CC MINUTES 05121998 - Laserfiche WebLink

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City Council Regular Meeting Minutes • May 12, 1998 Page 2 1 Browning-Ferris Industries of North America(BFI), Circle Pines, MN/Residential 2 License 3 4 Motion carried unanimously. 5 VI. PRESENTATION OF CLAIMS. 6 Motion by Marks, second by Thuesen to approve the following claims: 7 A. Legal: 8 1. Dorsey& Whitney in the amount of$290.00 for legal services rendered through 9 March31, 1998. 10 B. 5 pages of Verified Claims as presented by the Finance Director. 11 Motion carried unanimously. 12 VII. REPORTS. 13 A. City_Insurance Renewal. 14 Mark Flaten, Berkley Risk Services,presented the annual property and casualty insurance 5 renewal. He reported there is a reduction in total premium of$31,000, resulting in a cost of $135,000 in 1998. This reduction occurred even though there was an increase in insurance 7 coverage and in property value in the City of St. Anthony. 18 Cavanaugh asked if the $31,000 reduction was a true rate reduction. 19 Mr. Flaten stated this was a true rate reduction. He-explained that the liquor liability coverage 20 was increased from$500,000 to $1 million with a reduction in premium from $45,000 in 1997 to 21 $24,000 in 1998. 22 Thuesen questioned the significant increase in dollar amounts for property insurance and 23 automobile insurance coverage. 24 Mr. Flaten explained that the property values in the City of St. Anthony have increased by 13% 25 and the insurance rate per 100 has decreased by 3%, resulting in a net increase of 9% on a 26 replacement cost basis. The automobile insurance rate has actually decreased but the dollar 27 amount has increased due to the addition of one vehicle in the City. 28 Mayor Ranallo noted that the City will maintain a$10,000 deductible on the coverage. 29 Mr. Flaten stated that based on the City's size and number of incidents, the $10,000 deductible 30 has worked in their favor. The City of St. Anthony was one of the fust to take the risk of"self- 10 insuring" and it has worked well.