Explanation
BACKGROUND:
Need: The Division of Police needs to extend the contract for hull insurance (property damage) and liability insurance for it's five MD 500E helicopters. Since the cost of the MD 500E helicopters was approximately 1 million each, it is critical that insurance contract be extended to protect the City's investment.
Bid Information: The original contract allows for an extension for two years. The Division of Police wishes to extend the contract for another year which would be the first year of the extension.
Contract Compliance No.: 52-0970288
Emergency Designation: Emergency legislation is requested so insurance can be put into effect as soon as possible. Current insurance expires February 9, 2004.
FISCAL IMPACT: $183,500.00 was requested in the 2004 Police's General Fund budget for hull and liability insurance. With the renewable discount ($17,350.00), no claims bonus, there should be a surplus in this object.
Title
To authorize and direct the Finance Director to extend the contract for the renewal of hull and liability insurance for the Division of Police helicopters, to exercise the 2nd year option of the contract, to authorize the expenditure $191,546.00 from the General Fund; and to declare an emergency. ($191,546.00)
Body
WHEREAS, the Division of Police needs to extend the contract to renew hull and liability insurance for its helicopters; and
WHEREAS, the original contract allowed for an extension with AON Risk Services; and
WHEREAS, emergency legislation is requested so insurance can be put into effect before current policy expires; and
WHEREAS, an extension shall be given to AON Risk Services for the renewal of helicopter insurance; and
WHEREAS, an emergency exists in the usual daily operations of the Division of Police in that it is immediately necessary to extend the contract for the renewal of insurance for helicopters thereby preserving the public health, peace, property, s...
Click here for full text