The Administration & Regulatory Affairs Department recommends that Council accept the Radio Equipment and Tower Insurance policy proposed by Texas Municipal League Intergovernmental Risk Pool (TML).
This insurance covers the City-wide public safety radio communication system used by the Police Department, Fire Department, Public Works & Engineering and other City departments. The system consists of radio and network equipment installed at approximately fifty-three locations (self-contained prefabricated buildings or existing buildings) across the City and surrounding areas. The total value of the equipment, towers and prefabricated buildings is $81,245,010.
A Request for Proposals for Radio Equipment and Tower Insurance was issued and advertised on April 15, 2016 and April 22, 2016 for a one-year policy effective July 1, 2016. Additionally, McGriff, Seibels & Williams (McGriff) solicited proposals from forty-nine insurance carriers and TML; TML submitted a proposal for $254,093. A proposal for a premium of $487,691 in a layered program structure was proposed by the following participating carriers: Lexington, Arch Specialty, Colony Specialty, Scottsdale and One Beacon. The TML proposal meets or exceeds minimum proposal specifications.
The terms of the proposed policy are:
Term: July 1, 2016 to July 1, 2017
Insurance Carrier:Texas Municipal League Intergovernmental Risk Pool
Total Premium Cost: $254,093.00 (Payment due immediately upon receipt of invoice.)
Insured Limit: $81,245,010 (Replacement Cost Basis)
Type of Coverage: All Risk Coverage (including Flood, Windstorm/Hail and Earthquake for communication equipment, towers and self-contained prefabricated buildings used to house the equipment).
Deductibles: $50,000 per occurrence for all perils, except:
a) $100,000 per occurrence for flood and earthquake.
b) Named storm flood is 1% of scheduled values and will apply separately to building and contents values.
c) Named storm tidal flooding (storm surge) is 2% of scheduled values and will apply separately to building and contents values.
Departmental Approval Authority:
_____________________________________ __________________________________________
Tina Paez, Director Other Authorization
Administration & Regulatory
Affairs Department