HomeMy WebLinkAboutPR 18022: SETTLEMENT CLAIM IN THE AMOUNT OF $6,695.00 (TML) CITY OF PORT ARTHUR SAFETY & RISK MANAGEMENT MEMORANDUM TO: Floyd T. Johnson, City Manager FROM: Lisa Colten, Safety & Risk Management Coordinator DATE: January 9, 2014 SUBJECT: A Resolution Approving a Property Damage Settlement in the Amount of $6,695.00 for Damage to the Security Fence and Automatic Sliding Gate at the Water Service Center (111 H. O. Mills Blvd.) COMMENTS RECOMMENDATION: I recommend approval of Proposed Resolution No. 18022 authorizing the property damage settlement from Texas Municipal League Intergovernmental Risk Pool (TML) for damage sustained to the security fence and automatic sliding gate at the Water Service Center (111 H. O. Mills Blvd.) TML has offered to settle the claim for $6,695.00, less the Recoverable Depreciation of $229.75, less the City's Real and Personal Property deductible of $5,000.00, for a final payment of $1,465.25 (see Exhibit "A" attached). This is considered a fair and reasonable settlement. BACKGROUND: On October 5, 2013, an unknown vehicle struck the security fence and automatic sliding gate located at the Water Service Center (111 H. O. Mills Blvd.), and then left the scene without giving information. The City has Real and Personal Property insurance coverage through TML with a $5,000 deductible. Initial payment has been offered from TML in the amount of $6,695.00, less the Recoverable Depreciation of $229.75, less the City's Real and Personal Property deductible of $5,000.00, for a final payment of $1,465.25. The Recoverable Depreciation of $229.75 may be paid to the City at the completion of repairs and submittal of final invoice. This amount is sufficient to cover all estimated property damages. If additional damages are discovered, TML may issue a supplemental payment. BUDGETARY /FISCAL EFFECT: The funds received will be deposited in the Utility Operations Equipment Account: 410 - 1251 - 532.92 -00. STAFFING /EMPLOYEE EFFECT: No effect on staffing levels: SUMMARY: I recommend approval of Proposed Resolution No. 18022 authorizing the property damage settlement from Texas Municipal League Intergovernmental Risk Pool (TML) for damage sustained to the security fence and automatic sliding gate at the Water Service Center (111 H. O. Mills Blvd.) TML has offered to settle the claim for $6,695.00, less the Recoverable Depreciation of $229.75, Tess the City's Real and Personal Property deductible of $5,000.00, for a final payment of $1,465.25 (see 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. 18022 1/09/14 LJC RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE THE SETTLEMENT OF A CLAIM IN THE AMOUNT OF $6,695.00 MADE AGAINST TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL (TML) AS A RESULT OF DAMAGE TO THE SECURITY FENCE AND AUTOMATIC SLIDING GATE AT THE WATER SERVICE CENTER (111 H. 0. MILLS BLVD.) WHEREAS, on October 5, 2013, an unknown vehicle struck the security fence and automatic sliding gate at the Water Service Center (111 H. 0. Mills Blvd.), and then left the scene without giving information; 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 $6,695.00, less the Recoverable Depreciation of $229.75, less the Real and Personal Property deductible amount of $5,000.00), for a final payment of $1,465.25, which is considered a fair and reasonable settlement (see Exhibit "A" attached). 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 $6,695.00 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. P.R. NO. 18022 1/09/14 Page 2 of 2 READ, ADOPTED, AND APPROVED this day of , AD, 2014, 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: Sherri Bellard, City Secretary APPROVED AS TO FORM: 1 Tize o, Ci Attor ey APPROVED FOR ADMINISTRATION: Floyd T. Johnson, City Manager O f , / i"Avd• • Dr. A • ert T Thigpen, Mr. %uman Resources Exhibit "A" SWORN STATEMENT IN PROOF OF LOSS $ 171,262,684 _ 7587 AMOUNT OF COVERAGE AT TIME OF LOSS CONTRACT NUMBER 10 -01 -13 1400204838 COVERAGE EFFECTIVE DATE — TML CLAIM NUMBER 10 -01 -14 COVERAGE EXPIRATION DATE To the Texas Municipal League intergovernmental Risk Pool of Austin, Texas. At time of loss, the TML -IRP provided self - insurance coverage through the lnterlocal Agreement to: the City of Port Arthur against loss by theft 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: There was a hit and run at 111 H. O. Mills Blvd. on October 5, 2013. 2. Occupancy: The property as stated above is a security chain link fence and security gate. 3. Title and Interest: At the time of the loss, the interest of your member in the property described therein was Owner/Trustee No other person or persons had any interest therein or encumbrance thereon, except: No Exceptions 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: No Exceptions 5. Total Insurance: The total amount of coverage upon the property described by this contract was, at the time of the loss,; $171,262,684 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 Actual Cash Value of said property at the time of the loss was . $ 6,465.25 7. The Whole Loss and Damage was . . . . . . . . . $ 6,695.00 8. Less Amount of Deductible . . . • . . . . $ 5,000.00 9. The Amount Claimed under the above numbered contract is . . . . . . $ 1,465.25 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 TML -IRP, 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 TML INIEROONIANWANLAL RISK POOL