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HomeMy WebLinkAbout7033RESOLUTION NO. 7033 A RESOLUTION APPROVING PROFESSIONAL SERVICES CONTRACTS BETWEEN THE CITY OF PUEBLO, STEEL CITY AGENCIES, INC. AND MAX DAY AGENCIES, INC. RELATING TO RISK MANAGEMENT AND INSURANCE CONSULTING SERVICES AND AUTHORIZING THE PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1 The Professional Services Contracts relating to risk manage- ment and insurance consulting services between the City of Pueblo, Steel City Agencies, Inc. and Max Day Agencies, Inc., dated December 14, 1992, copies of which are attached hereto and incorporated herein, having been approved as to form by the City Attorney, are hereby approved. The President of the City Council is hereby authorized and directed to execute the Contracts in the name of and on behalf of the City of Pueblo, a Municipal Corporation and the City Clerk shall attest same. INTRODUCED: December 14, 1992 ATTEST: r C�ty Clerk By ?MICHAEL OCCHIATO Councilperson APPROVED: Presi nt of the City Council TJ 64.29 PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF PUEBLO AND STEEL CITY AGENCIES, INC. THIS AGREEMENT is made as of the /y# day of 199., by and between the City of Pueblo, a municipal corporation, hereinafter called "Pueblo" or "the City," and Steel Agencies, Inc., a Colorado corporation, hereinafter generally called "SCA ". 1 SERVICE AGREEMENT SCA shall provide to the City and the City shall pay for specified risk management services, all in accordance with the terms of this agreement. 2 TERM The term of this agreement will begin on January 1, 1993, and shall continue through December 31., 1994. The City may terminate this agreement upon sixty (60) days' written notice to SCA. SCA may withdraw from this agreement upon sixty (60) days' written notice to the City. The parties may extend this agreement by mutual agreement. 3 SCOPE OF SERVICES The services to be provided by SCA under this agreement shall be the following: 3.1 RISK MANAGEMENT SERVICES SCA shall provide Risk Management services relating to Worker's Compensation and third -party liability which will include: The designation of SCA as Risk Management Officer for the City of Pueblo to administer the risk management policy statement adopted by the City. The evaluation of contractual insurance provisions relating to Worker's Compensation insurance or reinsurance. In consultation with the City Attorney, review purchase orders for hold harmless agreements and the provisions relating to Worker's Compensation and liability exposures. Assist the CPA firm for the City in furnishing detailed information for each open claim year for the self- insured funds in response to the requirements of the Governmental Accounting Standards Board (GASB) Statements No. 10. Assist the City in implementing loss prevention programs. Implementation throughout the City of Safety Committees that will investigate and provide solutions for employee - related losses. This can also include third -party losses, at the option of the City. Investigate employee injuries as they occur, when called by the City to do so. PROFESSIONAL SERVICES CONTRACT - PAGE 1 : Assist in the development of a plan that will provide incentive to the City employees in the form of compensation or other benefits for the reduction of workers' compensation claims. 3.2 SCA SELF - INSURED WORKERS' COMPENSATION SERVICES Obtain quotations for claims, administration and reinsurance quotes for Self - Insured Workers' Compensation Program on an annual basis. Answer questions by phone or in writing (by fax or mail) as requested by the City from time to time. Provide information to National Council on Compensation Insurance (NCCI) so that experience modification can be developed. Review experience modification worksheets when completed by NCCI. Assist in tax computation with Department of Labor for self- insurance. Place self - insurers bond net of commission. 3.3 SCA WORKERS' COMPENSATION MANAGEMENT SCA shall answer questions from the City Manager and Director of Personnel relating to technical worker's compensation program and benefit issues and questions and respond in writing if deemed appropriate. SCA shall conduct safety meetings in conjunction with risk management meetings to assist in development and maintenance of a comprehensive program for employee safety. SCA shall review and evaluate not less than six times per year open and paid worker's compensation claims and reserves as to frequency and severity by specific department with the Director of Personnel and at request with the City Manager. 3.4 SCA INSURANCE MANAGEMENT SCA shall continue the review of opportunities for self - insurance, cooperative or pooled insurance buying, insurance and /or reinsurance of specific City activities and other methods of risk pooling or transferring. SCA will report on an annual basis at a council work session in the month of November on the current risk management program. SCA will also report to the city upon finding any significant changes in the availability of or need for insurance or reinsurance; upon the request of the City, SCA will report from time to time on the availability of and need for insurance and reinsurance, regardless of whether there is a significant change. Ralph Williams of SCA shall represent the City as the voting member at any meetings of insurance cooperatives or pooling arrangements, including the Colorado Intergovernmental Risk Sharing Agency. SCA shall attend all meetings of the City Insurance Committee. 3.5 SCA LOSS MANAGEMENT SCA shall receive and process information on all claims for the City or against the City involving property damage or third -party claims PROFESSIONAL SERVICES CONTRACT - PAGE 2 normally covered by property and casualty insurance, except claims involving liability coverage for the Pueblo Memorial Airport, and group health employee claims which are specifically not covered by this agreement. Workers' compensation claims will be reported by employees directly to the City's Personnel Department. For each claim reported to SCA, SCA shall generate a loss notice and shall assign the claim to the Colorado Intergovernmental Risk Sharing Agency or to other insurance carriers, as appropriate. The Colorado Intergovernmental Risk Sharing Agency monthly reports and workers' compensation reports will be reviewed with the appropriate City officials at least six times a year and, if required, with the City Insurance Committee. 4 SERVICES NOT INCLUDED SCA will provide only the services specified in the previous section and miscellaneous services incidental to such services. It is understood by the parties that the following essential services are NOT to be provided by SCA under this agreement: legal services related to claims. 5 COOPERATION OF CITY The City shall cooperate with SCA in carrying out their respective functions under this agreement. Specifically, the City shall: Provide to SCA without charge copies of all city documents, records, ordinances, resolutions and other information of any kind affecting SCA's duties under this agreement. Provide to SCA without charge a set of the Code of ordinances of the City of Pueblo, including all updating services during the term of this agreement. Notify SCA as promptly as possible upon receiving information about a new claim or a potential claim against the City. Make its personnel and records available to SCA and the designated claims investigator for the purpose of investigating any claim. Make diligent efforts to implement the risk management policy developed under this agreement and the reasonable risk management and claims handling procedures recommended from time to time by SCA. Upon termination of this agreement and request of the City, all City documents and Ordinances shall be returned to the City. To the extent permitted by law all information and documents provided or furnished by the City under this agreement shall be treated by SCA as confidential. 6 SERVICES TO PUEBLO TRANSPORTATION COMPANY All services included in this agreement will be provided to Pueblo Transportation Company. The City, at its option, can charge back to Pueblo Transportation a portion of the fees in Paragraph 7. PROFESSIONAL SERVICES CONTRACT - PAGE 3 7 7 FEES' SCA shall receive a monthly fee of Five Thousand Two Hundred and No /100 Dollars ($5,200.00) for each month during the term of this agreement. Such fee shall be payable within fifteen (15) days after the end of the month for which the services were provided. The monthly fee for any partial month at the beginning or end of this agreement shall be pro -rated based.on a 30 -day month. 7.1 COMMISSIONS SCA shall not receive commissions from insurance companies or others on insurance purchased for the City while this agreement is in effect. All commissions ,otherwise payable to SCA shall be credited to the City's fees in Paragraph 7. SCA shall make an annual accounting to the City of insurance purchased through SCA for the City, if any, showing premiums and commissions earned. 7.2 NO INSURANCE SCA is not an insurance company. No insurance is to be provided by SCA and no insurance is included in the fee set for services under this agreement. 8 KEY PERSONNEL It is understood by the parties that the City is relying on the availability of Ralph Williams, Bret Kelly and Don Learned as key personnel under this contract. If at any time any two of these persons cease to be active in the business of their respective agencies and to be reasonably available to supervise the services contemplated by this agreement upon ten (10) days notice to SCA. 9 DUTY OF SCA SCA shall have the duty under this agreement to carry out its respective obligations diligently, in good faith and in a professional manner. It is understood by the parties that the City, and not SCA, will continue to have control of the facilities, employees, agents and activities of city government that lead to claims and potential claims against a municipal government. In this context, SCA shall be liable to the city only for their respective negligent acts or omissions in carrying out its duties under this agreement. 10 NOTICES Any notices sent under this agreement shall be sent by certified mail, return receipt requested, to: Steel City Agencies, Inc. P.O. Box 4316 Pueblo, CO 81003 City of Pueblo City Manager 1 City Hall Place Pueblo, CO 81003 PROFESSIONAL SERVICES CONTRACT - PAGE 4 11 COMPLETE AGREEMENT, CONSTRUCTION This agreement contains the complete agreement between the parties and shall be amended only by a writing signed by all parties. However, as an agreement for professional services, it cannot contain every detail of the continuing professional relationship between the parties; thus, it should be implemented and construed broadly to achieve the intent of. the parties as reflected in the agreement. All words shall be given their common and ordinary meanings unless the context otherwise requires. The singular includes the plural and words of one sex include other sexes, as the context may suggest. Captions are finding aids only and are not to be used in the construction of the agreement. IN WITNESS WHEREOF, this agreement has been executed by the parties on the day and date first set forth. CITY OF PUEBLO A Municipal Corporation President of City Council ATTEST: W/0-17 "I"W"NAWNZ, APPROVED AS TO FORM: CITY ATTORNEY Ski By: STEEL CITY AGENCIES, INC. A Colorado Corporation : a. /) . I r sid t ATTEST: & ��\ Secreta y PROFESSIONAL SERVICES CONTRACT - PAGE 5