15028 1 RESOLUTION NO. 15,028
2
3 A RESOLUTION TO AUTHORIZE THE CITY MANAGER TO ENTER
4 INTO A SEVENTH RENEWAL CONTRACT FOR WORKERS'
5 COMPENSATION STOP-LOSS COVERAGE WITH SAFETY NATIONAL
6 FOR ONE (1)-YEAR, EFFECTIVE JULY 1, 2019; AND FOR OTHER
7 PURPOSES.
8
9 WHEREAS, the City of Little Rock, Arkansas, has operated a self-funded Workers' Compensation
10 Program since 1985 and relies upon Stop-Loss Coverage to cap the cost of individual claims; and,
11 WHEREAS, the Arkansas Workers' Compensation Commission requires that self-insured programs
12 purchase this Stop-Loss Coverage; and,
13 WHEREAS, the City's agent for Property & Casualty Insurance has surveyed the market for this
14 coverage and has determined that at present there are only two (2) major insurers available to provide this
15 coverage Midwest Employer's Casualty and Safety National Casualty Corporation("Safety National");and,
16 WHEREAS,the City entered into a Workers' Compensation Stop-Loss Contract with Safety National
17 with an effective date of July 1, 2013, as approved by Little Rock, Ark., Resolution No. 13,728 (July 9,
18 2013); and,
19 WHEREAS, Safety National provides the City of Little Rock with the required Stop-Loss Coverage
20 in one (1)-year terms from July I"through June 30", the first twelve (12)-month term beginning July 1,
21 2013, for a maximum renewal of seven(7)twelve(12)-month policy periods; and,
22 WHEREAS,the renewal term beginning July 1,2019,through June 30,2020,represents the 7 h renewal
23 year for an annual premium rate of Two Hundred One Thousand, One Hundred Fifty-Five Dollars
24 ($201,155.00).
25 NOW, THEREFORE,BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY
26 OF LITTLE ROCK,ARKANSAS:
27 Section 1.The Board of Directors hereby authorizes the City Manager to enter into a contract renewal
28 with Safety National to provide Workers' Compensation Stop-Loss Coverage to the City for one(1)-year,
29 effective July 1, 2019, through June 30, 2020, for a total premium of Two Hundred One Thousand, One
30 Hundred Fifty-Five Dollars($201,155.00).
31 Section 2.Funding for the renewal are allocated annually in the City's General Fund Budget line items
32 for Workers'Compensation Account No. 100000-14010.
33 Section 3. Severability. In the event any title, section, paragraph, item, sentence, clause, phrase, or
[Page 1 of 21
I word of this resolution is declared or adjudged to be invalid or unconstitutional, such declaration or
2 adjudication shall not affect the remaining portions of the resolution, which shall remain in full force and
3 effect as if the portion so declared or adjudged invalid or unconstitutional were not originally a part of the
4 resolution.
5 Section 4. Repealer. All ordinances, resolutions, bylaws, and other matters inconsistent with this
6 resolution are hereby repealed to the extent of such inconsistency.
7 ADOPTED: July 23,2019
8 APPROVED:
9
10 V/
11 AFIity Clerk Frank Scott,Jr.,Ma
12 APP O LEGAL FORM:
13 /11
14
15 Thomas M.Carpenter,City Att ey
16 H
17 H
18 H
19 H
20 H
21 H
22 H
23 H
24 H
25 H
26 H
27 H
28 H
29 H
30 H
31 H
32 H
33 H
34 H
35 H
[Page 2 of 21