Chapter 2.92
OFFICE OF RISK MANAGEMENT

Sections:

2.92.010    CREATED.

2.92.020    FUNCTIONS.

2.92.030    RESPONSIBILITY - SAFETY, LOSS REDUCTION, PREVENTION.

2.92.040    INSURANCE/SELF-INSURANCE/POOLED COVERAGE PROGRAMS.

2.92.050    CLAIMS MANAGEMENT - SELF-INSURED WORKERS’ COMPENSATION CLAIMS.

2.92.060    CLAIMS MANAGEMENT - NON-LITIGATION CLAIMS.

2.92.070    CLAIMS MANAGEMENT - LITIGATION CLAIMS.

2.92.080    CLAIMS NEGOTIATION, DISCUSSION, AND REPORTING.

2.92.090    RECOVERY OF LOSSES.

2.92.010 CREATED.

(a)    Office. There is created the Office of Risk Management within the City Attorney’s Office. The supervisor of said office shall be the City Attorney, or designee.

(b)    Position. The Office of Risk Management shall be administered by the Risk Management Specialist, or other assigns, subject to the direction and supervision of the City Attorney, or designee. The Risk Management Specialist shall report directly to the City Attorney, or designee. The duties of the Risk Management Specialist may be assigned to one or more employees in the City Attorney’s Office who shall hereinafter be referred to in this chapter as "Risk Management Specialist."

(c)    References in Code. All references in the Bremerton Municipal Code to the Risk Manager shall mean the Risk Management Specialist. (Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3394 §1, 1985)

2.92.020 FUNCTIONS.

The Office of Risk Management shall be responsible for:

(a)    Loss reduction or prevention where such reduction or prevention is cost effective;

(b)    Transfer of risks to other parties where feasible through the purchase of insurance, and/or risk retention through a system of self-insurance and/or participation in programs providing pooled coverage, in whatever combination is most responsible and cost effective;

(c)    Coordination and handling of all claims, including workers’ compensation claims;

(d)    Coordination with other City departments, through the City’s Safety and Health Committee and City Safety Officer, of an effective employee safety program within the City; and

(e)    Writing interdepartmental rules as he or she deems appropriate for the implementation and administration of this chapter. (Ord. 5181 §1, 2012: Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3394 §2, 1985)

2.92.030 RESPONSIBILITY - SAFETY, LOSS REDUCTION, PREVENTION.

(a)    The Risk Management Specialist shall be responsible for risk identification, analysis and control and shall assist the City’s Safety and Health Committee and City Safety Officer with development and administration of the City’s Safety Program.

(b)    The Risk Management Specialist will assist the City’s Safety and Health Committee and City Safety Officer to provide safety training to all City employees and ensure that required certifications for employees are kept current. He or she shall also become actively involved in the ongoing training programs provided by Human Resources and other departments and ensure that a portion of that training is on safety awareness and loss prevention.

(c)    The Risk Management Specialist is a permanent member of the City’s Safety and Health Committee and shall work with the Committee to ensure compliance with all applicable WISHA directives, provide input, and offer advice and assistance in helping the Committee to achieve its stated goals. The Risk Management Specialist shall maintain the file of minutes of each Committee meeting.

(d)    The City Attorney shall advise and recommend to all City departments appropriate contractual clauses providing for indemnity, hold harmless and insurance provisions. The Risk Management Specialist shall review all proposed City contracts, permits and leases to ensure that all contractual provisions relating to insurance, indemnity and hold harmless provisions adequately protect the City.

(e)    The Mayor shall have the authority to appoint and remove a City Safety Officer. The City Safety Officer may be an employee or a contract position. If a City of Bremerton employee, the appointed City Safety Officer shall report directly to his/her Department Director and shall perform the duties of City Safety Officer as established by policy by the Mayor. (Ord. 5181 §2, 2012: Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3994 §3, 1985)

2.92.040 INSURANCE/SELF-INSURANCE/POOLED COVERAGE PROGRAMS.

The Risk Management Specialist is responsible for the procurement and administration of all insured, self-insured and/or pooled property, casualty and liability coverage programs:

(a)    The Risk Management Specialist may, with the approval of the City Attorney, negotiate with insurance brokers for any type of insurance and may recommend that the City engage the services of such brokers.

(b)    The Risk Management Specialist shall purchase all insurance policies including funded self-insurance programs, pooled coverage and related services, and shall administer the same. The purchase of any policy shall be as follows:

1.    For any insurance policy with an annual premium of twenty-five thousand dollars ($25,000) or less, the Risk Management Specialist may purchase the policy with the approval of the City Attorney or designee. Such purchase shall not require City Council approval.

2.    For any insurance policy with an annual premium exceeding twenty-five thousand dollars ($25,000), the Risk Management Specialist, with the approval of the City Attorney or designee, is authorized to bind policy coverage without prior City Council approval subject to budget authority. Within sixty (60) days of binding coverage, the Risk Management Specialist shall advise City Council that coverage was bound and seek City Council approval for continuation of the bound coverage. (Ord. 5380 §1, 2019: Ord. 5075 §7 (part), 2009: Ord. 5007 §1, 2007: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3994 §4, 1985)

2.92.050 CLAIMS MANAGEMENT - SELF-INSURED WORKERS’ COMPENSATION CLAIMS.

The Risk Management Specialist, or designee, shall be responsible for the direction and monitoring of all workers’ compensation claims to a fair and equitable conclusion.

(a)    Every employee shall immediately complete the appropriate report form when work-related injury or illness occurs and promptly forward same to the designated supervisor, who is responsible for immediately forwarding to the Risk Management Specialist with any pertinent comments. The Risk Management Specialist shall complete the employer section.

(b)    The Risk Management Specialist may coordinate activity on workers’ compensation claims, including time loss, medical verification, and instruction involving progress of the claim.

(c)    The Risk Management Specialist shall coordinate with the City Attorney for retaining such outside expertise as necessary for the resolution of claims. These may include, but are not limited to, doctors, rehabilitation specialists, and investigators. The City Attorney’s Office may elect to represent the City in all hearings and/or trials involving workers’ compensation claims, or appoint outside counsel.

(d)    The Human Resources Manager shall develop appropriate return-to-work opportunities for injured employees and, when feasible, will coordinate the implementation of specific return-to-work plans with the department heads involved. (Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 4461 §4, 1994; Ord. 3994 §5, 1985)

2.92.060 CLAIMS MANAGEMENT - NON-LITIGATION CLAIMS.

The Risk Management Specialist shall be responsible for the investigation and evaluation of all non-litigation claims by or against the City.

(a)    The City Clerk is hereby designated to receive all claims. He/she shall forward to the Risk Management Specialist all non-litigation claims naming the City and/or its officers or employees, which claims allege that said officers or employees, acting within the scope of their duties, caused the claimant damages.

(b)    All City departments, divisions and other City agencies shall report immediately to the Risk Management Specialist the occurrence of any accident or incident which may give rise to a claim by or against the City to ensure prompt investigation of the incident.

(c)    The Risk Management Specialist shall initiate and/or coordinate the investigation of all non-litigation claims. The Risk Management Specialist may employ, subject to the City Attorney’s approval, the services of claims specialists. All investigation of non-litigation claims and potential claims shall be conducted as the agent of the City Attorney, and protected by the attorney-client privilege and attorney work product rule, to the extent allowed by law.

(d)    The City Attorney shall have the authority to negotiate and approve the settlement of any non-litigation claim; provided, however, the settlement of any such claim in excess of twenty-five thousand dollars ($25,000) shall require the approval of the Mayor and the settlement of any non-litigation claim in excess of fifty thousand dollars ($50,000) shall be subject to the approval of the City Council.

(e)    The Risk Management Specialist shall maintain complete histories of all non-litigation claims reported to the Office of Risk Management, and investigation thereof sufficient to document at least a seven (7) year claims history or such other period of time deemed necessary for purposes of reporting claims history to insurance companies. (Ord. 5380 §2, 2019: Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3994 §6, 1985)

2.92.070 CLAIMS MANAGEMENT - LITIGATION CLAIMS.

(a)    Service of process on the Mayor, Mayor’s designee or City Clerk shall constitute service on the City. No other City official or employee may accept service of a summons and/or complaint unless such official or employee is specifically named in the lawsuit.

(b)    The Mayor, Mayor’s designee or City Clerk or defendant employee, upon accepting service of the summons and/or complaint, shall deliver copies to the City Attorney.

(c)    The Risk Management Specialist shall transmit copies of the lawsuit to the affected department and/or individual and, where appropriate, to the insurance company, pool or representative.

(d)    The Risk Management Specialist shall initiate and/or coordinate the investigation of all lawsuits which may be insured against involving the City and/or its officials/employees. The Risk Management Specialist may employ, subject to City Attorney’s approval, the services of claims specialists. All investigation of lawsuits shall be conducted as the agent of the City Attorney, and protected by the attorney-client privilege and attorney work product rule, to the extent allowed by law.

(e)    The City Attorney shall have the authority to negotiate and approve the settlement of any litigation claim; provided, however, the settlement of any such claim in excess of twenty-five thousand dollars ($25,000) shall require the approval of the Mayor and the settlement of any litigation claim in excess of fifty thousand dollars ($50,000) shall be subject to the approval of the City Council.

(f)    The City Attorney shall maintain complete histories of all lawsuits sufficient to document at least a seven (7) year claims history of same or such other period of time deemed necessary for purposes of reporting claims history to insurance companies. (Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3994 §7, 1985)

2.92.080 CLAIMS NEGOTIATION, DISCUSSION, AND REPORTING.

(a)    Except as specifically directed by the Mayor or City Attorney, no City department, division, or other City agency, and no City official or employee, other than the City Attorney or Risk Management Specialist, acting individually or collectively, may engage in the following acts:

(1)    Negotiate or otherwise effect the settlement of a claim or lawsuit involving the City;

(2)    Discuss with persons other than the Risk Management Specialist, Mayor, City Attorney, or persons authorized by the Risk Management Specialist, Mayor or City Attorney, incidents which could reasonably lead to a claim or lawsuit against the City; provided, however, that the employee may discuss the incident with his/her supervisor.

(b)    Prior to any formal settlement offer, the Risk Management Specialist shall be advised, in writing, of all proposed settlements of claims and lawsuits against the City. The Risk Management Specialist shall seek approval of its insurers, in conformance with the provisions of any insurance policies applicable to the claim or lawsuit. In the event the insurer does not provide necessary settlement approval, no settlement shall be made without the Mayor’s written approval and acknowledgment that the City’s insurers have withheld approval.

(c)    The Risk Management Specialist shall annually report to the council the total number and amount of all claims filed against the City and the number and amounts of all claims or lawsuits paid by the City during the preceding calendar year. (Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Added, 06/13/1996. Formerly 2.92.075)

2.92.090 RECOVERY OF LOSSES.

(a)    Action for Recovery. The City Attorney shall be responsible for bringing all actions, including claims and lawsuits, for recovery of losses to the City arising out of the acts of others. Such losses may include property damage or losses which impact on the City as a result of personal injuries to City officers or employees. In addition, the City Attorney may join the City as a party with any third party in a lawsuit involving recovery of loss to the City.

(b)    Allocation of Recoveries. Any moneys recovered (excluding costs of recovery) by the City Attorney on account of losses to the City shall be paid to the budget unit or department which has expended funds and/or materials as a result of the loss. Any moneys in excess of those so expended shall be transferred to the risk management fund. (Ord. 5075 §7 (part), 2009: Ord. 4966 §6 (part), 2006: Ord. 4808, Amended, 07/26/2002; Ord. 4556, Amended, 06/13/1996; Ord. 3994 §8, 1985. Formerly 2.92.080)