Explanation
BACKGROUND:
Need: The Division of Police needs to modify and extend the contract for the third year for hull insurance (property damage and liability insurance) for its six MD 500E helicopters. Since the cost of the new helicopters exceeds 1 million dollars each, it is critical that insurance be purchased to protect the City's investment.
Bid Information: The Division of Police advertised formally bids for helicopter insurance. SA001844, Helicopter Insurance was opened December 12, 2005. NationAir Insurance Agencies was awarded the contract and the Division of Police is exercising the renewal option for the third and final year at the same pricing.
Contract Compliance No: 43-1188120 Expires 02/05/2010
Emergency Designation: Emergency legislation is requested so insurance can be put into effect as soon as possible. Current insurance expires February 9, 2008.
FISCAL IMPACT: $183,500.00 is budgeted in the Police's General Fund budget for helicopter insurance. With the renewable discount, no claims bonus, there should be a surplus in this object. The first year of this contract in 2006, $170,208.00 was expended. The second year in 2007, $160,317.00 was expended.
Title
To authorize and direct the Safety Director to modify and extend the contract for the purchase of hull and liability insurance with NationAir Insurance Agencies for the Division of Police's helicopters, to authorize the expenditure of $170,209.00 from the General Fund; and to declare an emergency. ($170,209.00)
Body
WHEREAS, the Division of Police needs to purchase hull and liability insurance for its helicopters; and
WHEREAS, formal bids for the purchase of helicopter insurance was opened by the Division of Police on December 12, 2005; and
WHEREAS, NationAir Insurance Agencies, insurance broker, was the most responsive and responsible bidder received per specification; and
WHEREAS, the Division of Police is exercising the option to renew for third and final year of this contract; 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 for the purchase of insurance for six 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 Safety Director be and is hereby authorized and directed to modify and extend the contract with NationAir Insurance Agencies Insurance Agencies Insurance Agencies for the purchase of hull and liability insurance for the Division of Police's helicopters.
SECTION 2. That the expenditure of $170,209.00 or so much thereof as may be needed; be and the same is hereby authorized as follows:
DIV 30-03 | FUND 010 | OBJ LEVEL (1) 03 | OBJECT LEVEL (3) 3392 | OCA # 300707
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.