HomeMy WebLinkAbout20003056.tiff RESOLUTION
RE: APPROVE AGREEMENT FOR PARTIALLY SELF-FUNDED INSURANCE PROGRAM
AND AUTHORIZE CHAIR TO SIGN -COLORADO COUNTIES CASUALTY AND
PROPERTY POOL
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, the Board has been presented with an Agreement for the Partially Self-
Funded Insurance Program between the County of Weld, State of Colorado, by and through the
Board of County Commissioners of Weld County, and Colorado Counties Casualty and
Property Pool, with terms and conditions being as stated in said agreement, and
WHEREAS, after review, the Board deems it advisable to approve said agreement, a
copy of which is attached hereto and incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of
Weld County, Colorado, that the Agreement for the Partially Self-Funded Insurance Program
between the County of Weld, State of Colorado, by and through the Board of County
Commissioners of Weld County, and Colorado Counties Casualty and Property Pool, be, and
hereby is, approved.
BE IT FURTHER RESOLVED by the Board that the Chair be, and hereby is, authorized
to sign said agreement.
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 13th day of December, A.D., 2000.
BOARD OF COUNTY COMMISSIONERS
U WELD COUNTY, COLO DO
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IL. '` Barbara J rkmeyer, Chair
el•s •erk to the Board
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180 O M. J. ails, ro-Te
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O J Geor E. Baxter
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Glenn Vaad
2000-3056
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Colorado Counties Casualty and Property Pool
Agreement for Partially Self-Funded Program
Weld County
January 1 , 2001 through December 31 , 2001
THIS AGREEMENT is entered into this 1st day of January,2001 by and between the Colorado
Counties Casualty and Property Pool ("CAPP" or "Pool"), a legal entity formed by
intergovernmental agreement under Colorado law, and Weld County ("County"), a political
subdivision of the State of Colorado.
ARTICLE 1.0 RECITALS
1 .1 The County is a member in good standing of CAPP and has adopted the CAPP Bylaws
and Intergovernmental Agreement (the "Intergovernmental Agreement"), as amended
from time to time by the CAPP membership.
1.2 The County is current with respect to all of its obligations to CAPP and therefore eligible
to participate in CAPP's partially self-funded option program (the "Program").
1 .3 The County wishes to self-fund through CAPP a portion of its anticipated property and
casualty claims for program year 2001 while having CAPP continue to provide claims
adjudication and management services and loss control and prevention programs for the
County and CAPP is willing to provide such services on the terms and conditions
hereafter stated.
ARTICLE 2.0 TERM
2.1 This Agreement shall take effect on January 1, 2001, and shall coincide with the term of
CAPP's obligations to pay the retention under the St. Paul Excess Property, St. Paul
Excess Liability, and Hartford Steam Boiler Boiler and Machinery Policy (hereafter
"Policies"), subject to paragraph 3.7 of this Agreement.
ARTICLE 3.0 OBLIGATIONS OF COUNTY
3.1 The County shall pay CAPP $245,396 by January 31, 2001 for insurance coverage and
services rendered by CAPP for the period January 1, 2001 — December 31, 2001. F or
services provided by CAPP after December 31, 2000, pursuant to paragraph 4.1 of this
Agreement, the County shall budget, appropriate, and irrevocably pledge an annual fee
to be determined by the CAPP Board of Directors.
:3.2 The County shall budget, appropriate, and irrevocably pledge $71,500 in 2001 and
thereafter at least annually shall budget, appropriate and irrevocably pledge additional
2001 CAPP Self-Funded Agreement Page 1 of 5
2000-3056
funds sufficient,which may be determined from time to time by CAPP after consideration
of actuarial or other financial reports, for the payment of the first $125,000 of each
qualified claim and allocated loss expenses subject to the Policies ("County self-funded
retention"), none of which payments shall be the responsibility of CAPP. For this
purpose, allocated loss expenses means all costs, charges, or expenses of third parties
reasonably incurred by CAPP, its agents or its employees,which are properly chargeable
to a qualified claim including, without limitation, court costs, fees, and expenses of
attorneys, independent investigators, experts and witnesses, and fees for obtaining
diagrams, reports, documents, and photographs; and "qualified claims" means those
claims for which coverage is provided pursuant to the Policies, subject to any additional
coverage limitations imposed by CAPP.
A $20,000 claims deposit shall be paid to CAPP by January 31, 2001. Additional funds
shall be forwarded to CAPP from time to time based on payments for qualified claims and
allocated loss expenses. Interest earned on payments made to CAPP pursuant to this
paragraph 3.2 shall be credited to CAPP.
3.3 The County shall pay promptly CAPP's invoices pursuant to paragraph 3.2 within fifteen
(15)days of receipt. Interest on any overdue payment shall accrue at the rate consistent
with the Intergovernmental Agreement.
3.4 It is the parties' intent that at all times CAPP shall have available sufficient funds from
the County to pay promptly all proper charges to the County self-funded retention The
parties do not intend for CAPP to be required to advance CAPP funds to pay the County
self-funded retention or to perform services if the County fails to provide necessary funds
as provided in paragraph 3.2.
3.5 The County agrees that the timely payment of all amounts billed to it pursuant to this
Agreement is an obligation of the County under the Intergovernmental Agreement. The
County agrees that any failure to so pay, or any failure of the County to comply with any
other provision of this Agreement, will result in expulsion of the County from CAPP, and
will subject the County to all other remedies and consequences provided fo:r in this
Agreement and in the Intergovernmental Agreement.
3.6 If the County is entitled to any credit or payment under Article XI of the
Intergovernmental Agreement for any year, and if the County fails to timely pay any
amounts due under this Agreement, the Board may, in addition to any other remedies it
has, apply against any such amounts due the amount of any credit or payment CAPP owes
or may in the future owe to the County as a result of such membership.
3.7 The County's obligations under this Agreement are subject to and conditional upon the
County annually budgeting, appropriating, and irrevocably pledging funds as provided
in paragraphs 3.1 and 3.2 of this Agreement. However, the County agrees that coverage
of the County through CAPP under the Policies and the services to be provided the
2001 CAPP Self-Funded Agreement Page 2 of 5
County by CAPP are conditional upon such annual budgeting, appropriation, irrevocably
pledging of funds, and timely payment of all amounts due in accordance with this
Agreement and the Intergovernmental Agreement, and upon the County's compliance
with all other provisions of this Agreement. The County further agrees that failure by the
County to so budget, appropriate, irrevocably pledge, or make such payment or to so
comply will result in no coverage through CAPP under the Policies for any pending
qualified claims for which the County fails to provide funds or pay fees as provided in
this Agreement, will result in cancellation of coverage under the Policies, and will result
in termination of any services provided to the County by CAPP under paragraph 4.1.
3.8 The County shall pay the full amount then pledged pursuant to paragraph 3.2 upon the
request of the CAPP Board if the CAPP Board reasonably determines that CAPP needs
the payment in order to meet applicable regulatory or statutory requirements.
ARTICLE 4.0 OBLIGATIONS OF CAPP
4.1 For qualified claims of the County under the Policies: CAPP will supervise, administer,
manage and provide claims adjudication through County Technical Services,Inc. or such
other entity or person as the Board of Directors of CAPP ("Board")may determine, until
further notice thereof provided to the County, in accordance with the Intergovernmental
Agreement and shall act as the representative of County in all matters related tc such
services.
ARTICLE 5.0 WITHDRAWAL AND EXPULSION
5.1 Withdrawal or expulsion of the County from CAPP shall not affect the obligations of the
County or CAPP under this Agreement.
5.2 On or before the effective date of withdrawal or expulsion of the County from CAPP, the
full amount then pledged pursuant to paragraph 3.2 shall be paid to CAPP plus such
additional amount as the CAPP Board may reasonably determine is necessary to pay the
County's self-funded retention until all qualified claims under the Policies are closed and
to pay CAPP's costs pursuant to paragraph 5.3.
5.3 Upon withdrawal or expulsion of the County from CAPP, CAPP shall retain all pending
claim files. The County shall continue to pay CAPP for all costs associated with the
County's claims paid through CAPP which are subject to the County's self-funded
retention in excess of the payment made pursuant to paragraph 5.2.
ARTICLE 6.0 INFORMATION
6.1 All information developed for or specifically relating to claims servicing for the County,
including all source documents, stored data and technical, claims, and other information
of any kind, and reports prepared by or for CAPP, are the property of CAPP and remain
2001 CAPP Self-Funded Agreement Page 3 of 5
CAPP exclusive property during the existence of and after termination of this Agreement.
The County shall have reasonable access to such information, and the right, upon
reasonable request, to copy the same at the County's own expense.
ARTICLE 7.0 GENERAL PROVISIONS
7.1 This Agreement is personal to each of the parties and no party may assign or delegate any
of such party's rights or obligations hereunder without first obtaining the written consent
of the other party.
7.2 Time is of the essence in the performance of the parties' obligations and duties under this
Agreement.
7.3 If any portion of this Agreement is declared invalid or unenforceable pursuant to a
challenge by the County or by any officer,employee, or resident of the County, or by any
other person except CAPP, the CAPP Board shall determine whether the Agreement is
or is not severable and its decision shall be final. If the Board determines the Agreement
is not severable, the entire Agreement shall be terminated effective on such date as the
Board may decide, the County's coverage under the Policies shall be terminated as to all
pending and future claims as of that date, and all services by CAPP to the County shall
be terminated as of that date except for claims adjudication under paragraph 4.1 for claims
for which coverage is not terminated under this paragraph, if any exist. Nothing shall
prevent the County from obtaining coverage through CAPP in the same manner as other
non-self-funded members.
7.4 This Agreement does not alter the Intergovernmental Agreement and the County retains
all obligations of a CAPP member as set forth therein. The obligations of the County
under this Agreement are obligations of the County within the meaning of the
Intergovernmental Agreement.
7.5 This Agreement may be enforced by the parties or by any member, if so authorized by the
CAPP Board of Directors. All costs incurred by CAPP in the attempt to collect any
amount due under this Agreement, including reasonable attorney fees, court costs, and
any arbitration costs, shall be paid by the County. The venue for any court action related
to this Agreement shall be the Denver District Court.
7.6 Notices in connection with this Agreement and its Addenda shall be delivered ,:o the
following in the case of CAPP:
Colorado Counties Casualty and Property Pool
c/o County Technical Services, Inc.
1700 Broadway, Suite 1512
Denver, CO 80290
2001 CAPP Self-Funded Agreement Page 4 of 5
and to the following in the case of County:
CAPP Designated Correspondent:
7.7 Any functions,powers,and responsibilities of CAPP provided for in this Agreement shall
be exercised by the CAPP Board or its authorized designee.
7.8 In addition to any other remedies which may exist, the CAPP Board may submit any
dispute under this Agreement to advisory arbitration,which shall be conducted pursuant
to the rules of the American Arbitration Association or other Colorado court annexed
arbitration system in Denver, Colorado, as the Board may determine.
1N WITNESS WHEREOF, the parties have caused this Agreement to be executed by the
following persons authorized to act on behalf of their respective entities, dated and effective as
of January 1, 2001.
COLORA 'COUNTIES CASUAI4TY AND PROPERTY POOL (CAPP)
By: // �/ per-�_ Date: /,?/ ///o
DL War en
President, CAPP Board of Directors
WELD COUNTY, COLORADO (County)
By: Date: A.,2/ I,.3 //U
Chair,aoard of Cou y C19m ioners
By: )i lGt Date: /oZ / /3i Ur
County Clerk
(COUNTY' SEAL)
2001 CAPP Self-Funded Agreement Page 5 of 5
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