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HomeMy WebLinkAboutAGENDA REPORT 1991 0403 CC REG ITEM 08NPAUL W. LAWRASON JR. Mayor BERNARDO M. PEREZ Mayor Pro Tern SCOTT MONTGOMERY Councilmember JOHN E. WOZNIAK Councilmember LILLIAN KELLERMAN City Clerk MOORPARK ITEM 8• iv TO: HONORABLE CITY COUNCIL ..00RPARK, CALIFORNIA STEVEN KUENY City Co City Manager :IMeefing of 1991 CHERYL J. KANE City Attorney ACTION: iI K RICHARDS, A.LC.P. Director of Community Development JOHN F. KNIPE City Engineer JOHN V. GILLESPIE Chief of Police RICHARD T. HARE City Treasurer FROM: RICHARD HARE, DEPUTY CITY MANGE DATE: March 28, 1991 SUBJECT: ENROLLMENT IN SCJPIA SPECIAL EVENT INSURANCE COVERAGE (TENANT USER LEASE COVERAGE) Background The Southern California Joint Powers Insurance Authority has developed a special event insurance program with Robert F. Driver, Company, Inc. This program will allow the City to transfer the risk of rentals and uses of City facilities and property to the tenant or user and ultimately to an insurance company without excessive costs. It will also allow the City and /or a co- sponsor to purchase coverage for certain City sponsored or co- sponsored activities. The additional coverage would protect the first tier of coverage ($20,000) of the City's self - insurance fund. Each event or activity would be reviewed for levels of risk and special event coverage could be obtained where it was warranted. For an example, Cinco de Mayo, Labor Day in the Park and similar events receive some degree of City sponsorship. In the event the other co- sponsors lacked the required insurance, the City or the co- sponsor could obtain a million dollars of coverage through this program at affordable rates. (see Cinco de Mayo report this agenda) Traditional sports uses of the parks which are open at all times to the public may not be included, however, in the case of tournaments or organized activities it may be advantageous to cover them as well. The inclusion of sports activities will be investigated further by staff. The City currently requires insurance for most rentals or uses of the Community Center. No insurance coverage is currently required for private instructors using City facilities to conduct classes. The City, however, does attempt to transfer risk by requiring a hold harmless agreement in which the tenant or user agrees to indemnify the City in either case. 799 Moorpark Avenue Moorpark, California 93021 (805) 529 -6864 The special events program presented by the Authority allows the City to assist tenants in obtaining an affordable personal injury and property insurance coverage. The tenant or user will now have a choice between securing a commercial policy on his /her own or using the Authority program. The rates charged vary by the type of event, duration, number of participants, use of alcohol, presence of exhibitors, concessionaires, or food sales. In all cases a million dollars of coverage still applies. A simple one day meeting or class with loo or fewer participants will cost $45.18. A wedding reception with 101 - 500 guests would cost $60.25. If alcohol was served another $50.25 would be added to the insurance cost. The City contracts with individual private instructors ,,to conduct classes at City facilities. These instructors indemnify the City, but most do not carry insurance. This program will allow the instructor to protect him /herself. Liability insurance coverage for a one day class of fifty (50) participants would cost $45.18 (90 cents per participant). If the class ran one day a week for ten weeks, it would cost $60.25 ($1.25 per participant). One of the important aspects of this program is that it is optional. It establishes a minimum level of obtainable liability insurance ($1,000,000), and allows the tenant or user to secure coverage through their own means or through the Authority's program. In either case the City of Moorpark would be endorsed as an additional insured thereby protecting the public from unantici- pated losses due to an unforseen occurrence. Recommendation Authorize the City Manager to enroll the City of Moorpark in the Southern California Joint Powers Insurance Authority's special event insurance program. Further, authorize staff to amend the Community Center rental contract, recreation instructor's contract and all future lease or use agreements to establish the minimum level of insurance coverage available through the SCJPIA special events program and to offer the Authority program as an option to tenants or users of City owned facilities or property. Attachment A SPECIAL EVENT COVERAGE (TENANT USER LEASE INSURANCE) Individuals or groups wishing to lease, rent, or use City of Moorpark facilities including, but not limited to, the Community Center, park pavilions, playing fields, picnic areas, playgrounds, meeting rooms, streets, or rights of way must obtain appropriate insurance coverage and hold the city of Moorpark harmless of any liability. INSURANCE MINIMUM REQUIREMENTS BEST'S GUIDE RATING• CALIFORNIA STATUS: COVERAGE: LIMITS• DEDUCTIBLE B, GOOD; IX Admitted Commercial General Liability including: - Lessees as Named Insured -City as Additional Insured - Premises & Products /Completed Operations - Personal & Advertising Injury - Liquor Legal Liability -Fire Damage Legal Liability - Medical Expenses $1,000,000 General Aggregate Limit (other than Products/ Completed Operations) $1,000,000 Products /Completed Operations Aggregate Limit $1,000,000 Personal & Advertising Injury Limit $1,000,000 Each Occurrence Limit $50,000 Fire Damage Legal Limit $5,000 Medical Expense Limit General Aggregate applies separately to each event. None NOTE: The individual or group may secure their own coverage which meets or exceeds these standards or may apply to the Robert F. Driver Company, Inc. An application form may be obtained from the Community Services Department. CITY OF MOORPARK 4/1/91