HomeMy WebLinkAboutCity of Tamarac Ordinance O-1987-0571
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TemP. Ord. #1363
CITY OF TAMARAC, ORIDA
ORDINANCE NO. 0-87- 7
AN ORDINANCE ESTABLISHING A SELF-INSURANCE
COMPENSATION AND MOTOR
FOR WORKER'S
PROGRAM IN THE CITY OF
VEHICLE PHYSICAL DAMAGE PROVIDING FOR
TAMARAC; PROVIDING COVERAGES%
FUNDING AND OPERATION
DIFICATION; PROOF SAID VIDING
PROVIDING FOR CO FOR SEVERABILITY OF
REPEALER; PROVIDING AND PROVIDING AN
INVALID PROVISIONS:
EFFECTIVE DATE.
IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
BE
TAMARAC, FLORIDA: There
SECTION 1 PROGRAM CREATED; COVERAGES PROVIDE
hereby authorized and created a risk management program
is h Y is
for the City. The purpose of this risk management Program
e uniform and centralized self-insurance for (1)
to prov�.d
om ensation# and (2) motor vehicle collision and
Workers' C P liability
upset with dollar maximum the maximum amount °f from
P be amended
under Section 768.28, F.S., as the same may
time to time. Only coverages set forth in the preceding
are to be covered by this Ordinance and self
sentence
insurance is provided only for those coverages.
This ordinance shall not be construed to increase or
the City in
any manner. including
enlarge the liability of vtential
without limitation, expanding the parameters of P
liability established in
Sections 440 and 768.28, Florida Statutes.
SECTION 2 SCOPE OF COVERAGE - The Risk Management
SE rov ide
� the risks covered by Section 1, shall P
Program, within
to the dollar maximums set forth in this ordinance
coverage
8 to all officers and employees to ees of the City while:
9 (1) Acting within the scope of their duties, and
0 (2) Not acting in a willful and wanton manner,
damage or
1 coverage for covered property
as well as providing boards, offices
32 property loss. All departments, divisions,
33 other organizational units of the City are included in
and by this
34 this coverage, unless specifically excluded
35 ordinance, or by regulations promulgated pursuant
thereto.
independent contractors or consultants.
Not covered are
TEMP- ORD. #1363
SECTION 3 DIRECTOR TO IMPLEMENT
AND CONSOLIDATE -
The Director shall be responsible for implementation
administration of this and
ordinance and
the risk management
Program established hereby. The Director is authorized to
Promulgate rules for the proper management and maint
the Program. enance of
SECTION 4 DEFINITIONS - In this ordinance, unless Context Otherwise the
requires:
(a) `aiDMINISTRATIVE COSTS include all expenses
Of the
Program which are not directly attributable to the
investigation, settlement and disposition
Particular claims of
. occurrences or incidents.
(b) CLAIM EXPENSE
means a cost that is clearly
identifiable as having arisen out of or
connection with in
a Particular claim, occurrence or
incident, including, without limitation, attorney
fees, court cs
costs, private investigation
expert fees,
witness fees, autopsies,
P r medical
examinations and adjusters charges and expenses.
(c) DIRECTOR means the Risk Manager.
(d) EXCESS LOSS means that portion of loss
� including
claim and investigatin
g expense, which exceeds the
loss threshold for
any one claim, occurrence or
incident.
(e) EXCESS LOSS THRESHOLD is the same as the
risk maximum. retained
(f) INCURRED LOSS means the estimated future
anticipated cost or settlement value total
Of each claim
or cause of action
arising from any incident,
accident or occurrence and for which coverage
Provided together
is
Nether with all reasonably foreseeable
costs of investigation
adjustment, settlement or
liquidation.
(g) LOSS means a monetary liability reSulti
occurrence of a ng from the
contingency insured against under
the coverages provided by this ordinance
and
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gyp. OM. #1363
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includes a claim, a settlement, a final judgment,
and an authorization by the Legislature to pay a
claim.
(h) LOSS DEFICIT means the excess of aggregate losses
and claim expenses over the participant's pure loss
provision for the fiscal year involved.
(i) LOSS PROVISION means a participant's annual
contribution to the program for the administrative
costs of the program and for the kinds and classes
or risks transferred to the Self -Insurance Fund by
the participant.
e City, considered as a single
(j) PARTICIPANT means th
unit.
-_ "nnnapment program
(k) PROGRAM means LIEiG
established by this ordinance.
(1) PURE LOSS PROVISION means the excess of loss
provision over the administrative costs of the
program.
SELF-INSURANCE FUND - There is hereby
SECTION 5
Funds, permanent funds which shall be
created Self -Insurance
tanding fiscal years, to
a continuing appropriation notwiths
be used to fund the costs and expenses of the self-insurance
activities of the City as provided in this ordinance. There
shall be paid into or retained in this fund:
(a) the annual loss provision required to be
contributed by the City; and
(b) earnings on investments as provided in Section 7;
and
(c) such other sums as may be authorized or required by
I
this ordinance.
SECTION 6 EXPENSES AND COSTS TO BE PAID FROM FUND -
Tnses, and no others,
shall be
The following costs and expe
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paid from the Self -Insurance Funds, in the manner hereafter
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provided:
3 (a) The Director shall pay claims for damages or other
14 liability arising out of the coverages provided by
15 this ordinance (but not exceeding the maximum
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Tom. ORD. #1363
1 amount set forth in Sections 440 and 768.28, F.S.,
as the same may be amended from time to time),
2 3 final
Judgments against the participants in the
Program founded on a claim for damages or other
liability arising out of the coverages 9 provided by
� this ordinance
(but not exceeding the maximum
amount set forth in Sections 440 and 768.28, F.S.,
as the same may be amended from time to time for
each judgment Creditor), and claims for damages or
other liability authorized by law or by the
Legislature to be paid by the City arising out of
the losses covered by this ordinance. In the event
that the City receives a refund, reduction or
reimbursement of such claim from or on behalf of
any person, the amount so refunded, reduced or
reimbursed, shall be paid into or credited to the
Funds.
!b) The Director may pay the costs involved in or
related to the hiring and use by the City of
insurance consultants, Third -party Administrators,
attornies, loss- control specialists, or any
necessary outside services in connection with self
insurance activities.
(c) The Director shall be authorized to pay from the
Fund premiums that may be charged for excess
Coverage or various levels of re- insurance or co
insurance as may be determined necessary to protect
the interests of the City.
SECTION 7 s INVESTMENTS; EARNINGS ON INVESTMENTS TO
REMAIN IN FUND - Investment
of the funds in the Self -
Insurance Fund is authorized to be made by the City Manager
Provided, that the City Manager shall make provision for the
prompt payment of liquidated claims, settlements and final
Judgments from the liability reserve and shall invest the
funds therein accordingly. All earnings on investments of
the Self- Insurance Fund shall be a part of the Operating
Q0
TEND. ORD. #1363
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Fund of this Self -Insurance Fund and shall be used for the
purposes permitted or Operating Fund monies in this
ordinance.
SECTION 8 ACCOUNTS AND RECORDS - Within the Self -
Insurance Fund there shall be maintained such accounts and
records as will provide a determination of the assets and
liabilities together with historical loss data and other
information necessary for the accurate and proper development
of such operating statements.
SECTION 9 SELF-INSURANCE FUND; OPERATING FUND - There
are established in the Self -Insurance Fund two funds, an
Operating Fund and a Reserve Fund. The Reserve Fund shall be
administered as provided in Section 10. The Operating Fund
shall be the operating and administrative fund, from which
all costs and expenses of the program shall be paid except as
specifically provided in Section 10. All monies received
from whatever source shall be credited to the Operating fund
and shall remain therein until expended for administrative
costs, transferred to the Reserve Fund pursuant to subsection
10(a)(1), or returned to a participant as provided in sub-
section 10 (a) (2) .
SECTION 10 : SELF-INSURANCE FUND; RESERVE FUND
(a) SEPARATE ACCOUNTS. There shall be created in the
Self -Insurance Fund one Reserve Fund with two accounts, which
shall be maintained separately on the records of the Reserve
Fund, as follows:
(1) There shall be an incurred loss reserve
account composed of amounts transferred from the
Operating fund as specific case loss re- serves.
Upon notice of an incident, accident, or occurrence
which may give rise to a lawful claim or cause of
action against a participant for a risk covered
under the program, or upon legal notice notice,
demand, suit or other process in furtherance of
such a claim or cause of action, a reasonable and
prudent estimate of the ultimate cost or settlement
value of such claim or cause of action. Such
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TEMP. ORD. # 136 3
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estimate, when approved by the Director or his/her
designee, shall be deemed to be an incurred loss
and the amount thereof shall be transferred from
the Operating Fund. Such reserve may be increased
from time to time as may be required by prudent
judgment or as may be indicated by claim
development, but it may not be decreased, reduced
or released except upon final liquidation or
disposition of the specific claim or cause of
action. No deduction shall be made from any
amounts paid into the liability reserve for
operation and administration of the program.
(2) There shall be a catastrophe contingency
reserve account , composed of an amount computed as
follows: At the end of each fiscal year, the
Director shall ascertain the excess of the City's
pure loss provision over its aggregate loss
retention and loss sharing. Such excess shall be
paid into the catastrophe contingency reserve
account until such reserve is equal to fifty
percent of the loss provision for that fiscal year;
thereafter, the remaining excess shall be used to
reduce its loss provision for the next fiscal
year. No deduction shall be made from any amounts
paid into the catastrophe contingency reserve
account for operation and administration of the
program.
(b) ADMINISTRATION,
(1) The incurred loss reserve account shall be
used only to pay liquidated claims, settlements and
final judgments arising out of the coverages
Provided by this ordinance, and for no other
purpose. The funds in the incurred loss reserve
account are not available to pay operating or
administrative expenses of the program and are
impressed with a trust in favor of the claimants,
TEMP. ORD. #1363
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parties to the settlement or judgment creditor, as
the case may be, until the same is paid. Whenever
a claim, settlement or final judgment is paid out
of the incurred loss reserve account, an
appropriate receipt, release or satisfaction shall
be obtained; thereupon, any funds held in the
incurred loss reserved that were originally
transferred into the reserve but were not required
to be paid out as a result of the liquidation of
the claim or by the settlement or final judgment,
shall be discharged and released from the trust and
such funds shall be transferred out of the incurred
loss reserve account to the Operating Fund of the
Selflnsurance Fund. Notwithstanding the
impressment of this trust, nothing in this
paragraph shall preclude the investment of funds in
the incurred loss reserve account as provided in
Section 7 with earnings on investments to be a part
of the Operating Fund as set forth in Section 7.
Within the incurred loss reserve account, the
Director shall maintain separate records for each
participant.
(2) The catastrophe contingency reserve account
shall be used to pay catastrophic losses arising
out of the coverages provided by this ordinance or
added by the Director, and for no other purpose.
The funds in the catastrophe contingency reserve
account are not available to pay operating or
administrative expenses of the program.
SECTION 11 : PURCHASES OF REINSURANCE AND SERVICES -
The Director, with the approval of the Council, is authorized
to purchase specific excess insurance and aggregate excess
insurance as deemed necessary to provide the insurance
coverages authorized by this ordinance. The Director, with
the approval of Council, is authorized to purchase such risk
management services and other outside services as may be
required.
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SECTION 12 : CERTAIN TRANSFERS PROHIBITED - No monies
shall be transferred into or out of the Self -Insurance Funds
except as provided in this ordinance. The Self -Insurance
Funds are hereby declared to be a nondivisional and
nondepartmental budgeted Reserve Fund, and the Director's
transfer power shall extend to the Self -Insurance Funds only
to the extent necessary to administer this ordinance and the
risk management program herein established.
SECTION 13 ADDITIONAL RISKS - The Director shall
annually review the program and the safety and loss
prevention activities and histories of the City, and its
enterprise funds, and may recommend to the City Council that
risks be assumed by the Self -Insurance Fund in addition to
the risks covered by Section 1. Any additions to the
coverage to be provided shall be by ordinance enacted by the
City Council.
SECTION 14 : REPORTS ON PROGRAM --
(a) ANNUAL REPORT. The Director shall, by March 1 of
each year, submit to the Council a formal report covering the
prior fiscal year which shall include:
(1) Complete underwriting information as to the nature
of the risks accepted for self-insurance and those
risks that are transferred to the insurance market;
(2) The funds appropriated or contributed to the Self -
Insurance Funds and premiums paid for insurance
through the market;
(3) The costs of administration and operation of the
risk management program;
(4) The method and cost of handling inspection and
engineering of risks;
(5) The cost of risk management and other services
purchased; and
(6) The cost of umbrella, reinsurance and co insurance
coverages as have been purchased; and (7) any
assessments made or loss provisions returned by the
Director during the reporting period; and
V 1
TEMP. CEO. #1363
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(8) Budget based on losses predicted for the next
fiscal year.
SECTION 15 : Prior to the enactment of this Ordinance,
the City has self -insured for motor vehicle collision. All
monies allocated, by the City for said self insurance shall be
applied to the Operating Fund or Reserve Fund for self
insurance as applicable.
SECTION 16 : CODIFICATION -- Specific authority is
hereby granted to codify this ordinance.
SECTION 17 REPEALER - All ordinances or parts or
ordinances in conflict herewith are hereby repealed to the
extent of such conflict.
SECTION 18 SEVERABILITY - Should any section or
provision of this Ordinance or any portion thereof, or any
paragraph, sentence or work be declared by a Court of
competent jurisdiction to be invalid, such decision shall not
affect the validity of the remainder hereof as a whole or any
part hereof, other than the part declared to be invalid.
SECTION 19 : EFFECTIVE DATE - This ordinance shall
become effective immediately upon its final passage, however,
coverage for motor vehicle liability shall not commence until
a formal recommendation therefore has been made by the
director and said recommendation has been accepted by the
Council.
PASSED FIRST READING this a23 day of 1987.
PASSED SECOND READING this day of .01987.
- �J� , " �//',
41 � � I z �
Bernard Hart
MAYOR
ST:
29
3 0
1 TCaCCr l E. Barbuto
LERK
32 Y
I HEREBY CERTIFY that I have
33a proved this ORDINANCE as
t form.
34
35 RICHARD L. DOODY
CITY ATTORNEY
MAYOR: HART
DIST. 1: C/M ROHR
DIST. 2: C/M STEIZER"!
DIST. 3: C/M HOFFMAN
DIS'T. 4: V/M STEIN
9/'X31Y7
Q=
5811 NORTHWEST 88TH AVENUE 0 TAMARAC, FLORIDA 33321
TELEPHONE (305) 722.5900
MAIL REPLY TO!
P.O. BOX 25010
TAMARAC, FLORIDA 33320
October 26, 1987
Robert Laslie
MUNICIPAL CODE CORPORATION
P.O. Box 2235
Tallahassee, Florida 32304
Attention:
Enclosed please find your copy from the CITY OF TAMARAC, the following
item(s) for your files:
ORDINANCE NO'S: 0-87-52, 0-87-53, 0-87-54, 0-87-55, 0-87-56,
0-87-57
If you have any questions, please do not hesitate to contact this office.
very truly yours,
CITY OF TAMARAC
Pat LaBello
City Clerk's Office
Enc. ( 0
AN EOUAL OPPORTUNITY EMPLOYER
POLICY OF NONDISCRIMINATION ON THE BASIS OF HANDICAPPED STATUS
5811 NORTHWEST 88TH AVENUE 0 TAMARAC, FLORIDA 33321
TELEPHONE (305) 722-5900
MAIL REPLY TO:
P.O. BOX 25010
TAMARAC. FLORIDA 33320
October 26, 1987
William Markham
COUNTY TAX APPRAISER
115 South Andrews Avenue
Fort Lauderdale, Florida 33301
Attention:
Enclosed please find your copy from the CITY OF TAMARAC, the following
item(s) for your files:
ORDINANCE NO'S: 0-87-52, 0-87-53, 0-87-54, 0-87-55,
0-87-56, 0-87-57
If you have any questions, please do not hesitate to contact this office.
very truly yours,
CITY OF AMARAC
Pat LaBello
City Clerk's Office
Enc.
AN EQUAL OPPORTUNITY EMPLOYER
POLICY OF NONDISCRIMINATION ON THE BASIS OF HANDICAPPED STATUS
5811 NORTHWEST 88TH AVENUE & TAMARAC, FLORIDA 33321
TELEPHONE (305) 722-5900
MAIL REPLY TO
P.O. BOX 25010
TAMARAC, FLORIDA 33320
October 26, 1987
Robert Ussery
MUNICIPAL CODE CORPORATION
P.O. Box 2235
Tallahassee, Florida 32304
Attention:
Enclosed please find your copy from the CITY OF TAMARAC, the following
item(s) for your files:
ORDINANCE NO'S: 0-87-52, 0-87-53, 0-87-54, 0-87-55, 0-87-56,
0-87--57
If you have any questions, please do not hesitate to contact this office.
Very truly yours,
CITY OF TAMARAC
Pat LaBello
City Clerk's Office
Enc. (�+
AN EQUAL OPPORTUNITY EMPLOYER
POLICY OF NONDISCRIMINATION ON THE BASIS OF HANDICAPPED STATUS
0
7
ITEM # / REF NOTION TO ADOPT Temp, Ord. #1363 on second reading to
establish a Bel - nsurance program for City workers'
compensation and motor vehicle physical damage.
DATE 101q lg7 TAPE SIDE # �- 1 C� P
VOTE: DISTRICT 4 - V/M STEIN
DISTRICT 3 - C/M HOFFMAN
DISTRICT 2 - C/M STELZER
DISTRICT 1 - C/M ROHR _
MAYOR HART
MOTION BY:
SECONDED BY:
PRESENTED BY:
ACTION REQUESTED:
MAJOR SPEAKERS/PERTINENT DISCUSSION:
LG
C I T Y O F
T A M A R A
MEMORANDUM
C
INTEROFFICE
'
C/A NO.
8710--8409
C .
TO: Carol E. Barbuto,
City Clerk
FROM: Richard L. Doody,
City Attorney
SUBJECT: Temp. Ord. 1363;
Establishing
a Self -Insurance
Program
DATE: October 15, 1987
As per Council's approval of the above cited Ordinance
on second reading at the 10/14/87 Council Meeting, attached
please find the revised original of said Ordinance.
Richard L. Dood
City Attorney
RLD/rms
Enclosure
cc: Mayor Hart and Members of Council
John P. Kelly, City Manager
Judith Deutsch, Risk Manager
Kenneth Burroughs, Finance Director
ITEM #90 REF.MTIOU To An PT TgMy, d on first reading to
establish a self-insurance program for City workers'
compensation and motor vehicle physical damage.'
DATE 0L3 87 -
VOTE:
DISTRICT
3
- C/M
HOFFM
DISTRICT
4
- V/M
STEIN
DISTRICT
I
- C/M
ROHR
DISTRICT
2
— C/M
STELZ
MAYOR HART
MOTION BY:
SECONDED BY:
TAPE SIDE #
_f � -D
PRESENTED BY:
ACTION REQUESTED:
MAJOR SPEAKERS/PERTINENT DISCUSSION:
PUBLIC HEARING �r
CITY COUNCIL OF TAMARAC, FLORIDA
The following Ordinance has passed first reading by the City
Council of the City of Tamarac, Florida:
AN ORDINANCE ESTABLISHING A SELF --INSURANCE
PROGRAM FOR WORKER'S COMPENSATION AND MOTOR
VEHICLE PHYSICAL DAMAGE IN THE CITY OF TAMARAC;
PROVIDING COVERAGES; PROVIDING FOR FUNDING AND
OPERATION OF SAID PROGRAM; PROVIDING FOR
CODIFICATION; PROVIDING REPEALER; PROVIDING FOR
SEVERABILITY OF INVALID PROVISIONS; AND PROVIDING
AN EFFECTIVE DATE.
TEMP. ORD. #1363
The second reading and public hearing of this Ordinance will
be held during a Regular City Council meeting on Wednesday,
October 14, 1987, at or after 7:30 P.M. and will be
considered by the City Council in the order as it appears on
the agenda. The Regular Meeting of the City Council will be
held at the City Hall, 5811 N.W. 88th Avenue, Tamarac,
Florida 33321.
Copies of this proposed Ordinance are available for viewing
and purchase at the office of the City Clerk. Interested
parties may appear to be heard with respect to this proposed
Ordinance in accordance with Florida Statute #166.041.
Pursuant to Section 286.0105, Florida Statutes
If a person decides to appeal any decision made by the ci'y
Cbuncii with respect to any matter considered at such meeting;
he<ai t& he will need a record & the proceedings and fcr
Pa . he may need to ensure that a verbatim record indu- —
Ma taistimony and evidence upon which the appeal is to be tease
CAROL E. BARBUTO
CITY CLERK
Publish: Fort Lauderdale News/Sun Sentinel
Saturday, October 3, 1987
7-r^0 0eP 1?- /-5 (; 3
AN ORDINANCE ESTABLISHING A SELF-INSURANCE PROGRAM FOR
WORKER'S COMPENSATION AND MOTOR VEHICLE PHYSICAL DAMAGE IN
THE CITY OF TAMARAC; PROVIDING COVERAGES; PROVIDING FOR
FUNDING AND OPERATION OF SAID PROGRAM; PROVIDING FOR CODIFI-
CATION; PROVIDING REPEALER; PROVIDING FOR SEVERABILITY OF
INVALID PROVISIONS; AND PROVIDING AN EFFECTIVE DATE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF TAMARAC,
FLORIDA:
SECTION 1: PROGRAM CREATED; COVERAGES PROVIDED
There Is hereby authorized and created a risk management program
for the City. The purpose of this risk management program is to
provide uniform and centralized self -Insurance for (1) Workers'
Compensation, and (2) motor vehicle collision and upset with dollar
maximum the maximum amount of liability under Section 768.28, F.S., as
the same may be amended from time to time. Only coverages set forth
In the preceding sentence are to be covered by this Ordinance and
self -Insurance is provided only for those coverages.
This ordinance shall not be construed to Increase or enlarge the
liability of the City in any manner, including without limitation,
expanding the parameters of potential liability established in
Sections 440 and 768.28, Florida Statutes.
SECTION 2: SCOPE OF COVERAGE
The risk management program, within the risks covered by Section
1, shall provide coverage to the dollar maximums set forth in this
ordinance to all officers and employees of the City while:
(1) acting within the scope of their duties, and
(2) not acting In a willful and wanton manner,
as well as providing coverage for covered property damage or property
loss. All departments, divisions, boards, offices and other
organizational units of the City are Included in this coverage, unless
specifically excluded by this ordinance, or by regulations promulgated
Pursuant thereto. Not covered are Independent contractors or
consultants.
SECTION 3: DIRECTOR TO IMPLEMENT AND CONSOLIDATE
The Director shall be responsible for Implementation and
administration of this ordinance and the risk management program
established hereby. The Director is authorized to promulgate rules
for the proper management and maintenance of the program.
SECTION 4: DEFINITIONS
In this ordinance, unless the context otherwise requires:
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(a) ADMINISTRATIVE COSTS Include all expenses of the pro-
gram which are not directly attributable to the Investigation,
settlement and disposition of particular claims, occurrences or
Incidents.
(b) CLAIM EXPENSE means a cost that Is clearly Identifiable as
having arisen out of or In connection with a particular claim,
occurrence or Incident, Including, without limitation, attorney's
fees, court costs, private Investigation fees, expert witness fees,
autopsies, medical examinations and adjusters charges and expenses.
(c) DIRECTOR means the Risk Manager.
(d) EXCESS LOSS means that portion of loss, including claim and
Investigating expense, which exceeds the loss threshold for any one
claim, occurrence or Incident.
(e) EXCESS LOSS THRESHOLD Is the same as the retained risk
maximum.
(f) INCURRED LOSS means the estimated future total anticipated
cost or settlement value of each claim or cause of action arising from
any Incident, accident or occurrence and for which coverage Is
provided together with all reasonably foreseeable costs of
Investigation, adjustment, settlement or Ilquidat.lon.
(g) LOSS means a monetary liability resulting from the
occurrence of a contingency Insured against under the coverages
provided by this ordinance, and Includes a claim, a settlement, a
final Judgment, and an authorization by the Legislature to pay a
claim.
(h) LOSS DEFICIT means the excess of aggregate losses and claim
expenses over the participant's pure loss provision for the fiscal
year Involved.
(1) LOSS PROVISION means a participant's annual contribution to
the program for the administrative costs of the program and for the
kinds and classes or risks transferred to the Self -Insurance Fund by
the participant.
(j) PARTICIPANT means the City, considered as a single unit.
(k) PROGRAM means the risk management program established by
this ordinance.
(1) PURE LOSS PROVISION means the excess of loss provision over
the administrative costs of the program.
SECTION 5: SELF-INSURANCE FUND
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There Is hereby created Self -Insurance Funds, permanent funds
which shall be a continuing appropriation notwithstanding fiscal
years, to be used to fund the costs and expenses of the self -Insurance
activities of the City as provided in this ordinance. There shall be
paid into or retained in this fund:
(a) the annual loss provision required to be contributed by the
City; and
(b) earnings on Investments as provided in Section 7; and
(c) such other sums as may be authorized or required by this
ordinance.
SECTION 6: EXPENSES AND COSTS TO BE PAID FROM FUNDS
The following costs and expenses, and no others, shall be paid
from the Self -Insurance Funds, in the manner hereafter provided:
(a) The Director shall pay claims for damages or other liability
arising out of the coverages provided by this ordinance (but not
exceeding the maximum amount set forth in Sections 440 and 768.28,
F.S., as the same may be amended from time to time), final Judgments
against the participants in the program founded on a claim for damages
or other liability arising out of the coverages provided by this
ordinance (but not exceeding the maximum amount set forth in Sections
440 and 758.28, F.S., as the same may be amended from time to time for
each Judgment creditor), and claims for damages or other liability
authorized by law or by the Legislature to be paid by the City arising
out of the losses covered by this ordinance. In the event that the
City receives a refund, reduction or reimbursement of such claim from
or on behalf of any person, the amount so refunded, reduced or
reimbursed, shall be paid Into or credited to the Funds.
(b) The Director may pay the costs Involved In or related to the
hiring and use by the City of Insurance consultants, Third -Party
Administrators, attornles, loss -control specialists, or any necessary
outside services in connection with self -Insurance activities.
(c) The Director shall be authorized to pay from the Fund pre-
miums that may be charged for excess coverage or various levels of re -
Insurance or co -Insurance as may be determined necessary to protect
the Interests of the City.
SECTION 7: INVESTMENTS; EARNINGS ON INVESTMENTS TO REMAIN IN FUND
Investment of the funds In the Self -Insurance Fund is authorized
to be made by the City Manager provided, that the City Manager shall
WE
make provision for the prompt payment of liquidated claims,
settlements and final Judgments from the liability reserve and shall
Invest the funds therein accordingly. All earnings on Investments of
the Self -Insurance Fund shall be a part of the Operating Fund of this
Self -Insurance Fund and shall be used for the purposes permitted or
Operating Fund monies in this ordinance.
SECTION 8: ACCOUNTS AND RECORDS
Within the Self -Insurance Fund there shall be maintained such
accounts and records as will provide a determination of the assets and
liabilities together with historical loss data and other Information
necessary for the accurate and proper development of such operating
statements.
SECTION 9: SELF-INSURANCE FUND: OPERATING FUND
There are established In the Self -Insurance Fund two funds, an
Operating Fund and a Reserve Fund. The Reserve Fund shall be admi-
istered as provided in Section 10. The Operating Fund shall be the
operating and administrative fund, from which all costs and expenses
of the program shall be paid except as specifically provided in
Section 10. All monies received from whatever source shall be
credited to the Operating fund and shall remain therein until expended
for administrative costs, transferred to the Reserve Fund pursuant to
subsection 10(a)(1), or returned to a participant as provided In sub-
section 10(a)(2).
SECTION 10: SELF-INSURANCE FUND: RESERVE FUND
(a) SEPARATE ACCOUNTS. There shall be created In the Self -
Insurance Fund one Reserve Fund with two accounts, which shall be
maintained separately on the records of the Reserve Fund, as follows:
(1) There shall be an Incurred loss reserve account composed of
amounts transferred from the Operating fund as specific case loss re-
serves. Upon notice of an Incident, accident, or occurrence which may
give rise to a lawful claim or cause of action against a participant
for a risk covered under the program, or upon legal notice notice,
demand, suit or other process In furtherance of such a claim or cause
of action, a reasonable and prudent estimate of the ultimate cost or
settlement value of such claim or cause of action. Such estimate,
when approved by the Director or his/her designee, shall be deemed to
be an Incurred loss and the amount thereof shall be transferred from
the Operating Fund. Such reserve may be Increased from time to time
-4-
as may be required by prudent Judgment or as may be indicated by claim
development, but It may not be decreased, reduced or released except
upon final liquidation or disposition of the specific claim or cause
of action. No deduction shall be made from any amounts paid Into the
liability reserve for operation and administration of the program.
(2) There shall be a catastrophe contingency reserve account ,
composed of an amount computed as follows: At the end of each fiscal
year, the Director shall ascertain the excess of the City's pure loss
provision over Its aggregate loss retention and loss sharing. Such
excess shall be paid Into the catastrophe contingency reserve account
until such reserve is equal to fifty percent of the loss provision for
that fiscal year; thereafter, the remaining excess shall be used to
reduce Its loss provision for the next fiscal year. No deduction
shall be made from any amounts paid Into the catastrophe contingency
reserve account for operation and administration of the program.
(b) ADMINISTRATION.
(1) The Incurred loss reserve account shall be used only to pay
liquidated claims, settlements and final Judgments arising out of the
coverages provided by this ordinance, and for no other purpose. The
funds In the Incurred loss reserve account are not available to pay
operating or administrative expenses of the program and are Impressed
with a trust In favor of the claimants, parties to the settlement or
Judgment creditor, as the case may be, until the same is paid. When-
ever a claim, settlement or final Judgment is paid out of the Incurred
loss reserve account, an appropriate receipt, release or satisfaction
shall be obtained; thereupon, any funds held In the Incurred loss
reserved that were originally transferred Into the reserve but were
not required to be paid out as a result of the liquidation of the
Claim or by the settlement or final Judgment, shall be discharged and
released from the trust and such funds shall be transferred out of the
Incurred loss reserve account to the Operating Fund of the Self -
Insurance Fund. Notwithstanding the Impressment of this trust,
nothing in this paragraph shall preclude the Investment of funds In
the Incurred loss reserve account as provided In Section 7 with earn-
Ings on Investments to be a part of the Operating Fund as set forth In
Section 7. Within the Incurred loss reserve account, the Director
shall maintain separate records for each participant.
(2) The catastrophe contingency reserve account shall be used to
-5-
pay catastrophic losses arising out of the coverages provided by this
ordinance or added by the Director, and for no other purpose. The
funds in the catastrophe contingency reserve account are not available
to pay operating or administrative expenses of the program.
SECTION 11: PURCHASES OF REINSURANCE AND SERVICES
The Director, with the approval of the Council, Is authorized to
purchase specific excess Insurance and aggregate excess Insurance as
deemed necessary to provide the Insurance coverages authorized by this
ordinance. The Director, with the approval of Council, Is authorized
to purchase such risk management services and other outside services
as may be required.
SECTION 12: CERTAIN TRANSFERS PROHIBITED
No monles shall be transferred Into or out of the Self -Insurance
Funds except as provided In this ordinance. The Self -Insurance Funds
are hereby declared to be a nondivisional and nondepartmental budgeted
Reserve Fund, and the Director's transfer power shall extend to the
Self -Insurance Funds only to the extent necessary to administer this
ordinance and the risk management program herein established.
SECTION 13: ADDITIONAL RISKS
The Director shall annually review the program and the safety and
loss prevention activities and histories of the City, and Its enter-
prise funds, and may recommend to the City Council that risks be as-
sumed by the Self -Insurance Fund In addition to the risks covered by
Section 1. Any additions to the coverage to be provided shall be by
ordinance enacted by the City Council.
SECTION 14: REPORTS ON PROGRAM
(a) ANNUAL REPORT. The Director shall, by July 1 of each year,
submit to the Council annually a formal report which shall Include:
(1) complete underwriting information as to the nature of the
risks accepted for self -Insurance and those risks that are trans-
ferred to the Insurance market;
(2) the funds appropriated or contributed to the Self -Insurance
Funds and premiums paid for Insurance through the market;
(3) the costs of administration and operation of the risk man-
agement program;
(4) the method and cost of handling inspection and engineering
of risks;
(5) the cost of risk management and other services purchased;
0�
and
(6) the cost of umbrella, reinsurance and co -Insurance coverages
as have been purchased; and
(7) any assessments made or loss provisions returned by the
Director during the reporting period; and
(8) budget based on losses predicted for the next fiscal year.
SECTION 15:
Prior to the enactment of this Ordinance, the City has self -
Insured for motor vehicle collision. All monies allocated by the City
for said self Insurance shall be applied to the General Fund or Re-
serve Fund for self Insurance as applicable.
SECTION 16: CODIFICATION
Specific authority is hereby granted to codify this ordinance.
SECTION 17: REPEALER
All ordinances or parts or ordinances in conflict herewith are
hereby repealed to the extent of such conflict.
SECTION 18: SEVERABILITY
Should any section or provision of this Ordinance or any portion
thereof, or any paragraph, sentence or work be declared by a Court of
competent Jurisdiction to be Invalid, such decision shall not affect
the validity of the remainder hereof as a whole or any part hereof,
other than the part declared to be Invalid.
-7-
SECTION 19: EFFECTIVE DATE
This ordinance shall become effective Immediately upon Its final
passage, however, coverage for motor vehicle liability shall not
commence until a formal recommendation therefore has been made by the
director and said recommendation has been accepted by the Council.
PASSED FIRST READING this day of 1987.
PASSED SECOND READING this day of .1987.
ATTEST:
CITY CLERK
I HEREBY CERTIFY that I have
approved the form and correctness
of this ORDINANCE
CITY ATTORNEY
MAYOR
M410
C I T Y O F T A M A R A C
INTEROFFICE MEMORANDUM
C/A NO. 8710--8408
TO: John P. Kelly, City Manager
FROM: Richard L. Doody, City Attorney
SUBJECT: Item #27 on Council Agenda; An Ordinance
establishing a Self - Insurance Program for City
Workers' Compensation and Motor Vehicle Physical
Damage
DATE: October 14, 1987
Enclosed please find two proposed administrative changes
to Temp. Ord. #1363 which concerns the above subject.
1. The Finance Department has requested that Section
14(a) of Temp. Ord. 1363 be amended as follows:
(a) ANNUAL REPORT. The Director shall,
by J41-f March 1 of each fiscal year,
submit to the Council aiffl;ue14-y a formal
report covering the prior fiscal vear
which shall include:
2. The City Attorney requests that Section 15 be
amended so as to make it consistent with the rest of the
Ordinance. Section 15 would therefore read as follows:
Section 15:
Prior to the enactment of this Ordinance,
the City has self -insured for motor
vehicle collision. All monies allocated
by the City for said self insurance shall
be applied to the Sen*-rtxl- Operating Fund
or Reserve Fund for self insurance as
applicable.
Please note that the above administrative changes do not
effect the title and the Ordinance may be adopted as amended
on second reading without re -advertising.
Richard L. Doody
City Attorney
RLD/rms
Enclosure
cc: Mayor Hart and Members of C uncil
Carol E. Barbuto, City Clem
Kenneth Burroughs, Finance Director
Judith Deutsch, Risk Manager
Larry Perretti, Personnel Director
FORT LAUDERDALE NEWS/SUN-SENTINEL
PASTE COPY
Published Daily
Fort Lauderdale, Broward County, Florida
Boca Raton, Palm Beach County, Florida A-?
STATE OF FLORIDA
COUNTY OF BROWARD/PALM BEACH
Before the undersigned authority personally appeared
Barbara Strickland
who on oath says that he is
Classified Supervisor
of the Fort Lauderdale News/Sun-Sentinel, Daily
newspapers published in Broward/Palm Beach County, Florida that the attached
copy of advertisement, being a Public Hearing
h f TEMP.
nORD. 1363
at a matter o
in the
was rmhlisher! in said n---,- ,per : � `hz, issues Of
Oct. 3, 198f
Court,
Affiant further says that the said Fort Lauderdale News/Sun-Sentinel are newspapers published in
said Broward/Palm Beach County, Florida, and that the said newspapers have heretofore been
continuously published in said Broward/Palm Beach County, Florida, each day, and have been entered
as second class matter at the post office in Fort Lauderdale, in said Broward County, Florida, for a period
of one year next preceding the first publication of the attached copy of advertisement; and affiant says
that he has neither paid nor promised any person, firm or corporation any discount, rebate, commission
or refund for the purpose of securing this advertisement for publication in said newspapers.
Sworn to and subscribed before me �! _ ......
A
this ..... 5tb.... day of....QCtO�Prr ;/L�/P;
A.D. 1 87,f
(SEAL) Notary putlit, St. e `rtonP.'a,
�a
My cwnmissioa E4',es tdov. 1, 1984
Bnauun It". iy tI'm-Imt,14060, too,
1!0
j FSA104
PUBLIC HEARING
CITY COUNCIL OF TAMARAC, FLORIDA
The following Ordinance has passed first reading by the City
Council of the City of Tamarac, Florida:
AN ORDINANCE ESTABLISHING A SELF-INSURANCE
PROGRAM FOR WORKER'S COMPENSATION AND MOTOR
VEHICLE PHYSICAL DAMAGE IN THE CITY OF TAMARAC;
PROVIDING COVERAGES; PROVIDING FOR FUNDING AND
OPERATION OF SAID PROGRAM; PROVIDING FOR
CODIFICATION; PROVIDING REPEALER; PROVIDING FOR
SEVERABILITY OF INVALID PROVISIONS; AND PROVIDING
AN EFFECTIVE DATE.
TEMP. ORD. #1363
The second reading and public hearing of this Ordinance will
be held during a Regular City Council meeting on Wednesday,
October 14, 1987, at or after 7:30 P.M. and will be
considered by the City Council in the order as it appears on
the agenda. The Regular Meeting of the City Council will be
held at the City Hall, 5811 N.W. 88th Avenue, Tamarac,
Florida 33321.
Copies of this proposed Ordinance are available for viewing
and purchase at the office of the City Clerk. Interested
parties may appear to be heard with respect to this proposed
Ordinance in accordance with Florida Statute #166.041.
Pursuant to Section 286.0105. Florida Statutes
It a person decides to appeal any decision made by the ci'y
Mincii with respect to any matter considered at such meeting;
hearing, he will need a record of the proceedings and fir su
PO" , he may need to ensure that a verbatim re,-rrd inclu:_
Ma testimony and evidence upon which the appeal is to be basrd
CAROL E. BARBUTO
CITY CLERK
Publish: Fort Lauderdale News/Sun Sentinel
Saturday, October 3, 1987
DI STRI BL?I DID LIST
o.of Co ies DEPARTMENT OR PERSON RECEIVED BY / a--O/Y7
DATE
COUNCIL
CITY AMRNEY -
TY ENGINEER
CITY NNER
IEF BUILDING OFFICIAL
VILDING DIPARTMT — RAILER
rnnF ENFORrZMENT
iRENE
,.
MASTER FILE
CITY MANAGER
FINANCE DIRECTOR
FINANCE— SUM. ACCOUNTANT
PURCHASING
POLICE DEPARTMENT— CHIEF
• POLICE DEPARTMENT — JIM
RECREATION DEPARTMENT
PUBLIC WORKS DEPARTMENT
FIRE DEPARTMENT
TUW - ADMINISTRATION
CODIFIERJMAIL IMMEDIATELY) Municipal
Robert Lase n charge of WP
Robert Ussery (in charge of Codification)
Code Corp.,PO 2235, Talla
z5)-------
ssee 32304
PERSONNEL
IV
UDITOR FILE
ORDINANCE FILE
RESO UT ON LE
LAN'NI G COMISSION
OARD OF D USTMENT
CHARTER ZOARD
PUBLIC INFORMATION COMMTTEE'
COUNTY LIBRARIAN
COUNTY TAX APPRAISER
WiIIiam markhaff n
W. N. WILSON
BROWM CTY.PLANNING COUNCIL
115 S. Andrew, Ave., Rm. 307
2j MB F RCE
a51g R. Mduab Rd. T arac 3332
SECRET R
PETITIONER OR APPLICANT
CLERK'S T4W2M FILE
COPIED
DISTRIBUTED