Resolution 08841CITY OF ALAMEDA RESOLUTION NO. 8841
ESTABLISHING A CLAIMS ACCOUNT AND CLAIMS BOARD IN
CONNECTION WITH THE CITY'S LIABILITY SELF - INSURANCE
PROGRAM AND DELEGATING AUTHORITY TO WRITE CHECKS
THEREON AND TO PAY CLAIMS OF FIVE THOUSAND DOLLARS
r.R LESS
WHEREAS, a review has been made of the cost and availability
of general liability insurance coverage; and
WHEREAS, it is financially advantageous to the City of
Alameda to insure itself for a set amount per claim; and
WHEREAS, it is also considered advantageous for the City
of Alameda to obtain insurance coverage for all liability in
excess of the amount set for self- insurance of liability per
claim; and
WHEREAS, good fiscal management practices regarding the day -
to -day operation of a self- insured plan require delegation of
authority to pay relatively small claims expeditiously where
warranted; and
WHEREAS, Section 935.2 of the California Government Code
authorizes the City Council by resolution to authorize the
allowance, compromise and payment of claims in the amounts of
five thousand dollars ($5,000) or less by a claims board; and
WHEREAS, City has retained a Contractor to supervise and
administer those claims against the City which fall within the
level of self- insurance;
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY
OF ALAMEDA that the City's Auditor is hereby authorized to
establish a Claims Account from which payment of claims against
the City shall be made as hereinafter described.
BE IT FURTHER RESOLVED that the initial sum of the Claims
Account shall be ten thousand dollars ($10,000) and the balance
shall be kept sufficient to pay all claims approved by the Claims
Board or the Secretary thereof.
BE IT FURTHER RESOLVED that the City Attorney, City Manager
and the General Manager of the Bureau of Electricity, or their
designees, are hereby designated as the Claims Board and Contractor
is hereby designated as the Secretary of the Claims Board. The
Claims Board shall establish procedures for the payment of claims
of five thousand dollars ($5,000) or less.
BE IT FURTHER RESOLVED that the Secretary of the Claims
Board shall have the authority to issue checks from the Claims
Account for payment of claims against the City as follows:
1. Subject to the limit of twenty -five hundred dollars
($2,500) per claim, the Secretary is authorized to issue checks
r
without prior approval where permitted by the procedures established
by the Claims Board;
2. Subject to the limit of five thousand dollars ($5,000)
per claim, the Secretary is authorized to issue checks upon the
approval of the Claims Board;
3. Subject to the limit of the amount of the City's self -
insurance liability, the Secretary is authorized to issue checks
upon approval of the City Council;
4. Expenditure of funds as hereinbefore authorized shall
be documented by records showing reason for payment, name and
address of payee, and copy(s) of appropriate releases(s) of the
City from further liability signed by the claimant(s).
BE IT FURTHER RESOLVED that the Auditor upon written order
of the Claims Board shall cause a warrant to be drawn upon the
City for deposit in the Claims Account in the amount(s) of
claim(s) approved by the Claims Board, Secretary thereof, or City
Council.
I, the undersigned, hereby certify that the foregoing Resolution
was duly and regularly introduced and adopted by the Council of the
City of Alameda in regular meeting assembled on the 20th day of December,
1977, by the following vote, to wit:
AYES: Councilmen Beckam, Diament, Sherratt, Tillman and
President Corica, (5).
NOES: None.
ABSENT: None.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
official seal of said City this 21st day of December, 1977.
City Clerk of the City of Alameda