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Insurance Renewals <br />July 7, 2015 <br />Page 2 <br />deductible. An estimated $280,000 purchases statutory excess workers' compensation insurance <br />coverage with a $1,000,000 SIR. <br />The Public Entity Property Insurance Program ( PEPIP) was established in May 1993 with <br />seventeen public agencies including the City of Santa Ana. The purpose of PEPIP is to provide <br />public agencies with group purchasing strength. Since 1993, PEPIP has grown to include over <br />6,400 members in 45 states, which has allowed the group to purchase property insurance at <br />affordable premiums. The estimated $320,000 premium will provide $1,000,000,000 of coverage <br />for insured City properties. PEPIP will provide the City with $100,000,000 for boiler and machinery <br />damage and $82,500,000 in coverage for flood damage (coverage is in limited to $50,000,000 in <br />Flood Zone A.) Due to the excessive premium cost of earthquake insurance, the City is not <br />seeking this coverage at this time. Staff will continue to monitor the earthquake market. <br />The City joined the California State Association of Counties — Excess Insurance Authority <br />(CSAC -EIA) Crime Bond Program on April 1, 2004. The estimated renewal premium from July 1, <br />2015 to July 1, 2016 is $11,400. <br />The City joined the California State Association of Counties — Excess Insurance Authority's <br />Pollution Insurance Program in July 2007. The estimated three -year renewal premium from July <br />1, 2015 to July 1, 2018 is $15,000. <br />STRATEGIC PLAN ALIGNMENT <br />Approval of this item allows the City to meet Goal #4 City Financial Stability, Objective 1 <br />(Maintain a stable, efficient and transparent financial environment). <br />FISCAL IMPACT <br />Funds are budgeted in the proposed 2015 -16 Liability & Property Insurance account (account no. <br />08009051 - 64010) for an estimated premium cost not to exceed $1,596,400 and Workers' <br />Compensation account (account no. 08209054 - 64010) for an estimated premium cost not to <br />exceed $280,000. <br />114, Yd ML <br />�ffawar a a <br />Executive Direct r <br />Personnel Services <br />ESR:bbm <br />APPROVED AS TO FUNDS AND ACCOUNTS: <br />Francisco Gutierrez <br />Executive Director <br />Finance & Management Services Agency <br />29A -2 <br />