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REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: SEPTEMBER 4, 2018 TITLE: APPROVE AN AGREEMENT WITH ADMINSURE, INC., FOR THIRD PARTY ADMINISTRATOR SERVICES FOR GENERAL LIABILITY AND WORKERS' COMPENSATION CLAIMS {STRATEGIC PLAN NO. 7; 6) _Off �lty MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: r-AT10016TWI EI As Recommended 0 As Amended ❑ Ordinance on 16' Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Authorize the City Manager and Clerk of the Council to execute the attached agreements with AdminSure, Inc., subject to non -substantive changes approved by the City Manager and City Attorney, to provide the City's self-insured third party claims administration and management for General Liability and Workers' Compensation for the initial three-year term of September 5, 2018 through August 31, 2021 with two, two year options for renewal. Annual total amounts not to exceed: _ FEES WORKERS' COMPENSATION MONTHLY GENERAL LIABILITY MONTHLY COMBINED ANNUAL TOTAL YEAR 1(10 MONTHS) $42,125 $14,600$567,250 YEAR $43,389 YEAR 3 $44,690 _ _ OPTIONAL YEAR J $46,631 OPTIONALYEAR5 -� $47,412 OPTIONAL YEAR 6 $48,834 OPTIONAL YEAR 7 $50,300 DISCUSSION $1_5,489_ _- $15,954_ $16,432 $_16,925 $17,433 $743,819 _ $766,134 $789,108 --$812,796 The City is self-insured and self-administered for General Liability with excess coverage through participation in a Joint Powers Agreement with the Big Independent Cities Excess Pool (BICEP). For Workers' Compensation, the City is self-insured and self-administered for claims management and processing and has excess coverage through the California State Association of Counties - Excess Insurance Authority (CSAC-EIA). The Human Resources Department / Risk Management Division regards fiscal responsibility, accountability, and safety as a high priority. Protection of the City's employees, residents, visitors, 25D-1