HomeMy WebLinkAboutAgenda Report - November 2, 1988 (57)C 0 u N C I L C 0 M M U N I C A 1 O N
TO: THE CITY COUNCIL
FROM: THE CITY MANAGER'S OFFICE
COUNCIL MEETING DATE
November 2, 1988
SUBJECT: APPROVE AND RATIFY AMENDMENTS TO THE JOINT POWERS AGREEMENT CREATING THE
CALIFORNIA JOINT POWERS INSURANCE AUTHORITY (CJPIA)
PREPARED BY: ;'assistant City Manager
RECOMMENDED ACTION: The City Council approve the attached resolution
approving amendments to the California Joint Powers
Insurance Authority.
BACKGROUND INFORMATION: The Board of Directors of the CJPIA have approved the
submission of the following amendments to the Joint
Powers agreement to the member entities. An
affirmative vote of 70% of the member entities is
required to approve the amendments.
The amendments are intended to clarify and strengthen
two specific parts of the JPA agreement. The first requires participation in
the Auto and General Liability programs be a prerequisite to continued
membership. The second requires two-year commitments of the members to the
organization and to the pooled coverage layers.
The second change does have some opposition and
probably will not be ratified by 90% of the members. I, nevertheless, recommend
the Council approve the change as a statement of support, commitment, and need
for organizational stability.
Respectfully submitted,
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Jerry L. Glenn
Assistant City Manager
JLG:br
Attachment
COUNC463
CITY COUNCIL
JAMES W. PINKERTON. Jr., Mayor CITY OF L O D 1
JOHN R. (Randy) SNIDER
Ntavor Pro Tempore CITY HALL, 221 WEST PINE STREET
DAVID NA. HINCFVtiIAN CALL BOX 3006
EVELYN M. OLSON LODI, CALIFORNIA 95241-1910
FRED M. REID (209) 334-563.1
TELECOPIER : (269) 3.33-6795
November 3, 1988
THOMAS A PETERSON
City Manager
ALICE M. REIMCHE
City Clerk
60B McNATT
City Attorney
Mr. Frank James
Chairman
California Joint Powers Insurance Authority
P. 0. Box 884
Sonoma, CA 95476
Dear Mr. James:
Enclosed herewith please find a certified copy of Resolution No. 88-154
entitled, "Approving and Ratifying Amendment to the Joint Powers
Agreement Creating the California Joint Powers Insurance Authority",
which was adopted by the Lodi City Council at its regular meeting of
November 2, 1988.
Should you have any questions regarding this matter, please do not
hesitate to call this office.
Very truly yours,.
Alice M. Reimche
City Clerk
AMR:jj
RESOLUTION NO. 88-154
APPROVING AND RATIFYING AMENDMENT TO THE
JOINT POWERS AGREEMENT CREATING THE
CALIFORNIA JOINT POWERS INSURANCE.AUTHORITY
WHEREAS, this agency has executed the Joint Powers
Agreement creating the California Joint Powers Authority, and is
a member thereof; and
WHEREAS, the Board of Directors of California Joint
Powers Insurance Authority met and approved a proposal to amend
Article IV, XVIII and XIX of the Agreement to read as follows:
ARTICLE IV
PARTIES TO AGREEMENT
Each party of this Agreement certifies that it intends to,.. and
does contract with, all other parties who are signatories of this
Agreement and, in addition, with such other parties as may later
be added as parties to, and signatories of, this Agreement
pursuant to ARTICLE XVIII. Each party to this Agreement also
certifies that the deletion of any party from this Agreement,
pursuant to ARTICLE XIX or XX, shall not affect this Agreement
nor the remaining parties, intent to contract as described above
with the other parties to the Agreement then remaining. Each
party to this Agreement must at all times participate in at
least one pooled self-insurance laver of the Auto and General
Liability Program as defined in Article XI of the ByLaws.
ARTICLE XVIII
NEW MEMBERS
The Board shall review all new member applications and determine
which entities shall be accepted for participation in each laver
of each of the Authority's Programs, except when rejected by one
third or more of the Member Entities in any layer of any Program
in which the prospective member applies to participate.
Entities entering under this Article shall be required to pay
their share of organizational expenses as determined by the
Board, including those necessary to analyze their loss data and
determine their premiums.
ARTICLE XIX
WITHDRAWAL
B. At the conclusion of the initial three-year
noncancellable commitment to any Pooled Coverage Proarar, or any
laver(s) of a Pooled Coveraae Program, a ?Member Entity shall
continue to partic_pate with successive two-year noncancellable
commitments until such time as withdrawal, pursuant to Section C,
Js effected.
C. After the initial three-year noncancellable commitment
to any layer(s) of a Pooled Coverage Program a Member Entity may
withdraw from said layer(s) only at the end of said Pooled
Coverage Program's Program Year, provided it has given the
Authority a six-month written notice of its intent to withdraw
from said layer(s), and further provided that the proposed
withdrawal date coincides with the end of the _Member Enti-tv's
current noncancellable commitment. A Member Entity may withdraw
from a Pooled Coverage Program only upon its withdrawal from all
layers of such Pooled Coverage Program.
D. Any Member Entity which withdraws as a participant of
any Program pursuant to Section C. of this ARTICLE shall not be
reconsidered for three years from the Member Entity's withdrawal.
E. Notwithstanding any provision herein to the contrary no
Member_ may withdraw from the Liability program entirely and
remain a Member of the Authority.
WHEREAS, this agency is in accord with the amendments,
finds them to be compatible with the general purposes of the
entire agreement, and finds that they should be adopted;
NOW THEREFORE BE IT RESOLVED that this agency hereby
approves and ratifies the action taken by ether members to mare
such amendments effective, hereby adopts such amendments, and
authorizes execution on behalf of this agency of any further
instrument constituting an amendment of the agreement, or the
entire agreement as amended, or other appropriate form of
instrument tendered for signature and filing to make effective
the provisions of Articles IV, XVIII and XIX of the Joint Powers
Agreement in the form approved above.
Dated:
I hereby certify that Resolution No. 88- 154 was passed and adopted by the
City Council of the City of Lodi in a regular meeting held Noveriber 2, 1988
by the follaaing vote:
Ayes: Council Members - Hinchman, Olson, Snider and Pinkerton (Mayor)
Noes: Council Members - None
Absent: Council Members - Reid
Alice M. Reimche
City Clerk
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