HomeMy WebLinkAboutPR 23711: PROPERTY DAMAGE SETTLEMENT , EDC, ELECTRICAL COMPONENTS IN THE BUILDING CUT of 14,17+
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INTEROFFICE MEMORANDUM
Office of Safety & Risk Management
Date: April 12, 2024
To: Ron Burton, CPM, City Manager
From: Trameka A. Williams, Director of Human Resources
RE: A Resolution Approving a Property Damage Settlement in the Amount of$23,928.04 for
Damages to City of Port Arthur the Economic Development Corporation's Electrical
Components in the Building
Nature of the request: On May 24, 2022, severe weather damaged three (3) power surges
within the Economic Development Corporation building at 501 Procter Street.
Staff Analysis, Considerations: The City has Physical Damage insurance coverage through
Texas Municipal League Intergovernmental Risk Pool (TMLIRP) with a $5,000.00 deductible.
TMLIRP has offered the City a settlement of$23,928.04, less the $5,000.00 deductible, making
the final settlement offer $18,928.04 (Exhibit "A" attached). This amount is sufficient to cover
all estimated property damage for the EDC power surges. If additional damage is discovered,
TMLIRP may issue a supplemental payment.
Recommendation: I recommend approval of Proposed Resolution No. 23711 authorizing the
property damage settlement against TMLIRP for damage sustained to the EDC power surges.
TMLIRP has offered to settle the claim for $23,928.04, less the $5,000.00 deductible, making the
final settlement offer $18,928.04. This is considered a fair and reasonable settlement.
Budget Considerations: The funds received will be deposited in the insurance general
fund account, HINGF).
"Remember we are here to serve the Citizens of Port Arthur."
P.R. No. 23711
04/12/24 TAW
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO EXECUTE SETTLEMENT OF A PHYSICAL DAMAGE CLAIM
IN THE AMOUNT OF $23,928.04 MADE AGAINST
TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL (TMLIRP)
AS A RESULT OF PROPERTY DAMAGE TO ELECTRICAL
COMPONENTS IN THE EDC BUILDING (501 PROCTER STREET)
WHEREAS, on May 24, 2022, severe weather damaged three (3) power surges
within the Economic Development Corporation (EDC) building; 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 $23,928.04, less the
Physical Damage deductible amount of $5,000.00, making the final settlement offer
$18,928.04, 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 $23,928.04, less the Physical Damage deductible amount of $5,000.00,
making the final settlement offer $18,928.04, for the claim against 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, 2024, at a
Meeting of the City Council of the City of Port Arthur, Texas, by the following
vote: AYES: Mayor , Councilmembers
NOES: .
Thurman "Bill" Bartle, Mayor
ATTEST:
Sherri Bellard, City Secretary
APPROVED AS TO FORM:
11CA-6-1-.144--" (*rit'i--,
Ja es Black, Interim City Attorney
APPROVED FOR ADMINISTRATION:
Ron Burton, CPM, City Manager
EXHIBIT " A "
From:James Kaltman<ikaltman@tmlirp.org>
Sent: Friday,April 12, 2024 11:07:17 AM
To:Trameka Williams<trameka.williamst«@portarthurtx.Rov>
Subject: [NON-CoPA] FW: [External] PR173623
See if this works for you:
A claim was filed with TMLIRP related to lightning damage at the EDC Building located at 501 Procter
Street, having occurred on 05.24.2022.
There was damage to lights,controllers,ballasts,and other electrical equipment in the building.
Repairs have been completed and the invoicing was forwarded to the adjuster at TMLIRP.
The total amount of the claim was$23928.04. After deducting our Property coverage deductible
($5000.00),the claim payment of$18928.04 has been received.
I recommend acceptance of the claim funds so this claim can be finalized.