HomeMy WebLinkAboutResolution 1978 - 0108RESOLUTION NO.78-108
ESTABLISHING A PROGRAM OF LEGAL SELF-INSURANCE
BY THE DISTRICTS RE WORKERS’COMPENSATION
A RESOLUTION OF TFIE BOARDS OF DIRECTORS OF
COUNTY SANITATION DISTRICTS NOS.1,2,3,5,6,
7 AND 11,ESTABLISHING A PROGRAM OF LEGAL SELF
INSURANCE BY THE DISTRICTS RE WORKERS’COMPEN
SATION AND AUTHORIZING NECESSARY ACTIONS FOR
IMPLEMENTATION
WHEREAS,the Fiscal Policy Committee and the Executive Committee of the
Boards of Directors have made studies relating to the feasibility of being
legally self-insured for workers’compensation;and,
WHEREAS,it has been recommended that the Districts be legally self-insured
for workers’compensation for the reasons that significant cost savings will
likely be realized,better safety programs will be established for the benefit
of District employees and a higher level of service of compensation claims can
be expected;and,
WHEREAS,the Boards of Directors of County Sanitation Districts Nos.1,2,
3,5,6,7 and 11 approved implementation of said self-insurance program;and,
WHEREAS,it has been further recommended that at such time as the Districts
become legally self-insured,that the services of an administrator be retained
to be responsible for all aspects of claims processing and coordination with
Districts staff and legal counsel:
NOW,THEREFORE,the Boards of Directors of County Sanitation Districts Nos.
1,2,3,5,6,7 and 11 of Orange County,California,
DO HEREBY RESOLVE,DETERMINE AND ORDER:
Section 1 The nonrenewal of the existing agreement between the Districts
and the State Compensation Insurance Fund for the Fund to provide primary workers’
compensation insurance coverage is approved effective July 1,1978,or as soon,
thereafter,as the self-insurance program can be fully implemented;and,
Section 2 The General Manager is authorized to execute a workers’compensa
tion administrative services agreement effective July 1,1978,in form approved
by the General Counsel;and,
Section 3 The General Manager is authorized to obtain a re-insurance
policy,in the amount above the level of self-insurance,so as to provide
coverage for extraordinary compensation claims,from the State Compensation
Insurance Fund or any other qualified private carrier.Said policy to be
effective July 1,1978,or upon implementation of the self-insurance program;and,
Section 4 A Workers’Compensation Reserve Account is hereby established
in the amount of $500,000.00,as previously authorized by Board action estab
lishing a reserve account for public liability expenses and claim losses.It
is the intent of the Districts that the total reserve of $500,000.00 shall be,
provided to fund both workers’compensation and public liability expenses and
claim losses;and,
Section 5 A Workers’Compensation Trust Account is hereby established to
provide funds that may be disbursed by the Districts’Claims Administrator as
payment of expenses and claims;and,
Section 6 That the Director of Finance is hereby authorized to open a
commercial bank checking account for said Workers’Compensation Trust Account
in an amount appropriate to accommodate efficient processing of workers’compensa
tion claims;and provide for drawing of checks against said account by the Districts’
Claims Administrator;and,
Section 7 That the Director of Finance is hereby authorized to draw
warrants for the initial deposit of funds in said Workers’Compensation Trust
Account and to reimburse said account for authorized expenditures therefrom;:and,
the County Auditor -Controller and County Treasurer are hereby authorized and
directed to issue and pay said warrants.
PASSED AND ADOPTED at a regular meeting held June 14,1978.
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Resolution No.78-108
ss.
was regularly passed and adopted at a
Philip Anthony,Norman Culver,Donald Fox,Sal Gambina,
Francis Glockner,Beth Graham,Don Griffin,Donald Holt,
Jr.,Bernard Houston,Donald Hudson,Frank Laszlo,Don
Mclnnis,Harry.Miller,Richard Olson,Bob Perry,Alan
Priest,Thomas Riley,Kerm Rima,Earl Roget,Donald Roth,
Paul Ryckoff,Donald Saltarelli,Laurence Schmit,James
Sharp,Ron Shenkman,Richard Siebert,Roger Stanton,
Donald Strauss,Bernie Svalstad,Charles Sylvia,Bill
Vardoulis,Ray Williams and Duane Winters
of June
,
1978.
St:CTd Sec’:etary,
ectois,Lounty
istricts Nos.1,2,
~3,5,6,7,and ii of Orange
County,California
STATE OF CALIFORNIA )
)
COUNTY OF ORANGE )
I,J.WAYNE SYLVESTER,Secretary of the Boards of Directors of
County Sanitation Districts Nos.1,2,3,5,6,7,and 11 of Orange
County,California,do hereby certify that the above and foregoing
1978,regular meeting of said Boards on the 14th day of June
by the following vote,to wit:
AYES:
NOES:None
ABSENT:Vernon Evans,David Ortiz,Don Smith and Henry Wedaa
IN WITNESS WHEREOF,I have hereunto set my hand this 14th day
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