HomeMy WebLinkAbout07 SETTLEMENT AUTHORITY - WKRS COMP 03-01-04
AGENDA REPORT
Agenda Item 7
Reviewed: ~
City Manager
Finance Director N/A
MEETING DATE:
MARCH 1, 2004
WilLIAM A. HUSTON, CITY MANAGER
TO:
FROM:
HUMAN RESOURCES DEPARTMENT
SUBJECT:
WORKERS' COMPENSATION CLAIMS SETTLEMENT AUTHORITY
SUMMARY:
The City has followed an administrative policy for settlement authority with the same limits as
detailed in the proposed Resolution for many years. Resolution No. 04-19 will codify the
appropriate limits as adopted by the City Council.
RECOMMENDATION:
Adopt Resolution No. 04-19 clarifying the authority of the City Manager, or his designee, to
settle Workers' Compensation claims.
FISCAL IMPACT: None
DISCUSSION:
Resolution No. 04-19 simply formally adopts an administrative policy that has been followed by
the City Manager, City Attorney, Finance Director and Human Resources Director for many
years.
Settlement for most Workers' Compensation claims is established within the guidelines of
Workers' Compensation laws; there is typically little settlement movement due to the significant
formalized structure inherent in the Workers' Compensation system. As such, claims settlement
is typically an agreement reached prior to litigation by all involved parties that closely mirrors
what the City believes would be the ultimate outcome should an employee follow a claim
through the system.
The formal adoption of settlement authority is a practice recommended by the Board of the
City's insurance JPA, the California Insurance Pool Authority (CIPA).
~~L~ n~-
Arlene Marks, SPHR
Director of Human Resources
Attachment - Resolution 04-19
S:\City Council Agenda Items\2004\Agenda Report WC Claims Settlement.doc
RESOLUTION NO. 04-19
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, AUTHORIZING THE CITY
MANAGER OR THE CITY MANAGER'S DESIGNEES TO
SETTLE WORKERS COMPENSATION CLAIMS UP TO
THE LIMIT OF THE CITY'S SELF-INSURED RETENTION
WHEREAS, the City Council has adopted a resolution providing for the
settlement of claims, which does not include workers compensation claims;
WHEREAS, most cities authorize the City Manager or the City Manager's
Designees to settle workers compensation claims up to a certain amount. It is not
uncommon for that amount to be the limit of the City's Self-Insured Retention;
WHEREAS, the City Council desires to authorize the City Manager or the City
Manager's Designees to settle workers compensation claims as provided in this
resolution and further to report on significant claims from time to time to the City
Council.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUSTIN,
CALIFORNIA, resolves, determines and orders as follows:
1.
The City Manager or the City Manager's Designees shall have the
authority to settle workers compensation claims up to the limit of the City's
Self-Insured Retention, providing that amount is within the City's adopted
budget.
That the City Manager or the City Manager's Designees shall report to the
City Council on workers compensation claims that exceed or are
estimated to exceed $100,000.00.
2.
PASSED AND ADOPTED at a regular meeting of the Tustin City Council, held on
the 17th day of February 2004.
TONY KAWASHIMA,
Mayor
ATTEST:
PAMELA STOKER,
City Clerk
Resolution No. 04-19
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STATE OF CALIFORNIA)
COUNTY OF ORANGE) SS
CITY OF TUSTIN )
I, Pamela Stoker, City Clerk and ex-officio Clerk of the City Council of the City of Tustin,
California, do hereby certify that the whole number of the members of the City Council of
the City of Tustin is five; that the above and foregoing Resolution No. 04-19 was duly
passed and adopted at a regular meeting of the Tustin City Council, held on the 2nd day of
February, 2004 by the following vote:
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
COUNCILMEMBER ABSENT:
PAMELA STOKER,
City Clerk
Resolution No. 04-19
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