HomeMy WebLinkAboutResolution No. 2025-4410101"111101"f-1,11 'we im, 11' A.
WHEREAS, with the assistance of its broker, the City solicited a quote for General Liability & Automobile,
Property & Mobile Equipment, Airport Liability, and Workers' Compensation from the single public entity
risk pool operating in Alaska; and,
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WHEREAS, in September 2024 the operating board of the Alaska Municipal League Joint Insurance
Association (AMLJIA) and Alaska Public Entity Insurance (APEI) voted to merge into a single entity,
APRA effective July 1, 2025; and,
WHEREAS, the City participated in both the AMLIA and APEI at different times and the resulting merger
into a single public entity risk pool resulted in the same quality of coverage as previously offered by both
and enhanced services are expected; and,
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WHEREAS, the increase in premium was forecasted and FY2026 Budgeted amounts are sufficient t*
bind coverage; and,
WHEREAS, the recommendation of the City's broker is to bind coverage with APRA based on the
completeness and availability of the coverage and the value to the City of participation in a public entity
risk pool; and,
WHEREAS, maintaining quality and sufficient amounts of insurance coverage is in the best interest of
the City and its residents.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA:
Section 1. That the City Council authorizes the City Manager to bind the City's insurance coverage
for FY2026 with the Alaska Public Risk Alliance for an estimated annual premium of $940,571.
Section 2. That this Resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS 30TH DAY OF JUNE, 2025.
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Brian Gabriel Sr,, Mayor
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Michelle"K�.. � e 'r, M Cill Clerk
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New Text Underlined; [DELETED TEXT BRACKETED]
THROUGH. Terry Eubank, City Manager
FROM- Dave Swarner, Finance Director
DATE: Jun 18, 2025
SUBJECT: Resolution 2025-44 - Authorizing Binding of the City's Property, Liability,
Workers' Compensation, Airport and Other Ancillary Policies with the Alaska
Public Risk Alliance for July 1, 2025 Through June 30, 2026.
Each year the City goes through a process of procuring its property, liability, workers'
compensation, airport, and other ancillary insurance coverages. In the past year Alaska Municipal
League Joint Insurance Association (AMLJIA) and Alaska Public Entity Insurance (APEI) merged
into Alaska Public Risk Alliance (APRA) effective July 1, 2025.
The resulting merger created a single public entity risk pool for municipalities and school district
in the State of Alaska. The quality of coverage remains with very little difference in coverage
terms. APRA is expected to provide expanded member benefits as a larger pool with the
combined staff of the prior two entities.
The plan premium represents a 12.35% increase from prior year driven by increased valuation of
City facilities and an increase in covered payroll for worker's compensation. This increase in
coverage was included in the FY2026 Budget.
Ancillary policies include marine and surety bond coverage.
The quote from APRA was for a total of $940,571. The Finance Department, with the assistance
of the City's broker, determined that the rates and the insurance offered by APRA for FY2026 are
in the best interest of the City and recommend binding coverage with APRA.
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