HomeMy WebLinkAboutPR 22230: APPROVING A PROPERTY DAMAGE SETTLEMENT IN THE AMOUNT OF $465,634.00 FOR DAMAGES TO CITY OF PORT ARTHUR LANDFILL COMPACTOR #1636 Y _
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INTEROFFICE MEMORANDUM
Office of Safety & Risk Management
Date: November 1, 2021
To: Ron Burton, City Manager
From: Trameka A. Williams, Director of Human Resources
RE: A Resolution Approving a Property Damage Settlement in the Amount of$465,634.00 for
Damages to City of Port Arthur Landfill Compactor#1636
Nature of the request: On October 4, 2021, Landfill Compactor #1636 (2007 CAT
Compactor) was damaged when the unit caught on fire. The unit was on standby to have the
radiator and AC condenser cleaned but would not start after the cleaning. The master switch was
cut-off; however, the machine began to smoke, and a massive fire incurred.
Staff Analysis, Considerations: The City has Physical Damage insurance coverage through
Texas Municipal League Intergovernmental Risk Pool (TMLIRP). TMLIRP has offered the City
a settlement of $465,634.00 which is a fair and considerate offer (Exhibit "A" attached). If
additional damages are discovered, TMLIRP may issue a supplemental payment.
Recommendation: I recommend approval of Proposed Resolution No. 22230 authorizing the
property damage settlement against TML for damage sustained to Landfill Compactor #1636
(2007 CAT Compactor). TMLIRP has offered to settle the claim for $465,634.00, which is
considered a fair and reasonable settlement.
Budget Considerations: The funds received will be deposited in account number 001-
00-000-4744-00-00-000,HINGF.
"Remember we are here to serve the Citizens of Port Arthur"
P.R. No. 22230
1 1/01/21 TAW
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO EXECUTE SETTLEMENT OF A PHYSICAL DAMAGE CLAIM
IN THE AMOUNT OF $465,634.00 MADE AGAINST
TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL (TMLIRP)
AS A RESULT OF PROPERTY DAMAGE TO LANDFILL COMPACTOR #1636
WHEREAS, on October 4, 2021 , Landfill Compactor #1636 (2007 CAT Compactor)
was damaged when the unit caught fire; and,
WHEREAS, as a result of the damage, a claim was filed with Texas Municipal
League Intergovernmental Risk Pool (TMLIRP); and,
WHEREAS, TMLIRP has offered to settle the claim for $465,634, 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 $465,634 for the claim against Texas Municipal League Intergovernmental Risk
Pool (TMLIRP) 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, 2021, at a
Meeting of the City Council of the City of Port Arthur, Texas, by the following
vote: AYES: Mayor , Councilmembers
NOES: .
Thurman "Bill" Bartie, Mayor
ATTEST:
Sherri Bellard, City Secretary
APPROVED AS TO FORM:
%/I
Val Tizen , C. Attorney
APPROVED FOR ADMINISTRATION:
Ron Burton, Interim City Manager
EXHIBIT " A "
TML
INTERGOVERNMENTAL RISK POOL
WORKERS'COMPENSATION • PROPERTY • LIABILITY
October 27, 2021
Port Arthur
Attn: Trameka Williams, HR Director
444 4th St.
Port Arthur, TX 77640
RE: TMLIRP Fund Member: Port Arthur
Date of Loss: October 04, 2021
TMLIRPClaim No: PR0000000153794
Fire damage to 2007 Cat Compactor ME ID #30 (Landfill)
Dear Trameka:
Please find enclosed TMLIRP's check in the amount of$465,634.00 for replacement cost payment
of the claim. The file will remain open pending the invoice for reasonable rental costs for the
rental unit.
Please don't hesitate to give me a call should you have any questions.
Sincerely,
L ijuirl\___
Lisa Kutch
Senior Claims Specialist
Texas Municipal League Intergovernmental Risk Pool
(800) 537-6655, ext. 2412
Ikutch@tmlirp.org
Ends: TMLIRP Check
TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL
P.O. Box 149194 • Austin,Texas 78714-9194 • www.tmlirp.org