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HomeMy WebLinkAboutPO 7314: APPROVING PROPERTY DAMAGE CLAIM ENVIRONMENTAL HEALTH UNIT #2037 11wey <.itc rvi , ti! r rhr ^.c' � T•,,rc INTEROFFICE MEMORANDUM Office of Safety & Risk Management Date: February 5, 2025 To: Ronald Burton, CPM, City Manager From: Trameka A. Williams, Director of Human Resources RE: An Ordinance Approving a Property Damage Settlement in the Amount of$6,500.00 for Damages to City of Port Arthur Environmental Health Unit #2037 Nature of the request:. On November 21, 2024, the operator of Environmental Health Unit #2037 was driving west in the 3900 block of Procter Street and stopped to turn south into the 400-block 12'Avenue when a citizen made an unsafe turn, failing to yield to the city employee. Staff Analysis, Considerations: The City has Automobile Physical Damage insurance coverage through Texas Municipal League Intergovernmental Risk Pool (TML-IRP) with a $2,500.00 deductible. TML-IRP has offered the City of Port Arthur a settlement of$6,500.00, less the $2,500.00 deductible, making the final settlement offer $4,000.00 (Exhibit"A" attached) which is considered a fair and reasonable settlement for Unit#2037. The process for subrogation with the other party's insurance has commenced to recoup funds. Recommendation: I recommend approval of Proposed Ordinance No. 7314 authorizing the property damage settlement against TML-IRP for damage sustained to Environmental Health Unit #2037 (2015 Ford Fusion). TML-IRP has offered to settle the claim for $6,500.00, less the $2,500.00 deductible, making the final settlement offer $4,000.00. TML-IRP has deemed the unit to be a total loss. This is considered a fair and reasonable settlement. Budget Considerations: The funds received will be deposited in the Insurance Proceeds Project #HINGF. "Remember we are here to serve the Citizens of Port Arthur." i P.O. NO. 7314 02/06/25 TAW ORDINANCE NO. AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE THE SETTLEMENT OF A PHYSICAL DAMAGE CLAIM IN THE AMOUNT OF $6,500.00 MADE AGAINST TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL (TML-IRP) AS A RESULT OF PROPERTY DAMAGE TO CODE ENFORCEMENT UNIT #2037 WHEREAS, on November 21, 2024, City of Port Arthur Code Enforcement Environmental Health unit, #2037 (2015 Ford Fusion), was damaged when the operator was traveling on Procter Street and 12th Avenue and was struck by another vehicle making an unsafe turn; and, WHEREAS, as a result of the damage, a claim was filed with Texas Municipal League Intergovernmental Risk Pool (TML-IRP); and, WHEREAS, it has been determined that the damages sustained by Code Enforcement Unit #2037 were in excess of the fair market value of the vehicle; and I! WHEREAS, TML-IRP has offered to settle the claim for $6,500.00 less the physical damage deductible amount of $2,500.00, making the final settlement offer $4,000.00, 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 $6,500.00, less the physical damage deductible amount of $2,500.00, making the final settlement $4,000.00, which is considered a fair and reasonable settlement as delineated in Attachment "A", in exchange for transfer of title of Unit #2037 to TML-IRP. P.O. NO. 7314 02/06/25 TAW 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, 2025, 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: Roxann Pais Cotroneo, City Attorney APPROVED FO INISTRATION: Ronald Burton, C ity Manager ATTACHMENT " A " TML INTERGOVERNMENTAL RISK POOL WORKERS'COMPENSATION • PROPERTY • LIABILITY January 06, 2025 Trameka Williams City of Port Arthur PO Box 1089 Port Arthur, TX 77641-1089 RE: TMLIRP Fund Member: City of Port Arthur Date of Loss: November 21, 2024 TMLIRP Claim No: TX0000000229975 VIN No: (1 FA6P0G71 F5114891) Dear Trameka Williams: A TML Risk Pool check in the amount of $4,000.00, as agreed upon for the above-referenced . claim, will follow separately. Should you have any questions or concerns, please feel free to contact me. Sincerely, • B 5kp gets Bria Stephens Texas Municipal League Intergovernmental Risk Pool Auto Claims Specialist Direct Line: 512-491-2343 alpmail@tmlirp.org TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL P.O. Box 149194 • Austin,Texas 78714-9194 • www.tmlirp.org Trameka Williams From: Bria Stephens <alpmail@tmlirp.org> Sent: Monday, December 9,2024 11:07 AM To: Trameka Williams Subject: [NON-CoPA]TX0000000229975 - DOL 11/24/24;VIN 4891 Good morning Trameka, At this time, the vehicle has been declared a total loss because the repair cost exceeds its value. Our valuation is based on the Actual Cash Value (ACV) , which considers factors such as mileage, year, and the condition of the vehicle. You now have two options, and TML will handle them accordingly. Settlement options: Option 1- TML takes possession of the vehicle salvage. Settlement = $6,500 market value - $2,500 deductible = $4,000 payment Option 2- The City keeps the vehicle salvage. Settlement = $6,500 market value - $1,449 salvage - $2,500 deductible = $2,551 payment Please let me know which option the city would like to proceed with. Please ensure that the vehicle does not accrue any storage fees at its current location. Feel free to reach out if you have any questions. Sincerely, Bria Stephens Auto Claims Specialist Direct: 512-491-2343 I Toll-Free: 800-537-6655 Fax: 512-491-2366 1