HomeMy WebLinkAboutReso 1999-19349 RESOLUTION NO. 19349
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA AUTHORIZING THE RISK MANAGER TO PERFORM
CLAIMS FUNCTIONS AS PERMITTED BY CALIFORNIA
GOVERNMENT CODE SECTIONS 935.4 AND 949, AND
AMENDING ADMINISTRATIVE PROCEDURE NO. 506 RELATING
TO CLAIMS ADMINISTRATION
WHEREAS, California Government Code Section 935.4 provides that the City Council
may authorize an employee of the City to perform claims administration functions as are
prescribed by resolution; and
WHEREAS, in accordance with Government Code Section 935, the Chula Vista
Municipal Code prescribes the performance of claims administration functions, and sets limits
as they pertain to tort and contract claims otherwise accepted under Government Code
Section 905; and
WHEREAS, the recommended actions will delegate the claims administration functions
and authorization for settlement of all claims up to the current maximum allowable by the
Government Code of $50,000 and further update all documents and polices and procedures
related thereto.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista
does hereby delegate claims administration function and authorizes claim settlement limits as
follows:
Liability Claims
a. The Risk Manager shall be authorized to exercise independent settlement
judgrnent on all claims up to and including $25,0OO.
b. Claims between $25,001 and $50,000 shall be settled by the Risk
Manager with concurrence from the City Manager and the City Attorney.
c. Claims over $50,000 shall be settled by the City Council following
receipt of a recommendation from the Risk Manager, City Manager and
City Attorney; and
Workers' Conapensation
a. The Risk Manager is given the authority to settle claims up to $25,000.
b. Claims between $25,001 and $50,000 shall be authorized by the City
Manager upon the recommendation of the Risk Manager, and
c. Settlements over $50,000 are authorized by the City Council,
BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby
adopt revised Administrative Procedure No. 506, Claim Procedure, as set forth in Attachment
Resolution 19349
Page 2
Presented by Approved as to form by
Candy E n Jo Kaheny {'~
Human Resources Director y
Resolution 19349
Page 3
Attachment A
ADMINISTRATIVE POLICY NO.506
CLAIMS AND COMPLAINTS AGAINST THE CITY
Effective Date:
Supercedes: (date) version
Adopted by Resolution:
I. PURPOSE: To provide instructions for the proper processing of claims, late claims,
and complaints against the City. These procedures apply to tort claims (Government Code
Section 910, et seq), contract claims (Government Code Section 930.2) and all Government
Code Section 905 "excepted claims" in accordance with Chapter 1.34 Of the Chula vista
Municipal Code.
II. DEFINITIONS:
A. "CLAIM"- A demand for something due or believed to be due.
B. "CLAIMANT" * One who asserts a right, demand or claim.
C. "COMPLAINT"- A formal allegation against a party; the first or initial pleading
on the part of a plaintiff in a legal action;
D. "PLAINTIFF"- The complaining party in a litigation; one who sues to obtain a
remedy.
Ill. POLICY:
A. The City's Risk Manager is responsible for coordinating all claims, late claims
and complaints against the City. This includes preliminary and necessary
investigation and coordination with the claims administrator, when applicable.
The Risk Manager will consult with and seek the advice of City Attorney in
unusual or complex situations.
B. Risk Management is responsible for receiving and logging all claims.
C. The City Clerk's Office and/or the City Attorney's Office are the only
representatives of the City that may receive complaints and summonses against
the City. The City Clerk shall forward the original to the City Attorney and a
copy to Risk Management. If the original is served on the City Attorney, a copy
shall be forwarded to Risk Management.
D. Risk Management is responsible for setting and reporting claim reserves;
maintaining and providing loss run information to the City's pooled insurance
JPA (SANDPIPA); and, insuring that all claims in excess of the City's
self-insurance retention are reported to excess carriers in accordance with
SANDPIPA's claims handling procedures. This may require dose communication
and assistance from and with the City Attorney's Office.
Resolution 19349
Page 4
IV. PROCEDURE FOR CLAIMS and COMPLAINT ADMINISTRATION
Claims
A. Receiving Claims and Distribution Within the City: Risk Management shall
receive, date stamp, and maintain the original copy of all claims filed against
the City (regardless of the department receiving the claim) and is responsible
for maintaining a log of all claims. Claims should be filed on the City's Claim
Form; however, claims may be received in any form if they contain the
minimum information required Governr'nent Code Section 910, et seq.
B. Notification of Parties: The Risk Manager will review claims and applications
to present late claims as to sufficiency of information and will coordinate any
required investigations between the City, the claims administrator, and any
other involved parties. In all cases the Risk Manager will notify the claims
administrator, the claimant, the City Attorney and the City Council when
appropriate.
C. Maintenance of Files: Risk Management will maintain files of active claims,
update files, act as liaison between departments and outside parties and
investigate claims as appropriate.
D. Authorization for Claims Review/Payment: On behalf of City Council of the City
of Chula vista, the Risk Manager is authorized to review claims and applications
to present late claims, determine sufficiency of such claims, reject, or return
such claims as necessary. The Risk Manager is authorized to allow compromise
or settle claims against the City if the amount is $25,000 or less. Claims
between $25,001 and $50,000 may be settled by the Risk Manager with
concurrence froin the City Manager and the City Attorney, and claims over
$50,000 will be referred for settlement to the City Council with a
recommendation froin the Risk Manager, City Manager and City Attorney. (Gov.
Code Sec. 935,4).
E. Requests for Payment: The Director of Finance, upon there request of the Risk
Manager, shall cause a warrant to be issued upon the treasury of the City in the
amount for which a claim has been allowed, cornpromised, or settled, as set
forth above. (Gov. Code Sec. 935.4 and Municipal Code Chapter 1.34).
COMPLAINTS
A. Procedure for Administration of Complaints: Upon receipt of a Complaint and/or
Summons, the City Attorney shall determine whether to defend or obtain
outside counsel in accordance with City Council policy. If referred to outside
counsel, Risk Management may assist in coordinating representation. In cases
where the City's defense has been assumed by another entity, Risk
Management will immediately forward Summons/Complaints to counsel
designated to receive such pleadings by the entity assuming the City's defense
and monitor its handling (e.g. transit cases, etc.).
Government Code Sections: 905, 915,930,4, 935 and 949
Chapter 1.34 of the Chula vista Municipal Code
SANDPIPA Claims Handling Procedures
Resolution 19349
Page 5
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 26th day of January, 1999, by the following vote:
AYES: Councilmembers: Davis, Moot, Padilia, Salas and Horton
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
ATTEST:
Susan Bigelow, City Cler(k~
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 19349 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 26~h day of January, 1999.
Executed this 26th day of January, 1999.
S ~
usan igelow, City Clerk