Agenda Packets - 1999/07/12 - Laserfiche WebLink

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UNAPPROVED MOTION/SECOND: Marty/Thomason. To Approve the Mounds View Community Center, Parks and Recreation Management Agreement, and to Authorize the Mayor and the Clerk -Administrator to Execute said Agreement for and on behalf of the City of Mounds View, with stipulations. Ayes — 4 Nays — 0 Motion carried. K. Consideration of a Motion Approving Insurance Coverages for 1999-2000 Finance Director Kessel gave a brief overview of the Insurance Summary. He stated that insurance coverages had increased and premiums had decreased, adding that the premiums have remained approximately the same, with a slightly higher level of coverage. Chuck Clysdale, representing the Maguire Agency, stated that he and his son Matt Clysdale, also present, were part of a team charged with the service of the City of Mounds View account within their Agency, adding that the Maguire Agency had served the City of Mounds View since 1987. He stated that the City's package and liability coverages were all placed through the League of Minnesota Cities program, and that the Workers Compensation coverage was with Berkley Risk Administrators, an affiliate of the League. He stated that this was a program designed for Minnesota cities and the City of Mounds View had participated in it for quite some time. Mr. Clysdale stated that they had reviewed the comprehensive program with Finance Director Kessel during the previous week. He stated that the overall total cost for the insurance plan was about the same as that of the previous year, in spite of several changes as far as the increase in property values, and nominal adjustments for the inflation of other buildings and personal property throughout the City. He stated that the general liability rates had decreased, in spite of an increase of expenditures projected for the upcoming year. He added that the premiums for general liability had decreased, even though the method of charging was at a higher premium base. He stated that this was also the case for the Workers Compensation rates, noting that each rate had been reduced, and that overall, the programs remained the same. He stated that the League of Minnesota Cities program was specifically designed for Minnesota cities, and that each year they broaden the coverage. He stated that this year, coverage had been increased on the golf course to $100,000, as opposed to the $60,000 coverage of the previous year. He stated that loss of revenue coverage was increased from one million dollars to five million dollars, and that the computer coverage was one million dollars. He stated that, during the previous year, the City had received a dividend on the liability and property package of $28,000, and a dividend on the Workers Compensation portion of over $11,000. He stated that the deductible on the policy was $10,000 per loss, with a $50,000 per year maximum, and that this had saved the City $38,000 this year. He stated that, in general, the City had an excellent year in regard to losses, noting only one severe loss at the golf course, and a few minor, routine losses. He stated that it was from this standpoint that the rates had decreased, adding that the League of Minnesota Cities recognize the City of Mounds View to be an excellent risk in the areas of safety and loss. He stated that every year, the City's rates have been reduced as a result of their good operation. Council Member Marty asked if the clause regarding business income related to the golf course. Mr. Clysdale stated that this clause applied to all of the revenue producing activities of the City and in this area, the City had more coverage than they could ever conceivably require. Marty asked if they were to have damage to the golf course or a problem at the Community Center, would this coverage make up for the loss of revenue. Mr. Clysdale stated that if a loss were to occur in the height of the golfing season, the City would have coverage for the loss itself, as well as reimbursement of the lost revenue. Marty 21 CA\ADMIN\MINUTES\CC\6-28-99.CC