HomeMy WebLinkAbout21424 1 ORDINANCE NO. 21,424
2
3 AN ORDINANCE TO AMEND LITTLE ROCK,ARK.,REV. CODE §2-243
4 (1988) TO DEFINE THE DUTIES OF AN INSURANCE BROKER
5 SELECTED AS A PROFESSIONAL SERVICE FOR EMPLOYEE
6 BENEFIT PLAN CONSULTANT; TO DECLARE AN EMERGENCY; AND
7 FOR OTHER PURPOSES.
8
9 WHEREAS, the City provides its employees with various insurance benefits as a condition of
10 employment,and needs to secure the services of an Insurance Broker in order to determine the best package
11 for the different kinds of insurance; and,
12 WHEREAS,the actual duties of this Insurance Broker need to be more carefully defined so that the
13 selection process for insurance products is transparent but also within the best interests of the City;
14 NOW,THEREFORE,BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY
15 OF LITTLE ROCK,ARKANSAS:
16 Section 1. Little Rock, Ark., Revised Code § 2-243 (1988) is hereby amended to add the following
17 subsection:
18 When an insurance broker is selected as a professional service pursuant to the category for
19 Employee Benefit Plan Consultant Services, the Broker is permitted to do the following to assist
20 the City in the selection of insurance products:
21 (a) Develop with the City a set of questions and issue about the type of insurance
22 coverage requested, including, but not limited to, issues such as premiums,
23 coverage, co-pays, and dependent coverage;
24 (b) Upon obtaining answers to these questions, review them with the individual
25 companies and have authority to negotiate a product price that the Broker believes
26 will mean the City's interest;
27 (c) Recommend to the City a package of insurance benefits and what factors were
28 considered in the selection of the package including,but not limited to, responses
29 to inquiries by the Broker, the rate of commissions, the history of the company,
• 30 and any issues with the product;
31 (d) Develop a final package based upon any considerations or modifications that the
32 City wishes to pursue.
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1 Section 2. The Insurance Broker shall maintain appropriate records of the negotiations that will
2 become the property of the City and,to the extent permitted by law,will be subject to disclosure as a public
3 record pursuant to the Arkansas Freedom of Information Act so long as such disclosure does not create an
4 unfair competitive advantage for the insurance company.
5 Section 3. Severability. In the event any title, subtitle, section, subsection, subdivision, paragraph,
6 subparagraph,item,sentence,clause,phrase,or work of this ordinance is declared or adjudged to be invalid
7 or unconstitutional,such declaration or adjudication shall not affect the remaining portions of the ordinance
8 which shall remain in full force and effect as if the portion so declared or adjudged invalid or
9 unconstitutional was not originally a part of this ordinance.
10 Section 4. Repealer. All ordinances, resolutions, or parts of the same that are inconsistent with the
11 provisions of this ordinance are hereby repealed to the extent of such inconsistency.
12 Section 5. Emergency Clause. The ability to review the largest possible market for insurance prod-
13 ucts to provide to City employees that are in the best overall interests of the City in terms of coverage and
14 cost is essential to the public health, safety, and welfare; an emergency is, therefore, declared to exist and
15 this ordinance shall be in full force and effect from and after the date of its passage.
16 PASSED: June 6,2017
17 A '►�f • APPROVED:
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19 .11
20 y,City Clerk Mark Stodola,Mayor
21 • ' 'RO I AS TO LEGAL FORM:
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23 lA' k •
24 Thomas M. Carpenter,City Att ney
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