14808 1 RESOLUTION NO. 14,808
2
3 A RESOLUTION TO AUTHORIZE THE CITY MANAGER TO ENTER
4 INTO A SIXTH RENEWAL CONTRACT WITH SAFETY NATIONAL
5 FOR WORKERS' COMPENSATION STOP-LOSS COVERAGE FOR ONE
6 (1)-YEAR EFFECTIVE JULY 1,2018; AND FOR OTHER PURPOSES.
7
8 WHEREAS, the City of Little Rock, Arkansas has operated a self-funded Workers' Compensation
9 Program since 1985 and relies upon Stop-Loss coverage to cap the cost of individual claims; and,
10 WHEREAS, the Arkansas Workers' Compensation Commission requires that self-insured programs
11 purchase this Stop-Loss Coverage; and,
12 WHEREAS, the City's agent for Property & Casualty Insurance has surveyed the market for this
13 coverage and has determined that at present there are only two (2)major insurers available to provide this
14 coverage Midwest Employer's Casualty and Safety National Casualty Corporation("Safety National");and,
15 WHEREAS,the City entered into a Workers' Compensation Stop-Loss Contract with Safety National
16 with an effective date of July 1, 2013, as approved by Little Rock, Ark., Resolution No. 13,728 (July 9,
17 2013); and
18 WHEREAS, Safety National provides the City of Little Rock with the required Stop-Loss Coverage
19 in one (1)-year terms from July 1st through June 30'x', the first twelve (23) month term beginning July 1,
20 2013,for a maximum renewal of seven(7),twelve(12)-month policy periods; and
21 WHEREAS, the renewal term beginning July 1, 2018, through June 30, 2019, represents the sixth
22 renewal year for an annual premium rate of Two Hundred One Thousand,One Hundred Fifty-Five Dollars
23 ($201,155.00).
24 NOW, THEREFORE,BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY
25 OF LITTLE ROCK,ARKANSAS:
26 Section 1.The Board of Directors hereby authorizes the City Manager to enter into a contract renewal
27 with Safety National to provide Workers' Compensation Stop-Loss Coverage to the City for one (1)-year,
28 effective July 1, 2018, through June 30, 2019, for a total premium of Two Hundred One Thousand, One
29 Hundred Fifty-Five Dollars($201,155.00).
30 Section 2.Funding for the renewal are allocated annually in the City's General Fund Budget line items
31 for Workers'Compensation, Account No. 100000-14010.
32 Section 3. Severability. In the event any title, section. paragraph, item, sentence, clause, phrase, or
33 word of this resolution is declared or adjudged to be invalid or unconstitutional, such declaration or
34 adjudication shall not affect the remaining portions of the resolution, which shall remain in full force and
[Page 1 of 2]
L -
1 effect as if the portion so declared or adjudged invalid or unconstitutional were not originally a part of the
2 resolution.
3 Section 4. Repealer. All ordinances, resolutions, bylaws, and other matters inconsistent with this
4 resolution are hereby repealed to the extent of such inconsistency.
5 ADOPTED: -te 19,2018 •
6 A APPROVED:
7
8 rA:0 :!`
9 'usan • . .ity Clerk Mark Stodola,Mayor
10 APPRO S TO LEGAL FORM:
11
12 • A --
13 Thomas M. Carpenter,City Attorn
14 //
15 //
16 //
17 //.
18 //
19 //
20 //
21 //
22 //
23 //
24 //
25 //
26 //
27 //
28 //
29 //
30 //
31 //
32 //
33 //
34 //
[Page 2 of 2]