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HomeMy WebLinkAbout1986/12/31 - ADMIN - Minutes - City Council - RegularMINUTES YEAR-END MEETING DECEMBER 31, 1986 ST. LOUIS PARK CITY COUNCIL 1. Call to Order The meeting was called to order at by Mayor Pro Tem Keith Meland at 11:27 a.m. 2. Roll Call The following Council members were present at roll call: Thomas Duffy, David Strand, Lyle Hanks and Keith Meland a s Also present were the City Manager, City Attorney, Assistant City Manager and Finance Director. 3. Ordinance establishing Martin Luther King Day as a holiday 3 It was moved by Councilman Duffy, seconded by Mayor Hanks, that the ordinance No. 1706-86 establishing the third Monday in January as a legal City holiday in observance of Martin Luther King Day be adopted. The motion passed unanimously. 4. Vendor claims list It was moved by Mayor Hanks, seconded by Councilman Strand, that the December 31, 1986 vendor claims list be approved. The motion passed unanimously. 5. 1987 umbrella and boiler machinery insurance The City Manager stated that on Dec. 15, 1986 when the City Council approved 1987 insurance coverage, staff was still awaiting information from the Minnesota League of Cities Insurance Trust regarding quotes for umbrella and boiler/machinery coverage. Those quotes have now been submitted. The premium for boiler and machinery insurance has been set at $5,336 a 390% increase over the 1985 level. For umbrella coverage, the limit has been decreased from $5 million in 1985 to $1 million. The 1987 premium is $111,724 which represents a 372% increase from the 1985 premium. In addition, a number of exclusions for the umbrella liability coverage have been added since 1985. The City Manager recommended that the City renew its boiler and machinery insurance. He noted that there were two options which could be exercised with respect to the umbrella liability coverage. The first option would be to defer a decision to a later date thereby allowing staff to continue research into other ways of providing coverage. The City lisaid that tfhave dinsurance cision was coveragedeferred until athe later proposal twas hat thehe City would not accepted. The second option noted by the City Manager was to reject the proposal from the League of Minnesota Citi Insurance uself-insurance cer the umbrella liability coverage and to in the amount of the premium whictl have been required by the League of Minnesota Cities Insurance trust. He said that within five years the City could expect to build up a $1 million fund'balance for self- insurance purposes. Councilman Strand asked if the City had researched the availability of stop/loss coverage that would provide a re -insurance coverage for any potential liabilities exceeding $1 million. He suggested that staff investigate this possibility. It was moved by Councilman Strand, seconded by Mayor Hanks to accept the proposal for boiler and machinery insurance, to reject the bid for 1987 umbrella liability insurance and to authorize staff to establish a self-insurance account and sutmit a financing plan for :he self-insurance program upon completion of the 1986 annual report. and that the City research the availability of stop/loss coverage. The motion passed unanimously. 6. Ad jourment �t was moved by Councilsan Duffy. seconded by Mayor Hanks, to adjourn the meeting at 11:38 a.m. Respectfully submitted, r Laron G. Kluspp Recording Secretary