pages: CityCouncil/2019-10-15.pdf, 7
This data as json
body | date | page | text | path |
---|---|---|---|---|
CityCouncil | 2019-10-15 | 7 | Mayor Ezzy Ashcraft stated adequate insurance is needed; the current limits appear to be too low. Councilmember Oddie questioned who would pay if something happens. The City Attorney responded payment depends on the incident. Councilmember Oddie outlined a hypothetical scenario of $6 million in damages. The City Attorney stated under the current proposed lease, the applicant's insurance would cover the City's deductible, and the City's insurance would kick in after the $1 million in damages; any issues would impact the City's future insurance premiums. Mayor Ezzy Ashcraft requested clarifying comments from Mr. Dubow. Mr. Dubow stated the RFQ listed specific insurance requirements; insurance providers will not give a quote for historic buildings, however, a quote for a group of buildings is possible; the applicant is willing to reimburse the City for property insurance, but the property insurance must be secured by the City. Mayor Ezzy Ashcraft inquired whether the applicant is willing to reimburse the City for the cost of the premium and the deductible. Mr. Dubow responded the deductible is covered by the applicant's $2 million liability insurance; stated the City's insurance would cover the greater loss, but the cost of the insurance will be borne by the applicant. Mayor Ezzy Ashcraft questioned whether the applicant will cover the costs if a claim is made, and the deductible is met. Mr. Dubow stated the applicant's insurance will cover the deductible; the insurance for the City will cover the larger claim; the applicant will cover the premiums for the City insurance. Councilmember Oddie inquired whether a casualty or claim occurs, and City premiums increase, who will be the responsible party for the payment increases. Mr. Dubow responded the applicant would cover their share of the building. The City Attorney stated when there is a claim, the City's overall portfolio insurance rate increases; the lessee would not cover the increase in that case. Mayor Ezzy Ashcraft stated the increase would ultimately be borne by the taxpayers. Councilmember Oddie inquired about the newly proposed language. Regular Meeting Alameda City Council 5 October 15, 2019 | CityCouncil/2019-10-15.pdf |