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HomeMy WebLinkAboutPR 16085: PROPERTY DAMAGE SETTLEMENT FOR AUTOMATED GARBAGE TRUCK UNIT #1629 CITY OF PORT ARTHUR SAFETY & RISK MANAGEMENT MEMORANDUM TO: Stephen B. Fitzgibbons, City Manager FROM: Lisa Colten, Safety & Risk Management Coordinator DATE: September 1, 2010 SUBJECT: A Resolution Approving a Property Damage Settlement in the Amount of $19,668.97 Made Against Texas Municipal League Intergovernmental Risk Pool (TML) for City Automated Garbage Truck Unit #1629 COMMENTS RECOMMENDATION: I recommend approval of Proposed Resolution No. 16085 authorizing the property damage settlement against Texas Municipal League Intergovernmental Risk Pool (TML) for damage sustained to City Automated Garbage Truck Unit #1629 (2007 Mack MR6885). TML has offered to settle the claim for $19,668.97, less the City's Automobile Physical Damage deductible of $2,500.00, making the final settlement offer $17,168.97 (Exhibit "A" attached). This is considered a fair and reasonable settlement. BACKGROUND: On June 17, 2010, City of Port Arthur Automated Garbage Truck Unit #1629 (2007 Mack MR6885) sustained damage at the City Landfill when concrete with rebar penetrated the battery compartment and shorted across the terminal causing electrical damage. The City has Auto Physical Damage insurance coverage through TML with a $2,500.00 deductible. Payment has been received from TML in the amount of $17,168.97. This amount is based on estimated cost for repairs. If additional damages are discovered, TML will consider supplemental payment. BUDGETARY /FISCAL EFFECT: The funds received will be deposited in the appropriate account designated by the Finance Director. STAFFING /EMPLOYEE EFFECT: No effect on staffing levels: SUMMARY: I recommend approval of Proposed Resolution No. 16085 authorizing the property damage settlement against Texas Municipal League Intergovernmental Risk Pool (TML) for damage sustained to City Automated Garbage Truck Unit #1629 (2007 Mack MR6885). TML has offered to settle the claim for $19,668.97, less the City's Automobile Physical Damage deductible of $2,500.00, making the final settlement offer $17,168.97 (Exhibit "A" attached). This is considered a fair and reasonable settlement. Attachment "REMEMBER, WE ARE HERE TO SERVE THE CITIZENS OF PORT ARTHUR" P.R. No. 16085 9/01/10 LJC RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO EXECUTE THE SETTLEMENT OF A CLAIM IN THE AMOUNT OF $19,668.97 MADE AGAINST TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL (TML) AS A RESULT OF THE PROPERTY DAMAGE TO CITY AUTOMATED GARBAGE TRUCK UNIT #1629 WHEREAS, on June 17, 2010, City of Port Arthur Automated Garbage Truck Unit #1629 (2007 Mack MR6885) sustained damage at the City Landfill when concrete with rebar penetrated the battery compartment and shorted across the terminal causing electrical damage; and, WHEREAS, as a result of the damage, a claim was filed with Texas Municipal League Intergovernmental Risk Pool (TML); and, WHEREAS, TML has offered to settle the claim for $19,668.97, less the Automobile Physical Damage deductible amount of $2,500.00, making the settlement $17,168.97, 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 do all things necessary to execute settlement in the amount of $19,668.97, less the Automobile Physical Damage deductible amount of $2,500.00, making the settlement $17,168.97, for the claim against TML in substantially the same form as delineated in Exhibit « 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, 2010, at a Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor , Councilmembers NOES: Deloris "Bobbie" Prince, Mayor ATTEST: City Secretary APPROVED AS TO FORM: City Attorney APPROVED FOR ADMINISTRATION: Stephen B. Fitzgibbons, City Manager APPROVED AS TO FORM: ili_11116111L: CITY ATTO4 EY SWORN STATEMENT IN Y it OF LOSS (AUTOMOBILE) 7587 1000169662 POLICY NUMBER CLAIM NUMBER 10/1/09 TO 10/01/10 Texas Municipal League -IRP POLICY PERIOD INSURANCE COMPANY NAME Name of Insured: City of Pt. Arthur (hereinafter called insured) according to the terms and conditions contained therein, including the written portion thereof and all endorsements, transfers and assignments attached thereto, on automobile described as follows: Model Year Make Body Vehicle Identification Number Motor ID License Plate 2007 MACK garbage truc 1M2K189C97M039167 102 -1753 Origin: A loss caused by occurred on the 17th day of June , 20 10 , about the hour of 12:00 : P M., the full particulars of which are as follows: Concrete with rebar penetrated battery compartment and shorted across terminal causing electrical damage Warranties: Insured's occupation or business is Employer's name and address The said automobile is usually kept in (public or private garage) located Purchase: The said automobile was purchased (new or used) from by the insured on , for $ Ownership: When your policy was issued to the Insured, Insured was the sole and unconditional owner of the automobile described. No encumbrance of said property existed nor has since been made nor has there been any change in the title, use, location or possession of said automobile. Value: The actual cash value of the said automobile at the time of said loss was $ Whole loss: The damage described as a result of the said loss was (as shown by annexed schedule) $ 19,668.97 . Whole Insurance: The total insurance covering peril above stated, including this policy and all other policies (whether valid or not binders or agrees to insure, was at the time of the said loss) $ Less$2,500.00deductible . Amount Claimed: Insured hereby claims of this company and will accept from this company in full release and so satisfaction in compromise settlement of all claims under this policy in the sum of $ 17,168.97. Assignment of Interest: Upon payment of claim for total loss by theft of automobile above described, the Insured does undertake to execute all instruments necessary to transfer, assign and set over unto the Insurer of all rights, title, and interest in said automobile, and will help the said Insurer, or proper authorities, to identify said automobile, if found, and will render all assistance possible to recover the said automobile or to apprehend the thieves. Subrogation: The Insured hereby covenants that no release has been or will be given to or compromise or settlement made with any third party who may be liable in damages to the Insured and that the Insured in consideration of the payments made under this policy hereby subrogates the said Company to all rights and causes of action the said Insured has against any persons, or corporations whomsoever for damage arising out of or incident to said damage or loss to said property and authorizes said Company to sue in the name of the Insured but at the cost of the Company any such third party, pledging full cooperation in such action. Statements of Insured: The said automobile has not been used for carrying passengers for compensation, or operated, or leased or rented, in any speed contest, nor for any illegal purpose, during the term of this policy. The said loss did not originate by any act, design, or procurement on the part of the Insured or this affiant; nothing has been done by or with the private or consent of Insured or this affiant, to violate the conditions of this policy, or render it void; all articles mentioned herein or in the schedule annexed hereto belong to said automobile and were in possession of the Insured at the time of said loss; no property saved has been in any manner concealed; no attempt to deceive the said Insurer, as to the extent of said loss, has in any manner been made, and no material fact is withheld or which the said Insurer should be advised. Any other information that may be required will be furnished on demand and considered a part of this proof. The furnishing of this blank or the preparation of proofs by a representative of the above insurance company is not a waiver of any of its rights. WITNESSES: GNATURE(S): Witness S nature Date Signature NOTARY: State of ; County of • SS On this day of , 20 , before me appeared who is known to be the person(s) named herein and who voluntarily executed this release. Notary Signature Date Commission Expires Form 1150F © 2004 Nationwide Publishing Company, Inc. http: / /www.claimspages.com