HomeMy WebLinkAboutApprove Resolution No. 4160 Approving and Adopting the Montana Municipal Interlocal Authority Revised and Restated Liability Coverage Program Agreement
Commission Memorandum
REPORT TO: Honorable Mayor and Commission Members
FROM: Anna Rosenberry, Finance Director
Greg Sullivan, City Attorney
Chris Kukulski, City Manager
SUBJECT: Resolution No. 4160 Approving and Adopting the Montana Municipal
Interlocal Authority Revised and Restated Liability Coverage Program
Agreement
MEETING DATE: May 11, 2009
RECOMMENDATION: Approve Resolution No. 4160 Approving and Adopting the
Montana Municipal Interlocal Authority Revised and Restated Liability Coverage Program
Agreement.
BACKGROUND: The Montana Municipal Insurance Authority, of which the City is a
member, is seeking to make changes to their Liability Program agreement for all members,
effective September 1, 2010. Attached is their correspondence, dated March 24 and March 31,
2009. In his Memo on March 31st, Alan Hulse, CEO of MMIA describes the changes in the
Liability Program agreement:
“ General Changes:
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As described in my cover memo to you, consistent in all of these agreements is the change in
name from the “Montana Municipal Insurance Authority” to the “Montana Municipal Interlocal
Authority.”
We have also removed all reference to “insurance” as it relates to the MMIA. Instead, we refer
to “Coverage” under the various program agreements.
In addition, for consistency between and among the documents, “Participant” was changed to
“Member Entity”, and “premium” was changed to “Assessment”.
Liability Program Agreement: Effective July 1, 2009
In addition to the above-mentioned changes, all reference to the bonds, and the various program
accounts required during the time the bonds were outstanding have been removed.
Additionally, the descriptions of the various accounts and funds which the MMIA currently uses
to operate the Liability Program were updated to reflect current operations.
Provisions were added to permit the MMIA to audit members to ensure that Assessments are
accurate. The audit period is limited to the two full Coverage Years preceding the year in which
the audit is conducted. A provision to permit members to seek a refund for any overpayment of
Assessments was also added, subject to the same two Coverage Year look-back period as applies
to audits.”
FISCAL EFFECTS: None.
ALTERNATIVES: As suggested by the City Commission.
Attachments: MMIA Memo, 3/24/09
MMIA Memo, 3/31/09
Resolution No. 4160
Revised and Restated Liability Coverage Program Agreement, effective 7/1/09
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COMMISSION RESOLUTION NO. 4160
APPROVING AND ADOPTING THE MONTANA MUNICIPAL INTERLOCAL
AUTHORITY AMENDED AND RESTATED LIABILITY COVERAGE PROGRAM
AGREEMENT
WHEREAS, the City of Bozeman (Member Entity) is duly organized under the laws of
the State of Montana; and
WHEREAS, Article XI, Section 7 of the Montana Constitution provides that a political
subdivision may a) cooperate in the exercise of any function, power, or responsibility with, b)
share the services of any officer or facilities with, and c) transfer or delegate any function, power,
responsibility, or duty of any officer to one or more other local government units, school districts,
the state or the United States; and
WHEREAS, Mont. Code Ann. Title 7, Chapter 11, Part 1, (the "Interlocal Cooperation
Act") authorizes political subdivisions to create interlocal agreements to jointly perform any
undertaking that each such political subdivision unit is authorized by law to perform; and
WHEREAS, Mont. Code Ann. § 2-9-211, authorizes political subdivisions of the State to
procure insurance separately or jointly with other subdivisions, and to use a deductible or self-
insurance plan, wholly or in part; and
WHEREAS, the Montana Municipal Interlocal Authority (Authority) is a joint exercise of
powers entity established pursuant to an Interlocal Cooperation Agreement in accordance with
the provisions of the Interlocal Cooperation Act for the purpose of providing pooled risk
coverage programs for the Member Entity and other political subdivisions executing the Interlocal
Agreement; and
WHEREAS, the Authority is authorized to exercise necessary powers to implement the
purposes of the Authority as established by the Interlocal Agreement; and
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WHEREAS, by executing this Revised and Restated Liability Program Agreement the
Member Entity signatory hereto has heretofore determined and does hereby confirm that the
Assessments and other charges required by the Liability Program have been and are just and
reasonable and advantageous to the public benefit of the citizens of such Member Entity; and,
NOW, THEREFORE, BE IT RESOLVED THAT the City of Bozeman hereby
approves and adopts this Amended and Restated Liability Coverage Program Agreement.
PASSED AND ADOPTED this 11th day of May, 2009.
______________________________
KAAREN JACOBSON
Mayor
ATTEST:
______________________________
STACY ULMEN, CMC
City Clerk
APPROVED AS TO FORM:
______________________________
GREG SULLIVAN
City Attorney
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