HomeMy WebLinkAboutApprove Resolution No. 4161 Approving and Adopting the Montana Municipal Interlocal Authority Revised and Restated Property 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. 4161 Approving and Adopting the Montana Municipal
Interlocal Authority Revised and Restated Property Program Agreement
MEETING DATE: May 11, 2009
RECOMMENDATION: Approve Resolution No. 4161 Approving and Adopting the
Montana Municipal Interlocal Authority Revised and Restated Property Program Agreement.
BACKGROUND: The Montana Municipal Insurance Authority, of which the City is a
member, is seeking to make changes to their Property 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
Property Program agreement:
“ General Changes:
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.”
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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”.
Property Program Agreement: Effective July 1, 2009
As discussed above, this Program Agreement was revised to change the name of the MMIA,
delete references to “insurance” and “premium” except where appropriate, more accurately
identify the accounts and funds used, define audit and refund policies, subject to the same two
Coverage Year periods as are found the Liability and Workers Compensation Program
Agreements.
The same provisions dealing with withdrawal, suspension and termination from membership
found in the Liability and Workers Compensation Program Agreements were included in this
Program Agreement so that there would be a consistent policy and procedure applicable to each
Program.
In addition, the notification requirement for withdrawal from this Program was increased from
90 to 120 days. The reason for doing so was due to the decision of the MMIA to publish rates
sooner during your budget cycle to the membership. In order to provide this rate information to
you sooner each year, the MMIA must be able to inform its reinsurers earlier in the year about
any withdrawals from participation in the Property Program.”
FISCAL EFFECTS: None.
ALTERNATIVES: As suggested by the City Commission.
Attachments: MMIA Memo, 3/24/09
MMIA Memo, 3/31/09
Resolution No. 4161
Revised and Restated Property Program Agreement, effective 7/1/09
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COMMISSION RESOLUTION N0. 4161
APPROVING AND ADOPTING THE MONTANA MUNICIPAL INTERLOCAL
AUTHORITY AMENDED AND RESTATED PROPERTY 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, 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;
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WHEREAS, by executing this First Amended Property Program Agreement, the Member
Entity signatory hereto has heretofore determined and does hereby confirm that the Assessments
and other charges required by the Property 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 Property 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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