CC Resolution 8345
RESOLUTION No. 8345
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL
AMENDING THE INSURANCE CLAIMS PROCEDURES TO INCORPORATE A
SECTION OUTLINING SELECTION AND REFERRAL CRITERIA
FOR LEGAL DEFENSE COUNSEL ON ABAG - COVERED
LIABILITY CLAIMS
WHEREAS, the City of Campbell is a member of ABAG Plan Corporation, which
provides general liability self-insured pooled insurance for member cities in the
Bay Area; and
WHEREAS, City staff need to act on all general liability claims in a timely
manner for their appropriate resolution; and
WHEREAS, the resolution of general liability claims under $10,000 are considered
a ministerial duty of City staff; and
WHEREAS, the City Council shall have ultimate authority and responsibility for
resolving any general liability claims above $10,000; and
WHEREAS, the Insurance Claims Procedures shall provide defense counsel selection
and referral criteria; and
WHEREAS, by endorsing this delegation of authority to City staff, the City
Council, shall be able to concentrate their work on major civic issues and problems:
NOW, lHEREFORE, BE IT RESOLVED by the City Council of the City of Campbell that
the City Council shall approve amendments to the Administrative Policy and add
Section 8 - Legal Defense Counsel Selection and Referral Criteria for ABAG - Covered
Liability Claims.
PASSED AND ADOPTED this 7th day of July, 1992 by the following roll call vote:
AYES:
NOES:
Councilmembers Kotowski, Conant, Ashworth, Watson, Burr
Councilmembers None
ABSENT: Council members None
APPROVED:
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onald R. Burr, Mayor
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ATTEST:
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ADMINISTRATIVE POLICIES AND PROCEDURES
CITY OF CAMPBELL
-
SUBJECT:
INSURANCE CLAIMS PROCEDURES
DATE:
July 7, 1992
1) PURPOSE
To establish the responsibilities and procedures for handling damage claims
against the City.
2) DISCUSSION
The City is a participant in the ABAG Plan liability insurance program pool
with other cities in the San Francisco Bay Area.
The City has elected to be self-insured for the first $100,000.
The ABAG Plan operates under the direction of a Board of Directors comprised
of one member from each participating jurisdiction with one alternate
member. The Board includes, Councilmembers, City Managers, City Attorneys,
Finance Directors and Risk Managers.
The daily operation is under the direction of a full time Risk Manager with a
staff of insurance investigators.
This policy will outline the legal requirements for denial of claims against
the City as well as determine the levels of authorization for settlement of
the claims.
3)
DEPARTMENT AFFECTED
.
City Manager
City Clerk
Finance
All departments
4) LEGAL REOUIREMENTS
California Government Code, Section 900 et. seq.
5) DEFINITION
Claim for Damages: A non-contractual claim for compensation, including
claims for personal injury, wrongful death, false arrest, property damage,
and/or errors and omissions filed against the City.
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CITY OF CAMPBELL
ADMINISTRATIVE POLICIES AND PROCEDURES
SUBJECT:
INSURANCE CLAIMS PROCEDURES
DATE:
July 7, 1992
6) RESPONSIBILITY
A. The Finance Department shall:
1. Coordinate the handling of the claim.
2. Provide advance information to ABAG Plan of any potential
claims against the City when advised by operating
departments of accidents, injuries, or other occurrences
involving City property.
3. Receive quarterly reports from ABAG Plan and keep City
Manager informed of status of major claims or problem
areas.
4. Provide ABAG Plan with authorization to settle claims (See
Section E).
B. The City Clerk shall:
1. Receive and forward claims to the Finance Director.
2. When served by a process server, shall forward original to
the Finance Department and copies to the affected
departments.
C. All Departments:
1. Department Heads shall instruct all employees to:
a) Promptly notify the Finance Department of all potential
or actual claims involving accidents or other events
relating to City property.
b) Promptly forward all written claims against the City to
the Fmance Director. .
c) Not make comments that could assume or concede any
liability on the part of themselves as City employees,
or the City, at any time.
d) Not advise claimants on matters relating to any claim
against the City -- except as to claim filing procedure.
92-34
CITY OF CAMPBELL
ADMINISTRATIVE POLICIES AND PROCEDURES
SUBJECT:
INSURANCE CLAIMS PROCEDURES
DATE:
July 7, 1992
7) PROCEDURES
A. Claims must be in writing.
B. Claims may be presented to the City Council for denial. If not
acted upon within 45 days, claim is automatically deemed to be
denied.
C. In denying a claim, the City shall find either:
1. The claim is not a proper charge against the public entity;
2. the amount of the claim is greater than justly due; or
3. the legal liability of the public entity or the amount
justly due is disputed.
D. Provide ABAG Plan with information necessary to investigate
and/ or defend against claim.
E. Claims settlements may be approved as follows:
1. City Manager or Finance Director may approve all settlements
up to $10,000 recommended by ABAG Plan after reviewing
details of claim and settlement recommendation.
2. Settlements recommended by ABAG Plan which exceed $10,000
shall be discussed with the City Council.
3. Settlements of claims recommended by ABAG Plan but
questioned by the City Council can be appealed to the ABAG
Plan Claims Committee.
F. Before releasing any payments in settlement of a claim, the
City's representative and/or staff shall obtain a "Release of
All Claims" form (see Sample Attached) from the claimant.
G. Finance Director may al?prove all charges for services relating
to the investigation and/or settlement of any claim against the
City.
92-34
CITY OF CAMPBELL
ADMINISTRATIVE POLICIES AND PROCEDURES
SUBJECT:
INSURANCE CLAIMS PROCEDURES
DATE:
July 7, 1992
8)
LEGAL DEFENSE COUNSEL SELECTION & REFERRAL CRITERIA
FOR ABAG - COVERED LIABILITY CLAIMS
PURPOSE
The purpose of this section is to establish a criteria for the assignment of
legal counsel to handle matters covered by the Association of Bay Area
Government's (ABAG's) Insurance Pool. The intent of these critena is to
ensure the City obtains high quality, legal representation appropriate to the
case at hand, in a cost effective manner.
A. Cases to be referred to the City Attorney:
The followin~ cases shall be referred to the City attorney
unless otherwIse directed by the City Council:
1. Personal injury actions involving medical special damages of
less than $35,000, except cases of abuse, harassment,
excessive force, assault or violation of civil rights by
police officers;
2. Property damage tort cases involving total damages of less
than $250,000, except for those cases arising out of alleged
violations of civil rights by police officers;
3. Actions arising out of the legislative, ministerial or
quasi-judicial actions of the City Council, Planning
Commission, or other Boards or Commissions, or Officials or
Employees of the City; and
4. Land Use and Inverse Condemnation Actions.
Notwithstanding the foregoing, nothing contained herein shall preclude the
City Attorney from recommending the employment of outside legal counsel when
the City Attorney believes the employment of such outside counsel would be in
the best interest of the City.
B. Cases to be Referred to Outside Counsel:
The following cases shall be referred to outside counsel,
mutually agreeable to the City and ABAG, unless otherwise
directed by the City Council:
92-34
CITY OF CAMPBELL
ADMINISTRATIVE POLICIES AND PROCEDURES
SUBJECT:
INSURANCE ClAIMS PROCEDURES
DATE:
July 7, 1992
1. Personal injury actions that:
a) Involve medical special damages of $35,000 or more; or
b) Involve allegations of abuse, harassment, use of
excessive force, assault or violations of civil rights
by police officers;
2. Property damage tort actions that:
a) Involve $250,000 in damages or more; or
b) Involve allegations of civil rights violations by police
officers; and
3. Wrongful death actions.
92-34