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HomeMy WebLinkAboutCity Council Resolution 1999-504CITY OF PLYMOUTH RESOLUTION NO. 99-504 AUTHORIZATION OF PAYMENT OF INSURANCE DEDUCTIBLE TO LEAGUE OF MINNESOTA CITIES INSURANCE TRUST WHEREAS, the City of Plymouth was insured under League of Minnesota Cities Covenant CMC 1340494 for the period of April 1, 1993 thru April 1, 1994 and incorporated within this Covenant was Automobility Liability Coverage with limits of $600,000, subject to a $50,000 per claim deductible. The cost of defense is included within the coverages and is subject to the $50,000 per claim deductible; and WHEREAS, a Plymouth Police Officer, in the course of his duties, collided with an automobile in a controlled intersection on August 11, 1993, and said operator of the automobile subsequently filed a bodily injury suit on or about May 22, 1998 against the City of Plymouth and the Plymouth Police Officer in Hennepin County District Court for the alleged bodily injuries received in the traffic accident; and WHEREAS, the League of Minnesota Cities Insurance Trust, in accordance with the terms of the Covenant, negotiation a full and complete settlement of the Bodily Injury Claim on behalf of the City of Plymouth and the Police Officer named in the Summons and Complaint, at a cost of $20,000. In addition the League of Minnesota Cities previously settled the Property Damage claim in the amount of $3,258.95, and incurred Expenses and Defense Costs in the amount of $5,248.62. In accordance with the terms of the covenant, the League of Minnesota Cities Insurance Trust has requested reimbursement in the amount of $28,507.57. NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF PLYMOUTH, MINNESOTA, that the City of Plymouth reimburse the League of Minnesota Cities Insurance Trust $28,507.57 from the Risk Management Fund for the City's deductible portion of the Settlement and Cost of Defense. Adopted by the City Council on December 7, 1999.