HomeMy WebLinkAbout1983-03-01; City Council; 6785-1; Joint Powers Agreement amendmentCIT OF CARLSBAD - AGENDA BILL S J
ABft 6785» #1
MTG 3/1/83
TITLE: PROPOSED AMENDMENT TO THE SAN DIEGO
COUNTY CITIES JOINT POWERS AGREEMENT FOR
RISK MANAGEMENT AND RELATED INSURANCE
COVERAGES
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RECOMMENDED ACTION:
Adopt Resolution No. 1 I
Joint Powers ..Agreement.
approving amendment to
ITEM EXPLANATION:
On November 3, 1981, Council adopted Resolution No. 7611 establishing a
joint powers agreement (JPA) to provide for the joint purchase of excess
liability insurance for JPA members. To date, six cities have purchased
excess liability coverage through the JPA.
The members of the JPA would like to broaden the scope of the original
agreement to include other areas of risk management. Some of the other
programs the members of the JPA might consider include: the purchase of
other types of insurance, claims adjusting and loss prevention. The
amendment will not create a direct cost to the City. Fees would be
assessed only to the users of the services provided by the JPA.
FISCAL IMPACT:
There would be no direct cost to the City. The City may realize a
significant cost savings on the purchase of insurance.
EXHIBITS:
1.
2.
Exhibit "A" Analysis of Amendment to JPA.
Resolution No.
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Exhibit '»"
ANALYSIS OF AMENDMENT TO THE
SAN DIEGO COUNTY CITIES JOINT POWERS AGREEMENT
The purpose of the amendment is to expand the scope of the original joint
powers agreement to include other areas of risk management. The original
agreement was limited to the joint purchase of excess insurance.
The following changes have been made in the Agreement:
Page 1
Line 27
Original
Amendment
Line 29
New section
in amendment
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Line 4
Original
Amendment
Line 9
Original
Amendment
Line 21
Original
Amendment
join together to purchase excess insurance;
join together to provide effective risk management programs;
WHEREAS, for the purchase of this agreement, Risk Management
shall mean the process of indentifying, evaluating, reducing,
transferring and eliminating risk. Risk Management includes
various elements of insurance, law, administration, technology,
accounting and general business to effectively manage hazards
and losses to which member cities may be exposed.
establish and operate a program of risk management and purchase
excess insurance;
establish and operate a program of risk management.
join together with other parties for the sole purpose of jointly
purchasing excess insurance.
join together with other parties for the purpose of providing
effective risk management programs;
members of the Board will consist of one representative from each
participating member agency.
members of the Board will consist of one representative from each
signatory member agency.
Page 2
Lines 26,
Original
Amendment
Line 29
Original
Amendment
Page 3
Line 9
Original
Amendment
Line 14
Original
Amendment
Page 4
Lines 16,
Original
Amendment
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The Authority shall only have the powerto select a broker and jointly
purchase excess insurance.
The Authority shall have the power to select a broker and jointly
purchase insurance.
joint purchase of excess insurance The foregoing
powers are limited to those services related to contracting for
excess insurance.
joint purchase of insurance.
in the joint purchase of excess coverage. ... as may be provided
through subsequent amendments to this Joint Powers Agreement.
in the joint purchase of insurance.
majority of member agencies and subject to acceptance by the
prospective member of any financial arrangements specified by the
then current members.
majority of member agencies subject to the provisions of the then
current Bylaws.
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agreement shall become effective immediately after it has been adopted
by at least two cities.
agreement shall become effective immediately after it has been adopted
by a majority of member cities.
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1 RESOLUTION NO. 7148
2 A RESOLUTION OF THE-CITY COUNCIL OF THE CITY
OF CARLSBAD, CALIFORNIA, APPROVING AN AMENDMENT
3 TO THE SAN DIEGO COUNTY CITIES JOINT POWERS
AGREEMENT TO PROVIDE RISK MANAGEMENT SERVICES.
4
5 WHEREAS, an amendment to the San Diego County Cities Joint Powers
Q Agreement may Benefit the City of Carlsbad in the administration of its risk
7 management program; and
Q WHEREAS, the joint exercise O'f powers in Risk Management programs may
g result in significant cost savings to the City.
10 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad,
11 California, as follows:
12 1. That the above recitations are true and correct.
13 2. That the amendment to the Joint Powers Agreement attached hereto as
14 Exhibit "A" is hereby approved.
15 3. That the Mayor is authorized and directed to sign said agreement on
16 behalf of the City.
17 PASSED, APPROVED AND ADOPTED by the City Council of the City of Carlsbad,
13 California, at a regular meeting held on the 1st day of _JKarch___5 1983,
19 by the following vote, to wit:
20 AYES: Council iferrbers easier, Lewis, Chick and Prescott
21 NOES: NQne
22 ABSENT: Council Iterrber Kulchin
V23
! MARY H. CASL/R, Mayor
24
ATTEST:
25
AiETHA~ L.^RAOWKRANZ, City Clerf
27 (SEAL)
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• AM AMENDMENT TO THE
SAN.:DIEeO.:COUNTy^CITJCES.VJOINT.JPOWEBS.;AGREEMENT
FOR RISK MANAGEMENT AND RELATED INSURANCE COVERAGES
WHEREAS, the signatory members of the San Diego County Cities Joint
Powers Agreement for Risk Management and Related Insurance Coverages desire to
amend said agreement to allow an expansion of the purpose of the Joint Powers
Authority; and
WHEREAS, an amendment to the agreement may only be made by authorization
of-a majority of the governing bodies of the signatory members of the Joint
Powers Authority.
NOW, THEREFORE, for and in consideration of the mutual advantages to
be derived therefrom and in consideration of the execution of this agreement
by other local public entities, each of the parties hereto DOES AGREE as
follows: .
That the San Diego County Cities Joint Powers Agreement for Risk Management
and Related Insurance Coverages be and the same is amended as follows:
SAN DIEGO COUNTY CITIES
.JOINT POWERS AGREEMENT FOR
' RISK MANAGEMENT AND
RELATED INSURANCE COVERAGES
JOINT EXERCISE OF POWERS
This agreement is entered into pursuant to the provisions of Chapter 5 (begin-
ning with Section 6500) of Division 7 of Title I of the Government. Code
authorizing specified local public entities to exercise jointly the power to
provide risk management. These powers include providing for insurance pur-
suant to the provisions of Chapter 3 (beginning with Section 989) of Part 6 of
Division 3.6 of Title I of the Government Code.
WHEREAS, the public interest requires and it is to the mutual interest
of the parties hereto to join together to provide effective risk management
programs; and
WHEREAS, for the purpose cf this agreement. Risk Management shall mean
the process of identifying, evaluating, reducing, transferring arid eliminating
risk. Risk Management includes various elements o£ insurance, law, adminis-
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tration, technology, accounting and general business to effectively manage
hazards 'and losses to which member cities nay be exposed. • *
WHEREAS, each of the local public entities which is a party to this agree-
ment has the power to establish and operate a program of risk management; and
WHEREAS, Title I, Division 7, Chapter 5 of the California Government Code
authorizes the joint exercise by two or more local public agencies of any
power which is common to each of them; and
WHEREAS, each of the parties to the agreement desires to join together
with the other parties for the purpose of providing effective risk management
programs;
NOW; THEREFORE, for and in consideration of the mutual advantages to be
derived therefrom and in consideration of the execution of this agreement by
other local public entities, each of the parties hereto does agree as
follows:
ARTICLE 1 - SEPARATE ENTITY - There is hereby created a.separate public
entity, the full legal name of which shall be "San Diego County Cities Risk
Management Authority" and may be referred to herein as the "Authority". The
Authority is a public entity separate from the parties to this agreement.
ARTICLE 2 - MANAGEMENT BOARD - The governing body of the Authority shall
be the "Management Board" and may be referred to herein as the "Board". Voting
members of the Board will consist of one representative from each signatory
member agency. Each member shall be so designated by appointment by the member
agency's governing board. Each representative will, be a public agency staff
member.
ARTICLE 3 - AUTHORITY POWERS
j(A) The authority shall have the power to select a broker and jointly purchase
insurance. . •
(B) The Authority shall also have the power to enter into contracts for the
| joint purchase of insurance, employ agents and employees, and to sue and
be sued in its own name.
(C) The debts, liabilities and obligations of the Authority shall not be
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the debts, liabilities or obligations of the parties to the agreement.
(D) The Authority shall be subject to and governed by the Bylaws, once
adopted by the Management Board.
ARTICLE 4 - MEMBERS
(A) Each local public entity which is a party to this agreement is a "member
agency" of the Authority and is entitled to the rights and privileges
and is subject to the obligations of members, all as provided for in
this agreement and any subsequent Bylaws.
(B) Each member agency may at its sole election participate in joint purchase
of insurance or in other risk management services offered by the
Authority.
(C) After formation of the Authority by the initial membership group, new
members may be accepted upon application to .the Authority and upon accep-
tance by the majority of member agencies subject to the provisions of the
.then current Bylaws. i
ARTICLE 5 - AUTHORITY FUNDS - The Treasurer of the Authority shall be the
depository of the funds of the Authority. The Treasurer's selection, respon-
sibilities, compensation and related matters shall be governed by the Bylaws.
The Treasurer may also perform the functions of Auditor and Controller as
governed by the Bylaws.
ARTICLE 6 - TERM OF AGREEMENT - This agreement shall continue in effect
so long as there are two or more member cities.
ARTICLE 7 - TERMINATION OF MEMBERSHIP - A member agency may terminate its
membership in the San Diego County Cities Risk Management Authority by
notifying the Management Board at any time that they no longer wish to be a
member agency of the Authority; provided, however, such withdrawing member
agency shall be responsible for any debts or obligations incurred by that
j member agency during said period of membership.
ARTICLE 8 - ENFORCEMENT -'The Authority shall have the right to enforce
this agreement. If suit is brought by this Authority against any defaulting
member and the Authority prevails in the action, the defaulting party shall
pay reasonable attorneys' fees to the Authority as adjudicated by the Court.
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ARTICLE 9 - INVALIDITY - Should any portion, term, condition or provision
of this agreement be determined by a Court of competent jurisdiction to be
illegal and in conflict with any law of the State of California or be otherwise
rendered unenforceable or ineffectual, the validity of the remaining portion,
terms, conditions and provisions shall not be affected thereby.
ARTICLE 10 - AMENDMENTS - No amendments to this agreement shall be effec-
tive unless authorized by a majority of the governing bodies of the members to
thi s agreement.
ARTICLE 11 - PROHIBITION AGAINST ASSIGNMENT - No member agency may assign
any right, claim or interest it may have under this agreement and no creditor,
assignee, or third party beneficiary of any member shall have any right, claim
or title to any part, share, interest, fund, premium or asset of the Authority.
ARTICLE 12 - AGREEMENT COMPLETE - The foregoing constitutes the full and
complete agreement of the parties. There are no oral "understandings or
agreements not set forth in writing herein or in the Bylaws.
ARTICLE 13 - DATE AGREEMENT EFFECTIVE - This agreement shall become effec-
tive immediately after it has been adopted by a- majority. 'Of member cities.
EXECUTED BY THE UNDERSIGNED LOCAL PUBLIC ENTITIES UPON THE RESPECTIVE DATE SET
FORTH AFTER THE SIGNATURES OF THEIR DULY AUTHORIZED OFFICERS:
CITY OF CARLSBAD. BY:
MARY H. PASLER, Mayor
CITY OF CHULA VISTA, BY:
DATE
DATE
CITY OF CORONADO, BY:
CITY OF DEL MAR, BY:
DATE
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CITY OF EL CAJON, BY:
CITY OF ESCONDIDO, BY:
CITY OF IMPERIAL BEACH, BY:
CITY OF LA MESA, BY:
CITY OF LEMON GROVE, BY:
CITY OF NATIONAL CITY, BY:
CITY OF OCEANSIDE, BY:
CITY OF VISTA, BY:
DATE
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