10-09-1996 Council Agenda - Laserfiche WebLink

Home Browse Search

515 Little Canada Road, Little Canada, MN 55117 -1600 (612) 484 -2177 / FAX: (612) 484 -4538 MEMORANDUM TO: Mayor Fahey & Members of the City Council FROM: Joel Hanson, City Administrator DATE: October 4, 1996 RE: 1997 Insurance Agent of Record MAYOR Michael I. Fahey COUNCIL Beverly Scalze Jim LaValle Steve Morelan Bob Pedersen ADMINISTRATOR Joel R. Hanson Youngdahl Companies submitted a proposal for services as our Insurance Agent of Record. Their proposal intrigued me given the scope of services provided combined with the concept of a fixed fee for services basis. The fee proposed is $4,000 per year for a three -year contract. This will save us approximately $1,000 per year over current costs. An additional benefit is that this firm will analyze and place coverage for the Little Canada Fire Department (if warranted). The Fire Chief and I have discussed this matter in the past and he feels it is appropriate to have the coverage reviewed by another provider. If it proves beneficial to place the Fire Department's coverage with the League of Minnesota Cities Insurance Trust, there would be no additional commission paid to Youngdahl Companies. Therefore, our savings will increase. Dave Seppelt of American Agency has done a good job as our Agent of Record over the past few years. It should be noted that I have previously asked Mr. Seppelt if he would service our account on a fixed fee basis at an amount less than LMCIT's 10% commission and he said no. Therefore, I feel it is appropriate to change providers to Youngdahl Companies given their scope of services and reduced fees. If the Council agrees, we need to approve the attached agreement for insurance broker services as presented. JRH:kpv Enclosure cc: Carl Bennetsen, Youngdahl Companies Page 15