HomeMy WebLinkAbout19277 ORD - 04/22/1986AN ORDINANCE
RELATING TO PROVISION OF INSURANCE COVERAGE; ESTABLISHING
UNIFORM CRITERIA FOR PROVISION OF INSURANCE; REPEALING ALL
ORDINANCES IN CONFLICT; PROVIDING FOR SEVERABILITY; AND
DECLARING AN EMERGENCY.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI,
TEXAS:
WHEREAS, the City of Corpus Christi has a moral obligation to assure
that its citizens will be adequately compensated as a result of bodily injury or
property damage caused by persons who are permitted to work on City property or
who receive the privilege and opportunity to provide services or commodities to
the citizens; and
WHEREAS, the City has a legal obligation to protect its taxpayers from
unnecessary financial loss due to the negligent acts of others and this
obligation is carried out through the promulgation of insurance, indemnification
and other risk transfer techniques; and
WHEREAS, the nation, the State of Texas, and the City of Corpus
Christi in particular are undergoing a crisis in insurance in that premiums are
being drastically increased, coverages reduced, and insurance cancelled; and
WHEREAS, the City has required different insurance coverages for
different functions through the course of the years; and
WHEREAS, insurance requirements liability and risks are changing so
rapidly that a need exists to allow flexibility in the provision of such
coverage without the necessity of amending each and every ordinance, and at the
same time to provide uniform insurance policy requirements throughout the
City.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CORPUS CHRISTI, TEXAS:
SECTION 1. There is hereby established a uniform consistent
requirement for comprehensive general liability insurance required of each and
every activity throughout the city wherever situated in the amounts of $100,000
per person, $300,000 per occurrence, and $50,000 property damage. Those levels
are established as the uniform requirement wherever insurance is required by any
City ordinance, contract, or any other requirement. As each existing
anniversary date for insurance renewal occurs, the requirement on the person,
business, or entity required by the City to provide insurance shall be
consistent with the amounts required herein. The Director of Safety and Risk
Management, or successor, shall provide other comprehensive general liability
insurance requirements or forms as such activity may necessitate in accordance
with the ordinance.
06P.025.01
19277 MICROFILMED
SECTION 2. The Director of Safety and Risk Management or the City
Manager's designee is hereby authorized and directed to review each such
insurance requirement upon its anniversary date and determine whether the above
requirement is adequate or not depending upon the risk to the citizens to be
protected. Such Director is authorized to require an increase of those
coverages or allow a decrease of those coverages as deemed fit based on the
following criteria:
1. The specific nature of the activity to be carried out and the liability
incurred thereby;
2. Who will perform the work, provide the service, and/or sell the commodity;
3. Who receives the benefit of the work, activity, commerce or other endeavor
and compensation for such;
4. What the specific risks are associated with the activity;
5. What exposure those risks present to the contractor, employees, City
employees, the public or private property of persons for whom the services
are provided;
6. What the specific risks are to the general public;
7. How severe the effects of an incident might be that would give rise to a
loss in that activity;
8. What the past experience has been with regard to similar incidents,
contracts, risks, or other services;
9. Given a location where the work, activity, or contract is being performed,
the risk involved, the probability of loss, and the possible financial
extent of such loss, how much and what type of insurance or other
considerations should be required;
10. An evaluation of loss experience, case law, insurance availability, and
existing protection available to or in the City of Corpus Christi;
11. The need for risk management techniques to pre -plan the financial means by
which to cover such a loss and to be flexible enough to adjust limits and
coverage to give adequate and complete foreseeable coverage for all
intentional acts based upon reasonable pricing and availability of coverage.
SECTION 3. Based upon the above and foregoing criteria the Director
of Safety and Risk Management shall have the authority to adjust coverages of
limits of contractors, permittees, franchisees, vendors, license holders and any
other person, business or entity required by the City to provide insurance so as
to adequately protect the City of Corpus Christi and its residents as a result
of acts of themselves or other parties so that normal operations and City
services can continue without disruption. The impact of assumption of risk by
the City will be evaluated based upon the coverage provided by the City's
self-insurance program. The Director of Safety and Risk Management shall
19277 04-22-86
evaluate each such insurance requirement and advise each such party who has the
responsibility of providing the insurance what shall be required for each coming
term.
SECTION 4. In the event of dissatisfaction with the decision of the
Director of Safety and Risk Management, any affected person shall have the right
to appeal that decision to a committee composed of the Director of Safety and
Risk Management, the City Finance Director, and the City Attorney. That
committee shall promptly meet, consider the determination of the Director of
Safety and Risk Management and any information from any affected person
including insurance industry representatives and either confirm that decision or
modify the decision as the evidence so requires.
SECTION 5. To the extent that the insurance requirements stated in
this ordinance conflict with or contradict insurance requirements established by
any other ordinance, contract, or document, such other ordinance, contract, or
document is repealed to the extent of any such conflict and this ordinance shall
take precedent and control from the effective date of this ordinance and
ordinances, contracts, or documents of the City requiring insurance shall be in
conformity herewith and shall merely recite that insurance is required in
accordance with the provisions hereof.
SECTION 6. The Director of Safety and Risk Management is hereby
authorized to execute all releases and other documents related to insurance
claims and to endorse for and on behalf of the City any payments made to or by
third party vendors arising from insurance claims.
SECTION 7. If for any reason any section, paragraph, subdivision,
clause, phrase, word or provision of this ordinance shall be held invalid or
unconstitutional by final judgment of a court of competent jurisdiction, it
shall not affect any other section, paragraph, subdivision, clause, phrase, word
or provision of this ordinance for it is the definite intent of this City
Council that every section, paragraph, subdivision, clause, phrase, word or
provision hereof be given full force and effect for its purpose.
SECTION 8. Publication shall be made one time in the official
publication of the City of Corpus Christi by publishing the caption stating in
substance the purpose of the ordinance, this ordinance to become effective upon
such publication.
SECTION 9. That upon written request of the Mayor or five Council
members, copy attached, to find and declare an emergency due to the need for the
efficient and effective administration of City affairs, such finding of an
emergency is made and declared requiring suspension of the Charter rule as to
consideration and voting upon ordinances or resolutions at three regular
06P.025.01
meetings so that this ordinance is passed and shall take effect upon first
reading as an emergency measure this the 22nd day of April, 1986.
ATTEST:
City Secretary MAYOR
THE CITWOF CORPUS CHRISTI, TEXAS
APPROVEgl.e6Y OF APRIL, 1986
06P.025.01
Corpus Christi, Q as
oZL""- day of
TO THE MEMBERS OF THE CITY COUNCIL
Corpus Christi, Texas
, 1986
For the reasons set forth in the emergency clause ofthe foregoing ordinance
or resolution, an emergency exists requiring suspension of the Charter rule
as to consideration and voting upon ordinances or resolutions at three
regular meetings; I/we, therefore, request that you suspend said Charter rule
and pass this ordinance or resolution finally on the date it is introduced,
or at the present meeting of the City Council.
Respectfully, Respectfully,
Council Members
MAYOR
THE C Y OF CORPUS CHRISTI, TEXAS
The above ordinance was pass by the following vote:
Luther Jones Jl
Dr. Jack Best
David Berlanga, Sr.
Leo Guerrero
Joe McComb
Frank Mendez
Bill Pruet
Mary Pat Slavik
Linda Strong
19277
PUBLISHER'S AFFIDAVIT
STATE OF TEXAS, iss: ADS 50152
County of Nueces. J CITY OR CORPUS CHRISTI
CITY. SECRETARY •
Before me, the undersigned, a Notary Public, this day personally came
MURIEL LA RUE .., who being first duly sworn, according to law, says that he is the
SEIjT,Q$ rT,Fam of the Corpus Christi Caller and The Corpus Christi Times,
Daily Newspapers published at Corpus Christi, Texas, in said County and State, and that the publication of
NOTICE OF PASSAGE OF ORDINANCE NO. 19277 RELATING TO PROVISION OF INSURANCE
of which the annexed is a true copy, was published in _,_CALLER—TIMES PUBLISHING CO.
on the._____ day of on 19 86, and once each- _slay. thereafter for .one.
consecutive
day
orie Times.
2415
MURIEL LA RUE
Subscribed and sworn to before me this 4th da bf
19.....gb..
-" Notary Pub c, N -ces County, Texas
EDNA KOSTER 11-30-
d NOTICE OF PASSAGE OF
'will, ORDINANCE NO. 19277
RELATING TO PROVISION OF
; INSURANCE COVERAGE; ES-
UNIFOR
_ISyCRITTERIAI OR PROVISION OF
INSURANCE; REPEALING ALL
ORDINANCES IN CONFLICT;
,PROVIDING FOR SEVERABILI-.
TY; AND DECLARING AN
EMERGENCY.
Was passed and approved
by the City Council of the City
of Corpus Christi, Texas on
the 22nd day of April, 1986.
The full text of said ordinance
is available to the public in the
• Office of the City Secretary.
/s/ Armando Chapa
City Secretary
Corpus Christi, Texas