HomeMy WebLinkAboutResolution No. 171A RESOLUTION TO APPROVE AMENDMENTS TO THE
INTERLOCAL AGREEMENT CREATING THE
PUGET SOUND CITIES INTERLOCAL INSURANCE AUTHORITY
RESOLUTION NO. 171
A RESOLUTION TO APPROVE AMENDMENTS TO THE INTERLOCAL AGREEMENT CREATING
THE PUGET SOUND CITIES INTERLOCAL INSURANCE AUTHORITY, HEREAFTER REFERRED
TO AS PSCIA.
WHEREAS, the Puget Sound Cities Interlocal Insurance Authority has been
a functioning and operating organization for the past four years, pursuant
an Interlocal Agreement between its Member Cities; and
WHEREAS, the City of Medina is a signatory party to this agreement;
and
WHEREAS, Article 26 of the Interlocal Agreement creating the Puget Sound
Cities Interlocal Insurance Authority allows for amendment of the Interlocal
Agreement; and
WHEREAS, the Board of Directors of the Puget Sound Cities Interlocal
Insurance Authority has identified certain articles of the Interlocal Agreement
creating PSCIA as in need of amendment to promote the future efficient operation
of PSCIA; and
WHEREAS, on February 21, 1985 the Board of Directors of PSCIA unanimously
approved the adoption of the below described proposed changes to certain
sections of the Interlocal Agreement creating the Puget Sound Cities 'Interlocal
Insurance Authority approved the presentation of the same to each of the
City Council of each of the member Cities of the proposed amendments for their
ratification and approval to amend the Interlocal Agreement.
WHEREAS, the City of Medina has reviewed the proposed amendments to the
Interlocal Agreement and find that they merit. adoption.
NOW, THEREFORE, be it resolved by the Mayor and the City Council of the
City of Medina; that
1. The City of Medina approves the adoption of the below described proposed
changes to certain sections of the Interlocal Agreement creating the Puget
Sound Cities Interlocal Insurance Authority and authorizes the City Manager to
execute the amended Interlocal Agreement creating the Puget Sound Cities Inter -
local Agreement, with the following amendments Incorporated therein.
ARTICLE 1
(h) (dnsufange-Manager) Executive Director shall mean that employee of '
the Authority who is appointed by the Board of Directors, and responsible for
the management and administration of the joint protection program of the Authority.
ARTICLE 2
This agreement is entered into by Cities in order to provide more compre-
hensive and economical liability coverage, to provide for the economical or
or required by law for municipal corporations and for which State law authorizes
the amount and frequency of Cities' losses, and to decrease the cost incurred
by Cities in the handling and litigation of claims. This purpose shall be
accomplished through the exercise of the powers of Cities jointly in the creation
of a separate entity, the Puget Sound Cities Interlocal Insurance Authority
(Authority), to administer a joint protection program wherein Cities will pool
their losses and claims, jointly purchase excess insurance and administrative
and other services including claims adjusting, data processing, risk management
consulting, loss prevention, legal and related services. `
It is also the purpose of this Agreement to provide, to the extent permitted
by law, for the inclusion (of -the) at a subsequent date of such additional
municipal corporations organized and existing under the Constitution or laws
of the State of Washington as may desire to become parties to this Agreement
and members of the Authority, subject to approval by the Board of Directors.
ARTICLE 7
(a) The Authority shall be governed by the Board of Directors which is hereby
established and which shall be composed of one representative from each Member
City who is an employee or official of that City as appointed by the City Council,
Commission, or appointing official, of that City. Each City Council, Commission,
or appointing official, in addition to appointing a member of the Board shall
appoint at least one alternate who also shall be an officer or employee of
that City.
ARTICLE 8
(j) The (Jmsu"Ttc Fmtmger) Executive Director shall have the power to
hire such persons as the Board authorizes for the administration of the Authority,
including the "borrowing" of management -level employees from one or more of
the Member Cities to assist in the development phase of the joint protection
program of the Authority, subject to the approval of the Member City. Any
Member City whose employee is so "borrowed" according to this provision shall
be reimbursed by the Authority for that employee's time spent or rendered on
behalf of the Authority.
(k) The (dnsuraxu a 6lanager) Executive Director shall have the general„
supervisory control over the day-to-day decisions and administrative activities
of the Authority.
(i) The Board shall have such other powers and functions are provided
for in this agreement, including, but not limited to, the power to authorize
the contracts with non-member Cities or municipal corporations and the "Authb
ARTICLE10
The Board of Directors may appoint at an time of the ear durin a board
meeting an' Executive Committee of the Boar of Directors which shall consist
of an odd number of not less than five nor more than nine members, as determined
by the Board of Directors. (4na) Two of the members of the Executive Committee
shall be the President of the Board of Directors, (or in his or her absence)
and the Vice President of the Board of Directors; the remainder of the members,
aftertheir original election, shall be elected by the Board of Directors at the
same me -the officers of the Board are elected in January of each calendar
year. The President of the Authority, or the Vice President in his or her
absence, shall serve as the Chairperson of the Executive Committee. The Board
of Directors may delegate any of the powers of the Board as outlined in Article
8 to the Executive Committee and may establish and delegate any other powers
and duties the Board deem appropriate.
ARTICLE 11
(b) (Insunaase-Manager) Executive Director. The (insurance -Manager)
Executive Director shall have the general responsibility for
the activities of the joint protection program and shall appoint all necessary
employees thereof.
ARTICLE12
(a) The insurance coverage provided for Member Cities by the Authority
shall (ieslude) allow or require protection for comprehensive liability,
personal injury, errors and omissions, contractual liability, and such other
areas of coverage as the state shall require or the Board shall determine.
2.
ARTICLE 13
(c) The initial premium for each City shall be determined by the Board,
(on the basis of the City's payroll as compared to the total payroll of all
Member Cities, excluding such portion of a City's payroll as may be attrib-
utable to operations not covered by the joint protection program. The total
initial premium for a Member City in the first year of operation of the joint
protection program shall not exceed the total premium paid by such City for
the preceding year, except that if during that preceding year a City was
partially self -insured, that City's premium shall take into account the City's
loss experience under said self-insurance program.) in its discretion, based
u on a fair formula which shall consider, but not be imited to, total Git
pavro a ministrative experience of the City, the previous loss experience
of the City, the liabilit risks of the City and the costs to the Authorit
of adding the City as member.
ARTICLE 14 -
(c) ()3lsuraftce tAanager'-s) Executive Director's Report. The (insurance
Manager) Executive Director, within one hundred and twenty (120) days after
the close of each fiscal year, shall give a complete written report of all
financial activities for such fiscal year to the Board and to each Member City.
ARTICLE 15
(c) The Treasurer's duties shall include: (4) Pay any other sums due
from Authority money only upon request for payment signed by the President
of the Board of the (Insuraxtcz-ManWx-) Executive Director.
ARTICLE 16
(h) Conduct risk management audits to review the participation of each m
City in the program. The audit (teem) shall (ittcfude-a--eptret&�-front
t{te-AutharYty; the- -C-r*"-Hwo-Tved--arm-at`-least ime-other --ir) be performed
b the Executive Director or, at the discretion of the Board, an independent
au itor may be retaine by contract to conduct the audits.
ARTICLE 17 '
(a) The City Council, Commission, or appointing official of each City
shall appoint a representative and at least Ong
representative to
the Board of Directors, pursuant to Article 7 of this Agreement.
ARTICLE 19
After the effective date of the joint protection program is established
by the Authority, according to the provisions of Article 18, additional cities
shall be permitted to become signatories to this Agreement, or to enter the
joint protection program, during the first year of operation. Following the
first year of operation, the Authority shall allow entry into the program of
new members approved by the Board (anly-at-the-end-of-the-flseal-year) at such
time during the year as the Board deem appropriate.
Y
PASSED by the City Council this 8th day of April, 1985 and signed in
authentication of its passage the 8th day of April, 1985.
rdon...Gr.i£fas,_M Q cer,ily that I am the city Clarl
�I the C.:, cl idaiinn; that annexed harelo uC, :'. --Rc .........
Attest: _is..R.T'•^`@'S'�.�Ta.C>pin'y;x`+-'w...�vax��C„],lA,..t�5.?:A�.a.�
bar.9 L.e tr,c oral c,ny of suc --! -'---
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Della M. Wyatt, City Cl
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