HomeMy WebLinkAboutCity Council - 5999 RESOLUTION NO. 5999
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF HUNTINGTON BEACH ESTABLISHING
INSURANCE AND INDEMNITY REQUIREMENTS FOR CONTRACTORS,
PERMIT APPLICANTS, AND PROFESSIONAL SERVICES CONTRACTORS
WHEREAS, there are persons and organizations performing
services in and for the city ("CONTRACTORS") ,permit holders
("PERMIT HOLDERS") , and design, engineering, and other professional
consultants ("PROFESSIONAL SERVICES CONTRACTORS") who are engaged in
various activities in the city, thereby subjecting the city to
substantial risk of liability for damage to property and injury to
persons; and,
The city desires such persons and organizations to maintain
insurance naming the city, its officers, and employees as additional
insureds, and indemnifying the city from loss; and,
The city desires to establish liability, workers '
compensation and employers ' liability insurance requirements for
such persons and organizations, and, in appropriate cases, a
procedure for the waiver thereof; and,
The city desires to establish internal staff responsibility
for the administration of the insurance required by this Resolution
and delineate the authority to make adjustments to requirements
based upon unique and unusual circumstances .
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Huntington Beach that the insurance coverage and indemnity
required of all CONTRACTORS, PERMIT HOLDERS and PROFESSIONAL
SERVICES CONTRACTORS, shall be as follows :
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SECTION I . PERSONS AFFECTED, AS CONTRACTORS, PROFESSIONAL SERVICES
CONTRACTORS AND PERMIT HOLDERS
A. DEFINED AS•
1. CONTRACTORS and PROFESSIONAL SERVICES CONTRACTORS
are any persons or entities who contract with the
city and/or provide goods or services to the city.
2. PERMIT HOLDERS are those persons or entities who
make application to the city for any:
a. building permit for work involving the
public right of way (see Section II in all
other cases) ,
b. use of or encroachment upon any public
street, waterway, pier, or city property.
B. COVERAGE REQUIRED
1. General Liability
a. Combined single limit bodily injury, and
property damage, including completed
operations liability and blanket
contractual liability and, where products
are furnished products liability: Minimum
limits of $1, 000, 000 per occurrence.
b. If coverage is provided under a form which
includes a designated general aggregate
limit, the aggregate limit must be no less
than $1, 000, 000 and the policy holder shall
give the city notice of any known depletion
of limits.
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C. Claims made policies are not acceptable.
d. Any self-insured retentions in excess of
$10,000 shall be approved by the Risk
Manager .
2 . Workers ' Compensation and Employers ' Liability
In accordance with the applicable state statutes
with limits in the case of employers ' liability
in amounts not less than:
a. $100,000 bodily injury by accident, each
occurrence, AND
b. $100,000 bodily injury by disease, each
employee, AND
C. $250, 000 bodily injury by disease, policy
limit.
3 . Professional Liability Insurance
a. Coverage. CONTRACTORS and PROFESSIONAL
SERVICES CONTRACTORS providing professional
services to the city shall provide evidence
of professional liability insurance in
amounts covered:
i . as required by individual contract; or
ii . a minimum of $500,000 per occurrence
and in the aggregate.
b. Claims made policies are acceptable.
C. CERTIFICATE OF INSURANCE
1. Form
Evidence of insurance coverage and limits
required by the city shall be furnished to the
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city on the "Accord" or similar form approved by
the City Attorney.
2. Approval of Certificate
Prior to commencement of any work or the issuance
of any permit, certificates shall be approved by
the City Attorney.
3 . Additional Insured Endorsements
Except as provided in Section F.3, a separate
copy of an additional insured endorsement to each
contractor ' s liability policy, naming the city,
its officers and employees as additional insureds
shall be provided to the City Attorney for
approval prior to any payment to a CONTRACTOR.
4 . Cancellation
All endorsements and certificates shall promise
to provide for a 30-day written notice of
cancellation to the city.
D. INDEMNITY
1. CONTRACTORS and PERMIT HOLDERS, as defined in
Section I .A.2 (a) and (b) above, shall be
required to indemnify city, its officers and
employees from liability, pursuant to the city' s
indemnity agreement attached hereto and
incorporated herein by this reference as Exhibit
"A" .
2 . PROFESSIONAL SERVICES CONTRACTORS shall use
Exhibit "B" also attached hereto and incorporated
by this reference.
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3 . Bids
Each invitation to bid shall include the approved
indemnity form as a part of the bid package.
E. WAIVERS
The city may, by contract approved by the City Council,
modify or waive any and all of the above requirements
in appropriate cases upon the recommendation of the
City' s Risk Manager and Administrator.
F. EXCEPTIONS•
1. Products liability coverage shall not be required
of any PROFESSIONAL SERVICES CONTRACTORS.
2 . Persons or organizations selling goods only to
the city shall be required to meet all insurance
requirements, except where the city receives
delivery at the place of sale or by common
carrier in which case only products liability
insurance shall be required.
3 . Additional Insured Endorsements:
a. Shall not be required for Professional
Liability; and
b. In the case of all other contractors,
endorsements may be deferred for a period
not to exceed 60 days based upon immediate
need as recommended by the department
director and approved by the Risk Manager
in which case the certificate of insurance
shall be accepted without a separate
endorsement during such 60 day period.
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5999
SECTION II . BUILDING PERMIT APPLICANTS, WHERE NO WORK IN THE PUBLIC
RIGHT OF WAY IS INVOLVED
Applicants, for private building permits, where no work
in the public right of way is involved, shall only be
required to provide Workers ' Compensation coverage as
reflected in Section I .B.2 above.
RESOLUTIONS 5835 and 5836 and all other RESOLUTIONS in
conflict herewith are hereby repealed.
PASSED AND ADOPTED by the City Council of the City of
Huntington Beach at a regular meeting thereof, held on the 6th
day of March 1989 .
Mayor
ATTEST:
City Clerk
APPROVED AS TO CONTENT: APPROVED AS TO FORM:
City- Administrator City Attorney
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APPROV INITIATING 7ARTMENT:
' rec or of Ad in' strative Ser is
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5999
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EXHIBIT An a.�
n
TO RESOLUTION NO. 5999
INDEMNIFICATION, DEFENSE, HOLD HARMLESS
CONTRACTOR hereby agrees to protect, defend, indemnify and
hold and save harmless CITY, its officers, and employees against
any and all liability, claims, judgments, costs and demands,
however caused, including those resulting from death or injury to
CONTRACTOR'S employees and damage to CONTRACTOR'S property, arising
directly or indirectly out of the obligations or operations herein
undertaken by CONTRACTOR, including those arising from the passive
concurrent negligence of CITY, but save and except those which
arise out of the active concurrent negligence, sole negligence, or
the sole willful misconduct of CITY. CONTRACTOR will conduct all
defense at its sole cost and expense. CITY shall be reimbursed by
CONTRACTOR for all costs or attorney' s fees incurred by CITY in
enforcing this obligation.
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EXHIBIT "B"
r TO RESOLUTION NO. 5999
i
PROFESSIONAL SERVICES CONTRACTORS shall indemnify and save
and hold harmless CITY, its officers and employees , from any and
all liability, including any claim of liability and any and all
i
losses or costs arising out of the performance of this agreement by
I
PROFESSIONAL SERVICES CONTRACTORS, its officers or employees .
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STATE OF CALIFORNIA Reso No. 5999
COUNTY OF ORANGE ss:
CITY OF HUNTINGTON BEACH )
I, CONNIE BROCKWAY, the duly elected, qualified City
Clerk of the City of Huntington Beach, and ex-officio Clerk of the
City Council of said City, do hereby certify that the whole number of
members of the City Council of the City of Huntington Beach is seven;
that the foregoing resolution was passed and adopted by the affirmative
vote of at least a majority of all the members of said City Council
at a regular meeting thereof held on the 6th day
of March 1989 by the following vote:
AYES: Councilmembers:
MacAllister, Winchell , Bannister, Mays, Silva, Erskine
NOES: Councilmembers:
None
ABSENT: Councilmembers:
(Green out of room)
City Clerk and ex-officio Clerk
of the City Council of the City
of Huntington Beach, California