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HomeMy WebLinkAbout~Master - Approving Renewal of Iowa Community Assurance Pool Membership to Procure Casualty and Liability Insurance Coverages RESOLUTION NO.20-258 RESOLUTION APPROVING RENEWAL OF IOWA COMMUNITY ASSURANCE POOL MEMBERSHIP TO PROCURE CASUALTY AND LIABILITY INSURANCE COVERAGES FOR THE CITY OF AMES WHEREAS,the City's annual membership in the Iowa Community Assurances Pool(ICAP)expires on June 30,2020;the City has been a member of ICAP since July 1,2004,and secures its casualty and liability coverages through this membership; and, WHEREAS,ICAP provides similar protection to approximately 300 cities,70 counties,50 fair boards, and over 250 other public entities, and ICAP is a member-owned and funded group insurance pool for Iowa public entities; and, WHEREAS, the following City coverages are provided by ICAP: General (Third Party) Liability, Vehicle and Transit Bus Liability, Bookmobile Physical Damage, Public Officials Wrongful Acts, Police Professional Liability,and Employee Theft(Bond); and, WHEREAS,City staff did not seek alternatives to this program this year due to its membership in the ICAP pool being a long-term commitment based on the fundamentals of rate stability,availability of coverages meeting the City's needs,and the quality of services(underwriting,loss control,and claims handling); and, WHEREAS,the quote for coverage is a slight decrease from the quote for FY 2019/20;however,this decrease is enhanced by a slightly higher membership credit from ICAP for the renewal year;therefore,the FY 2020/21 Total Net Cost is a decrease of 1%from the Total Net Cost for FY 2019/20;and, WHEREAS,the net increase is 1%over the invoice amount for FY 2017/18,and the membership credit; and, WHEREAS, the ICAP Board has consistently issued a credit each year since the City has been a member,it is not included in the Risk Management Budget,since the issuance of the credit is not guaranteed, and the amount can vary from year to year; and, WHEREAS,the membership credit varies each year and is based on the size and financial condition of the pool,including such factors as loss experience and investment income,and this year's credit is$97,025; and, WHEREAS,the FY 2020/20 budget includes funding in the amount of$678,148 for liability coverage. NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Ames,Iowa that the quote for renewal of the City's membership in the Iowa Communities Assurance Pool (ICAP)with the net cost of $502,921 for coverages in FY 2020/21 is hereby approved. ADOPTED THIS 26'day of May,2020. Diane R.Voss,City Clerk John A.Haila,Mayor Introduced by: Gartin Seconded by: Beatty-Hansen Voting aye: Beatty-Hansen,Betcher,Corrieri,Gartin,Junck,Martin Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 26'day of May,2020.