HomeMy WebLinkAboutPR 19576: PROPERTY DAMAGE SETTLEMENT En,By
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INTEROFFICE MEMORANDUM
Human Resources Department
Date: August 2, 2016
To: Brian McDougal, City Manager
From: Lisa Colten, Acting Assistant Director of Human Resources
RE: A Resolution Approving a Property Damage Settlement in the Amount of$638,168 for
Damages to the Recreational Dock (448 Lakeshore Drive)
Nature of the regnest: On or about November 6, 2014, the Recreational Dock (448
Lakeshore Drive) was damaged by a passing unknown ship or barge. Consequently, the
Recreational Dock must be demolished and reconstructed.
Staff Analysis, Considerations: The City has Real & Personal Property Damage insurance
coverage through Texas Municipal League Intergovernmental Risk Pool (TML) with a $5,000
deductible. TML has offered the City a settlement of$638,168 (Total Insured Value of$352,000
plus Estimated Demolition Cost of$286,168), less the Real & Personal Property deductible of
$5,000,making the final settlement payment$633,168 (Exhibit"A" attached).
Recommendation: I recommend approval of Proposed Resolution No. 19476 authorizing the
property damage settlement against TML for damage sustained to the Recreational Dock (448
Lakeshore Drive). TML has offered to settle the claim for $638,168 (Total Insured Value of
$352,000 plus Estimated Demolition Cost of $286,168), less the Real & Personal Property
deductible of$5,000, making the final settlement payment $633,168. This is considered a fair
and reasonable settlement.
Bucket Considerations: The funds received will be deposited in the Parks Department
Building Maintenance Account#001-1207-531.32-00.
"Remember we are here to serve the Citizens of Port Arthur"
P.R. No. 19476
8102/16 LJC
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE THE SETTLEMENT
OF A PROPERTY DAMAGE CLAIM IN THE AMOUNT OF $638,168 MADE AGAINST
TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL (TML)
AS A RESULT OF DAMAGE TO THE RECREATIONAL DOCK(448 LAKESHORE DRIVE)
WHEREAS. on or about November 6, 2014, the Recreational Dock (448 Lakeshore Drive) was struck by a
passing unknown ship or barge resulting in extensive damages; and,
WHEREAS, as a result of the loss, a claim was filed with Texas Municipal League Intergovernmental Risk Pool
(TML); and,
WHEREAS, TML has offered to settle the claim for$638,168 (Total Insured Value of$352,000 plus Estimated
Demolition Cost of$286,168), less the Real and Personal Property deductible of$5,000.00, making the final settlement
S633,168, which is considered a fair and reasonable settlement.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR,
TEXAS:
Section 1. That, the facts and opinions in the preamble are true and correct.
Section 2. That, the City Manager is hereby authorized to execute settlement in the amount of $638,168 for
the claim against TML in substantially the same form as delineated in Exhibit"A".
Section 3. That, a copy of this Resolution be spread upon the minutes of the City Council.
READ. ADOPTED, AND APPROVED this day of , AD, 2016, at a Meeting of
the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor , Councilmembers
NOES: .
Derrick Freeman, Mayor
ATTEST:
Sherri Bellard, City Secretary
a """a ' IIAS TO00,4•
______72
Val Tizeno, Cit. Att. ney
APPROVED FO' ADMINISTRATION:
Brian McDougal, City Manager
Exhibit "A"
SWORN STATEMENT IN PROOF OF LOSS
$ 180,305,569 7587
AMOUNT OF COVERAGE AT TIME OF LOSS CONTRACT NUMBER
October 01,2014 PR0000000002828
COVERAGE EFFECTIVE DATE TML CLAIM NUMBER
October 01,2015
COVERAGE EXPIRATION DATE
To the Texas Municipal League Intergovernmental Risk Pool of Austin,Texas.
At time of loss,the TMLIRP provided self-insurance coverage through the Interlocal Agreement to:
Port Arthur
against loss by vessel collision to the property described according to the terms and
conditions of said contract and all forms,endorsements,transfers and assignments attached thereto.
1. Time and Origin: A vessel collision loss occurred about the hour of o'clock m.on the 6th day
of November,2014 . The cause and origin of the said loss were: unknown vessel ran into recreational
boat dock at 448 Lakeshore Dr,scheduled ID 179 damaging it
2. Occupancy: The building described, or containing the property described, was occupied at the time of the loss as follows, and for no
other purpose whatever: member
3. Title and Interest: At the time of the loss, the interest of your member in the property described therein was
n/a . No other person or persons had any interest
therein or encumbrance thereon,except: n/a
4. Changes: Since the said contract was issued,there has been no assignment thereof, or change of interest, use, occupancy, possession,
location or exposure of the property described,except: n/a
5. Total Insurance: The total amount of coverage upon the property described by this contract was,at the time of the loss
$ 180,305,569 as more particularly specified in the apportionment attached,besides which there was no policy or other contract of
insurance,written or oral,valid or invalid.
6. The Whole Loss and Damage . . . . . . . . . . . . $638,168.00
7. The Actual Cash Value Of Claim . . . . . . . . S
8. Recoverable Depreciation pending repairs . . . . . . . . $
Less Amount of Deductible . . . . . . . . . . $5,000.00
9. The Amount Claimed under the above numbered contract is . . . . . . . . . $633,168.00
The said loss did not originate by any act,design or procurement on the part of your member,or this affiant;nothing has been done by or
with the privity or consent of your member or this affiant,to violate the conditions of the contract,or render it void;no articles are mentioned
herein or in annexed schedule but such as were destroyed or damaged at the time of said loss; no property saved has in any manner been
concealed,and no attempt to deceive the said TMLIRP,as to the extent of said loss,has in any manner been made. Any other information that
may be required will be furnished and considered a part of this proof.
The furnishing of this blank or the preparation of proofs by a representative of the above self-insurance fund is not a waiver of any of its rights.
State of
County of Authorized Representative of
Subscribed and sworn to before me this day of ,20
Notary Public