HomeMy WebLinkAbout29A - CRIME BOND PROGRAM EXTENSION
CITY COUNCIL MEETING DATE:
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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
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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:
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Francisco Gutierrez
Executive Director
Finance & Management Services AgenC~
29A-2