HomeMy WebLinkAbout2002-062 - California Public Entity Insurance AuthorityRESOLUTION NO. 2002-062
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA APPROVING AND AUTHORIZING THE BIG
INDEPENDENT CITIES EXCESS POOL TO PROVIDE
EXCESS WORKERS' COMPENSATION INSURANCE FOR
THE EMPLOYEES THROUGH MEMBERSHIP IN THE
CALIFORNIA PUBLIC ENTITY INSURANCE AUTHORITY.
JWF/7/19/02
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1. The City Council of the City of Santa Ana hereby finds, determines
and declares as follows:
A. Since 1988 this City has been a member of the Big Independent Cities
Excess Pool ("BICEP"), a California Joint Powers Authority, consisting of the
cities of Huntington Beach, Oxnard, Pomona, San Bernardino, and Santa Ana;
formed to jointly develop and fund programs of excess liability, property, workers'
compensation, and other coverages.
B. BICEP's Board of Directors has concluded that due to a severe reduction
is commercially available excess workers' compensation insurance, that the most
cost effective excess workers' compensation insurance available to BICEP
members for the Fiscal Year 2002-03 and possibly beyond, is provided through
the California Public Entity Insurance Authority ("CPEIA"), a joint powers
authority consisting of a number of counties, cities and other joint powers
authorities.
C. The CPEIA Program includes a risk pooling feature which might require
BICEP, at a future time, to pay an assessment to cover its share of the pooled
liability, or entitle it to a dividend if the pooled costs are less than the premiums
collected.
D. If an assessment is levied in the future under the CPEIA Program, BICEP
would be obligated to pay that assessment by assesSir]g each of its members a
pro rata share of that assessment. Any divident would likewise be distributed
among BICEP members.
Section 2. The City Council hereby approves of BICEP becoming a member of
or entering into an agreement with CPEIA to provide excess workers' compensation for
BICEP and its member cities, including Santa Ana, acknowledging and agreeing that
that under the BICEP agreement Santa Ana may be required to pay its pre rata share of
any future assessment, so long as it is properly credited for any future dividends.
Resolution No, 2002-062
Page 1 of 2
Section 3. This Resolution shall take effect immediately upon its adoption by
the City Council, and the Clerk of the Council shall attest to and certify the vote adopting
this Resolution.
ADOPTED this 5th day of Auoust, 2002.
APPI; ~)VED A FORM:
~~/h W. Fletc~,~
~,Ci~ Attorney
AYES:
NOES:
ABSTAIN:
NOT PRESENT:
Councilmembers:
Alvarez. Bist. Chdstv. Franklin, McGuiaan, Pulido,
Solodo (7)
Councilmembers: None
Councilmembers: None
Councilmembers: None
CERTIFICATE OF A'I-FESTATION AND ORIGINALITY
I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify the
attached Resolution No. 2002-062 to be the original resolution adopted by the City
Council of the City of Santa Ana on Auaust 5. 2002.
Date:
Clerk of the Council
City of Santa Ana
Resolution No. 2002-062
Page 2 of 2