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Home My WebLink About1999-06-01; Municipal Water District; 444; Property, Boiler & Machinery InsuranceCARLSBAD l’“‘NICIPAL WATER DISTRICT - --IGENOA BILL pb.dq AB # 44q TITLE: PROPERTY, AND BOILER AND MACHINERY MTG. 6/l I99 INSURANCE DEPT. RM RECOMMENDED ACTION: Approval of Resolution No. 1053 authorizing the expenditure of $35,551 for continued participation in the Public Entity Property Insurance Program. ITEM EXPLANATION On October 5, 1993, Council and the Carlsbad Municipal Water District (CMWD) Board approved the placement of the City’s and CMWD’s property insurance with the Public Entity Property Insurance Program, a program developed by the Robert F. Driver Company for public agencies. The cost is allocated to departments based on claims experience and department size. The premium to renew the property insurance for the period May 15,1999 through May 15,200O (coverage was bound pending Council and Board action) is $35,551, an increase of approximately $19,300 over the premium paid last year. This is predominantly due to an overall increase in vehicle values. Staff recommends renewal of the property insurance under the Public Entity Property Insurance Program. Continued coverage under this program will be evaluated annually with a staff recommendation to Council and the Board accordingly. FISCAL IMPACT The property and boiler and machinery insurance premium is $35,551. Sufftcient funds are available in the Insurance Premium Account. EXHIBITS 1. Resolution No. /05i3 2. Public Entity Property Insurance Program Summary of Coverage and Limits 3. Public Entity Property Insurance Program Boiler and Machinery Program 1 1 t E 1c 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 1053 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CARLSBAD MUNICIPAL WATER DISTRICT, CARLSBAD, CALIFORNIA, AUTHORIZING THE RENEWAL OF PROPERTY INSURANCE WHEREAS, the CMWD has previously maintained property and boiler and machinery insurance for assets; and WHEREAS, the CMWD has received quotations for the continuation of coverage; and WHEREAS, upon evaluation of the quotations for both property and boiler and machinery insurance, the CMWD desires to renew its insurance through the Robert F. Driver Company. NOW, THEREFORE, be it resolved by the Board of Directors of the Carlsbad Municipal Water District, Carlsbad, California, as follows: 1. That the above recitations are true and correct. 2. That the renewal of property insurance through the Robert F. Driver Company is hereby approved and the Finance Director is authorized to issue a warrant in the amount of $35,551 for the payment of the premiums of said renewals. I / I I I 1 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the 2 Board of Directors of the Carlsbad Municipal Water District on the I Ct day of June 3 4 1999, by the following vote, to wit: 5 AYES: Board Members Lewis, Hall, Finnila, Nygaard, Kulchin 6 NOES: None- 7 ABSENT: None. 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ATTEST: I ALETHA L. RAUTENKRANZ, Secretary) A6 Cover Sheet & Prop & Boiler Renewal 99 2 E E - vf CI 2 r 9 00 s - VT - 3 E h 9 Z E .a 75 % k! c) 3 E .- h ? . . m(v r; . . -P4 ci / f : I ‘,\?i : / u -rA s E 2 *- .I ,m 3; u .- u 3 5 s k 5 0 c: CL CL0 .2 % EK gg d OC ms ga .- - z- 3 7 .- w 3 5 c ‘; 2 m ui 2 .- -2 T c .- c a 8 8 t 2 8 b a .t= E .I Ll F “0 a Lo a B 2 CL E E 9 k 8 0, Q * 8 5; t LUG UC% EGO -WC .- m gz 0” .Y $I% g 5 *a 0 u *- cb 32 m’ 7i Q)u EC us - * .p 2 Q) $2 550° 0 vi- cA c ta2 2fgg F ‘QJ i .z a $ EE Lo ‘2 .J co a $8 ?- ‘0 9 % s (D 2 5 = m ca . 8 .I E 38 w .- Led 6 m B a *- xg *a 2% aa ZW eda - PUBLIC ENTITY PROPERTY MSURANCE PROGRAM (PEPH’) PROPERTY PROGRAM NAMED INSURED ATTACHMENT MEMBER : City of Carlsbad 1200 Carlsbad Village Dr. Carlsbad, CA 92008 NAMED INSURED: City of Carlsbad including: Carlsbad Building Authority C&bad Parking Authority Carlsbad Housing and Redevelopment Commission, consisting of! Carlsbad Housing Authority Carlsbad Municipal Water District and Carlsbad Redevelopment Agency Pagdofl 04%w A/Y WL\WEs.Pu EXHIBIT 3 PUBLIC ENTITY PROPERTY INSURANCE PROGRAM (PEPIP) BOILER & MACHINERY PROPOSAL FOR CITY OF CARLSBAD POLICY TERM: INSURANCE CARRIER: BEST’S GUIDE RATING: CALIFORNIA STATUS: COVERAGE: LIMITS: SUBLIMITS: E~PEDITM EXPENSE HAZARDOUS SUBSTANCE May 15,1999 to May 15,200O CNA Insurance Company A, Excellent; Financial Size Category 1.5; Greater than $2,000,000,000 Admitted Comprehensive Coverage including Production Machinery, Public Utility Equipment, Digestors, Business Interruption, Extra Expense and Bond Revenue Payments, Loss Adjustment Agreement, Defense Outside Limits, Errors in Description, Earthquake Resultant Damage, Ammonia Contamination, Water Damage, Hazardous Substance Clean-up, Expediting Expense, Consequential Damage % 50,000,000 Combined Limit - Property Damage & Business Interruption/Extra Expense (including Bond Revenue Interest Payments for locations where the income is reported) s 5,ooo,ooo f 1,ooo,ooo Page 1 IML\BlNDEa-~.&B1MmoKKMMJlG 04m99 PUBLIC ENTITY PROPERTY INSURANCE PROGRAM (PEPIP) BOILER & MACHINERY PROPOSAL FOR CITY OF CARLSBAD SUBLIMITS: (continued) AMMONIACONTAMINATION WATERDAMAGE ERRORS& OMISSIONS BUILDRVGORKMNANCECOVERAGES SERVICEINTERRUPTION EARTHQUAKERESULTANT DAMAGE LOCATIONS: NEWLY ACQUIRED LOCATIONS: VALUATION: NOTICE OF CANCELLATION: EXCLUSIONS: $ 5.000.000 $ 5,ooo.ooo $ 5.000.000 $ 1 ,ooo.ooo $ 1 .ooo.ooo $ 2,000,OOO each incident, $ 2,000,OOO each member $ 2,000,OOO aggregate Omnibus Location Wording Must be reported to carrier within 365 Days Repair or Replacement except Actual Loss sustained for all Time Element coverages 60 days except 10 days for non-payment of premium l Nuclear Hazard l War and Military Action l Fire or explosion outside the object that occurs at the same time as the accident l Water (fire extinguishing) 0 Lightening (fire extinguishing) . Flood . Testing l Lack of power, light, heat, steam or refrigeration l A delay in or interruption of any business activity Page 2 JMLmNDEn-M9wnom sAL.ockm9hoo UM -.w PUBLIC ENTITY PROPERTY INSURANCE PROGRAM (PEPIP) BOILER & MACHINERY PROPOSAL FOR CITY OF CAIUSBAD EXCLUSIONS: (continued) OBJECTS EXCLUDED: PROPERTY DAMAGE DEDUCTIBLE& 8 8 l 8 8 8 8 l 8 8 8 l 8 8 8 8 0 Explosion, except for steam or centrifugal explosion Freeze or Wind Explosion of gas or unconsumed fuel from furnace of the boiler Electronic Date Recognition Clause (Y2K) Bonus and penalties of a Power Sales Agreement Exclusion Insulating or refractory material Non metallic vessel unless meets ASME standards Catalyst Buried vessel or piping Furnace, oven, stove, incinerator, pot kiln Structure, cabinet or compartment containing the object Vehicle, air-c&, self-propelled equipment or floating vessel Elevator escalator, crane, hoist, ladle or bucket. power shovel, dragline, escalator scale or conveyor but not excluding any boiler, fired vessel, unfired vessel normally subject to vacuum or internal pressure other than the weight of contents Object manufactured by you for sale Machine or apparatus used for research, diagnosis, medication, surgical, therapeutic, dental or pathological purposes EDP media (except for Santa Barbara) Felt, wire screen, die, extrusion plate and swing hammer $375,000 All objects over 25,000 HP, 25,000 KW/KVA/AMPS, or Boilers over 250,000 square heating surf= $250,000 AU objects over 750 HP, 10,000 KW/KVA/AMPS, or Boilers over 75,000 4uarc fett heating surface Page 3 JMLmNDEn~.~s&M~.~ o&m99 _ .!< :, ‘IJ j,.~ / PUBLIC ENTITY PROPERTY INSURANCE PROGRAM (PEPLP) BOILER & MACHINERY PROPOSAL FOR CITY OF CARLSBAD PROPERTY DAMAGE DEDUCTIBLES: (continued) $50,000 All objects over 350 HP, 2,500 KW/KVA/AMPS, or Boilers over 5,000 square feet heating surface $5,000 All objects over 200 HP, 1.000 KWIKVNAMPS, or Boilers over 5,000 square feet heating surface $2,500 All other insured objects CONSEQUENTIAL DAMAGE: $5,000 TIME ELEMENT DEDUCTIBLES: 5X 100% Daily Value All objects over 750 HP, 10,000 KW/KVA/AMPS or 10,000 square feet heating surface 5X 100% Daily Value AI1 objects at Wastewater Treatment facilities, utilities and SERRF 24 Hours all other insured objects 30 days Bond Revenue Interest Payments TOTAL INSURED VALUES: $60,625,757 ANNUAL PREMIUM: $3,007 BROKER: Robert F. Driver Associates P. 0. Box 6450 Newport Beach, CA 926604450 Ted E. Davidson, President PEPIP Boiler & Machinery Program Manager Ralph S. Hurst, First Vice President Jennifer M. L&n, Account Manager PLEASE REFER TO POLKY FOR SPECIFIC TEIRMS, CONDITIONSAND EXCLUSIONS Page 4 Jhaw?4Du~.~~~.~ 04Rm9 *: (” \, ! r”i ;1 . / PUBLIC ENTITY PROPERTY INSURANCE PROGRAM (PEPIP) BOILER & MACHINERY NAMED INSURED ATTACHMENT MEMBER : City of Carlsbad 1200 Carlsbad Village Dr. Carlsbad, CA 92008 NAMED INSURED: City of Carlsbad including: Carlsbad Building Authority Carlsbad Parking Authority Carlsbad Housing and Redevelopment Commission, consisting of Carlsbad Housing Authority Carlsbad Municipal Water District Carlsbad Redevelopment Agency Pagelofl oaa99 (’ I‘. i 6; i-1 ,s iL.._. ’