HomeMy WebLinkAboutAGENDA REPORT 1995 0802 CC REG ITEM 08IITEM V. Z,-
City of Moorpark
Agenda Report
TO: The Honorable City Council
FROM: Richard Hare, Deputy City Man g ')oRPA4RK, CAUFORN�;'
cty C i Meeting
DATE: July 25, 1995 (CC Meeting of 8 /95) ,t 9/2--199,15
laowke
SUBJECT: CONSIDER THE CITY OF PALM DESERT'S ACnON:_a / /o(
MEMBERSHIP APPLICATION TO SCJPIA -- '—'
SY
The by -laws of the Southern California Joint Powers Insurance
Authority (SCJPIA) allows interested cities to apply for
membership. Membership applications are reviewed by the SCJPIA
staff and a physical survey is conducted. The staff develops a
report analyzing the application and the applicant city's
condition. The report is then reviewed by the various standing
committees including the Finance Officer Committee, City Manager
Committee, and the Executive Committee. After review by all of the
standing committees, membership is voted on by the voting
delegates from each member city.
The SCJPIA recommended approval and all the standing committees
voted to accept the City of Palm Desert as a member.
The Mayor serves as the City's delegate to the SCJPIA and would
cast the City's vote. It is the Mayor's intention to cast an
affirmative vote.
RECOMMENDATION
Receive and file the report.
C: \WPDOCS \CC.R &P \PALM.WPD
IMMO
RECEIVED —
SOUTHERN C AIFORNIA JUL 2 1 1995
City Of Moorpark
EXECUTIVE COMMITTEE
TO: Paul Laurason
,, ;D[,N,. c/o City Clerk of Moorpark
tarry Jan tiestran
FROM: William Holt, General Manager
, I. •. -.1HI- "!1�i:. 1 DATE: July 20, 1995
uharles delba
1.0},11'1 SUBJECT: Membership Approval for the City of Palm Desert
F EC It F.'F%It1
Curtis Morris
The SCJPIA Executive Committee at their regular meeting 'on July 19,
1995 recommended the approval of the City of Palm Desert for
membership in the Authority, subject to the initial general liability
�aElor ^s primary deposit established at $195,000. The annual excess general
liability deposit has been established at $50,899, based upon 0.97% of
aohn G. Chavez annual payroll.
11140R1NfIt%
Enclosed is a Membership Consent Form for the admission of the City of
m fdwar:'x Palm Desert along with the report of Physical Survey.
L1 .t�}U.} P1.1ti 111 I11 . 1.
We are requesting that each City Clerk deliver the enclosed materials to
cunald S. '°:araxs the SCJPIA Director appointed by their Council, and expedite returning
the form to this office as soon as possible. If the Director is unavailable,
Michael Moody the duly appointed Alternate may execute the Consent.
The SCJPIA Bylaws permit the independent judgment and action of
Ronald rlllaar your City's Director (or Alternate) on this matter, so that admissions may
be accomplished in a timely manner. If your City's procedures require
Council action on the matter, please arrange for this item to be given
Albert G. Perez special handling at your next Council meeting.
Than you in advance for your assistance in expediting the return of the
Membership Consent Form by August 18, 1995. Please feel free to call
me or Jon Shull if you have any questions.
Enclosures (2)
SOUTNERN CALIFORNIA JOINT POWERS INSURANCE AUTHORITY
4152 LA PALMA AtENOI, LA PALMA, CALIFORNIA 00622
111E 10111011E (210) 402.4272 • (714) 827.2241 • PAI (2101 $40.4002
4
SOUTHERN CALIFORNIA
JOINT POWERS INSURANCE AUTHORITY
MEMBERSHIP APPLICATION
REPORT OF PHYSICAL SURVEY
of
CITY OF PALM DESERT
I. GENERAL INFORMATION
A. Date of Survey: June 26, 1995
B. Participants in Survey:
1. For SCJPIA: William Holt, General Manager
'Jon Shull, Assistant to the General Manager
Patricia France, Senior Risk Manager
Jeff Jones, Risk Manager
2. For City: Richard Folkers, Acting City Manager/
Director of Public Works
Paul Gibson, Finance Director /City Treasurer
Ray Diaz, Director of Planning
John Wohlmuth, Assistant to the City Manager
Tom Bassler, Sr. Admin. Associate Public Works
Max Ruiz, Streets Supervisor
Ken Weller, Emergency Services Coordinator
Don Enos, Parks Supervisor
Walter Snyder, Mayor Pro Tern
Jean Benson, Councilmember
Richard Kelly, Councilmember
Page -1-
C. Description of Applicant:
Located at the center of the plentiful Coachella Valley, the City of Palm
Desert has become the economic, cultural, and recreational hub of
activity for the desert communities. Between the Santa Rosa Mountains
on the south and Interstate 10 on the north, the City of Palm Desert's 24.5
square miles are comprised of a well - balanced mixture of residential,
light industrial, and commercial uses.
The City of Palm Desert was incorporated on November 23, 1973, as a
general law city using the Council- Manager form of government. The
Council is made up of five members elected at large. The Mayor is
selected annually from among the Councilmembers.
The city's current permanent population is approximately 33,000, with an
additional 10,000 visitors making Palm Desert their home during the
busiest tourist season. Many of the city's residents live in private country
club communities with privately maintained streets and sidewalks. Over
forty percent of the city's land area is contained within these country club
communities.
The Tourism and Hospitality industries are the driving force behind Palm
Desert's economy. Twenty -three golf courses directly and indirectly
generate over $400 million annually into the city's economy. The recent
development of several large resorts has also significantly benefitted the
community's economy. Retail sales from the city's many shopping areas
provide a substantial revenue source to the city government.
The city's 1994 -95 operating budget is $34,700,000 with a current
employment of 112 full -time employees, and 1994 -95 payroll of
$4,890,000. Police and Fire Services are provided by Riverside County,
and Recreation Programming for the city's five parks is handled by the
Coachella Valley Parks and Recreation District.
During the survey, city staff displayed knowledge and concern about risk
management issues. This attitude was reflected in the physical plant of
the city which generally appeared to be well- maintained and in good
working order.
Page -2-
II. CURRENT INSURANCE PROGRAM
The city has been a member of The Coachella Valley Joint Powers Insurance
Authority (CVJPIA) from 1986 until their withdrawal June 30, 1995. The self -
insured general liability and automobile liability program had an occurrence
limit of $10,000,000, at a retention level of $125,000. The premium for 1994-
1995 for claims in excess of the self- insured retention was $143,159.
Their present liability coverage has been placed through Robert F. Driver
Associates.
The city has also participated in the CVJPIA self- insured workers' compensation
program. The premium for 1994 -1995 was $144,658, with a self- insured
retention of $250,000.
The city has property coverage through Fireman's Fund Insurance Company,
with total values insured in the amount of $11,464,000. The premium for
1994 -95 was $11,464.
III. EXPERIENCE AND LOSS DATA
General and Automobile Liability
Claims from 1989 -90 to the present were reviewed. Claims average 22 a
year, with an average incurred (reserved and paid) totalling
approximately $100,000 each year.
During 1990 -1991 a . city vehicle caused a multi- vehicle rear -end
collision. Total paid out was $32,278. There are still two open "trip and
fall" claims from that year, one reserved at $24,494, the other at $45,000.
There are no other open claims.
There remain two open claims from 1991 -1992, with a total reserve of
$17,100.
There remain three open claims from 1992 -1993, all alleging "dangerous
conditions ". They are reserved at $29,625, $12,000 and $13,500.
Three claims remain open from 1993 -1994, again alleging "dangerous
conditions "; reserved at $3,000, $29,000 and 86,500.
No claims have been paid from the 1994 -1995 year.
Page -3-
In the overall review there appear to be no claims of any significance.
The highest amount paid out was the multi - vehicle claim from 1990-
1991, a total of $32,278.
Carl Warren and Company has been the city's third party administrator
from 1986 through June 30, 1994.
IV. APPLICATION FEE AND DEPOSIT COMPUTATIONS
A. Application Fee:
The city has paid an application fee of $1,500.
B. General Liability Deposit:
The initial primary deposit covering the period September 1, 1995
through June 30, 1996 was established at $195,000. The deposit was
established based upon a pro forma analysis of the city's claims history.
C. Excess Liability Pool Deposit:
The initial deposit for the September 1, 1995 through June 30, 1996
period was established at $50,889 based upon 0.97% of the city's 1995-
96 budgeted payroll of $5,246,300.
V. PHYSICAL INSPECTION AND COMMENTS
A. CIVIC CENTER AND CITY HALL COMPLEX
The Civic Center Complex is comprised of three buildings that were
constructed in 1980. Two of the buildings are utilized by the City with the
third building leased to Riverside County Sheriff's Department. The
buildings are well maintained and sprinklered, include a sufficient
number of exits and are accessible to the disabled. The parking lot is
sufficiently lighted and maintained.
B. CORPORATION YARD
This recently acquired, nearly new facility was modified to accommodate
the needs of the Public Works Department. In addition to being
sprinklered, the facility has above ground fuel tanks appropriately
installed and maintained. The underground fuel tank was recently
removed at the old Public Works facility and no soil contamination was
found.
Page -4-
C. SENIOR CENTER, HISTORICAL SOCIETY AND FIRE STATIONS
Three fire stations and a library are leased to Riverside County. The
underground fuel tank was recently removed from the Mesa View fire
station. A former fire station is leased to the local Historical Society. A
relatively new senior center provides recreational and meal services for
the city's senior citizens. All of these buildings are relatively new and are
well maintained.
D. PARKS AND PLAYGROUNDS
The city currently has five parks within city limits. A golf course may be
added at some point in the future.
The Coachella Valley Parks and Recreation District provides contract
recreation classes and provides recreation leaders and oversight of all
recreational programs. Landscape and maintenance services are
provided by the same contractor used for the last five years.
Excellent warning and regulatory notices were posted at each park site.
The Sheriff's Department routinely patrols all parks while open to the
public as well as after the facilities are closed.
Civic Center Park
This 30 -acre facility that adjoins the Civic Center Complex is the principal
cultural and recreational focal point for the city. The basketball and tennis
courts were recently re- surfaced. Near new tiny -tot and new regular
playground equipment are available to residents' children in separate
playgrounds. Picnic tables, a small lake and amphitheater are also
located at this well maintained facility.
The YMCA provides recreational services in a city -owned building at this
park. Closed circuit cameras monitored by the Sheriff's Department
ensure the Holocaust Memorial is not vandalized.
The city is planning ten Concerts in the Park at the Amphitheater during
the summer season.
Ironwood Park
The natural flora and fauna were maintained as much as possible in
addition to the utilization of drought resistent plants in this approximately
3/4 acre park. New playground equipment was recently installed.
Page -5-
E.
Cahuilla Hills Park
Maintaining the natural flora and fauna was also of concern in the
development of this park. In addition to a hiking trail, this park also has
two tennis courts and a small parking lot.
Palm Desert Sports Complex
This well maintained facility is adjacent to Palm Desert High School and
has three softball diamonds.
Community Park
This park is adjacent to Palm Desert Middle School and is leased from
the school district. The wooden playground equipment at this facility is
consistent with the kind of equipment installed approximately twenty
years ago. Although the equipment does not meet current Consumer
Product Safety Commission Guidelines for Head Entrapment, the city will
modify or replace the equipment to meet these standards.
STREETS, SIDEWALKS AND TREES
Streets appeared to be well maintained as well as having adequate
signs, pavement marking, and warning notices where appropriate.
During the course of the survey, no notice of roadway undermining
caused by surface drainage or dangerous conditions were noted.
All pavement markings including those adjacent to schools are re-
painted on an as- needed basis. All city employees including those in
public works are encouraged to immediately report dangerous conditions
noted while driving in the city.
A citizen complaint log is maintained by the Public Works Department.
Action taken to rectify the complaints are documented and a log has
been maintained since the city incorporated.
The city has the appropriate engineering studies, as -built plans, and
other documentation to substantiate the fact that the roads were built to
meet current design standards and specifications. In addition, the city has
on file all documentation for roads inherited from the county.
There is an extensive system of privately owned and maintained roads
within the city. Primarily these roads are in private housing
developments. The city was not involved in the design or construction of
these roads.
Page -6-
Claims that occur on the approximately five miles of State Highway 111
within city limits continue to be forwarded to the State of California. All
thirty -five traffic signals owned by the city are maintained by the county.
Personnel capable of performing emergency repairs are available by
pager 24 hours a day. The city has an in -house transportation /traffic
engineer.
The approximately 28 miles of sidewalks, footpaths, curbs and gutters on
the streets as well as in the parks observed during the windshield survey
had no noticeable uplift or other dangerous conditions. Seam and crack
sealing and pothole repair are performed by city maintenance crews.
Major repair, maintenance or modifications are contracted on a bid basis
to firms that have the requisite expertise. State traffic control standards
are utilized where appropriate.
The City of Palm Desert was the first city in California to petition Caltrans
and the California Highway Patrol to allow citizens to use electric golf
carts on city streets. The Highway Patrol inspects all carts before
authorization is given to be used on city streets. Approximately 150
citizens have received a permit from the city. Completely separate lanes
have been painted on some city streets to accommodate the carts. The
carts are not permitted on city streets unless the special lanes are
utilized.
Tree trimming, removal and maintenance services are provided by
contractors on a bid basis.
VI. WATER AND OTHER UTILITIES
The City of Palm Desert does not have the responsibility for the provision of any
utilities for residents of the city. Electrical power is provided by Southern
California Edison and Southern California Gas furnishes natural gas within the
city.
The Coachella Valley Water District provides water for approximately 90% of
city residents and Waste Management Inc. assumed the responsibility for refuse
collection services. The remaining 10% of city residents, primarily in the older
part of town, receive water and trash collection services from the Palm Desert
Water and Services District.
Sewer services are provided by Coachella Valley Water District.
Page -7-
VII. FIRE DEPARTMENT
Fire protection and medical -aid services are provided under contract-- by the
Riverside County Fire Department. The city owns the three fire stations located
within city limits all of which are leased to the county.
VIII. POLICE DEPARTMENT
Law enforcement services are provided under contract by the Riverside County
Sheriff's Department. The Sheriff's facility for the City of Palm Desert is located
in the City Hall complex in a city -owned building leased to the county.
IX. SUMMARY AND EVALUATION
The city leadership understands and is committed to the concept of risk
management and is very aware that hazardous conditions need to be evaluated
and addressed to reduce the city's exposure to risk/loss.
It is the SCJPIA staff's conclusion that the loss experience, physical inspection,
and interest expressed qualify the City of Palm Desert for consideration for
membership in the SCJPIA.
We also find that membership will be of advantage to the city by providing
reliable and economical coverage, and it will be advantageous to the SCJPIA
by expanding its ability to spread pooled losses and costs.
X. RECOMMENDATION
It is recommended that the City of Palm Desert's application for membership in
the Southern California Joint Powers Insurance Authority be approved with an
initial General Liability Program primary deposit of $195,000 and an initial
Excess Liability Pool deposit of $50,889.
Page -8-
i
SOUTHERN CALIFORNIA
JOINT POWERS INSURANCE AUTHORITY
4952 La Palma Avenue, La Palma, California 90623
(310) 402 - 6372 (714) 827 -3361 FAX (310) 860 -4992
CITY OF PALM DESERT
APPLICATION FOR MEMBERSHIP
INSTRUCTIONS: Please complete the following underwriting information. You may attach
additional sheets, if necessary, to amplify your answers. The application should be signed by
the City Manager. Please type your answers.
Date of Application:
Date of Incorporation:?t jJ3
CITY OF: Palm Desert COUNTY: R uerR-L6
ADDRESS: 73 -510 Fred Waring Drive
TELEPHONE: (61 g) v4A -m1 Fwtj 0 FACSIMILE: ( 67 9) 340 -0574
CITY MANAGER: gryCa Al tr„a.,
FINANCE OFFICER: Paul rihson
RISK MANAGER:
1. POPULATION:
2. AREA:
0
E,P
N=iz -rnmmi ttaa - Pail Gi'jgon - Sbei 1 a Gi l l i ogan_(M tv rl ark) ,
Carlos Ortega (RDA Exective Director)
TOTAL CITY BUDGET: (include redevelopment or other covered agencies)
Current FY (1994/95) 34, 734, 20R
Preceding FY (1993/94 37, 41.(x, 951
Excludes CIP and Debt Service
EMPLOYEE CENSUS: (no. of full -time employees)
Clerical Office
(8810)
Municipal Non - Manual
(9410)
All Other Municipal
(9420)
Firefighters
(7706)
Police Officers
(7720)
Bus Operators
(7382)
Pilots
(7425)
Other (Designate Class)
( )
TOTAL FULL TIME EMPLOYEES
5. CURRENT INSURANCE PROGRAM: (Or last insured year)
In addition, please submit the face sheets of all current policies.
A. GENERAL LIABILITY COVERAGE: (Claims Made or Occurrence, Please specify)
1. Primary Coverage:
Carrier: Coachella Valley JPIA
Policy Period: 7 -1 -94 to 6 -30-95
Occurrence Limit:: $ 10 000
Premium: $ 13159
Deductible/Retention: $ 175-000 SIR
Claims Administrator. Dermi.s Malloy / Carl Warren
EXCESS LIABILITY COVERAGE:
$
10,000,000 Excess of $--L-000, 000
Carrier JPIA - Pool of JPIA' s
Policy Period: 7-1-94 to 6-30 95
Premium: $ covered in
above premium
$ Excess of $
Carrier.
Policy Period:
Premium:
$ Excess of $
Carrier:
Policy Period:
Premium:
B. WORKERS COMPENSATION COVERAGE:
1. Primary Coverage: Coachella Valley JPIA
Carrier.
Policy Period: 1 -1 -94 rn A-30=95
Premium: $ 144,658
Employers Liability Limit: $
Deductible /Retention: $ ?Sn f> GTR
Claims Administrator. Col an nna Toed
2. Excess Compensation Coverage:
$ 5 , 000, 000 Excess of $ 250,000
Carrier. LAWCX
Policy Period: /-1-94 to -
Premium: $
A
QI
PROPERTY INSURANCE:
1. Coverage: (replacement cost or other, please specify) re�n1 arPment cost
Insured values:
Buildings: $ 8,720,000
Contents: $ 2 X146, 000
Vehicles: $ 285,000
Other. Fine Art $ 313,000
Total Values $ 11, 464, 000
Carrier Fi re=g Fund Insi_ra_nce
Policy Period: 7 -1 -94 to 7 -1 -95
Premium: $ 11,464.00
HEALTH BENEFITS:
Medical Coverage: PPO HID
Type of plan: Indemnity, PPO, EPO, HMO, or other PPO HMO
Number of participants: (including dep.) 95 14
Carrier Prineinal Mitiml. Pac!lfirarp
Policy Period: 7 -1 -94 to 7 -1--95
Premium: F $ 601.65 S $ 239.27 F $459.19 S
Deductible /co -pay: $ 5 or 10.: O
Claims Administator:
2. Dental Coverage:
Type of plan: Indemnity or Pre -paid
Number of participants: 109
Carrier. Phoenix Mutual Life
Policy Period: 7 -1 -94 to 6 -30-95
Premium: Fam. $ 79,78 $ S 26.59
Deductible /co -pay: depends on service $ %
Claims Administator.
3. Other Benefits Offered:
yes no
Vision: x
Life: x
Long Term Disability x
Flex Benefits x
Orthodontia x
Deferred Compensation X
Other. (please specify) Group Universal Life
City's contribution to the Employee's benefit Package $ 100%
6. LOSS EXPERIENCE: (past five completed years)
In addition, please submit a current loss run with summary information. See 'Claims History' form.
A. GENERAL LIABILITY INCURRED LOSSES:
Year
Number of
losses
Amount of
losses
94 -95
7
17 1 000 _
93 -94
8 _
____L21,835
92 -93
7 _
40x 650
91 -92
2
6,500
90-91
3
30,000
B. WORKERS' COMPENSATION INCURRED LOSSES:
Year
Number of
losses
Amount of
losses
94-95
0
49,244
93-94-.--.-
5 -- _--_
449------------
92-93
--
------- 18 _
--- - - -74,
-
93,798
91 -92
16
109,130
90 -91--
----- ----15
109,837 ----------- ---- --
C. INSURED PROPERTY INCURRED LOSSES:
Year
Number of
losses
Amount of��w�
losses
95
0
0
94
0
0
-- 93
1_.__.____
12,000 Art Work
_ ---- 92
0
-_
0
91
0
0
ecorded)
7.
GENERAL EXPOSURES (include all City entities and redevelopment agency):
Number
Area
A.
Waterfront Property:
N/A
B.
City -owned Cemeteries:
N/A
C.
Housing:
161
80 acres
D.
Libraries and /or Museums: Historical 1
1 acres
E.
Parks and Playgrounds:
5
F.
Stadiums and/or Grandstands:
N/A
G.
Swimming Pools:
N/A
H.
Golf Courses:
N/A
I.
Police Horses:
N/A
J.
Police Canines:
N/A
K.
Auditoriums and/or Exhibition Halls:
N/A
L.
Community Centers:
N/A
M.
Buildings Leased to Others:
7
15 acres
N.
Land Leased to Others:
2
12 acres
O.
Buildings and/or Land Leased by City orAgency: N/A
P.
Hospitals:
N/A
Q.
Airports:
N/A
R.
Fixed -Wing Aircraft:
N/A
S.
Helicopters:
N/A
T.
Permits:
Construction:
30
Demolition:
0
Envimonmental/Hazards:
0
Other.
0
8. VEHICLE EXPOSURES:
A.
General City Vehicles:
Number
Passenger
4
Pickups/Vans:
41
Constuction/Heavy Equipment:
4
Other.
0
B.
Emergency Vehicles:
Police:
Passenger.
NIA
Motorcycles:
NIA
Pickups/Vans:
N/A
Fire:
Passenger.
NIA
Pickups/Vans:
NIA
Apparatus:
NIA
C.
Public Transit Vehicles:
Passenger.
N/A
Mini Buses/Vans:
1
insured by private Ins.
Buses:
N/A
9. ROADWAY AND TRAFFIC EXPOSURES:
A.
City Streets: (miles)
140
B.
County Roads: (miles)
N/A
C.
State Highway: (miles)
5
10.
11.
12.
D.
Traffic Signals: (number)
48 35; 13 -state
E.
City -owned Parking Lots: (number)
2
F.
Parking Meters: (number)
0
G.
Sidewalks: (miles)
28 miles estimate
POLICE SERVICES EXPOSURES:
A.
Number of Swom Officers:
Full -time:
WA
Part -time:
B.
Number of Reserves:
N/A
Level I:
Level 11:
--�1�A
,
C.
Number of Police Stations:
K
D.
Number of Jail Facilities:
Number of Cells:
—N
E.
is there a Policy and Procedures Manual?
NZA —
F.
is there a written Pursuit Policy?
NIA
G.
Is there a written Policy on the use of Firearms?
NIA
H.
Is there a written Policy on the use of Canines?
WA
FIRE
SERVICES EXPOSURES:
A.
Number of Swom Fire Personnel:
Pull -time:
WA
Part -time:
- Volunteers:
Paramedics:
B.
Number of Fire Stations:
UTILITY SERVICES EXPOSURES:
A.
Water Department:
N/A
Please submit an inundation map showing location and describe each dam.
1. Number of Employees:
2. Average Capacity /day:
Domestic:
Industrial:
3. Source of supply:
4. Dams:
Number.
Capacity.
Type:
5. Reservoirs:
Number.
Capacity:
Type:
6. Storage tanks:
Number.
Capacity:
Type:
7. Source of water supply:
B. Sanitary Sewer Service:
Number of employees: N/A
Average capacity /day:
Level of treatment:
Effluent discharged to:
C. Service Suppliers:
Electrical Power Edi son
Natural Gas: Southern Ca i form a Gas
Telephone: Cenral TPl P,phone
Cable Television: Cnlo= Cahlevi si on
Water. (if private) r'.nacbel l a Valley Wat r Di stri et
Solid Waste Disposal: Waste Man gm ent
13. Please include material information not requested on this form.
ACKNOWLEDGEMENT:
The City agrees that all of the above information, including attachments, has been fully
disclosed. The SCJPIA'may rely on these answers, including attachments, when considering
this application for membership.
NAME:
TITLE:
DATE:
SIGNATURE:
M03=5 Vrfv0on1W-6p. —do am
. .
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