as its Third Party Administrator pursuant to an
agreement since 2006.
Carl Warren & Company has offered to extend the term of the Agreement, with no
increase or modifications to compensation, for an additional year with an automatic
renewal thereafter unless either party issues a thirty (30) day written notice of
termination. Such termination may be with or without cause.
Due to the specialized nature of claims administration, the City Manager, City Attorney
and City staff recommend continuing the City's relationship with Carl Warren &
Company for as-needed claims administration and adjustment services.
ITEM NO.�'----
City Council Staff Report
September 8, 2010—Page 2
Claims Administration
Carl Warren & Company has provided claim and litigation management service since
1944, and serves over 650 clients including but not limited to numerous public agencies
throughout the country, including several local cities.
Services will continue to be billed on a time and materials basis and with a "not to exceed"
cap of$65,000. As stated above the rates have not been increased in several years, and
remain unchanged for this contract period. Although it is difficult to estimate the number
of claims and the complexity of claims filed against the City in any given year, the cap as
stipulated by the agreement has not been exceed by the City.
FISCAL IMPACT:
The overall compensation pursuant to the Agreement remains capped at $65,000 for the
term of the Agreement. This is an approved Fiscal Year 2010-11 budgeted expense,
sufficient funds are budgeted in the Risk Fund [Account No. 540-5904-48415] for the
anticipated cost of the contract.
dll�l LILLL-12�111
?AMZ�—TH�OMP�SON, CITY CLERK CHRISTINA DOYLE, t. City Attorney
for Douglas C. Hollan City Attorney
DAVID H. READY, ANAGER
Attachments:
Amendment No. 3
THIRD AMENDMENT TO CONTRACT SERVICES AGREEMENT
For
Claims Adjustment and Administration Service
(Carl Warren & Company and City of Palm Springs)
THIS THIRD AMENDMENT TO CONTRACT SERVICES AGREEMENT
("Amendment") is made by and between CARL WARREN & COMPANY
("Contractor"), and CITY OF PALM SPRINGS, a charter city and a municipal
corporation ("City"), as of September 8, 2010, and amends that certain Contract
Services Agreement dated as of July 27, 2006, by and between Contractor and City
("Agreement"). All terms defined in the Agreement shall have the same meaning when
used herein.
RECITALS
A. Contractor has agreed to provide to City and City has agreed to purchase
from Contractor the Services which are the subject of the Agreement.
B. Contractor and City now mutually desire to amend the Agreement as set
forth below.
NOW, THEREFORE, in consideration of the mutual covenants set forth herein
and for other good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, Contractor and City mutually agree to amend the Agreement as
follows:
AGREEMENT
1. Section 5.1 of the Agreement shall be replaced in its entirety and amended to
read as follows:
5.1 Term. Unless earlier terminated in accordance with 5.2 of this
Agreement, this Agreement shall continue in full force and effect until completion of the
Services. The term of this Agreement shall be for a one year period ending June 30,
2011, unless otherwise extended by written approval of the City.
2. Except as expressly provided herein, all other terms and conditions of the
Agreement shall remain in full force and effect.
[SIGNATURE PAGE FOLLOWS]
Third Amendment Carl Warren Page 1 of 2
3
IN WITNESS WHEREOF, Contractor and City have executed this Amendment
as of the date first written above.
"Contractor"
CARL WARREN & COMPANY
By:
Name:
Title:
By:
Name:
Title:
"City"
CITY OF PALM SPRINGS, a charter city and a municipal corporation
BY:
David H. Ready, City Manager
ATTEST:
James Thompson, City Clerk
Approved as to form by:
WOODRUFF, SPRADLIN & SMART
Douglas C. Holland, Esq., City Attorney
Third Amendment Carl Warren Page 2 of 2