HomeMy WebLinkAbout300-67S V 0,
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POLICY & PROCEDURE
Subject: Index: HRRM
CLAIMS SETTLEMENT AUTHORITY Number: 300-67
Effective Date: Supersedes: Page: Staff Contact: Approve y:
10/24/2019 1 of 3 Ellen Bradley-Mak
1.0 PURPOSE:
To provide for effective and expeditious settlement of liability claims and lawsuits made
against the City of Renton and other types of claims made by the City of Renton in
compliance with the requirements of Washington Statutes and the City of Renton
Codes, Ordinances, and Policies.
2.0 ORGANIZATIONS AFFECTED:
All City of Renton Departments, Divisions, Boards, and Commissions.
3.0 REFERENCES:
City Policy 300-65
City of Renton Resolution No. 2833
City Council Policy 800-12
4.0 POLICY:
It is the policy of the City of Renton to utilize city funds in as expeditious and cost-
effective manner as possible when addressing liability claims against the city and
recovery claims made to responsible third parties. To help achieve this policy,the
responsibility for and the limits of authority to negotiate and settle these claims must
be established.
5.0 DEFINITIONS:
There is hereby established the Risk Management Committee. As further set forth in
this policy, the Risk Management Committee shall review and make decisions and
recommendations in the areas of liability claims management and settlement.
300-09 Claims Settlement Authority
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The Risk Management Committee shall be composed of three voting members: the
Chief Administrative Officer, Administrative Services Administrator, and the Human
Resources and Risk Management Administrator, with input from the Risk Manager.
The respective Administrator(s)whose department is the subject of the liability claim
shall be given ample opportunity to provide input to the committee.
The City Attorney shall serve in a legal advisory role to the Risk Management
Committee and in a negotiating capacity with claimants' attorneys and with pro se
claimants.
If any member of the Risk Management Committee, the respective Administrator, City
Attorney or Mayor is involved, or is alleged to be involved, in the claim or lawsuit,
he/she shall recuse himself/herself from any and all decisions or decision-related input
addressed in this policy.
6.0 PROCEDURES:
The Risk Management Committee is authorized to negotiate proposed settlements of
claims made against and by the City of Renton, for which they have assumed
responsibility to manage, subject to authorized limits of settlement authority and other
applicable directives, as set forth in sections 6.1 and 6.2.
6.1 Settlement Authority for Settlement of Liability Claims:
6.1.1. The Risk Manager is authorized for pre-litigation liability claims
settlements up to and including TWENTY-FIVE THOUSAND DOLLARS
25,000) per claimant.
6.1.2 The Risk Management Committee is authorized to settle claims greater
than TWENTY-FIVE THOUSAND DOLLARS ($25,000) up to and including
ONE HUNDRED THOUSAND DOLLARS ($100,000), or as requested by the
Risk Manager, subject to the additional provisions set forth in 6.1.3.
6.1.3 The Risk Management Committee shall consult the City of Renton Mayor
for concurrence of a settlement or an offer to settle a liability claim when
the amount is in excess of ONE HUNDRED THOUSAND DOLLARS
100,000), when requested by the Risk Management Committee, or in
the event that there is not unanimous consent amongst the Risk
Management Committee.
300-09 Claims Settlement Authority
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6.1.4 Summary of Settlement Authority:
0- $25,000 Risk Manager
25,001 - $100,000 Risk Management Committee
100,001 - $250,000 Mayor Concurrence
250,000* Council Approval
6.1.5 *Settlements for which the Mayor does not have authorization pursuant
to Council Policy 800-12 require Council approval; namely, when the
settlement amount, less any contribution from a city insurance policy,
exceeds $250,000.
6.1.6 Subject to Policy#300-65, settlement of covered self-insured liability
claims shall be made from the appropriate account in the 502 Insurance
Fund, or as otherwise directed by the Administrative Services
Department.
6.1.7 This policy does not apply to claims or lawsuits for Workers'
Compensation. Authority to settle claims, lawsuits, or other proceedings
not addressed in this policy is reserved for the Renton City Council and
the City of Renton Mayor.
6.1.8 Payments from the city's 502 Insurance Fund for non-settlement related
expenses are not subject to these settlement procedures. These include,
but are not limited to, lawfully mandated payments, court ordered
payments, and payments necessary to investigate, prosecute, and
defend claims.
6.2 Settlement Authority for Settlement of Claims made by the City of Renton:
The Risk Manager is authorized to make recovery claims, reach a settlement for
such claims, and/or collect funds for reimbursement of documented damages to
City of Renton property and workers' compensation costs for injuries to city
employees against responsible individuals, businesses, and/or their insurers.
Collected funds shall be deposited in the respective account used to pay for the
loss or as directed by the Administrative Services Department.