202942010044794 Received: 7/28i2010 9:5s �5 A i
Recorded: 07 28 /2Li1r) 09;58:58 ���1 Filed Recorded in Official Records of M led
i ORDINANCE NO. 20,294 PeesA$20 COUNTY 9r tJl71C0L,,N �"_y CL ER ,.
2
3 AN ORDINANCE TO DISPENSE WITH THE REQUIREMENT OF COMPETI-
4 TIVE BIDS AND TO AWARD A CONTRACT TO MIDWEST EMPLOYERS'
5 CASUALTY COMPANY TO PROVIDE WORKERS' COMPENSATION REIN -
6 SURANCE COVERAGE TO THE CITY; TO DECLARE AN EMERGENCY; AND,
7 FOR OTHER PURPOSES.
8
9 WHEREAS, because the City operates a self - funded workers' compensation program pursuant to
10 state law, it is required to maintain reinsurance in order adequately to provide for such coverage; and,
I WHEREAS, pursuant to a competitive bid process in May 2002, the City selected Midwest Em-
12 ployers' Casualty Company to provide this reinsurance coverage; and,
13 WHEREAS, since that time the City has employed an insurance consultant pursuant to the profes-
14 sional services provisions of the Little Rock Code; and,
15 WHEREAS, the City's insurance consultant has reviewed the market and determined that few com-
16 panies offer workers' compensation reinsurance like the City needs, and that the best offer to the City
17 is still Midwest Employers' Casualty Company; and,
18 WHEREAS, it is essential that this coverage be provided immediately; and,
19 WHEREAS, because the current contract expired on July 1, 2010, and the City believed that a sepa-
20 rate formal competitive process was not necessary since the competitively selected insurance consultant
21 made the recommendation; and,
22 WHEREAS, to assure that there are no violations of State and City competitive selection processes,
23 and to assure that this critical and required coverage remains in effect, it is impractical and unfeasible to
24 competitively bid for this coverage, and as noted previously there are few, if any, companies besides
25 Midwest Employers' Casualty Company which will offer such coverage to the City;
26 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY
27 OF LITTLE ROCK, ARKANSAS:
28 Section 1. The City Manager is authorized to enter into an agreement for one year, effective July 1,
29 2010, with Midwest Employers' Casualty Company to provide workers' compensation reinsurance to the
30 City.
31 Section 2. Funding for this agreement is provided as a separate line item in the 2010 City Budgets „1
32 Section 3. Because of the reliance upon the recommendation of the competitively selectedh
33 surance consultant, a desire to provide this coverage immediately, and a concern that state a dCi bid
34 ding procedures are followed, it is determined that it is impractical and unfeasible to subjectth s 'pontract
[PAGE 1 OF 2]
Ordinance to dispense with competitive bids and award a contract for workers' is
compensation reinsurance to Midwest Employers Casualty Company
1 to a competitive bid process, therefore, the requirement for a competitive bid is dispensed with in this
2 situation.
3 Section 4. Severability. In the event any title, section, paragraph, item, sentence, clause, phrase, or
4 word of this ordinance is declared or adjudged to be invalid or unconstitutional, such declaration or adju-
5 dication shall not affect the remaining portions of the ordinance which shall remain in full force and effect
6 as if the portion so declared or adjudged invalid or unconstitutional were not originally a part of the ordi-
7 nance.
8 Section 5. Repealer. All ordinances, resolutions, bylaws, and other matters inconsistent with this
9 ordinance are hereby repealed to the extent of such inconsistency.
10 Section 6. Emergency. The City is required by state law to maintain reinsurance as apart of a
11 self - funded workers compensation program, but the present agreement to do so has expired and it is im-
12 perative that a new contract be in place immediately, and that the holdover from the existing contract be
13 ratified; such a contract is essential to the public health, safety and welfare of the City and its employees;
14 an emergency is, therefore, declared to exist and this ordinance shall be in full force and effect from and
15 after the date of its passage..
16 PASSED: July 20, 2010
17 ATTEST: APPROVED:
18
19 l�L�i
20 s ey, City Clerk Mark Stodola, Mayor
21
22 APPROVED AS TO LEGAL FORM:
23
24 4A.0,-
25 Thomas M. Carpenter, City A o ney
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[PAGE 2 OF 21
Ordinance to dispense with competitive bids and award a contract for workers'
compensation reinsurance to Midwest Employers Casualty Company