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HomeMy WebLinkAboutRESOLUTION 1982-009CITY OF KENAI RESOLUTION NO. 82-9 A RESOLUTION OF THE. COUNCIL OF THE CITY OF KENAI, ALASKA, EXPRESSING INTEREST IN THE SELF-INSURANCE PLAN BEING ESTABLISHED BY THE ALASKA MUNICIPAL LEAGUE. WHEREAS, in recent years court decisions and other factors have caused a dramatic increase in the number, variety, and total amount of claims against municipalities, and WHEREAS, this increase has resulted in high insurance costs and difficulty in securing adequate coverage, and WHEREAS, the City of Kenai expends approximately $100,000 annually in workmens compensation insurance premiums, and WHEREAS, the City of Kenai expends approximately $150,000 annually in liability insurance premiums, and WHEREAS, the experience of other municipalities within Alaska and in other states indicates that substantial savings in the cost of insurance can be realized through partial self-insurance and cooperation among municipalities, and WHEREAS, the Alaska Municipal League has indicated that a self-insurance fund composed of Alaska local government entities is feasible and could be in operation on July 1, 1982, and WHEREAS, the Alaska Municipal League in cooperation with the National Association of Counties has secured commitments from insurance brokers and carriers to provide comprehensive general liability and workmens compensation coverage at a savings of at least 15% over current premium payments, and WHEREAS, it appears desirable to initiate such a program for at least one year on a trial basis to ascertain whether or not the expected benefits can be realized. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that: 1 1. The City supports establishment of a cooperative self-insurance program to be administered through the Alaska Municipal League, and hereby expresses its intent to participate in such a program with respect to: (a) Workmens Compensation coverage (b) General and Automobile coverage 2. The City urges the Alaska Municipal League to assemble the appropriate information, prepare the necessary documents, and take other steps toward establishment of such a cooperative self- insurance program. 3. It is understood that this resolution is an expression of serious interest in such a program and a general willingness to participate therein, but that the City is not legally bound to do so by virtue of this resolution. BE IT FURTHER RESOLVED that upon adoption of this resolution, copies be sent to Municipal League in Juneau. PASSED BY THE COUNCIL OF THE CITY OF KENA , ALASKA, this 6th day of -January, 1982. VINCENT O'REILLY AYOR ATTEST: net Whelan, City Clerk