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1999-01-26f��f OKEEC 1f i3O z =_ tOR1O' I� -..0,040 I. CALL TO ORDER: - Mayor: January 26,1999, City Council Recessed Meeting, 12:00 noon. II. MAYOR, COUNCIL AND STAFF ATTENDANCE - City Clerk. Mayor James E. Kirk Council Member Noel A. Chandler Council Member Lowry Markham Council Member Robert Oliver Council Member Dowling R. Watford, Jr, City Attorney John R. Cook City Administrator Robert J. Bradshaw City Clerk Bonnie S. Thomas Deputy Clerk S. Lane Gamiotea CITY OF OKEECHOBEE CITY COUNCIL RECESSED MEETING SUMMARY OF COUNCIL ACTION Mayor Kirk called the January 26, 1999 Recessed City Council Meeting to order at 12 o'clock noon. Deputy Clerk Gamiotea called the roll: Present Present Present Present Present Present (entered chambers at 12:04 p.m.) Present Absent Present PAGE 1 OF 3 6&3 III. NEW BUSINESS CONTINUED. A. Discuss awarding a Property and Casualty Insurance Bid Council Member Chandler moved to award a property and casualty insurance bid to Go Pro/Berger Insurance; seconded continued. by Council Member Markham. Council Member Chandler explained he had looked over all the bid packets, it is nice to go with the low bidder, however, he was not comfortable with the "pool" system. Berger Insurance has a good, long standing record with the City and he was comfortable with the company. Mayor Kirk commented that he also researched the proposals and he did not see anything that was detrimental to the low bidder. Council Member Oliver interjected that he called other participants with Public Risk Management (PRM) and he got an excellent report. 105Y JANUARY 26,1999 - RECESSED MEETING - PAGE 2 OF 3 NEW BUSINESS CONTINUED. A. Discuss awarding a Property and Casualty Insurance Bid Council Member Watford asked if anyone checked on the bylaws and if the letter PRM's attorney submitted was continued. sufficient? Attorney Cook stated that the letter was an opinion or letter of interpretation by their attorney. In response to Mayor Kirk's question, he was not sure if he agreed with the attorney's interpretation, the bylaws say what they say, the interpretation is better for the city. Discussion continued, the vote on the motion is as follows: KIRK - No CHANDLER - YES MARKHAM - YES OLIVER - NO WATFORD - NO MOTION DENIED. Council Member Oliver moved to award the property and casualty insurance bid to Public Risk Management in the amount of ninety-eight thousand, nine hundred eighty-six dollars ($98,986.00); seconded by Council Member Watford. Discussion ensued, Attorney Cook recommended that the letter written by PRM's attorney be incorporated into the motion as the City's interpretation of Section 16.3 of the Bylaws. Motion and second was withdrawn. Council Member Oliver moved to award the property and casualty insurance bid to Public Risk Management and that the letter from their counsel, Rumberger, Kirk and Caldwell advises us they are non -accessible and defines Section 16.3, and is consistent with the City's understanding; seconded by Council Member Watford. Council Member's Chandler and Markham did not feel comfortable with this company. Vote on the motion is as follows: KIRK - YES CHANDLER - NO MARKHAM - NO OLIVER - YES WATFORD - YES MOTION CARRIED. JANUARY 26,1999 - RECESSED MEETING - PAGE 3 OF 3 &545 4 III. NEW BUSINESS CONTINUED. A. Discuss awarding a Property and Casualty Insurance Bid continued. IV. ADJOURN MEETING - Mayor. PLEASE TAKE NOTICE AND BE ADVISED that if a person decides to appeal any decision made by the City Council with respect to any matter considered at this meeting, he/she may need to insure that a verbatim record of the proceeding is made, which record includes the testimony and evidence upon which the appeal is to be based. ATTEST: BONNIE S. THOMAS, CMC CITY CLERK JAMES E. KIRK v' MAYOR Council stressed to staff that in the future they have at least sixty days to review the bid proposals prior to the expiration of an insurance policy and that staff make a recommendation to the Council to give them some guidance. There being no further items on the agenda, Mayor Kirk adjourned the meeting at 12:55 p.m. • • �Pnclfaw Ott NCB - luluff Cbo cxuuv\., j�cls oz-�=F Gt� Icc�-f C�t�=hck'X�a 6�.e��F �0 e", c,,-eof C� �,n.� r�e,�� e• Q�- � l ow �'�d d,n�- � K /�w cup (1t f ct�u,� �icup- 'I� �cG_.Q-ti, 0 • og,� ld non POOL SpatoV�c wa�v qz� &xj j �o 1,Dctq Mom- a�j �-L kaepw,� lad too aid,-V/ bak)k /L4 aA-Jj��, D6 W4 Y�) 0 cv aite oi� (Ike )3ja/-u(�h- �&,Lu 0 clk cL �14 - � Cu am6vPu Luz C.t Lo-w Jh- (A-' Ct fa�-,z afru''off uX)al j 4-� L�- ck-jA-o q cq &a( Eel - J WS) �,Aj elcam+ ,/96 �H- Whc P �.+xQU Peflk CA l...t►�.v ICJ`- I,Z��./�� i�'�J' aJ J� � { ' �i�C,/ 0(,Ptcx Gad � ���, cued �� lt 2"O-dn�a �z , cOl AJ-y ePk- �t,ri� U�lz a.o cz CL����k�c �v hr -/ �'. VG I-Y)d/L, �4 L-fcc�&-, J,C - pooucon .C�'u�ae2�Q d G�Ut��- ,fie-@ � , /� • 3 , ff-y�p Pat +�D upt 41�0 ploublk-so� ct LlA Q iLL '4 CkCk-S:A3 Wt�,9�a am. &. a P-\otkLr*j W-L Lv Yv\.� tkJO)l V-k �15­1 , 1' 0#11 Vati -�e c C� u 6w� Gdx;y_ ap4ca/to o-i-bli 6" o�c OU-A' Y- �atp Pu�€o a (2A.c �- q�,s boa tro C�p U obj- x it- tj� - L�q - n6 fn G -h c-x-_ &�,, 0 oKEcyO. CITY OF OKEECHOBEE z' = CITY COUNCIL RECESSED MEETING RoAo/ OFFICIAL AGENDA PAGE 1 OF 1 I. RECONVENE MEETING: - Mayor. January 26, 1999, City Council Recessed Meeting, Noon 12 O'clock. • II. MAYOR, COUNCIL AND STAFF ATTENDANCE - City Clerk. Mayor James E. Kirk Council Member Noel A. Chandler Council Member Lowry Markham Council Member Robert Oliver Council Member Dowling R. Watford, Jr. City Attorney John R. Cook City Administrator Robert J. Bradshaw City Clerk Bonnie S. Thomas Deputy Clerk S. Lane Gamiotea i III. NEW BUSINESS CONTINUED. A. Discuss awarding a Property and Casualty Insurance Bid continued. IV. ADJOURN REGULAR MEETING - Mayor. PLEASE TAKE NOTICE AND BE ADVISED that if any person desires to appeal any decision made by the City Council with respect to any matter considered at this proceeding, such interested person will need a record of the proceedings, and for such purpose may need to ensure a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. City Clerk tapes are for the sole purpose of backup for official records of the Clerk. Ae 1 • • LAw OFFICES RUMBERGER, KIRK & CALDWELL PROFESSIONAL ASSOCIATION Signature Plaza, Suite 300 201 South Orange Avenue (32801) Post Office Box 1873 Orlando, Florida 32802.1873 January 21, 1999 Robert Bradshaw, City Administrator City of Okeechobee 55 Southeast Third Avenue Okeechobee, Florida 34974-2932 RE: PUBLIC RISK MANAGEMENT (PRM) OUR FILE NO. P155-13414 Dear Mr. Bradshaw:: Telephone (407) 872.7300 Telecopier (407) 841.2133 http://www.rumbegW.com Our law firm has been requested by Mr. Ross Furry of PRM to write to you concerning the meaning of Section 16.3 of the By-laws for Public Risk Management of Florida. Section 16.3 of the By-laws, which is entitled Responsibilities of Terminated Member states the following: After expulsion or termination whether voluntary or involuntary, the former Member shall continue to be fully responsible and obligated for its portion of covered claims against the Pool which covered claims were incurred during the term of its membership, along with any other unfilled obligations as if it were still a Member of the Pool. The expelled or terminated Member, shall, after expulsion or termination, no longer be entitled to participate or vote on the Board of Directors. Please be advised that when the section references to the member being fully responsible and obligated "for its portion of covered claims", this language pertains to any maintenance deductibles, premiums, loss fund payments or administrative fees owed or unpaid by the member at the time of expulsion or termination. Secondly, the words "unfilled obligations" in the section refers to any premium which may be owed by the member for the final audit by the State of Florida workers compensation division, which PRM estimates based on member payroll projection. Workers compensation is audited in arrears by the state. Orlando (407) 872.7309 Please also be advised that PRM is a non -assessable Pool, or association. Miami (305) 358-5577 Tallahassee (850) 222.6550 Tampa (813) 223-4253 Birmingham (205) 327-5550 y Robert Bradshaw, City Administrator January 21, 1999 Page 2 We trust that the above is responsive to any of your questions. Should you have any additional questions, please do not hesitate to contact Mr. Ross Furry at your convenience. Very truly yours, jg��' Jeffrey S. Weiss JSW:wwj cc: Ross Furry, Executive Director, Public Risk Management TITAN INSIMAN .E COMPANY $2,000,000. LIMIT TYPE PROPERTY INLAND MARINE GENERAL LIABILITY CRIME •BOILER & MACHINERY TOTAL FOR COMMERCIAL PACKAGE LAW ENFORCE LIABILITY PUBLIC OFFICIAL LIABILITY AUTO WORKER'S COMP -GRIT TOTAL FOR CURRENT PREM. 2t2/97 2/2/98 2-2-99 INSURANCE PROPOSALS TYPE PROPERTY INLAND MARINE GENERAL LIABILITY BOILER & MACHINERY EXECESS LIAR TOTAL FOR COMMERCIAL PACKAGE EQUIP. BREAKDOWN LAW ENFORCE. LIAB. PUBLIC OFFICIAL LIAR. AUTO & PHYSL DAMGE TOTAL AUTO. PROPERTY ETC. WORKER'S COMP *GRIT TOTAL PROPOSAL LESS BOILER & MACHINERY APPRAISAL FEE TOTAL PROPOSAL CURRENT POLICIES & PREMIUM LEONARD BERGER INS. AGENCY DEDUCTIBLE $250.00 $2,519.00 $0.00 $1,741.00 $21,793.00 $5,000.00 $1,86100 $0.00 $0.00 $27,915.00 $2,500.00 $15,636.00 $2,500.00 S5,186.00 S250.00 S32,987.00 22.00 $162,046.00 JON SPYKER R. ACKERMAN R GARY LONGO L. BERGER INSURANCE AGENCY PUBLIC RISK WEEKS & CALL- RISK MANAG. DEDUCTIBLE TITAN OP1 GO PRO PENCO MANAGE. WAY- FL MUN. ASSOC., INC. $500.00 $2,831.00 * $14,647.00 $11,012.00 $6,401.00 $4,893.00 ST.500. COM 250.00 S1,821.00 $3,573.00 INCL. IN PROP. INCL. IN PROP INCL. IN PROP $0.00 S15,026.00 * $13,037.00 $14,731.00 S39,114.00 $20,293.00 $500.00 $640.00 $0.00 $896.00 INCL. IN PROP. INCL. IN PROP $801.00 $0.00 S237.00 INCL. IN PROP. $500.00 $697.00 $243.00 S5,002.00 $7,093.00 $4,071.00 INCL. IN PROP. $25,320.00 *$30681.00 S36,224.00 $25,743.00 $46,212.00 $26,230.00 $1,000.00 $296.00 $0.00 $2,500.00 $14,939.00 * $6,498.00 INCL. GEN LLIB INCL. GEN LIAR. $2,500.00 S3,575.00 * $4,605.00 $6,313.00 if $4,484.00 $500.00 $34,310.00 23 585.00 $19,926. $12,627.00 18 463.00 19 699.00 78 330.00 1576.00 $67,253.00 $44,683.00 $64,675.00 $50,413.00 *$54,391.00 *$54,391.00 *$54,391.00 $49,353.00 X- $55,921.00 *S54,391.00 S132-72Lr00 $115,967.00 237.00 S121� S9d" S120.5%,00 „�� (L 4?jo) -' �-iZ1 SII5.730.Of1 119, g99.o0 ed,561. oo $450.00 Ip v%wooY�' ��/ mr, 1.cfJQ 050 - RzP TCy 65a J (�.r �t A 103�/z� UZ TITAN INSURANCE COMPANY $2.000.000. LIMIT TYPE PROPERTY INLAND MARINE GENERAL LIABILITY CRIME •BOELER & MACHINERY TOTAL FOR COMMERCIAL PACKAGE LAW ENFORCE LIABILITY PUBLIC OFFICIAL LIABILITY AUTO WORKER'S COMP -GRIT TOTAL FOR CURRENT PREM. =93-2nmy Z-z'98 2-2-99 INSURANCE PROPOSALS CURRENT POLICIES & PREMIUM LEONARD BERGER INS AGENCY DEDUCTIBLE $250.00 $0.00 S5,000.00 $0.00 $2,500.00 $2,500.00 $250.00 TYPE DEDUCTIBLE PROPERTY $500.00 INLAND MARINE ST.500. COM 250.00 GENERAL LIABILITY CRIME BOILER & MACHINERY EXECESS LIAB. TOTAL FOR COMMERCIAL PACKAGE EQUIP. BREAKDOWN LAW ENFORCE. LIAB. PUBLIC OFFICIAL LIAR AUTO & PHYSL DAMGE TOTAL AUTO. PROPERTY ETC. WORKER'S COMP 'GRIT TOTAL PROPOSAL LESS BOILER & MACHINERY APPRAISAL FEE TOTAL PROPOSAL $0.00 $500.00 $1,000.00 S2,500.00 $2,500.00 $500.00 $2,519.00 $1,741.00 $21,793.00 $1,862.00 0.00 $27,915.00 S15,636.00 $5,186.00 $32,987.00 22.00 $162,046.00 L BERGER INSURANCE AGENCY TITAN OP1 GO PRO PENCO $2,831.00 ' $14,647.00 $1,821.00 $3,573.00 $15,026.00 ' $13,037.00 $640.00 $0.00 $996.00 $0.00 $237.00 INCL. IN PROP. $5,002.00 $7,093.00 S4,071.00 $25,320.00 "530681.00 $36,224.00 JON SPYKER PUBLIC RISK MANAGE. $11,012.00 INCL. IN PROP, $14,731.00 INCL. IN PROP, $500.00 $25,743.00 R. ACKERMAN WEEKS & CALI, WAY- FL MUN. $6,401.00 INCL. IN PROP $39,114.00 INCL. IN PROP $697.00 INCL. IN PROP. $46,212.00 $286.00 $0.00 $14,939.00 $6,498.00 INCL. GEN LIAR $3,575.00 $4,605.00 $6,313.00 it $34,310.00 $23,585.00 $19,926.00 $12,627.00 $18.463.00 7$9 330.00 $61,576.00 $67,253.00 $44,693.00 $64,675.00 'S54.391.00 'S54.391.00 'S54391.00 4$9,353.00 55 921.00 S132.721.00 $115,967.00 S121.644.00 S120.596.00 ($237.00) tb 9?.do) S115,730.00 qwuff 00 S450.00• � 4� R. GARY LONGO RISK MANAG. ASSOC., INC. S4,893.00 INCL. IN PROP $20,293.00 S801.00 $243.00 $26,230.00 INCL. GEN LIAR. $4,484.00 19 699.00 $50,413.00 'S54,391.00 W.5d1.o0 -Mr, La^0 ASO RepreytNi-S EXHIBIT 2 — ` TAN 19 AGGENDA CITY OF OK� 941)763-3372 * Fax 941)763-1686 /-1a.-�y CITY DEPARTMENT AGENDA ITEM REQUEST FORM Submitting Deparment: 'qdrn//visfk4�10N by � o be 4 5 A o�'F' MEETING: REGULAR 0 SPECIAL ❑ WORKSHOP ❑ DATE: 0- 9 % PLEASE STATE THE ITEM YOU WISH TO HAVE PLACED ON THE CITY COUNCIL AGENDA. .iilC'u.� S Xj r aNce- PLEASE STATE RECOMMENDED ACTION BY THE CITY COUNCIL. TV Afc �_ ,?cX 4, rc S -I - n - f CC -eat- #9— PLEASE SUMMARIZED EXPLANATION/BACKGROUND INFORMATION AND ATTACH APPLICABLE DOCUMENTS. jr/i/l �pxl� G►ct'1- / •V" S-p D A ►'rg 'iP l�J/4r;%� IF PRESENTATION IS TO BE MADE, HOW MUCH TIME WILL BE REQUESTED?3d 4 S t • • . ExHIBIT 2 - JAN 19 AGENDA CITY OF OKEECHOBEE Memorandum TO: Mayor and Council Thru:Robert Bradshaw, City Administrator FROM:Lola Parker, Finance Coordinator DATE:January 15,1999 .qTTR,TRrT • Trncnrcanr-a hi rlc fnr wnrkarF c rnmp,' s rnpert� I radial tot Attached are copies of the 4 submitted insurance bids. Each proposer will be invited to the City Council meeting on January 1l, 1999, for questions and discussions. Mr. Richard Ackerman said that Berger Insurance Agency used a different modification rate than the proposal had�to calculate the worker's comp. Premium on. Oe- w t 11 be COMMeAf ) MN o ti -�k L5, ;��, �IaJz�- Thank You Lola Parker Finance Coordinator AM- Coverage Property with $500,000 Excess Flood Inland Marine Crime Boiler & Machinery General Liability $2 M/$6 M Aggregate Law Enforcement PROGRAM COMPARISON ( e&M,P r sv-o Coregis Insurance Co. Titan Insurance Co. Annual Premium Annual Premium I$ 4,945 * 1 $ 2)293 Included in Property $ 801 ` $ 243 $201293 Included in GL Auto Liability & Physical $19,699 Damage $2 Mil./$500 Ded. Physical Damage Public Officials Liability $ 4,484 Duty to Defend $2 Mil/$2500 Ret./Remove Back Wages TOTAL $509,465 Vtrk'5 �on,Q �' S11�39/ *Property Premium Includes:- 2M Valuable Papers 16 ,q sG 2M Accounts Receivable 2M Business Income/Extra Expense Tylr, %o N,S0 rRe- e re-ScN�s $ 2,315 $ 1,130 No Coverage $221013 $14,891 $30,667 $5,762 $799071 CITY OF OKEECHOBEE Optional Limits of Liability $2.000.000 CSL $3.000.000 CSL $5.000.000 CSL GENERAL LIABIITY Liability $14,256 $14,606 $14,840 Police Professional 17,141 17,631 17,957 Errors & Omissions 6,619 6,809 6,935 Supplemental Errors & 775 795 809 Omissions Medical Attendants 323 331 337 Malpractice Total $39,114 $40,172 $40,878 AUTOMOBILE Liability $11,154 $11,444 $11,629 Physical Damage 7,309 7,309 7,309 Total $18,463 $18,753 $18,936 PROPERTY Real & Personal Property $4,265 $4,265 $4,265 Extra Expense 457 457 457 Inland Marine 1,210 1,210 1,210 Bond 189 189 189 Depositor's Forgery 22 22 22 Money & Security 258 258 258 Total $6,401 $6,401 $6,401 WORKERS' COMPENSATION $55,921 $55,921 $55,921 TOTAL EMIT PREMIUM $119,897 $121,247 $122,138 BOILER & MACHINERY $697 $697 $697 GRAND TOTAL PREMIUM $120,584 121,944 122,835 14 �&/Vf CITY OYOKI;ECHOBEE CONTRIBUTION BREAKDOWN 40. 1998 to 1999 Column II Column I 2/2/99-10/l/99 1998/19999 P�$atapmiuM Excess Insurance Premiums: Package Policy Excess Property • $2.518,990 x .103 $2,59$13,200 $712 Excess Workers Compensation - $ 2,671,656 x .16/$100 payroll ,$1, $2,24 40 $1,461 Total Excess Insurance Premiums: $24,834 $16,373 Loss Fund Contribution @ 100%: $45,000 $29,700 Administration Costs: PRM Administration and Loss prevention Local Agent's Fee $4,463 $2,939 Gallagher Bassett Fee $6,88 $4,533 Workers' Compensation State Fees $7,858 $5,736 $5,023 $3,315 ?btal Administration Costs: $24,202 $16,523 Appraisal Fee TOTAL PRMCOSY $450 $450 OPT L:$94,486) $63,046 QML COVERArFS• Boiler 8t Machinery Excess Liability ($30000,000 xs $2,000,000) $500 $330 $4,500 J $2,970 5% Approved drug -Free and 3% Approved Safety Credit Available - See PRM ** State Fees are subject to change by State of Florida 24 #35:1d`',;`,ps4Nl�o�ir >:ax MuNLer to:1941WO4569 Your Company Nave Paget9Z9/826 C .� ' V LI� / PtiAIJr Saxpr 3ervkYTTfAkk4 t b This policy is subject to • 250/9 minimum earned premium. Failure to supply, r `(Wdnsut+l vbdetinmu!ed motorist. SUM and no fault coverages arc excluded. Account Pricing The following is the price breakdown for this quote. The price quoted does not include a .s74Ds . and few. These will be Added based upon your locality. � , $15,026 1 - S 3,575 _C)Puf* 1 S 14,839 4 $20,111 "Akt# $14.199 S Z831 = $r„ vi"Option i S 1,821 dpace 1 $640 F1 PENCO �____ PROPERTY nvvngR tNS,UtBANCE SER_ VICES. IN • REAL & PERSONAL Building Contents Blanket? Agreed Amount? If not, coinsurance°% All risk or equivalent? Replacement Cost? Flood & earthquake included? Sub -limit? y Deductible? Building ordinance? Permission to rebuild at another site? Architect fees? Joint agreement with B & M? PREMIUM: $ 5oo Deductible �47o Pre rn , 30 VALUES $ 1,481,300 $ i nc i udpd y y y y Flood zones A,B,&V v excluded. ,__y Flood $25,000 Earthquake _51% See property form-5 Municipal SPICE y $14,647.00 + Taxes & fees$ 18.26 ln7a$�•0v dove nentaI ltlisklnsurance gust WorkerMmpensation Premium Summary as of 01/13/1999 • Worksheet 8 of 8 Premium Plan: Guaranteed Cost State: FL Billing Group: 1 City of Okeechobee Berger Insurance Services Inc. 55 SE 3110 AVENUE P.O. Box 158 OKEECHOBEE FL 34974 Okeechobee FL 34973-0158 POLICY NUMBER: 0000000537 POLICY PERIOD:02/02/1999 - 02/02/2000 ANNIVERSARY RATING DATE: 02102JI999 Rate Debil/Credit Balance MANUAL PREMIUM - Employers U@Wlky Coverage Deductible / Co-insurenoe Coverage Other A Managed Care Safety Credit Drug Free Credit Experience Mod MODIFIED PREMIUM STANDARD PREMIUM Airplane Seats Premium Deviation CCPAP Other B Waiver of Subrogation Stock Carrbr"s Discount DIRECT PREMIUM Expense Constant TOTAL PREMIUM CLASS CODE DESCRIPTION 5509 CT-STREET/ROAD MAINTENANCE -MUNICIPAL, 7704 FIREFIGHTERS 8 DRIVERS 7720 POLICE OFFICERS 8 DRIVERS 8810 CLERICAL OFFICE EMPLOYEES NOC 8831 HOSPITAL - VETERINARY & DRIVERS 9015 BUILDINGS NOC - OPERATION BY OWNER/LE 9410 MUNICIPAL,TOWNSHIP,COUNTY OR STATE E Experience ModlMoatlon: 02WJI ON - 02/02/2000 .85 2.00% (21.00)% RATES 8.40 8.86 8.17 0.55 3.41 8.57 13.29 $91,494 91,494 91,494 91,494 91,494 ($1,830) 89,664 89,664 ($13,450) 76,214 $76,214 $76,214 76,214 ($161005) 60,209 60,209 60,209 60,209 ($6,016) 54,191 $54,191 $200 54,391 $54,391 ESTIMATED ESTIMATED PAYROLL PREMIUM $194,596 $16,346.00 $277,721 $24,6W.00 $574.348 $46,924.00 $346,010 $1,9W.00 $180 $6.00 $15,587 $1,336.00 $2,809 $373.00 $1,411,251 $91,494.00 Page 1 of 1 DID TABULATION SIMET BID 0 CA 01-12-01-99 TITLE Property and Casualty Tncnranrra ITEM NO. & DESCRIPTION TYPE DEDUCTIBLE RESPONCE DATE RECEIVED AMOUNT SUNSHINE STATE INSURANCE No ; Accurate Auto insurance � Murray Insurance Service I- 1 BERGER INSURANCE AGENCY p4�-ty I CU-` N S Pr'►'1 g/1 6yq. 44, & ASSOCIATES TOTAL OFFER TERMS 3 year Contract with annual renewal DELIVERY „ RECOMMEND AWARD DID TABUI.ATIONy SHEET BID M CA Ol 12 Ol 99 - TITLE Property and Casualty Tnc„rnnre ITEM NO. & DESCRIPTION TYPE DEDUCTIBLE RESPONCE Deakins-Lawrenece Insurances, Inc. DAVID HESTER INSURANCE AGENCY BRUCE A. HOMER INSURANCE JAY HUFFMAN & ASSOCIATES DATE RECEIVED AMOUNT JOHN PERRY INSURANCE AGENCY 1- VM ,v � OKEECHOBEE INSURANCE TOTAL OFFER TERMS 3 year Contract with annual renewal DELIVERY RECOMMEND AWARD CITY OF OKEE(MOBEE DZD TABULATION SUBBT BID CA O1-12-01-99 TITLE Property and Casualty Tnsnranrp ITEM NO. & DESCRIPTION TYPE DEDUCTIBLE RESPONCE NEW YORK LIFE INSURANCE F GRETCHEN ROBERTSON INSURANC;, DOW G. WALKER INSURANCE IPt�-_ t4 DATE RECEIVED AMOUNT OHN W. SPYKER INS. CONSULTANW'61 kLtf ,,:j g614v pm 4;,d, uk4t4a- Z.V'r RI HARD L . A KE -71 Mom"'' Qom, .J, Qom , l : SS P th DALE BICKNELL R M A N ARY LONGO R M A" pro pt N } A�+0 TOTAL OFFER TERMS 3 year Contract with annual renewal DELIVERY RECOMMEND AWARD 'V.'i. 1LI 'J.'* U.." JV.', , M , P. a.. DID TABULATION SHEET BID N CA 01-12-01-99 TITLE Proverty and Casualty Tnc„ranro ITEM NO. & DESCRIPTION TYPE DEDUCTIBLE RESPONCE DATE RECEIVED AMOUNT STEVEN J. ANDERSON R M W TOTAL OFFER TERMS 3 year Contract with annual renewal DELIVERY RJCOMMEND AWARD 1 a a To: Robert J. Bradshaw, City Administrator John Cook, City Attorney FACSIMILE Fax #: 1-941-763-1686 Re: Public Risk Management (PRM) Date: January 21, 1999 Pages: , including this cover sheet. Gentlemen: Thank you for allowing PRM the opportunity to make a proposal on the Ckys's Insurance and Risk Management program. We believe that the City of Okeechobee would make a very good member for PRM and that the City will benefit for being part of PRM. It is my understanding that you have made some inquiries regarding PRM. No doubt you have determined that PRM offers its member superior coverage, premium competitiveness, financial stability, and outstanding claims and loss prevention service. As a result of the recent Okeechobee Council meeting, we would like to confirm the following: Included with this fax is a letter from the PRM legal counsel, confirming that PRM is non -assessable. Additionally, Mr. Berger specifically cited Section 16.3 of the PRM by- laws and PRM's legal counsel has addressed the meaning of Section 16.3. Obviously, the member remains responsible for the policy maintenance deductible ($500 on property and auto physical damage) and any outstanding monies that have been billed but not collected such as premiums and administrative fees, and workers compensation audits. This is no different that any insurance program. It should be noted that the audit on workers compensation is only at the rate of .16/$100 payroll and not the State rates based on each employee classification.. 2. Public Risk Management is able to Guarantee the Annual Premium in our proposal until 10-1-2001. 3. PRM does offer an approved 5% Drug Free and 3% safety credit off the Loss Fund. . On an annual basis this credit would be 8% of $45,000 or $3,600 We look forward to seeing you next Tuesday. Sincerely, From the desk of... Paul J. Erickson Area vice President ' Arthur J. Gallagher & Co. 201 South Orange Ave. Orlando, FL 32801 407-872-3666 Fax: 407-872-3364 0 • CC: Jim Hicks, PRM Ross Furry, PRM Jon Spyker 0 • LAw OFFICES RUMBERGER, KIRK & CALDWELL PROFESSIONAL ASSOCIATION Signature Plaza, Suite 300 201 South Orange Avenue (32801) Post Office Box 1873 Orlando, Florida 32802-1873 January 21, 1999 Robert Bradshaw, City Administrator City of Okeechobee 55 Southeast Third Avenue Okeechobee, Florida 34974-2932 RE: PUBLIC RISK MANAGEMENT (PR1V0 OUR FILE NO. P155-13414 Dear Mr. Bradshaw:: Telephone (407) 872.7300 Telecopier (407) 841-2133 http-J/www.rumberger.com Our law firm has been requested by Mr. Ross Furry of PRM to write to you concerning the meaning of Section 16.3 of the By-laws for Public Risk Management of Florida. Section 16.3 of the By-laws, which is entitled Responsibilities of Terminated Member states the following: After expulsion or termination whether voluntary or involuntary, the former Member shall continue to be fully responsible and obligated for its portion of covered claims against the Pool which covered claims were incurred during the term of its membership, along with any other unfilled obligations as if it were still a Member of the Pool. The expelled or terminated Member, shall, after expulsion or termination, no longer be entitled to participate or vote on the Board of Directors. Please be advised that when the section references to the member being fully responsible and obligated "for its portion of covered claims", this language pertains to any maintenance deductibles, premiums, loss fund payments or administrative fees owed or unpaid by the member at the time of expulsion or termination. Secondly, the words "unfilled obligations" in the section refers to any premium which may be owed by the member for the final audit by the State of Florida workers compensation division, which PRM estimates based on member payroll projection. Workers compensation is audited in arrears by the state. Please also be advised that PRM is a non -assessable Pool, or association. Orlando Miami Tallahassee Tampa Birmingham (407) 872-7300 (305) 358-5577 (850) 222-6550 (813) 223-4253 (205) 327-5550 Robert Bradshaw, City Administrator January 21,1999 Page 2 We trust that the above is responsive to any of your questions. Should you have any additional questions, please do not hesitate to contact Mr. Ross Furry at your convenience. Very truly yours, ja�� Jeffrey S. Weiss JSW:wwj cc: Ross Furry, Executive Director, Public Risk Management