CC MINUTES 05141985 - Laserfiche WebLink

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1 -2- Motion by Councilman Marks and seconded by Councilman Ranallo to approve payment • of $10,785.20 to Minar Ford, Inc. for the budgeted purchase of a squad car for the Police Department. Motion carried unanimously. Motion by Councilman Marks and seconded by Councilman Makowske to approve payment of $125,274.20 to General Safety Equipment Corporation for the budgeted purchase of a new fire pumper for the Fire Department. Motion carried unanimously. Motion by Councilman Marks and seconded by Councilman Enrooth to adopt the resolu- tion proposed by the Metropolitan Emergency Managers Association. RESOLUTION 85-026- A RESOLUTION AUTHORIZING DISPATCH AND USE OF CITY EQUIPMENT AND SERVICES BY CITY MANAGER IN EMERGENCY SITUATIONS Motion carried unanimously. As he had informed the Council in his May 10th memorandum, Mr. Childs reiterated that the bids from the Home Insurance Company for the City's insurance coverage had almost doubled from last year, for the most.part because of major problems in the insurance industry and specifically because the insurance company had embarked on a program of major increases for cities of medium size like St. Anthony, and was • adamant about writing the entire package or none. Home's quote for City coverage was $243,692 as compared to $118,386 paid in 1984. As an aside, the Manager told the Council members, Mounds View had hired a special risk manager for $3,500 whose main service had been to predict their rates would double - which they did. Elmer Iversen, Midwest Area, Inc. . agent who writes the City's insurance, reported on his unsuccessful efforts to find another insurance provider which he attributed primarily to the fact that most of those companies were leaving the state because there was no cap on liabilities and because the legislature had, to date, failed to come to grips with the problem. This left Home Insurance, who now chose not to write any business which didn't generate at least $5,000 a policy, Mr. Iversen said. The insurance agent's recommendation was for the City to "hang tight" until the end of May when the existing policies would expire, to see if the League of Minnesota Cities Trust Fund couldn't come up with a viable alternative to Home's quote for the City's coverage, since Mr. Iversen anticipates the rates would be even higher after next March. When Councilman Ranallo suggested staff should start seeking bids in December, the insurance agent told him that had- been done this year but since there had been no market except Home Insurance, that company was getting all the state business. He promised to shop early for bidders, if the City continued to want him to write its coverage, although Mr. Iversen indicated, he would not expect the situation to change unless the legislature does something about setting liabilities. Mr. Childs told the Council he had expected some raise in St. Anthony's Workers' Compensation rates because the City has had some claims but he views the League's quote of -$58,544 as more in line than the $100,498 bid for that coverage from Home Insurance. He agreed the City should wait until the last possible moment • to see if the Insurance Commissioner's plan for self-insurance 'is reinstated.