The URL can be used to link to this page

Home My WebLink AboutAdopted Ordinance No. 4034 amending Huntington Beach Municip (2)46A1 Dept. ID ED 14-43 Page 1 of 2 Meeting Date: 11/17/2014 v � / -� CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 11/17/2014 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Ken Domer, Assistant City Manager Kellee Fritzal, Deputy Director, Office of Business Development SUBJECT: Approve for introduction Ordinance No. 4034 amending Huntington Beach Municipal Code Section 3.44.120 as it relates to Oil Pipeline Insurance Statement of Issue: Transmitted for City Council consideration is approval of the introduction of an Ordinance amending the Huntington Beach Municipal Code Section 3.44.120 as it relates to Oil Pipeline Insurance. Financial Impact: No Financial Impact Recommender! Action: After the City Clerk reads by title, approve for introduction Ordinance No. 4034, "An Ordinance of the City of Huntington Beach Amending the Huntington Beach Municipal Code by Amending Section 3.44.120 thereof regarding Oil Pipeline Insurance Filing." Alternative Action(s): Do not approve the Ordinance and direct staff accordingly. Analysis: A number of oil pipeline franchisees within the City have initiated the process to renew their expiring oil pipeline franchise agreements. Franchisees have requested the City's approval to file "self- insurance" coverage under renewed oil franchise agreements, which can be issued as a certificate of "self insurance" by the franchisee. However, Section 3.44.120 of the existing municipal code only allows the filing of a certificate of "insurance" coverage, which is issued by a third party insurance provider instead of the franchisee. The proposed ordinance would amend Section 3.44.120 of the municipal code and include a provision that would permit a franchisee to file either a certificate of insurance or certificate of self- insurance for City review and approval prior to commencing franchise operations. The City Attorney has reviewed this minor edit to the municipal code and is amenable to these changes. The self insurance requirements match the "insurance" requirements and the franchisee would need to provide adequate information to the City's Risk Management Department for approval. Staff anticipates that this ordinance amendment will facilitate the review and approval process for upcoming franchise agreement renewals that may be subject to self-insurance coverage. The ordinance amendment and subsequent legislative draft are attached to this report for reference. HB -599- Item 19. - 1 Dept. ID ED 14-43 Page 2 of 2 Meeting Date: 11/17/2014 Environmental Status: Not Applicable Strategic Plan Goal: Improve long-term financial sustainability Attachment(s): Ordinance No. 4034, "An Ordinance of the City of Huntington Beach Amending the Huntington Beach Municipal Code by Amending Section 3.44.120 thereof regarding Oil Pipeline Insurance Filing." 2. Legislative Draft of Municipal Code Section 3.44.120 Insurance - Filing Item 19. - 2 HB -600- ORDINANCE NO. 4034 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING THE HUNTINGTON BEACH MUNICIPAL CODE BY AMENDING SECTION 3.44.120 THEREOF REGARDING OIL PIPELINE INSURANCE FILING The City Council of the City of Huntington Beach does hereby ordain as follows: SECTION 1. Section 3.44.120 of the Huntington Beach Municipal Code, entitled "Insurance — Filing" is hereby amended to read as follows: 3.44.120 Insurance - Filing. Franchisee shall file with the City Clerk prior to commencement of any franchise operations either certified copies of said policies, or a certificate of self-insurance coverage subject to the approval of the City Attorney and Risk Manager, or a certificate of insurance for each of the required policies executed by the company issuing the policy, certifying that the policy is in force and providing the following information: A. The policy number. B. The date upon which the policy will become effective and the date upon which it will expire. C. The names of the insured and any additional insureds. D. Subject of the insurance. E. The type of coverage provided by the insurance. F. Amount of limit of coverage provided by the insurance. G. A description of all endorsements that form a part of the policy. H. In addition to the insurance requirements in this section the insured shall also agree to defend, indemnify and hold harmless the City of Huntington Beach against loss, damage or expense by reason of any suits, claims, demands, judgments caused by insured in the performance of the franchise as provided in Section 3.44.220. Any franchise operation shall not commence until franchisee has complied with the aforementioned provisions of this section, and any such operation shall be suspended during any period that franchisee fails to maintain said policies in full force and effect. 14-4418/113949 Ordinance No. 4034 SECTION 2. This ordinance shall become effective thirty (30) days after its adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on December 15 , 20 14. Mayor ATTEST: APPROVED AS TO FORM: City rk <� ity Attorney to �� i City$anaker INITIA,TEED AND APPROVED: C Deptfty Director, Econ6Vic Development K 14-4418/113949 Ord. No. 4034 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I, JOAN L. FLYNN, the duly elected, qualified City Clerk of the City of Huntington Beach, and ex -off cio 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 ordinance was read to said City Council at a Regular meeting thereof held on November 17, 2014, and was again read to said City Council at a Regular meeting thereof held on December 15, 2014, and was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council. AYES: O'Connell, Katapodis, Hardy, Sullivan, Delgleize, Peterson NOES: None ABSENT: Posey ABSTAIN: None I, Joan L. Flynn, CITY CLERK of the City of Huntington Beach and ex-officio Clerk of the City Council, do hereby certify that a synopsis of this ordinance has been published in the Huntington Beach Fountain Valley Independent on December 25, 2014. In accordance with the City Charter of said City Joan L. Flynn, Ci1y Clerk Senior Deputy City ity Clerk Nww City fri and ex-officio. { of the City Council of the City of Huntington Beach, California LEGISLATIVE DRAFT 3.44.120 Insurance —Filing Franchisee shall file with the City Clerk prior to commencement of any franchise operations either certified copies of said policies, or a certificate of self-insurance coverage subject to the approval of the City Attorney and Risk Manager, or a certificate of insurance for each of the required policies executed by the company issuing the policy, certifying that the policy is in force and providing the following information: A. The policy number. B. The date upon which the policy will become effective and the date upon which it will expire. C. The names of the insured and any additional insureds. D. Subject of the insurance. E. The type of coverage provided by the insurance. F. Amount of limit of coverage provided by the insurance. G. A description of all endorsements that form a part of the policy. H.In addition to the insurance requirements in this section the insured shall also agree to defend, indemnify and hold harmless the City of Huntington Beach against loss, damage or expense by reason of any suits, claims, demands, judgments caused by insured in the performance of the franchise as provided in Section 3.44.220. Any franchise operation shall not commence until franchisee has complied with the aforementioned provisions of this section, and any such operation shall be suspended during any period that franchisee fails to maintain said policies in full force and effect. 14-4418/113949