R-86-10RESOLUTION NO. 0 -86 -10
A RESOLUTION AUTHORIZING MEMBERSHIP
IN THE HIGH -LEVEL EXCESS LIABILITY POOL (HELP)
WHEREAS, Section 10 of Article VII of the Illinois Constitution of 1970
authorizes units of local government to contract or otherwise associate among
themselves in any manner not prohibited by law or by ordinance; and,
WHEREAS, Chapter 17.7, Section 741, et seq., Illinois,Revised Statutes, entitled
the "Intergovernmental Cooperation Act ", authorizes public agencies to exercise any
power or powers, privileges or authority which may be exercised by such public
agency individually to be exercised and enjoyed jointly with any other public agency
in the state; and,
WHEREAS, the Intergovernmental Cooperation Act in Section 746. in furtherance of
the provisions contained within Article VII, Section 10 of the Constitution
authorizes an intergovernmental contract which among other undertakings allows
public agencies to jointly self- insure and authorizes each public agency member of
the contract to utilize its funds to protect, wholly or partially, any public agency
member of the contract against liability or loss in the designated insurable area;
and,
WHEREAS, Chapter °5 of the Illinois Revised Statutes authorizes multi -year
contracts for joint self- insurance and allows self- insured governments to assert a
range of immunities; and,
WHEREAS, units of local government within Illinois have found it increasingly
difficult to purchase excess insurance from commercial sources and where such
insurance is available the costs of such coverage often exceeds the ability of the
units of local government to pay for such insurance; and,
WHEREAS, many governmental bodies are capable of self - insuring or
conventionally insuring risks below one million dollars, but require the
participation of other governmental bodies to deal with infrequent but catastrophic
claims above one million dollars; and,
WHEREAS, a number of municipalities have studied the possibility of creating a
joint self- insurance pool to provide coverage for its members above claims which at
the commencement date of the Agency will be $1,000,000.00; and,
WHEREAS, the Members of the proposed Agency including this municipality, are
prepared to individually fund a self- insured retention amount of $1,000,000.00,
which they may fund through individual self - insurance, conventional insurance or
membership in a self - insurance pool; and,
WHEREAS, the Corporate Authorities of the Village of Deerfield acknowledge that
the concept of an excess insurance pool requires each Member to assume the
obligation for all claims below the high -level excess self- insurance amount at which
the Agency will commmence its coverage; and,
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WHEREAS, the Corporate Authorities recognize that membership in such a pool
requires a multi -year commitment and an obligation to fund claims made against the
Members of the Pool for an extended period of time after the occurrence of the
incident which caused the claim to be made; and,
WHEREAS, Corporate Authorities have reviewed the Contract and By -Laws of the
proposed High -Level Excess- Liability Pool and find that the goals of that
organization and the obligations imposed upon this municipality are in accordance
with the philosophy and public policy objectives of this community; and,
WHEREAS, self- insurance pools have successfully served the needs of Illinois
governmental bodies since at least January 1, 1979; and,
WHEREAS, the Corporate Authorities of this public body find that it is in the
best interest of its citizens that it become a Member of the High -Level Excess
Liability Pool;
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE
VILLAGE OF DEERFIELD, LAKE AND COOK COUNTIES, ILLINOIS AS FOLLOWS:
SECTION That the President and Municipal Clerk are hereby authorized to
ONE: execute on behalf of the municipality the Contract and By -Laws of the
HIGH -LEVEL EXCESS LIABILITY POOL (hereinafter "Agency "). A copy of the Contract and
By -Laws is appended to and made a part of this Ordinance as Appendix 1.
SECTION The powers of the Agency, unless the Contract and By -Laws be amended,
7—WG— shall be limited to those contained within Appendix 1.
SECTION The commencement of the operations of the Agency and the obligation
7FR77 of this municipality to fully participate in such operations shall be
effectuated in accordance with the Contract and By -Laws.
SECTION Except to the extent of the limited financial contributions to the
FOUR: Agency set forth in the Contract and By -Laws, this municipality by
its entry as a Member of the Agency shall not be held responsible in any way for the
claims in tort made against any other Member of the Agency; and the financial
obligations are limited to the payment of claims above the self- insured retention
with claims and costs below this amount individually assumed by each Member.
SECTION This Resolution shall be in full force and effect from and after its
FIVE: passage and approval as provided by law.
AYES: Marovitz, Marty, Rosenbaum, Seidman, Swanson, York (6)
NAYS: None (0)
ABSENT: None (0)
PASSED this 15th day of December A. D. 1986.
APPROVED this 15th day o December , A. D. 1986.
ATTEST:
VILLAGE ERK - eputy
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