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HomeMy WebLinkAbout2022-09-27 - AGENDA REPORTS - TORT LIABILITY CLAIMS CJPIAO Agenda Item: 7 1. CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR CITY MANAGER APPROVAL: A,1 A11�443 DATE: September 27, 2022 SUBJECT: RESOLUTION ESTABLISHING A POLICY WHICH DELEGATES TORT LIABILITY CLAIMS HANDLING RESPONSIBILITIES TO THE CALIFORNIA JOINT POWERS INSURANCE AUTHORITY DEPARTMENT: Administrative Services PRESENTER: Andrew Adams RECOMMENDED ACTION City Council: 1. Adopt a resolution authorizing the City of Santa Clarita to delegate tort liability claims handling responsibilities to the California Joint Powers Insurance Authority. 2. Authorize the City Manager or designee to execute all documents, subject to City Attorney approval. BACKGROUND The City of Santa Clarita (City) is a California Joint Powers Insurance Authority (CJPIA) member for insurance coverage. The CJPIA provides the City's required insurance coverages in addition to services to support the City in liability/tort insurance, safety initiatives, and the overall claims process. While the City works closely with CJPIA on various aspects of a claim, it is the City who is ultimately responsible for making the final claim rejection and settlement determinations. When a claim is submitted, City staff forwards the claim to CJPIA and Carl Warren & Company, the third -party administrator that assists member agencies with their general liability/tort insurance claims; resulting in a multi -party investigation to determine liability. After analysis of all pertinent facts, the City determines to reject or settle the claim. Upon doing so, the City and Carl Warren independently send a findings letter to the claimant with the City's decision. The receival of two notices is confusing to the claimants. In an effort to reduce confusion and inefficient duplication of efforts, City staff recommend delegating the Page 1 Packet Pg. 69 O responsibility of claim notices, such as finding letters and other notices, to Carl Warren. By adopting the resolution, the City would delegate the preparation of these notification letters solely to Carl Warren, resulting in a more streamlined claims communication process. Carl Warren would mail notifications directly to claimants and forward electronic copies to the City for recordkeeping. For reference, most of the 120 CJPIA member agencies currently use Carl Warren to disseminate all claimant notices on their behalf. ALTERNATIVE ACTION Other direction as determined by the City Council. FISCAL IMPACT There is no impact to the General Fund associated with this action. ATTACHMENTS Resolution Approving the Delegation of Tort Liability Claims Handling Page 2 Packet Pg. 70 7.a RESOLUTION NO. 22- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, IMPLEMENTING A POLICY DELEGATING TORT LIABILITY CLAIMS HANDLING RESPONSIBILITIES TO THE CALIFORNIA JOINT POWERS INSURANCE AUTHORITY AS AUTHORIZED BY GOVERNMENT CODE SECTIONS 910, ET SEQ. WHEREAS, the City of Santa Clarita is a member of the California Joint Powers Insurance Authority (CJPIA) effective July 1, 2021, and pursuant to Government Code sections 990.4, et seq. and 6500 et seq. pools its self -insured liability claims and losses with other CJPIA members under a Memorandum of Coverage; and WHEREAS, the Joint Powers Agreement creating the CJPIA authorizes it to exercise powers common to members and appropriate to defend and indemnify members from liability claims under the Memorandum of Coverage. NOW, THEREFORE, The City Council of the City of Santa Clarita, California, does hereby resolve as follows: SECTION 1_ The City of Santa Clarita delegates to the CJPIA authority to act on its behalf pursuant to Government Code sections 910, et seq. to accept, reject, return as insufficient, or return as untimely any claims against it, and to provide any notices authorized under those statutes on behalf of the City of Santa Clarita. SECTION 2_ This resolution shall become effective immediately upon its adoption. SECTION 3. The City Clerk shall certify to the adoption of this resolution. PASSED, APPROVED, AND ADOPTED this th day of 2022. ATTEST: CITY CLERK DATE: MAYOR Page 1 of 2 Packet Pg. 71 7.a STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) I, Mary Cusick, City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Resolution No. 22- was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof, held on the th day of 2022, by the following vote: AYES: COUNCIL,MEMBERS: NOES: COUNCIL,MEMBERS: ABSENT: COUNCIL,MEMBERS: CITY CLERK Page 2 of 2 Packet Pg. 72