Title
Resolution to Approve May 21, 2015 Recommendations of the Board of Insurance Administration, Including Approval of Workers' Compensation Coverage through Midwest Employers Casualty Company ($65,227.00) and Agreement with CompOne Administrators, Inc., for Third Party Administrative Services ($29,960.00)
Memorandum
This resolution is submitted for City Council's approval of Board of Insurance Administration recommendations at its meeting on May 21, 2015, which was held for the purpose of determining pending claims against the City, conducting other business and making recommendations to City Council.
Staff
Prepared by: Sarah Singleton, Management Assistant
Reviewed by: Tom Crawford, CFO
Abigail Elias, Chief Assistant City Attorney
Body
Whereas, approval was recommended by the Board of Insurance Administration at its May 21, 2015 meeting for workers' compensation coverage through Midwest Employers Casualty Company ($65,227.00), and for an agreement with CompOne Administrators, Inc., for third party administrative services, ($29,960.00; service fee based on percentage of annual payroll);
Whereas, CompOne Administrators, Inc., has provided workers' compensation third party administrative services to the City since 2013, has proposed service fees that are competitive, and the agreement with CompOne Administrators, Inc., allows for termination by the City in advance of the second and third years;
Whereas, Recommendations of approval or denial of claims in excess of $5,000.00 by the Board of Insurance Administration are submitted to City Council for approval; and
Whereas, The Board of Insurance Administration recommends:
Denial of the following claim in excess of $5,000.00 considered at its meeting on May 21, 2015:
CC014-15 Ben Carbrey - The Church in Ann Arbor
Date of Loss: 3/14/2015
Type: Sewer Backup - Property Damage
RESOLVED, That the City Administrator, or his designee, be authorized to bind workers' compensation insurance coverage with Midwest Employers Casualty Company for FY16 and FY17 for $65,227.00, subject to the availability of funding in FY17;
RESOLVED, That the City Council approves the recommended agreement with CompOne Administrators, Inc., as the City's workers' compensation third party administrator for FY16, FY17, and FY18 at an estimate of $29,960.00 per year, with the service fee based on percentage of annual payroll;
RESOLVED, That the coverage and contract be funded from the Risk Fund, subject to the availability of funding in FY17 and FY18;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute the agreement with CompOne Administrators, Inc., after approval as to form by the City Attorney, and approval as to substance by the City Administrator;
RESOLVED, That the City Administrator be authorized to take all necessary administrative actions to implement this resolution; and
RESOLVED, That the Board of Insurance Administration's recommended denial of the following claim in excess of $5,000.00 at its May 21, 2015 meeting be approved.
CC014-15 Ben Carbrey - The Church in Ann Arbor
Date of Loss: 3/14/2015
Type: Sewer Backup - Property Damage
Sponsored by: Councilmember Jane Lumm