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HomeMy WebLinkAbout29A - CRIME BOND PROGRAM EXTENSION CITY COUNCIL MEETING DATE: ~ ~ REQUEST FOR COUNCIL ACTION CLERK OF COUNCIL USE ONLY: AUGUST 1, 2005 TITLE: CRIME BOND PROGRAM EXTENSION APPROVED o As Recommended o As Amended o Ordinance on 1st Reading o Ordinance on 2nd Reading o Implementing Resolution o Set Public Hearing For N"<U o~ CI Y MANAGER CONTINUED TO FILE NUMBER RECOMMENDED ACTION Extend the Crime Bond Program insurance through the California Public Entity Insurance Authority at a premium cost of $10,295 for the coverage period from July 1, 2006 to July 1, 2007. DISCUSSION The City, through the Big Independent Cities Excess Pool (BICEP), has purchased excess workers' compensation insurance from the California Public Entity Insurance Authority (CPEIA) since July 1, 2002. On July 1 2005, the City, through BICEP, purchased all of their liability coverage through CPEIA as well. The CPEIA Crime Bond Program, insured by National Union Fire Insurance Company, is underwritten for the three year period from July 1, 2003 to July 1, 2006. The City became a member of the program on April 1, 2004. The program has been extended for an additional year from July 1, 2006 to July 1, 2007. Paying the $10,295 premium by August 15, 2005 will avoid a $566 finance charge, which would be assessed if payment was made next year. The Crime Bond Program provides a $10 million limit with a $25,000 per occurrence deductible and covers the following: 1. Employee dishonesty with faithful performance coverage 2. Forgery and alteration 3. Theft, disappearance and destruction 4. Robbery and safe burglary 5. Computer fraud including funds transfer coverage 6. Money orders and counterfeit paper currency 29A-1 Crime Bond Program Extension August 1, 2005 Page 2 FISCAL IMPACT Funds are available in the Liability and Property Insurance Fund Account (account no. 80-180-6521). APPROVED AS TO FUNDS AND ACCOUNTS: C:\ l\l't 1'1'$" !){:.<..) \. ':-& ~ .... _ ~ Francisco Gutierrez Executive Director Finance & Management Services AgenC~ 29A-2