Explanation
BACKGROUND: This ordinance authorizes the Public Safety Director to modify and extend a contract with NationAir Insurance for helicopter insurance for six months. The Division of Police advertised to receive bids for insurance for the six MD 500E helicopters on January 14, 2009. These bids were non-responsive. In order to maintain insurance coverage during the new bid process, the Division of Police needs to modify and extend the current contract with NationAir Insurance Agencies, Inc. for hull insurance. This extension is critical in order to protect the City's investment while new bids are reviewed and an award is made to the winning bidder. Extension of the contract term to August 1, 2009 will ensure that the insurance remains effective until new bids are received and reviewed.
Bid Information: A formal bid for helicopter insurance, SA003126 was opened January 14, 2009, and both bids were non-responsive. Therefore, in order to get better pricing, Real Estate Management has processed a Request for Proposal ("RFP") for insurance broker service for the City's Property and Casualty, Boiler and Machinery and Aviation Insurance programs.
Contract Compliance No: 43-1188120 Expires 02/05/2010
Emergency Designation: Emergency legislation is requested so that the contract for insurance can be extended to allow for payment of six additional months of insurance coverage with the current vendor, while the RFP for insurance services are processed and bids are reviewed. Current insurance expired February 8, 2009.
FISCAL IMPACT: This ordinance authorizes an expenditure of $70,751.00 from Law Enforcement Seizure Fund for six additional months of insurance for the Police helicopters. The Police Division spent $170,208.00 in 2006 for insurance, $160,317.00 in 2007 and $170,087.00 in 2008. Unlike previous years, this expense does not impact the General Fund, because funding is from the Law Enforcement Seizure Fund.
Title
To authorize and direct the Public Safety Director to modify and extend a contract for insurance for helicopters with NationAir Insurance Agencies, Inc., for the Division of Police, to authorize the expenditure of $70,751.00 from the Law Enforcement Seizure Fund; and to declare an emergency. ($70,751.00)
Body
WHEREAS, the Division of Police needs to extend the contract for hull and liability insurance coverage until August 1, 2009 for its helicopters to allow for coverage until new bids are received and reviewed; and
WHEREAS, a Request for Proposal ("RFP") has been processed by Real Estate Management for insurance services; and
WHEREAS, NationAir Insurance Agencies, Inc., the current provider, has agreed to extend insurance coverage for six additional months; and
WHEREAS, an emergency exists in the usual daily operations of the Division of Police in that it is immediately necessary to modify and extend the contract EL005833 for the purchase of additional insurance for seven helicopters, thereby preserving the public health, peace, property, safety and welfare; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Public Safety Director be and is hereby authorized and directed to modify and extend the contract with NationAir Insurance Agencies, Inc. for the purchase of six months of additional hull and liability insurance for the Division of Police's helicopters.
SECTION 2. That the expenditure of $70,751.00, or so much thereof as may be needed, be and the same is hereby authorized as follows:
DIV 30-03 | FUND 219 | OBJ LEVEL (1) 03 | OBJECT LEVEL (3) 3392 | OCA # 300988 | SUBFUND 016 |
SECTION 3. That for the reasons stated in the preamble hereto, which is hereby made a part thereof, this ordinance is hereby declared to be an emergency measure and shall take effect, and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.