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HomeMy WebLinkAboutResolution - 2672 - Amend R#2481-Repeal Section 5 Statement Of Coverage For City Self Insurance Fund - 10/22/1987JCR: da RESOLUTION Resolution #2672 October 22, 1987 Agenda Item #29 A RESOLUTION AMENDING RESOLUTION NO. 2481 BY REPEALING SECTION 5 THEREOF WHICH ADOPTED SELF INSURANCE COVERAGE FOR THE CITY OF LUBBOCK AS PROVIDED BY THE TEXAS MUNICIPAL LEAGUE JOINT SELF INSURANCE FUND AND IN ITS STEAD ADOPTING A NEW STATEMENT OF COVERAGE FOR THE CITY OF LUBBOCK LIABILITY SELF INSURANCE PROGRAM. WHEREAS, the City of Lubbock did heretofore by Resolution No. 2481 create the City of Lubbock's Self Insurance Fund; and WHEREAS, in said Resolution No. 2481 the City of Lubbock did adopt as its standard coverage a coverage heretofore provided by the Texas Municipal League Joint Self Insurance Fund; and WHEREAS, the City of Lubbock deems it to be in the best interest of the City of Lubbock to repeal the coverage adopted under Resolution No. 2481 and in its stead to substitute a new statement of coverage for the City of Lubbock Self Insurance Fund; NOW THEREFORE: BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: SECTION 1. THAT Section 5 of Resolution No. 2481 adopting the Texas Municipal League Joint Self Insurance Fund as the coverage document for the Lubbock Self Insurance Fund is hereby in all things repealed. SECTION 2. THAT the City of Lubbock Statement of Coverage Liability Self Insurance Program attached to this Resolution as Exhibit A and made a part hereof for all purposes is hereby adopted as the coverage to be afforded under the City of Lubbock Self Insurance Fund. SECTION 3. Save and Except as herein repealed or amended, Resolution No. 2481 shall remain in full force and effect. Passed by the City Council this 22nd nett&Boyd, City Secretary APPROVED AS TO CONTENT: Robert Massengale Assistant City Manager for Financial Services APPROVED AS TO qL C-"' C , o C. Ross, Jr., City At orney day of October , 1987. IV• C•�i��-f B.C. McMINN, MAYOR ` Res. #2672 10-22-87 9/25/87 CITY OF LUBBOCK STATEMENT OF COVERAGE LIABILITY SELF-INSURANCE PROGRAM I. WHAT IS COVERED The program will pay: A. All sums the covered party shall become legally obligated to pay as damages. B. On matters covered by A above, defense expense incurred by the City or incurred with the consent of the City. C. The actual cash value of damage to an employee's automobile, if such damage arises from the authorized use of the automo- bile on City business. II. WHAT IS NOT COVERED The program does not apply to: A. Liability under workers' compensation, disability benefits, un- employment compensation or similar laws. B. Damage to property owned by the City. C. Damages covered by insurance or other self-insurance pro- grams applying to a covered party. D. City police officers while employed by others and not per- forming City law enforcement functions. E. A covered party's damages or defense expense arising from a claim originally asserted by that covered party against another covered party. III. WHO IS COVERED Each of the following is a covered party under the program: A. The City. 1 B. While acting in the scope of their duties, current and previous: 1. Elected or appointed officers and officials of the City. 2. Board or commission members appointed by the City. 3. Employees or authorized volunteers of the City. C. Any person in B above when serving on boards, agencies or commissions of any kind at the direction of the City or with the expressed or implied consent of the City, subject to that board, agency or commission in B(2) above having paid its allocated share of the self insurance cost. D. Any entity the City is obligated by virtue of a written con- tract to provide liability coverage, but only with respect to operations performed by or on behalf of the City or facilities owned or used by the City. IV. DEFINITIONS The words and phrases in italics in this memorandum have special meanings: A. Actual cash value - replacement cost, less depreciation. B. City - the City of Lubbock. C. Covered party - a person or organization set forth in Section III. D. Defense expense - fees and expenses related to the adjustment, investigation, defense or litigation of a claim, including attor- ney's fees, court costs and interest due on judgments. Defense expense shall not include the salaries and overhead of employ- ees of any covered party. E. Program - the City of Lubbock Liability Self -Insurance Pro- gram. V. SUBROGATION In the event of payment by the program, the City shall be subrogated to all of the covered party's rights of recovery against any entity. The covered party shall do whatever is necessary to secure such rights and shall do nothing after a loss to prejudice such rights. 2