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HomeMy WebLinkAboutCity of Tamarac Resolution R-2017-094Temp. Reso #12991 August 31, 2017 Page 1 of 5 CITY OF TAMARAC, FLORIDA RESOLUTION NO. R-2017-- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA; AUTHORIZING THE RENEWAL OF GENERAL LIABILITY, AUTOMOBILE LIABILITY, AUTOMOBILE PHYSICAL DAMAGE, WORKERS' COMPENSATION, AND PROPERTY LINES OF COVERAGE WITH THE FLORIDA MUNICIPAL INSURANCE TRUST (FMIT) FOR A ONE (1) YEAR PERIOD BEGINNING OCTOBER 1, 2017 AT A COST OF $897,445 AND PAYMENT OF ANY INCREASE RESULTING FROM THE ANNUAL PREMIUM AUDIT, AUTHORIZING PAYMENT OF AN INSURANCE OPTION TO INCREASE THE GENERAL LIABILITY COVERAGE LIMIT TO $5,000,000 FOR A COST OF $26,163; PROVIDING FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Tamarac currently holds several lines of insurance coverage with the Florida Municipal Insurance Trust (FMIT); and WHEREAS, the City's policies with the FMIT for General Liability, Automobile Liability, Automobile Physical Damage, Workers' Compensation, and Property expire October 1, 2017; and WHEREAS, the FMIT has submitted renewal premiums to the City; and WHEREAS, if the City renews its lines of coverage, the FMIT will provide payment for all defense costs incurred with the City being responsible for Temp. Reso #12991 August 31, 2017 Page 2 of 5 settlement and judgment costs up to $10,000 for Automobile Physical Damage, $25,000 per claim for General Liability, Automobile Liability, and Workers' Compensation claims, and $50,000 for Property Damage; and WHEREAS, the City's policies with the FMIT for General Liability, Automobile Liability, Automobile Physical Damage, Workers' Compensation and Property are quoted as an estimated premium, and are subject to an adjustment based on the annual premium audit; and WHEREAS, the FMIT's Board of Trustees has approved the return of property premium for renewing members that participated in the Trust's property program in the 2015-2016 Fund Year and the City of Tamarac can expect to receive at least $38,271 in return of premium should the City elect to renew coverages for the 2017-2018 policy year; and WHEREAS, it is the recommendation of the City Manager and the Director of Human Resources that the City renew its General Liability, Automobile Liability, Automobile Physical Damage, Workers' Compensation and Property lines of coverage with the FMIT for a one year period beginning on October 1, 2017 based on the renewal quote of $897,445 as submitted by the FMIT (attached as Exhibit 1) and to pay any additional premium resulting from the annual premium audit which has been approved by the City Manager after notification to the City Commission, and Temp. Reso #12991 August 31, 2017 Page 3 of 5 WHEREAS, it is the recommendation of the City Manager and the Director of Human Resources to select additional General Liability coverage, which increases the City's General Liability coverage from $2,000,000 to $5,000,000, for an additional cost of $26,163 (attached as Exhibit 1) to add additional insurance coverage enhancements to the City's insurance program; and WHEREAS, the City Commission of the City of Tamarac, Florida, deems it to be in the best interest of the citizens and residents of the City of Tamarac to renew the City's General Liability, Automobile Liability, Automobile Physical Damage, Workers' Compensation and Property lines of coverage and select the option to enhance the City's General Liability insurance coverage with the FMIT for a one-year period beginning on October 1, 2017 as outlined above. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA: SECTION 1: The foregoing "WHEREAS" clauses are hereby ratified and confirmed as being true and correct and are hereby made a specific part of this Resolution. All exhibits attached hereto are incorporated herein and made a specific part of this Resolution. Temp. Reso #12991 August 31, 2017 Page 4 of 5 SECTION 2: The appropriate City officials of the City of Tamarac are authorized to renew the City's General Liability, Automobile Liability, Automobile Physical Damage, Workers' Compensation and Property lines of coverage with the Florida Municipal Insurance Trust (FMIT) for a one year period beginning on October 1, 2017 at a cost of $897,445 per the renewal quote (attached as Exhibit 1) with said lines of coverage to expire on October 1, 2018, and to pay any additional premium resulting from the annual premium audit which has been approved by the City Manager after notification to the City Commission. SECTION 3: Authorizing payment of an insurance option of $26,163 (attached as Exhibit 1) to increase the General Liability Insurance Coverage to $5,000,000. SECTION 4: All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. SECTION 5: If any clause, section, other part or application of this Resolution is held by any court of competent jurisdiction to be unconstitutional or invalid, in part or application, it shall not affect the validity of the remaining portions or applications of this Resolution. Temp. Reso #12991 August 31, 2017 Page 5 of 5 SECTION 6: This Resolution shall become effective immediately upon its passage and adoption. PASSED, ADOPTED AND APPROVED this day of 2017. A R DRESSLER MAYOR ATTEST: PATRICIA TEUF L, tlMt CITY CLERK RECORD OF COMMISSION VOTE: MAYOR DRESSLER G� DIST 1: COMM. BOLTON c DIST 2: COMM. GOMEZ DIST 3: COMM. FISHMAN —v DIST 4: VICE MAYOR PLACKO I HEREBY CERTIFY THAT I HAVE APPROVED THIS RESOLUTION AS TO FORM SAMUEL S. GOREN CITY ATTORNEY Department of Insurance and Financial Services FLORIDA MUNICIPAL INSURANCE TRUST RENEWAL QUOTE FOR 2017-2018 City of Tamarac FMIT 0584 Coverage Deductible Limit Premium General/Professional Liability $25,000 $2,000,000 $271,469 StopLoss Amount $644,583 Automobile Liability $25,000 $2,000,000 $83,236 StopLoss Amount $75,000 Automobile Physical Damage Per Schedule $13,932 StopLoss Amount $30,000 Property $50,000 $79,670,961 $256,600 Workers' Compensation $25,000 Total Payroll Experience Modification 0.73 10/1/17 $28,150,861 $272,208 StopLoss Amount $386,320 GRAND TOTAL PREMIUM $897,446 RETURN OF PREMIUM $38,271 REDUCED GRAND TOTAL PREMIUM $859,174 The FMIT Board of Trustees has approved a $4,600,000 return of premium for members that had property coverage in the 2016-2016 Fund Year. The directive of the Board was to return property premium on the renewing members for 2017-2018 that participated in the Trust's property program in 2016-2016. Based on the property premiums paid in 2016-2016 the City of Tamarac can expect $38,271 in return premium should they elect to renew coverage for the 2017-2018 policy year. *Includes: Drug Free Credit: Yes Safety Credit: Yes dote: Coverage summaries provided herein are intended as an outline of coverage only and are lecessardiy brief. in the event of loss, all terms, conditions, and exclusions of actual Agreement and/or 'olicies will apply. DEDUCTIBLE / LIMIT OPTIONS Annual Premium Check Option Accepted Rejected General Liability Option 1- $2,000,000 limit $271,469 00 Option 2 - $6,000,000 limit (Additional premium of $26,163) $297,632 X O 1&% -- Important Note: The premiums quoted above are priced according to the coverage lines presented. Any change or deletion of coverages may result In re -pricing of remaining coverage lines.