HomeMy WebLinkAbout2013 CON Willis Risk & Insurance Services - Insurance Brokerage ServicesAGREEMENT
BY AND BETWEEN
THE CITY OF NATIONAL CITY
AND
WILLIS INSURANCE SERVICES OF CALIFORNIA, INC.
THIS AGREEMENT is entered into this 1st day of July, 2013, by and between the CITY
OF NATIONAL CITY, a municipal corporation (the "CITY"), and WILLIS INSURANCE
SERVICES OF CALIFORNIA, INC. (the "CONSULTANT").
RECITALS
WHEREAS. the CITY desires to employ a CONSULTANT to provide insurance
brokerage services.
WHEREAS, the CITY has determined that the CONSULTANT is an insurance brokerage
firm and is qualified by experience and ability to perform the services desired by the CITY, and
the CONSULTANT is willing to perform such services.
NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS
FOLLOWS:
1. ENGAGEMENT OF CONSULTANT. The CITY agrees to engage the
CONSULTANT, and the CONSULTANT agrees to perform the services set forth here in
accordance with all terms and conditions contained herein.
The CONSULTANT represents that all services shall be performed directly by the
CONSULTANT or under direct supervision of the CONSULTANT.
2. SCOPE OF SERVICES. The CONSULTANT will perform services as set forth
in the attached Exhibit "A".
The CONSULTANT shall be responsible for all research and reviews related to
the work and shall not rely on personnel of the CITY for such services, except as authorized in
advance by the CITY.
The CITY may unilaterally, or upon request from the CONSULTANT, from time
to time reduce or increase the Scope of Services to be performed by the CONSULTANT under
this Agreement. Upon doing so, the CITY and the CONSULTANT agree to meet in good faith
and confer for the purpose of negotiating a corresponding reduction or increase in the
compensation associated with said change in services.
3. PROJECT COORDINATION AND SUPERVISION. Stacey Stevenson,
Director of Administrative Services hereby is designated as the Project Coordinator for the CITY
and will monitor the progress and execution of this Agreement. The CONSULTANT shall assign
a single Project Director to provide supervision and have overall responsibility for the progress
1 City's Standard Agreement 2011 revision
and execution of this Agreement for the CONSULTANT. Christie Barr of WILLIS
INSURANCE SERVICES OF CALIFORNIA, INC. thereby is designated as the Project Director
for the CONSULTANT.
4. COMPENSATION AND PAYMENT. The compensation for the
CONSULTANT shall be based on monthly broker commissions built into the employee benefit
plans. CITY shall not be obligated to pay any commissions to CONSULTANT.
CONSULTANT's commission is based upon percentages negotiated with the various insurance
companies, and paid directly to the CONSULTANT by the various insurance companies. The
commission percentage shall be disclosed to CITY. CONSULTANT's commission shall not
exceed current commission percentages being paid for plan year 2013.
The CONSULTANT's compensation may be revised if the City requests a change
in the Coverages and/or Services during the Term of this Agreement, and if both parties enter
into a written agreement documenting any change in Coverages, Services, or compensation. In
addition, if there is a material change in the risk/exposure base, or the overall number of
employees, both parties may revise the compensation upon further discussion.
5. ACCEPTABILITY OF WORK. The City shall decide any and all questions
which may arise as to the quality or acceptability of the services performed and the manner of
performance, the acceptable completion of this Agreement, and the amount of compensation due.
In the event the CONSULTANT and the City cannot agree to the quality or acceptability of the
work, the manner of performance and/or the compensation payable to the CONSULTANT in this
Agreement, the City or the CONSULTANT shall give to the other written notice. Within ten (10)
business days, the CONSULTANT and the City shall each prepare a report which supports their
position and file the same with the other party. The City shall, with reasonable diligence,
determine the quality or acceptability of the work, the manner of performance and/or the
compensation payable to the CONSULTANT.
6. EFFECTIVE DATE AND LENGTH OF AGREEMENT. This Agreement
will become effective on July 1, 2013 to June 30, 2015 (2-year agreement), which may be
extended by the CITY in one-year increments for up to an additional three years (until June 30,
2018).
7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda,
Reports, Plans, Specifications, and other documents prepared by the CONSULTANT for this
Project, whether paper or electronic, shall become the property of the CITY for use with respect
to this Project, and shall be turned over to the CITY upon completion of the Project, or any phase
thereof, as contemplated by this Agreement.
Contemporaneously with the transfer of documents, the CONSULTANT hereby
assigns to the CITY, and CONSULTANT thereby expressly waives and disclaims any copyright
in, and the right to reproduce, all written material, drawings, plans, specifications, or other work
prepared under this Agreement, except upon the CITY'S prior authorization regarding
reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT
2 City's Standard Agreement —2011 revision
shall, upon request of the CITY, execute any further document(s) necessary to further effectuate
this waiver and disclaimer.
The CONSULTANT agrees that the CITY may use, reuse, alter, reproduce,
modify, assign, transfer, or in any other way, medium, or method utilize the CONSULTANT'S
written work product for the CITY'S purposes, and the CONSULTANT expressly waives and
disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to
intellectual property and artistic works.
Any modification or reuse by the CITY of documents or specifications prepared
by the CONSULTANT shall relieve the CONSULTANT from liability under Section 14, but
only with respect to the effect of the modification or reuse by the CITY, or for any liability to the
CITY should the documents be used by the CITY for some project other than what was expressly
agreed upon within the Scope of this project, unless otherwise mutually agreed.
8. INDEPENDENT CONTRACTOR. Both parties hereto in the performance of
this Agreement will be acting in an independent capacity and not as agents, employees, partners,
or joint venturers with one another. Neither the CONSULTANT nor the CONSULTANT'S
employees are employees of the CITY, and are not entitled to any of the rights, benefits, or
privileges of the CITY'S employees, including but not limited to retirement, medical, unemploy-
ment, or workers' compensation insurance.
This Agreement contemplates the personal services of the CONSULTANT and
the CONSULTANT'S employees, and it is recognized by the parties that a substantial
inducement to the CITY for entering into this Agreement was, and is, the professional reputation
and competence of the CONSULTANT and its employees. Neither this Agreement nor any
interest herein may be assigned by the CONSULTANT without the prior written consent of the
CITY. Nothing herein contained is intended to prevent the CONSULTANT from employing or
hiring as many employees, or SUBCONSULTANTS, as the CONSULTANT may deem
necessary for the proper and efficient performance of this Agreement. All agreements by
CONSULTANT with its SUBCONSULTANT(S) shall require the SUBCONSULTANT(S) to
adhere to the applicable terms of this Agreement.
9. CONTROL. Neither the CITY nor its officers, agents, or employees shall have
any control over the conduct of the CONSULTANT or any of the CONSULTANT'S employees,
except as herein set forth, and the CONSULTANT or the CONSULTANT'S agents, servants, or
employees are not in any manner agents, servants, or employees of the CITY, it being understood
that the CONSULTANT its agents, servants, and employees are as to the CITY wholly
independent CONSULTANT, and that the CONSULTANT'S obligations to the CITY are solely
such as are prescribed by this Agreement.
10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in the
performance of the services to be provided herein, shall comply with all applicable state and
federal statutes and regulations, and all applicable ordinances, rules, and regulations of the City
of National City, whether now in force or subsequently enacted. The CONSULTANT and each
3 City's Standard Agreement -2011 revision
of its SUBCONSULTANT(S), shall obtain and maintain a current City of National City business
license prior to and during performance of any work pursuant to this Agreement.
11. LICENSES, PERMITS, ETC. The CONSULTANT represents and covenants
that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally
required to practice its profession. The CONSULTANT represents and covenants that the
CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term of
this Agreement, any license, permit, or approval which is legally required for the
CONSULTANT to practice its profession.
12. STANDARD OF CARE.
A. The CONSULTANT, in performing any services under this Agreement,
shall perform in a manner consistent with that level of care and skill ordinarily exercised by
members of the CONSULTANT'S trade or profession currently practicing under similar
conditions and in similar locations. The CONSULTANT shall take all special precautions
necessary to protect the CONSULTANT'S employees and members of the public from risk of
harm arising out of the nature of the work and/or the conditions of the work site.
B. Unless disclosed in writing prior to the date of this Agreement, the
CONSULTANT warrants to the CITY that it is not now, nor has it for the five (5) years
preceding, been debarred by a governmental agency or involved in debarment, arbitration or
litigation proceedings concerning the CONSULTANT'S professional performance or the
furnishing of materials or services relating thereto.
C. The CONSULTANT is responsible for identifying any unique products,
treatments, processes or materials whose availability is critical to the success of the project the
CONSULTANT has been retained to perform, within the time requirements of the CITY, or,
when no time is specified, then within a commercially reasonable time. Accordingly, unless the
CONSULTANT has notified the CITY otherwise, the CONSULTANT warrants that all products,
materials, processes or treatments identified in the project documents prepared for the CITY are
reasonably commercially available. Any failure by the CONSULTANT to use due diligence
under this sub -paragraph will render the CONSULTANT liable to the CITY for any increased
costs that result from the CITY'S later inability to obtain the specified items or any reasonable
substitute within a price range that allows for project completion in the time frame specified or,
when not specified, then within a commercially reasonable time.
13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall not discriminate
against any employee or applicant for employment because of age, race, color, ancestry, religion,
sex, sexual orientation, marital status, national origin, physical handicap, or medical condition.
The CONSULTANT will take positive action to insure that applicants are employed without
regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national
origin, physical handicap, or medical condition. Such action shall include but not be limited to
the following: employment, upgrading, demotion, transfer, recruitment or recruitment
advertising, layoff or termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The CONSULTANT agrees to post in conspicuous places
available to employees and applicants for employment applicable notices containing the
discrimination language outlined in this non-discrimination clause.
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14. CONFIDENTIAL INFORMATION. The CITY may from time to time
communicate to the CONSULTANT certain confidential information to enable the
CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT
shall treat all such information as confidential and shall not disclose any part thereof without the
prior written consent of the CITY. The CONSULTANT shall limit the use and circulation of
such information, even within its own organization, to the extent necessary to perform the
services to be provided herein. The foregoing obligation of this Section 13, however, shall not
apply to any part of the information that (i) has been disclosed in publicly available sources of
information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly
available sources of information; (iii) is already in the possession of the CONSULTANT without
any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the
CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been
or is rightfully authorized by that third party.
The CONSULTANT shall not disclose any reports, recommendations.
conclusions or other results of the services or the existence of the subject matter of this
Agreement without the prior written consent of the CITY. In its performance hereunder, the
CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting
the information or other property of any other person, firm or corporation.
CONSULTANT shall be liable to CITY for any damages caused by breach of this
condition, pursuant to the provisions of Section 14.
15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT agrees
to defend, indemnify and hold harmless the City of National City, its officers and employees,
against and from any and all liability, loss, damages to property, injuries to, or death of any
person or persons, and all claims, demands, suits, actions, proceedings, reasonable attorneys'
fees, and defense costs, of any kind or nature, including workers' compensation claims, of or by
anyone whomsoever, resulting from or arising out of the CONSULTANT'S performance or other
obligations under this Agreement; provided, however, that this indemnification and hold
harmless shall not include any claims or liability arising from the established sole negligence or
willful misconduct of the City, its agents, officers, or employees. The indemnity, defense, and
hold harmless obligations contained herein shall survive the termination of this Agreement for
any alleged or actual omission, act, or negligence under this Agreement that occurred during the
term of this Agreement.
16. WORKERS' COMPENSATION. The CONSULTANT shall comply with all of
the provisions of the Workers' Compensation Insurance and Safety Acts of the State of
California, the applicable provisions of Division 4 and 5 of the California Government Code and
all amendments thereto; and all similar State or federal acts or laws applicable; and shall
indemnify, and hold harmless the CITY and its officers, and employees from and against all
claims, demands, payments, suits, actions, proceedings, and judgments of every nature and
description, including reasonable attorney's fees and defense costs presented, brought or
recovered against the CITY or its officers, employees. or volunteers. for or on account of any
liability under any of said acts which may be incurred by reason of any work to be performed by
the CONSULTANT under this Agreement.
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17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall purchase
and maintain, and shall require its SUBCONSULTANT(S), when applicable, to purchase and
maintain throughout the term of this Agreement, the following checked insurance policies:
A. ® If checked, Professional Liability Insurance (errors and
omissions) with minimum limits of $1,000,000 per occurrence.
B. Automobile Insurance covering all bodily injury and property damage
incurred during the performance of this Agreement, with a minimum coverage of $1,000,000
combined single limit per accident. Such automobile insurance shall include owned, non -owned,
and hired vehicles ("any auto"). The policy shall name the CITY and its officers, agents and
employees as additional insureds, and a separate additional insured endorsement shall be
provided.
C. Commercial General Liability Insurance, with minimum limits of
$2,000,000 per occurrence and $4,000,000 aggregate, covering all bodily injury and property
damage arising out of its operations under this Agreement. The policy shall name the CITY and
its officers, agents and employees as additional insureds. and a separate additional insured
endorsement shall be provided. The general aggregate limit must apply solely to this "project" or
"location".
D. Workers' Compensation Insurance in an amount sufficient to meet
statutory requirements covering all of CONSULTANT'S employees and employers' liability
insurance with limits of at least $1,000,000 per accident. In addition, the policy shall be endorsed
with a waiver of subrogation in favor of the City. Said endorsement shall be provided prior to
commencement of work under this Agreement.
If CONSULTANT has no employees subject to the California Workers'
Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said
Declaration shall be provided to CONSULTANT by CITY.
E. The aforesaid policies shall constitute primary insurance as to the CITY,
its officers. employees, and volunteers, so that any other policies held by the CITY shall not
contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior
written notice to the CITY of cancellation or material change.
F. If required insurance coverage is provided on a "claims made" rather than
"occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years
after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date
must be on or before the date of this Agreement.
G. Insurance shall be written with only California admitted companies that
hold a current policy holder's alphabetic and financial size category rating of not less than A VIII
according to the current Best's Key Rating Guide, or a company equal financial stability that is
approved by the CITY'S Risk Manager. In the event coverage is provided by non -admitted
"surplus lines" carriers, they must be included on the most recent California List of Eligible
Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements.
H. This Agreement shall not take effect until certificate(s) or other sufficient
proof that these insurance provisions have been complied with, are filed with and approved by
the CITY'S Risk Manager. If the CONSULTANT does not keep all of such insurance policies in
full force and effect at all times during the terms of this Agreement, the CITY may elect to treat
the failure to maintain the requisite insurance as a breach of this Agreement and terminate the
Agreement as provided herein.
6 City's Standard Agreement —2011 revision
I. All deductibles and self -insured retentions in excess of $1 0,000 must be
disclosed to and approved by the CITY.
18. LEGAL FEES. If any party brings a suit or action against the other party arising
from any breach of any of the covenants or agreements or any inaccuracies in any of the
representations and warranties on the part of the other party arising out of this Agreement, then in
that event, the prevailing party in such action or dispute, whether by final judgment or out -of -
court settlement, shall be entitled to have and recover of and from the other party all costs and
expenses of suit, including attorneys' fees.
For purposes of determining who is to be considered the prevailing party, it is
stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not
be considered in determining the amount of the judgment or award. Attorney's fees to the
prevailing party if other than the CITY shall, in addition, be limited to the amount of attorney's
fees incurred by the CITY in its prosecution or defense of the action, irrespective of the actual
amount of attorney's fees incurred by the prevailing party.
19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this
Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute
by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of
the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of
mediation shall be borne equally by the parties. Any controversy or claim arising out of, or
relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled
by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of
the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a
judgment thereon may be entered in any court having jurisdiction over the subject matter of the
controversy. The expenses of the arbitration shall be borne equally by the parties to the
arbitration, provided that each party shall pay for and bear the costs of its own experts, evidence
and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof
against a specified party as part of the arbitration award.
20. TERMINATION.
A. This Agreement may be terminated with or without cause by the CITY.
Termination without cause shall be effective only upon 60-day's written notice to the
CONSULTANT. During said 60-day period the CONSULTANT shall perform all services in
accordance with this Agreement.
B. This Agreement may also be terminated immediately by the CITY for
cause in the event of a material breach of this Agreement, misrepresentation by the
CONSULTANT in connection with the formation of this Agreement or the performance of
services, or the failure to perform services as directed by the CITY.
C. Termination with or without cause shall be effected by delivery of written
Notice of Termination to the CONSULTANT as provided for herein.
D. In the event of termination, all finished or unfinished Memoranda Reports,
Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT,
whether paper or electronic, shall immediately become the property of and be delivered to the
CITY, and the CONSULTANT shall be entitled to receive just and equitable compensation for
7 City' s Standard Agreement —2011 revision
any work satisfactorily completed on such documents and other materials up to the effective date
of the Notice of Termination, not to exceed the amounts payable hereunder, and less any
damages caused the CITY by the CONSULTANT"S breach, if any. Thereafter, ownership of said
written material shall vest in the CITY all rights set forth in Section 6.
E. The CITY further reserves the right to immediately teuuinate this
Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a
reorganization of the CONSULTANT for the benefit of creditors; or (3) a business
reorganization, change in business name or change in business status of the CONSULTANT.
21. NOTICES. All notices or other communications required or permitted hereunder
shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express
or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or
sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex,
telecopy, facsimile or fax; and shall be deemed received upon the earlier of (i) if personally
delivered, the date of delivery to the address of the person to receive such notice, (ii) if sent by
overnight mail, the business day following its deposit in such overnight mail facility, (iii) if
mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is
outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or
other like facility regularly maintained by the United States Postal Service, (iv) if given by
telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given
by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other
communication delivered or sent as specified above shall be directed to the following persons:
To CITY: Stacey Stevenson
Director of Administrative Services
Human Resources Department
City of National City
140 East 12th Street, Suite A
National City, CA 91950-4301
To CONSULTANT:
Christie Barr
Senior Vice President
Willis Insurance Services of California, Inc.
4250 Executive Square, Suite 250
La Jolla, CA 92037
Notice of change of address shall be given by written notice in the manner
specified in this Section. Rejection or other refusal to accept or the inability to deliver because of
changed address of which no notice was given shall be deemed to constitute receipt of the notice,
demand, request or communication sent. Any notice, request, demand, direction or other
communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty-
eight (48) hours by letter mailed or delivered as specified in this Section.
8 City's Standard Agreement - 2011 revision
22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT
OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform
services of any kind for any person or entity whose interests conflict in any way with those of the
City of National City. The CONSULTANT also agrees not to specify any product, treatment,
process or material for the project in which the CONSULTANT has a material financial interest,
either direct or indirect, without first notifying the CITY of that fact. The CONSULTANT shall
at all times comply with the terms of the Political Reform Act and the National City Conflict of
Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its
oflicial position to influence in any way any matter coming before the CITY in which the
CONSULTANT has a financial interest as defined in Government Code Section 87103. The
CONSULTANT represents that it has no knowledge of any financial interests that would require
it to disqualify itself from any matter on which it might perform services for the CITY.
® If checked, the CONSULTANT shall comply with all of the reporting
requirements of the Political Reform Act and the National City Conflict of Interest Code.
Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk
of the City of National City in a timely manner on forms which the CONSULTANT shall obtain
from the City Clerk.
The CONSULTANT shall be strictly liable to the CITY for all damages, costs or
expenses the CITY may suffer by virtue of any violation of this Paragraph 22 by the
CONSULTANT.
23. PREVAILING WAGES. State prevailing wage rates may apply to work
performed under this Agreement. State prevailing wages rates apply to all public works contracts
as set forth in California Labor Code, including but not limited to, Sections 1720,1720.2, 1720.3,
1720.4, and 1771. Consultant is solely responsible to determine if State prevailing wage rates
apply and, if applicable, pay such rates in accordance with all laws, ordinances, rules, and
regulations.
24. MISCELLANEOUS PROVISIONS.
A. Computation of Time Periods. If any date or time period provided for in
this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date
shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a
Saturday, Sunday or federal, state, or legal holiday.
B. Counterparts. This Agreement may be executed in multiple counterparts,
each of which shall be deemed an original, but all of which, together, shall constitute but one and
the same instrument.
C. Captions. Any captions to, or headings of, the sections or subsections of
this Agreement are solely for the convenience of the parties hereto, are not a part of this
Agreement, and shall not be used for the interpretation or determination of the validity of this
Agreement or any provision hereof.
D. No Obligations to Third Parties. Except as otherwise expressly provided
herein, the execution and delivery of this Agreement shall not be deemed to confer any rights
upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto.
9 City's Standard Agreement —2011 revision
E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are
hereby incorporated herein by this reference for all purposes.
F. Amendment to this Agreement. The terms of this Agreement may not be
modified or amended except by an instrument in writing executed by each of the parties hereto.
G. Waiver. The waiver or failure to enforce any provision of this Agreement
shall not operate as a waiver of any future breach of any such provision or any other provision
hereof.
H. Applicable Law. This Agreement shall be govemed by and construed in
accordance with the laws of the State of California.
1. Audit. If this Agreement exceeds ten -thousand dollars ($10,000), the
parties shall be subject to the examination and audit of the State Auditor for a period of three (3)
years after final payment under the Agreement, per Government Code Section 8546.7.
J. Entire Agreement. This Agreement supersedes any prior agreements,
negotiations and communications, oral or written, and contains the entire agreement between the
parties as to the subject matter hereof. No subsequent agreement, representation, or promise
made by either party hereto, or by or to an employee, officer, agent or representative of any party
hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby.
K. Successors and Assigns. This Agreement shall be binding upon and shall
inure to the benefit of the successors and assigns of the parties hereto.
L. Construction. The parties acknowledge and agree that (i) each party is of
equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and
negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity
to consult with its own, independent counsel and such other professional advisors as such party
has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv)
each party and such party's counsel and advisors have reviewed this Agreement, (v) each party
has agreed to enter into this Agreement following such review and the rendering of such advice,
and (vi) any rule or construction to the effect that ambiguities are to be resolved against the
drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or
any amendments hereto.
25. BROKER SERVICES AGREEMENT ADDENDUM. CONSULTANT
agrees to abide by the Broker Services Agreement Addendum, Exhibit "B", and incorporated
herein.
1N WITNESS WHEREOF, the parties hereto have executed this Agreement on the date
and year first above written.
CITY 0 TIONAL CITY
on Morrison, M
WILLIS INSURANCE SERVICES OF
CALIFORNIA, INC.
(Corporation —signatures of two corporate officers)
By AitZ tU all/A4
(Name)
air
10
City's Standard Agreement —2011 revision
APPROVED AS TO FORM:
By:
(Print)
Or e5 I IA -
(Title)
(Name)
(Print)
(Title)
11
City's Standard Agreement —2011 revision
EXHIBIT "A"
SCOPE OF SERVICES
Consultant agrees to perform consulting services as required by City.
Consultant shall provide the necessary qualified personnel to perform the services. In
performance of the services Consultant services include:
1. Strategic Planning
• Assist in defining and prioritizing strategic health & welfare plan objectives
• Assist in the evaluation of internal technical capabilities to determine increased/improved
applications for administrative processes
• Identify underperforming vendor relationship
• Assess carrier/vendor customer service levels
• Develop project action timelines
• Periodic review of employee demographics
• Assist in the development of an employee survey. Conduct survey and provide an
executive summary detailing results
• Discuss relevant benchmarking data
2. Financial Analysis
• Perform financial review and analysis of experience reports
• Assess current funding arrangements for appropriateness and make recommendations as
needed
• Evaluate current costs of benefits versus effectiveness of plan design
• Review managed care expense and administrative service fees (where applicable)
• Analyze utilization data and cost containment results of medical management
• Forecast projected benefit costs to include maximum exposure
• Evaluate excess loss coverage
• Prepare experience reviews as directed
• Assist in developing appropriate employee contributions levels
• Perform trend analysis from available diagnostic and normative data
3. Renewal
• Analyze and negotiate renewals with vendors
• Review vendor renewal methodology, experience data, and assumptions for accuracy and
logic
• Compare vendor renewal with Willis projections
• Develop and present alternative plan designs and provisions with associated financial and
member impact analysis
• Finalize program design, rates, and fees a minimum of 60 days prior to effective date
• Prepare an accurate renewal document with recommendations for delivery to senior
management (as needed)
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4. Marketing
• Develop plan specification based on feedback from strategic planning meeting
• Jointly determine list of vendors best suited to meet plan goals and objectives
• Develop vendor performance guarantees with monetary penalties as necessary
• Assist in the review of current electronic data transfer processes with vendors
• Perform pre -marketing evaluation of census data, network service areas, and administrative
needs
• Evaluate carrier client support services
• Evaluate vendor financial ratings and accreditation
• Review provider network accessibility/employee match
• Perform critical analysis and comparison of plan features and costs
• Assist in the scheduling of selected finalist site visits
• Assist in conducting finalist negotiations
• Prepare and submit a summary report with recommendations to management
• Assist in the notification of all bidders as to the final outcome
5. Annual Enrollment
• Assist in the planning of employee meetings, round tables, and health seminars
• Provide guidance on delivering a comprehensive communication strategy
• Introduce workable technology solutions for communications and enrollment where
appropriate
• Coordinate vendor sponsored communication material
6. Compliance
• Provide legislative updates as needed
• Review plan documents and summary plan descriptions for regulatory compliance from a
non -legal perspective (client would need to retain legal advice)
• Provide access to periodic web casts compliance sessions
7. Account Management Services
• Serve as a liaison between the client and all insurance companies/vendors
• Monitor administrative process and assist in the smooth resolution of elevated issues
• Act as an employee/employer advocate in the resolution of ongoing claims issues
13
City's Standard Agreement —2011 revision
EXHIBIT "B"
BROKER SERVICES AGREEMENT ADDENDUM
Requested Language
The following disclosure is made by Willis Insurance Services of California, Inc., ("we" or "us") to
The City of National City ("you'), in connection with the agreement for insurance brokerage
services ("Services') entered into between the parties.
Before we bind the specific insurance coverage you desire to purchase we will disclose to you in
writing:
(a) a summary of all quotes and indications we sought and received with certain
pertinent information, or, if you prefer, a copy of all quotes and indications we sought and
all quotes or indications we received in connection with that coverage;
(b) any interest we may have in, or contractual arrangements we may have with, any of
the prospective insurers; and
(c) the maximum amount or percentage rate of compensation which we, our parent
companies, subsidiaries or affiliates, may receive in connection with the placement of the
insurance coverage;
and we will obtain your written consent to the amount or rate of compensation we will receive
before coverage is bound.
You understand and agree that you shall make final decisions with respect to underwriting
submissions and all matters relating to your insurance coverage, risk management, and Toss
control needs and activities. We will procure the insurance coverage chosen by you, prepare
insurance binders, and review and transmit policies to you.
We will assess the financial soundness of the insurers we recommend to provide your coverages
based on publicly available information, including that produced by well -recognized rating
agencies. Upon request, we will provide you with our factual analysis of such insurers. We cannot,
however, guarantee or warrant the solvency of any insurer or any intermediary that we may use to
place your coverage.
We will review all policies and endorsements delivered to us by insurers or intermediaries for
the purpose of confirming their accuracy and conformity to negotiated specifications and your
instructions and advise you of any errors in, or recommended changes to, such policies. You
agree that you will also review all policies and endorsements delivered to you and advise us of
any questions you have or of any document or provision that you discover which you believe
may not be in accordance with your instructions.
We will meet, as requested by you, with your representatives to explain coverage and policies.
We will promptly respond to your requests for coverage information, analysis of changing market
conditions, and assistance in developing procedures for handling loss exposures, and assist you
in reporting subsequent changes in underwriting information to insurance companies.
14
City's Standard Agreement —2011 revision
We will inform you of the reporting requirements for claims, including where claims should be
reported and the method of reporting to be used, if applicable. Please carefully review any
claims -reporting instructions or information we provide you because failure to timely and properly
report a claim may jeopardize coverage for the claim. In addition, you should retain copies of all
insurance policies and coverage documents as well as claims -reporting instructions after
termination of the policies because in some cases you may need to report claims after termination
of a policy.
Prior to binding we will also seek your written consent to the actual commission we will earn
from each carrier as required by the Assurance of Discontinuance with the Attorney General of
the State of New York.
Only the Fee is in addition to the net premium paid for the Coverages.
Commissions are paid by insurers from the premiums you pay and are earned by us for the
entire policy period at the time we place policies for you
If any insurer requires us to receive commissions in regard to any of the Coverages which are
inconsistent with the provisions above, we will promptly notify you of such commissions and
seek your written consent to receive them.
Our compensation may be revised if you request a change in the coverages and/or services
during the term of this Agreement and we enter into a written agreement documenting any
change in Coverages, Services and Compensation.
In some cases the use of a wholesale broker may be beneficial to you. We will not directly or
indirectly knowingly place or renew your insurance business through a wholesale broker unless
we first disclose to you in writing:
(a) any interest we have in, or any contractual agreements we have with, the
wholesale broker; and
(b) any alternatives to using the wholesale broker; and
(c) any compensation we or our corporate parents, subsidiaries or affiliates will
receive as a result;
and obtain your consent to do so. If we expect to recommend the use of a wholesale broker,
any compensation we or our corporate parents, subsidiaries or affiliates will receive as a result
is also included in the total compensation provided for in the brokerage agreement between the
parties.
Other parties such as underwriting managers or managing general agents may also earn and
retain usual and customary commissions for their roles in providing insurance products and
services to you. If any such parties are corporate parents, subsidiaries or affiliates of ours, any
compensation we or our corporate parents, subsidiaries or affiliates will receive is included in
the total compensation provided for in the brokerage agreement between the parties.
15
City" s Standard Agreement -2011 revision
You may choose to use a premium finance company, property appraiser, structured settlement
firm or other similar service provider in connection with the insurance coverages we place for
you or the Services we provide to you. If you elect to use a service provider from which we or
our corporate parents, subsidiaries or affiliates will receive any compensation directly or
indirectly relating to the services you purchase from the provider, we will disclose additional
information regarding that compensation to you before you make a final decision to use the
service provider.
In the ordinary course of business we may also receive and retain interest on premiums you
pay from the date we receive the funds until we pay them to the insurers or intermediaries.
As an insurance intermediary, we normally act for you. However, we or our corporate parents,
subsidiaries or affiliates may provide services to insurers for some insurance products. These
services may include (a) acting as a managing general agent, program manager or in other
similar capacities which give us binding authority enabling us to accept business on their behalf
and immediately provide coverage for a risk; (b) arranging lineslips or similar facilities which
enable an insurer to bind business for itself and other insurers; or (c) managing lineslips for
insurers. Contracts with these insurers may grant us certain rights or create certain obligations
regarding the marketing of insurance products provided by the insurers.
We may place your insurance business under such a managing general agent's agreement,
binding authority, lineslip or similar facility when we reasonably consider that these match your
insurance requirements/instructions. When we intend to do so, we shall inform you and disclose
the contractual arrangements we have with the insurer in accordance this disclosure.
We may also provide reinsurance brokerage services to insurers with which your coverage is
placed pursuant to separate agreements with those insurers. We may be compensated by the
insurers for these services in addition to any compensation we may receive for placement of
your insurance coverages.
The insurance market is complex, and there could be other relationships which are not
described in this document which might create conflicts of interest. Notwithstanding any
possible conflict which might exist, we will act in your best interests at all times in providing the
Services to you. If a conflict arises for which there is no practicable way of complying with this
commitment, we will promptly inform you and withdraw from the engagement, unless you wish
us to continue to provide the Services and will provide your written consent.
Prices on the Services specified herein are exclusive of all federal, state and local sales, use,
excise, receipts, gross income and other similar taxes and governmental charges. Any such
taxes or charges upon the Services provided hereunder, now imposed or hereafter becoming
effective during the term of this agreement, shall be added to the price herein provided and paid
by you unless, in lieu thereof, you provide us with a valid tax exemption certificate acceptable to
us.
16
Citv's Standard Agreement —2011 revision
RESOLUTION NO. 2013 — 89
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY
AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
WITH WILLIS INSURANCE SERVICES OF CALIFORNIA, INC.,
FOR INSURANCE BROKERAGE SERVICES EFFECTIVE JULY 1, 2013
FOR A PERIOD OF TWO YEARS WITH THE ABILITY TO EXTEND BY
ONE YEAR INCREMENTS FOR UP TO AN ADDITIONAL THREE YEARS
WHEREAS, the City desires to employ a consultant to provide insurance
brokerage services; and
WHEREAS, the City initiated a Request for Proposals for insurance brokerage
services and seven entities responded, including Willis Insurance Service of California, Inc.; and
WHEREAS, Willis Insurance Services of California, Inc., an employee benefits firm,
was selected based upon their understanding of the industry in general, their comprehensive
package of brokerage services, and the support services the firm has provided the City,
demonstrating their qualifications through experience and ability to perform.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of
National City hereby authorizes the Mayor to execute an Agreement with Willis Insurance
Services of California, Inc., to provide Insurance Brokerage Services. Said Agreement is on file in
the office of the City Clerk.
PASSED and ADOPTED this 18th day of June, 2013.
on Morrison, Mayor
ATTEST:
Michael R. Dalla, City Clerk
APPROVED AS TO FORM:
ud04citua Silva
City Attorne
Passed and adopted by the Council of the City of National City, California, on June 18,
2013 by the following vote, to -wit:
Ayes: Councilmembers Cano, Morrison, Natividad, Rios, Sotelo-Solis.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY: RON MORRISON
Mayor of the City of National City, California
City I rk of the City of ational City, California
By:
Deputy
I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of
RESOLUTION NO. 2013-89 of the City of National City, California, passed and adopted
by the Council of said City on June 18, 2013.
City Clerk of the City of National City, California
By:
Deputy
CITY OF NATIONAL CITY, CALIFORNIA
COUNCIL AGENDA STATEMENT
-IEETING DATE: June 18, 2013
AGENDA ITEM NO. 113
ITEM TITLE:
Resolution of the City Council of the City of National City authorizing the Mayor to execute an agreement with
Willis Insurance Services of California, Inc. for insurance brokerage services effective July 1, 2013 for a period
of two years with the ability to extend by one year increments for up to an additional three years.
Lilia Munoz
PREPARED BY: Executive Assistant II
PHONE: 336-4309
EXPLANATION:
DEPARTMENT: Htan Resourc
APPROVED BY:
In an effort to evaluate the competitiveness and effectiveness of our current insurance broker services, staff
initiated a Request for Proposals (RFP) process in April 2013. In all, seven (7) responses to the RFP were
received. After reviewing the proposals, three (3) firms were invited to interview with a subcommittee of the
Benefits Committee.
The proposed firm, Willis Insurance Services of California, Inc., was selected based upon their understanding of
the industry in general, their comprehensive package of broker services and the staff support the firm has been
able to provide to the City, as they are the City's current brokerage firm. Under the terms of the proposed
agreement, the firm will be paid on a commission basis, consistent with typical industry practices, with a contract
duration of two years with the ability to extend in one year increments for up to an additional three years.
FINANCIAL STATEMENT:
ACCOUNT NO.
APPROVED:
APPROVED:
Finance
MIS
Fees will be paid on a commission basis. Premiums are paid to the City's benefit providers. In turn, the providers pay a
commission fee to the City's broker. Premiums are charged to departments based on a fixed cost distribution schedule.
ENVIRONMENTAL REVIEW:
This is not a project and is therefore not subject to environmental review.
ORDINANCE: INTRODUCTION:
FINAL ADOPTION:
STAFF RECOMMENDATION:
Recommend approval of resolution.
BOARD / COMMISSION RECOMMENDATION:
N/A
ATTACHMENTS:
Resolution
Agreement
AGREEMENT
BY AND BETWEEN
THE CITY OF NATIONAL CITY
AND
WILLIS INSURANCE SERVICES OF CALIFORNIA, INC.
THIS AGREEMENT is entered into this 1st day of July, 2013, by and between the CITY
OF NATIONAL CITY, a municipal corporation (the "CITY"), and WILLIS INSURANCE
SERVICES OF CALIFORNIA, INC. (the "CONSULTANT").
RECITALS
WHEREAS, the CITY desires to employ a CONSULTANT to provide insurance
brokerage services.
WHEREAS, the CITY has determined that the CONSULTANT is an insurance brokerage
finn and is qualified by experience and ability to perform the services desired by the CITY, and
the CONSULTANT is willing to perform such services.
NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS
FOLLOWS:
1. ENGAGEMENT OF CONSULTANT. The CITY agrees to engage the
CONSULTANT, and the CONSULTANT agrees to perform the services set forth here in
accordance with all terms and conditions contained herein.
The CONSULTANT represents that all services shall be performed directly by the
CONSULTANT or under direct supervision of the CONSULTANT.
2. SCOPE OF SERVICES. The CONSULTANT will perform services as set forth
in the attached Exhibit "A".
The CONSULTANT shall be responsible for all research and reviews related to
the work and shall not rely on personnel of the CITY for such services, except as authorized in
advance by the CITY.
The CITY may unilaterally, or upon request from the CONSULTANT, from time
to time reduce or increase the Scope of Services to be performed by the CONSULTANT under
this Agreement. Upon doing so, the CITY and the CONSULTANT agree to meet in good faith
and confer for the purpose of negotiating a corresponding reduction or increase in the
compensation associated with said change in services.
3. PROJECT COORDINATION AND SUPERVISION. Stacey Stevenson,
Director of Administrative Services hereby is designated as the Project Coordinator for the CITY
and will monitor the progress and execution of this Agreement. The CONSULTANT shall assign
a single Project Director to provide supervision and have overall responsibility for the progress
1 City's Standard Agreement —Mil revision
and execution of this Agreement for the CONSULTANT. Christie Barr of WILLIS
INSURANCE SERVICES OF CALIFORNIA, INC. thereby is designated as the Project Director
for. the CONSULTANT.
4. COMPENSATION AND PAYMENT. The compensation for the
CONSULTANT shall be based on monthly broker commissions built into the employee benefit
plans. CITY shall not be obligated to pay any commissions to CONSULTANT.
CONSULTANT's commission is based upon percentages negotiated with the various insurance
companies, and paid directly to the CONSULTANT by the various insurance companies. The
commission percentage shall be disclosed to CITY. CONSULTANT's commission shall not
exceed current commission percentages being paid for plan year 2013.
The CONSULTANT's compensation may be revised if the City requests a change
in the Coverages and/or Services during the Term of this Agreement, and if both parties enter
into a written agreement documenting any change in Coverages, Services, or compensation. In
addition, if there is a material change in the risk/exposure base, or the overall number of
employees, both parties may revise the compensation upon further discussion.
5. ACCEPTABILITY OF WORK. The City shall decide any and all questions
which may arise as to the quality or acceptability of the services performed and the manner of
performance, the acceptable completion of this Agreement, and the amount of compensation due.
In the event the CONSULTANT and the City cannot agree to the quality or acceptability of the
work, the manner of performance and/or the compensation payable to the CONSULTANT in this
Agreement, the City or the CONSULTANT shall give to the other written notice. Within ten (10)
business days, the CONSULTANT and the City shall each prepare a report which supports their
position and file the same with the other party. The City shall, with reasonable diligence,
determine the quality or acceptability of the work, the manner of performance and/or the
compensation payable to the CONSULTANT.
6. EFFECTIVE DATE AND LENGTH OF AGREEMENT. This Agreement
will become effective on July 1, 2013 to June 30, 2015 (2-year agreement), which may be
extended by the CITY in one-year increments for up to an additional three years (until June 30,
2018).
7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda,
Reports, Plans, Specifications, and other documents prepared by the CONSULTANT for this
Project, whether paper or electronic, shall become the property of the CITY for use with respect
to this Project, and shall be turned over to the CITY upon completion of the Project, or any phase
thereof, as contemplated by this Agreement.
Contemporaneously with the transfer of documents, the CONSULTANT hereby
assigns to the CITY, and CONSULTANT thereby expressly waives and disclaims any copyright
in, and the right to reproduce, all written material, drawings, plans, specifications, or other work
prepared under this Agreement, except upon the CITY'S prior authorization regarding
reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT
2 City's Standard Agreement-2011 revision
shall, upon request of the CITY, execute any further document(s) necessary to further effectuate
this waiver and disclaimer.
The CONSULTANT agrees that the CITY may use, reuse, alter, reproduce,
modify, assign, transfer, or in any other way, medium, or method utilize the CONSULTANT'S
written work product for the CITY'S purposes, and the CONSULTANT expressly waives and
disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to
intellectual property and artistic works.
Any modification or reuse by the CITY of documents or specifications prepared
by the CONSULTANT shall relieve the CONSULTANT from liability under Section 14, but
only with respect to the effect of the modification or reuse by the CITY, or for any liability to the
CITY should the documents be used by the CITY for some project other than what was expressly
agreed upon within the Scope of this project, unless otherwise mutually agreed.
8. INDEPENDENT CONTRACTOR. Both parties hereto in the performance of
this Agreement will be acting in an independent capacity and not as agents, employees, partners,
or joint venturers with one another. Neither the CONSULTANT nor the CONSULTANT'S
employees are employees of the CITY, and are not entitled to any of the rights, benefits, or
privileges of the CITY' S employees, including but not limited to retirement, medical, unemploy-
ment, or workers' compensation insurance.
This Agreement contemplates the personal services of the CONSULTANT and
the CONSULTANT'S employees, and it is recognized by the parties that a substantial
inducement to the CITY for entering into this Agreement was, and is, the professional reputation
and competence of the CONSULTANT and its employees. Neither this Agreement nor any
interest herein may be assigned by the CONSULTANT without the prior written consent of the
CITY. Nothing herein contained is intended to prevent the CONSULTANT from employing or
hiring as many employees, or SUBCONSULTANTS, as the CONSULTANT may deem
necessary for the proper and efficient performance of this Agreement. All agreements by
CONSULTANT with its SUBCONSULTANT(S) shall require the SUBCONSULTANT(S) to
adhere to the applicable terms of this Agreement.
9. CONTROL. Neither the CITY nor its officers, agents, or employees shall have
any control over the conduct of the CONSULTANT or any of the CONSULTANT'S employees,
except as herein set forth, and the CONSULTANT or the CONSULTANT'S agents, servants, or
employees are not in any manner agents, servants, or employees of the CITY, it being understood
that the CONSULTANT its agents, servants, and employees are as to the CITY wholly
independent CONSULTANT, and that the CONSULTANT'S obligations to the CITY are solely
such as are prescribed by this Agreement.
10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in the
performance of the services to be provided herein, shall comply with all applicable state and
federal statutes and regulations, and all applicable ordinances, rules, and regulations of the City
of National City, whether now in force or subsequently enacted. The CONSULTANT and each
3 City 's standard Agreement-2011 revision
of its SUBCONSULTANT(S), shall obtain and maintain a current City of National City business
license prior to and during performance of any work pursuant to this Agreement.
11. LICENSES, PERMITS, ETC. The CONSULTANT represents and covenants
that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally
required to practice its profession. The CONSULTANT represents and covenants that the
CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term of
this Agreement, any license, permit, or approval which is legally required for the
CONSULTANT to practice its profession.
12. STANDARD OF CARE.
A. The CONSULTANT, in performing any services under this Agreement,
shall perform in a manner consistent with that level of care and skill ordinarily exercised by
members of the CONSULTANT'S trade or profession currently practicing under similar
conditions and in similar locations. The CONSULTANT shall take all special precautions
necessary to protect the CONSULTANT'S employees and members of the public from risk of
harm arising out of the nature of the work and/or the conditions of the work site.
B. Unless disclosed in writing prior to the date of this Agreement, the
CONSULTANT warrants to the CITY that it is not now, nor has it for the five (5) years
preceding, been debarred by a governmental agency or involved in debarment, arbitration or
litigation proceedings concerning the CONSULTANT'S professional performance or the
furnishing of materials or services relating thereto.
C. The CONSULTANT is responsible for identifying any unique products,
treatments, processes or materials whose availability is critical to the success of the project the
CONSULTANT has been retained to perform, within the time requirements of the CITY, or,
when no time is specified, then within a commercially reasonable time. Accordingly, unless the
CONSULTANT has notified the CITY otherwise, the CONSULTANT warrants that all products,
materials, processes or treatments identified in the project documents prepared for the CITY are
reasonably commercially available. Any failure by the CONSULTANT to use due diligence
under this sub -paragraph will render the CONSULTANT liable to the CITY for any increased
costs that result from the CITY'S later inability to obtain the specified items or any reasonable
substitute within a price range that allows for project completion in the time frame specified or,
when not specified, then within a commercially reasonable time.
13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall not discriminate
against any employee or applicant for employment because of age, race, color, ancestry, religion,
sex, sexual orientation, marital status, national origin, physical handicap, or medical condition.
The CONSULTANT will take positive action to insure that applicants are employed without
regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national
origin, physical handicap, or medical condition. Such action shall include but not be limited to
the following: employment, upgrading, demotion, transfer, recruitment or recruitment
advertising, layoff or termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The CONSULTANT agrees to post in conspicuous places
available to employees and applicants for employment applicable notices containing the
discrimination language outlined in this non-discrimination clause.
4 City's Standard Agreement-2011 revision
14. CONFIDENTIAL INFORMATION. The CITY may from time to time
communicate to the CONSULTANT certain confidential information to enable the
CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT
shall treat all such information as confidential and shall not disclose any part thereof without the
prior written consent of the CITY. The CONSULTANT shall limit the use and circulation of
such information, even within its own organization, to the extent necessary to perform the
services to be provided herein. The foregoing obligation of this Section 13, however, shall not
apply to any part of the information that (i) has been disclosed in publicly available sources of
information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly
available sources of information; (iii) is already in the possession of the CONSULTANT without
any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the
CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been
or is rightfully authorized by that third party.
The CONSULTANT shall not disclose any reports, recommendations,
conclusions or other results of the services or the existence of the subject matter of this
Agreement without the prior written consent of the CITY. In its performance hereunder, the
CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting
the information or other property of any other person, firm or corporation.
CONSULTANT shall be liable to CITY for any damages caused by breach of this
condition, pursuant to the provisions of Section 14.
15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT agrees
to defend, indemnify and hold harmless the City of National City, its officers and employees,
against and from any and all liability, loss, damages to property, injuries to, or death of any
person or persons, and all claims, demands, suits, actions, proceedings, reasonable attorneys'
fees, and defense costs, of any kind or nature, including workers' compensation claims, of or by
anyone whomsoever, resulting from or arising out of the CONSULTANT'S performance or other
obligations under this Agreement; provided, however, that this indemnification and hold
harmless shall not include any claims or liability arising from the established sole negligence or
willful misconduct of the City, its agents, officers, or employees. The indemnity, defense, and
hold harmless obligations contained herein shall survive the termination of this Agreement for
any alleged or actual omission, act, or negligence under this Agreement that occurred during the
term of this Agreement.
16. WORKERS' COMPENSATION. The CONSULTANT shall comply with all of
the provisions of the Workers' Compensation Insurance and Safety Acts of the State of
California, the applicable provisions of Division 4 and 5 of the California Government Code and
all amendments thereto; and all similar State or federal acts or laws applicable; and shall
indemnify, and hold harmless the CITY and its officers, and employees from and against all
claims, demands, payments, suits, actions, proceedings, and judgments of every nature and
description, including reasonable attorney's fees and defense costs presented, brought or
recovered against the CITY or its officers, employees, or volunteers, for or on account of any
liability under any of said acts which maybe incurred by reason of any work to be performed by
the CONSULTANT under this Agreement.
5 City's Standard Agreement —2011 revision
17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall purchase
and maintain, and shall require its SUBCONSULTANT(S), when applicable, to purchase and
maintain throughout the term of this Agreement, the following checked insurance policies:
A. NI If checked, Professional Liability Insurance (errors and
omissions) with minimum limits of $1,000,000 per occurrence.
B. Automobile Insurance covering all bodily injury and property damage
incurred during the performance of this Agreement, with a minimum coverage of $1,000,000
combined single limit per accident. Such automobile insurance shall include owned, non -owned,
and hired vehicles ("any auto"). The policy shall name the CITY and its officers, agents and
employees as additional insureds, and a separate additional insured endorsement shall be
provided.
C. Commercial General Liability Insurance, with minimum limits of
$2,000,000 per occurrence and $4,000,000 aggregate, covering all bodily injury and property
damage arising out of its operations under this Agreement. The policy shall name the CITY and
its officers, agents and employees as additional insureds, and a separate additional insured
endorsement shall be provided. The general aggregate limit must apply solely to this "project" or
"location".
D. Workers' Compensation Insurance in an amount sufficient to meet
statutory requirements covering all of CONSULTANT'S employees and employers' liability
insurance with limits of at Least $1,000,000 per accident. In addition, the policy shall be endorsed
with a waiver of subrogation in favor of the City. Said endorsement shall be provided prior to
commencement of work under this Agreement.
If CONSULTANT has no employees subject to the California Workers'
Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said
Declaration shall be provided to CONSULTANT by CITY.
E. The aforesaid policies shall constitute primary insurance as to the CITY,
its officers, employees, and volunteers, so that any other policies held by the CITY shall not
contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior
written notice to the CITY of cancellation or material change.
F. If required insurance coverage is provided on a "claims made" rather than
"occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years
after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date
must be on or before the date of this Agreement.
G. Insurance shall be written with only California admitted companies that
hold a current policy holder's alphabetic and financial size category rating of not less than A VIII
according to the current Best's Key Rating Guide, or a company equal financial stability that is
approved by the CITY'S Risk Manager. In the event coverage is provided by non -admitted
"surplus lines" carriers, they must be included on the most recent California List of Eligible
Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements.
H. This Agreement shall not take effect until certificate(s) or other sufficient
proof that these insurance provisions have been complied with, are filed with and approved by
the CITY'S Risk Manager. lithe CONSULTANT does not keep all of such insurance policies in
full force and effect at all times during the terms of this Agreement, the CITY may elect to treat
the failure to maintain the requisite insurance as a breach of this Agreement and terminate the
Agreement as provided herein.
6 City's Standard Agreement-2011 revision
I. All deductibles and self -insured retentions in excess of $10,000 must be
disclosed to and approved by the CITY.
18. LEGAL FEES. If any party brings a suit or action against the other party arising
from any breach of any of the covenants or agreements or any inaccuracies in any of the
representations and warranties on the part of the other party arising out of this Agreement, then in
that event, the prevailing party in such action or dispute, whether by final judgment or out -of -
court settlement, shall be entitled to have and recover of and from the other party all costs and
expenses of suit, including attorneys' fees.
For purposes of determining who is to be considered the prevailing party, it is
stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not
be considered in determining the amount of the judgment or award. Attomey's fees to the
prevailing party if other than the CITY shall, in addition, be limited to the amount of attorney's
fees incurred by the CITY in its prosecution or defense of the action, irrespective of the actual
amount of attorney's fees incurred by the prevailing party.
19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this
Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute
by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of
the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of
mediation shall be borne equally by the parties. Any controversy or claim arising out of, or
relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled
by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of
the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a
judgment thereon may be entered in any court having jurisdiction over the subject matter of the
controversy. The expenses of the arbitration shall be borne equally by the parties to the
arbitration, provided that each party shall pay for and bear the costs of its own experts, evidence
and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof
against a specified party as part of the arbitration award.
20. TERMINATION.
A. This Agreement may be terminated with or without cause by the CITY.
Termination without cause shall be effective only upon 60-day's written notice to the
CONSULTANT. During said 60-day period the CONSULTANT shall perform all services in
accordance with this Agreement.
B. This Agreement may also be terminated immediately by the CITY for
cause in the event of a material breach of this Agreement, misrepresentation by the
CONSULTANT in connection with the formation of this Agreement or the performance of
services, or the failure to perform services as directed by the CITY.
C. Termination with or without cause shall be effected by delivery of written
Notice of Termination to the CONSULTANT as provided for herein.
D. In the event of termination, all finished or unfinished Memoranda Reports,
Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT,
whether paper or electronic, shall immediately become the property of and be delivered to the
CITY, and the CONSULTANT shall be entitled to receive just and equitable compensation for
7 City's Standard Agreement-20] 7 revision
any work satisfactorily completed on such documents and other materials up to the effective date
of the Notice of Termination, not to exceed the amounts payable hereunder, and less any
damages caused the CITY by the CONSULTANT'S breach, if any. Thereafter, ownership of said
written material shall vest in the CITY all rights set forth in Section 6.
E. The CITY further reserves the right to immediately terminate this
Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a
reorganization of the CONSULTANT for the benefit of creditors; or (3) a business
reorganization, change in business name or change in business status of the CONSULTANT.
21. NOTICES. All notices or other communications required or permitted hereunder
shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express
or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or
sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex,
telecopy, facsimile or fax; and shall be deemed received upon the earlier of (i) if personally
delivered, the date of delivery to the address of the person to receive such notice, (ii.) if sent by
overnight mail, the business day following its deposit in such overnight mail facility, (iii) if
mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is
outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or
other like facility regularly maintained by the United States Postal Service, (iv) if given by
telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given
by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other
communication delivered or sent as specified above shall be directed to the following persons:
To CITY:
Stacey Stevenson
Director of Administrative Services
Human Resources Department
City of National City
140 East 12th Street, Suite A
National City, CA 91950-4301
To CONSULTANT:
Christie Barr
Senior Vice President
Willis Insurance Services of California, Inc.
4250 Executive Square, Suite 250
La Jolla, CA 92037
Notice of change of address shall be given by written notice in the manner
specified in this Section. Rejection or other refusal to accept or the inability to deliver because of
changed address of which no notice was given shall be deemed to constitute receipt of the notice,
demand, request or communication sent. Any notice, request, demand, direction or other
communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty-
eight (48) hours by letter mailed or delivered as specified in this Section.
8 City's Standard Agreement-2011 revision
22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT
OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform
services of any kind for any person or entity whose interests conflict in any way with those of the
City of National City. The CONSULTANT also agrees not to specify any product, treatment,
process or material for the project in which the CONSULTANT has a material financial interest,
either direct or indirect, without first notifying the CITY of that fact. The CONSULTANT shall
at all times comply with the terms of the Political Reform Act and the National City Conflict of
Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its
official position to influence in any way any matter coming before the CITY in which the
CONSULTANT has a financial interest as defined in Government Code Section 87103. The
CONSULTANT represents that it has no knowledge of any financial interests that would require
it to disqualify itself from any matter on which it might perform services for the CITY.
® If checked, the CONSULTANT shall comply with all of the reporting
requirements of the Political Reform Act and the National City Conflict of Interest Code.
Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk
of the City of National City in a timely manner on forms which the CONSULTANT shall obtain
from the City Clerk.
The CONSULTANT shall be strictly liable to the CITY for all damages, costs or
expenses the CITY may suffer by virtue of any violation of this Paragraph 22 by the
CONSULTANT.
23. PREVAILING WAGES. State prevailing wage rates may apply to work
performed under this Agreement. State prevailing wages rates apply to all public works contracts
as set forth in California Labor Code, including but not limited to, Sections 1720,1720.2, 1720.3,
1720.4, and 1771. Consultant is solely responsible to determine if State prevailing wage rates
apply and, if applicable, pay such rates in accordance with all laws, ordinances, rules, and
regulations.
24. MISCELLANEOUS PROVISIONS.
A. Computation of Time Periods. If any date or time period provided for in
this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date
shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a
Saturday, Sunday or federal, state, or legal holiday.
B. Counterparts. This Agreement may be executed in multiple counterparts,
each of which shall be deemed an original, but all of which, together, shall constitute but one and
the same instrument.
C. Captions. Any captions to, or headings of, the sections or subsections of
this Agreement are solely for the convenience of the parties hereto, are not a part of this
Agreement, and shall not be used for the interpretation or determination of the validity of this
Agreement or any provision hereof.
D. No Obligations to Third Parties. Except as otherwise expressly provided
herein, the execution and delivery of this Agreement shall not be deemed to confer any rights
upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto.
9 City's Standard Agreement -2011 revision
E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are
hereby incorporated herein by this reference for all purposes.
F. Amendment to this Agreement. The terms of this Agreement may not be
modified or amended except by an instrument in writing executed by each of the parties hereto.
G. Waiver. The waiver or failure to enforce any provision of this Agreement
shall not operate as a waiver of any future breach of any such provision or any other provision
hereof.
H. Applicable Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of California.
I. Audit. If this Agreement exceeds ten -thousand dollars ($10,000), the
parties shall be subject to the examination and audit of the State Auditor for a period of three (3)
years after final payment under the Agreement, per Government Code Section 8546.7.
J. Entire Agreement. This Agreement supersedes any prior agreements,
negotiations and communications, oral or written, and contains the entire agreement between the
parties as to the subject matter hereof No subsequent agreement, representation, or promise
made by either party hereto, or by or to an employee, officer, agent or representative of any party
hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby.
K. Successors and Assigns. This Agreement shall be binding upon and shall
inure to the benefit of the successors and assigns of the parties hereto.
L. Construction. The parties acknowledge and agree that (i) each party is of
equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and
negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity
to consult with its own, independent counsel and such other professional advisors as such party
has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv)
each party and such party's counsel and advisors have reviewed this Agreement, (v) each party
has agreed to enter into this Agreement following such review and the rendering of such advice,
and (vi) any rule or construction to the effect that ambiguities are to be resolved against the
drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or
any amendments hereto.
25. BROKER SERVICES AGREEMENT ADDENDUM. CONSULTANT
agrees to abide by the Broker Services Agreement Addendum, Exhibit "B", and incorporated
herein.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date
and year first above written.
CITY OF NATIONAL CITY
By:
Ron Morrison, Mayor
WILLIS INSURANCE SERVICES OF
CALIFORNIA, INC.
(Corporation — signatures of two corporate officers)
By:. Mime)
(Jv s'de
10
City's Standard Agreement —2011 revision
APPROVED AS TO FORM:
Claudia G. Silva
City Attorney
By:
(Print)
(Title)
(Name)
(Print)
(Title)
(TSiG .
11
City's Standard Agreement —2011 revision
EXHIBIT "A"
SCOPE OF SERVICES
Consultant agrees to perform consulting services as required by City.
Consultant shall provide the necessary qualified personnel to perform the services. In
performance of the services Consultant services include:
1. Strategic Planning
• Assist in defining and prioritizing strategic health & welfare plan objectives
• Assist in the evaluation of internal technical capabilities to determine increased/improved
applications for administrative processes
• Identify underperforming vendor relationship
• Assess carrier/vendor customer service levels
• Develop project action timelines
• Periodic review of employee demographics
• Assist in the development of an employee survey. Conduct survey and provide an
executive summary detailing results
• Discuss relevant benchmarking data
2. Financial Analysis
• Perform financial review and analysis of experience reports
• Assess current funding arrangements for appropriateness and make recommendations as
needed
• Evaluate current costs of benefits versus effectiveness of plan design
• Review managed care expense and administrative service fees (where applicable)
• Analyze utilization data and cost containment results of medical management
• Forecast projected benefit costs to include maximum exposure
• Evaluate excess loss coverage
• Prepare experience reviews as directed
• Assist in developing appropriate employee contributions levels
• Perform trend analysis from available diagnostic and normative data
3, Renewal
• Analyze and negotiate renewals with vendors
• Review vendor renewal methodology, experience data, and assumptions for accuracy and
logic
• Compare vendor renewal with Willis projections
• Develop and present alternative plan designs and provisions with associated financial and
member impact analysis
• Finalize program design, rates, and fees a minimum of 60 days prior to effective date
• Prepare an accurate renewal document with recommendations for delivery to senior
management (as needed)
12
City's Standard Agreement —2011 revision
4. Marketing
• Develop plan specification based on feedback from strategic planning meeting
• Jointly determine list of vendors best suited to meet plan goals and objectives
• Develop vendor performance guarantees with monetary penalties as necessary
• Assist in the review of current electronic data transfer processes with vendors
• Perform pre -marketing evaluation of census data, network service areas, and administrative
needs
• Evaluate carrier client support services
• Evaluate vendor financial ratings and accreditation
• Review provider network accessibility/employee match
• Perform critical analysis and comparison of plan features and costs
• Assist in the scheduling of selected finalist site visits
• Assist in conducting finalist negotiations
• Prepare and submit a summary report with recommendations to management
• Assist in the notification of all bidders as to the final outcome
5. Annual Enrollment
• Assist in the planning of employee meetings, round tables, and health seminars
• Provide guidance on delivering a comprehensive communication strategy
• Introduce workable technology solutions for communications and enrollment where
appropriate
• Coordinate vendor sponsored communication material
6. Compliance
• Provide legislative updates as needed
• Review plan documents and summary plan descriptions for regulatory compliance from a
non -legal perspective (client would need to retain legal advice)
• Provide access to periodic web casts compliance sessions
7. Account Management Services
• Serve as a liaison between the client and all insurance companies/vendors
• Monitor administrative process and assist in the smooth resolution of elevated issues
• Act as an employee/employer advocate in the resolution of ongoing claims issues
13
City's Standard Agreement —2011 revision
EXHIBIT "B"
BROKER SERVICES AGREEMENT ADDENDUM
Requested Language
The following disclosure is made by Willis Insurance Services of California, Inc., ("we" or "us") to
The City of National City ("you'), in connection with the agreement for insurance brokerage
services ("Services') entered into between the parties.
Before we bind the specific insurance coverage you desire to purchase we will disclose to you in
writing:
(a) a summary of all quotes and indications we sought and received with certain
pertinent information, or, if you prefer, a copy of all quotes and indications we sought and
all quotes or indications we received in connection with that coverage;
(b) any interest we may have in, or contractual arrangements we may have with, any of
the prospective insurers; and
(c) the maximum amount or percentage rate of compensation which we, our parent
companies, subsidiariesor affiliates, may receive in connection with the placement of the
insurance coverage;
and we will obtain your written consent to the amount or rate of compensation we will receive
before coverage is bound.
You understand and agree that you shall make final decisions with respect to underwriting
submissions and all matters relating to your insurance coverage, risk management, and loss
control needs and activities. We will procure the insurance coverage chosen by you, prepare
insurance binders, and review and transmit policies to you.
We will assess the financial soundness of the insurers we recommend to provide your coverages
based on publicly available information, including that produced by well -recognized rating
agencies. Upon request, we will provide you with our factual analysis of such insurers. We cannot,
however, guarantee or warrant the solvency of any insurer or any intermediary that we may use to
place your coverage.
We will review all policies and endorsements delivered to us by insurers or intermediaries for
the purpose of confirming their accuracy and conformity to negotiated specifications and your
instructions and advise you of any errors in, or recommended changes to, such policies. You
agree that you will also review all policies and endorsements delivered to you and advise us of
any questions you have or of any document or provision that you discover which you believe
may not be in accordance with your instructions.
We will meet, as requested by you, with your representatives to explain coverage and policies.
We will promptly respond to your requests for coverage information, analysis of changing market
conditions, and assistance in developing procedures for handling loss exposures, and assist you
in reporting subsequent changes in underwriting information to insurance companies.
14
City's Standard Agreement-2011 revision
We will inform you of the reporting requirements for claims, including where claims should be
reported and the method of reporting to be used, if applicable. Please carefully review any
claims -reporting instructions or information we provide you because failure to timely and properly
report a claim may jeopardize coverage for the claim. In addition, you should retain copies of all
insurance policies and coverage documents as well as claims -reporting instructions after
termination of the policies because in some cases you may need to report claims after termination
of a policy.
Prior to binding we will also seek your written consent to the actual commission we will earn
from each carrier as required by the Assurance of Discontinuance with the Attorney General of
the State of New York.
Only the Fee is in addition to the net premium paid for the Coverages.
Commissions are paid by insurers from the premiums you pay and are earned by us for the
entire policy period at the time we place policies for you
if any insurer requires us to receive commissions in regard to any of the Coverages which are
inconsistent with the provisions above, we will promptly notify you of such commissions and
seek your written consent to receive them.
Our compensation may be revised if you request a change in the coverages and/or services
during the term of this Agreement and we enter into a written agreement documenting any
change in Coverages, Services and Compensation.
In some cases the use of a wholesale broker may be beneficial to you. We will not directly or
indirectly knowingly place or renew your insurance business through a wholesale broker unless
we first disclose to you in writing:
(a) any interest we have in, or any contractual agreements we have with, the
wholesale broker; and
(b) any alternatives to using the wholesale broker; and
(c) any compensation we or our corporate parents, subsidiaries or affiliates will
receive as a result;
and obtain your consent to do so. If we expect to recommend the use of a wholesale broker,
any compensation we or our corporate parents, subsidiaries or affiliates will receive as a result
is also included in the total compensation provided for in the brokerage agreement between the
parties.
Other parties such as underwriting managers or managing general agents may also earn and
retain usual and customary commissions for their roles in providing insurance products and
services to you. If any such parties are corporate parents, subsidiaries or affiliates of ours, any
compensation we or our corporate parents, subsidiaries or affiliates will receive is included in
the total compensation provided for in the brokerage agreement between the parties.
15
City's Standard Agreement —2011 revision
You may choose to use a premium finance company, property appraiser, structured settlement
firm or other similar service provider in connection with the insurance coverages we place for
you or the Services we provide to you. If you elect to use a service provider from which we or
our corporate parents, subsidiaries or affiliates will receive any compensation directly or
indirectly relating to the services you purchase from the provider, we will disclose additional
information regarding that compensation to you before you make a final decision to use the
service provider.
In the ordinary course of business we may also receive and retain interest on premiums you
pay from the date we receive the funds until we pay them to the insurers or intermediaries.
As an insurance intermediary, we normally act for you. However, we or our corporate parents,
subsidiaries or affiliates may provide services to insurers for some insurance products. These
services may include (a) acting as a managing general agent, program manager or in other
similar capacities which give us binding authority enabling us to accept business on their behalf
and immediately provide coverage for a risk; (b) arranging lineslips or similar facilities which
enable an insurer to bind business for itself and other insurers; or (c) managing lineslips for
insurers. Contracts with these insurers may grant us certain rights or create certain obligations
regarding the marketing of insurance products provided by the insurers.
We may place your insurance business under such a managing general agent's agreement,
binding authority, lineslip or similar facility when we reasonably consider that these match your
insurance requirements/instructions. When we intend to do so, we shall inform you and disclose
the contractual arrangements we have with the insurer in accordance this disclosure.
We may also provide reinsurance brokerage services to insurers with which your coverage is
placed pursuant to separate agreements with those insurers. We may be compensated by the
insurers for these services in addition to any compensation we may receive for placement of
your insurance coverages.
The insurance market is complex, and there could be other relationships which are not
described in this document which might create conflicts of interest. Notwithstanding any
possible conflict which might exist, we will act in your best interests at all times in providing the
Services to you. If a conflict arises for which there is no practicable way of complying with this
commitment, we will promptly inform you and withdraw from the engagement, unless you wish
us to continue to provide the Services and will provide your written consent.
Prices on the Services specified herein are exclusive of all federal, state and local sales, use,
excise, receipts, gross income and other similar taxes and govemmental charges. Any such
taxes or charges upon the Services provided hereunder, now imposed or hereafter becoming
effective during the term of this agreement, shall be added to the price herein provided and paid
by you unless, in lieu thereof, you provide us with a valid tax exemption certificate acceptable to
us.
16
City's Standard Agreement —2011 revision
AR ! CERTIFICATE OF LIABILITY INSURANCE page 1 of 1
0TEIMM1 20 2'
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: lithe certificate holderls an ADDITIONAL INSURED, the pollcy(Ies)must be endorsed. If SUBROGATION IS WAIVED, subject to
the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the
certificate holder In Lieu of such endorsement(s).
PRODUCER
willia of New York, Inc.
C/o 26 Century Blvd.
P. O. Box 305191
Nashville, TN 37230-5191
CONTACT
NAMF•
AX
Arc PHONE Ex•r 877-945-7378 (F
(�ucAic 888-467-2378
ADDRess• certificateawwillis.cm
INSURERODAFFCRONO COVERAGE
NAIL a
INSURER National Union Fire Insurance Co. of Pitt
19445-001
INSURED
willia North America, Inc.
One world Financial Ctr.
200 liberty Street
New York, NY 10281
I
INSURERS: Commerce and Industry Insurance Company
19410-002
INSURER C:Insuraues Company of the State of Pennsyl
19429-001
INSURER D: New Hampshire Insurance Company
PmPa Y
23641-001
INSURERE:
INSURER F:
COVERAGES
CERTIFICATE NUMBER:
•
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN. THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED SY PAID CLAIMS.
INSR LIT
TYPE OF INSURANCEweep
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POLICY NIIIaER
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$ 1.000.000
5 1,000.000
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$ 10,000
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Contractual Liability
PERSONAL & ADV INJURY
$ 1.000,000
GENERALAGGREGATE
$ 5.000,000
5 1,000,000
$
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BI3EOtSNOLELIMIT
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BODILY INJURY(Par person)
$
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$ 3.000. 000
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WC015684666 (CA)
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7/1/2012
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7/1/2013
7/1/2013
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$ 1,000,000
$ 1,000,000
EL DISEASE -EA EMPLOYEE
EL DISEASE -POUCYLIMIT
$ 1,000,000
DESCRIPTION OF OPERATIONS I LOCATIOMSI VEHICLES (Attach Acord 101, Addeonal Remarks Sslwdub, If more space b required)
It is agreed that The City of National City, its elected officials, officers, agents and employee'
are included as Additional Insureds as respects to General Liability and Auto Liability where
required by written contract or agreement.
Waiver of Subrogation applies in favor of The City of National City, its elected officials,
officers, agents and employees with respects to workers Compensation coverage where required by
written contract as numitted by law.
CERTIFICATE HOLDER
CANCELLATION
The City of National City
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDAyGE WITH E POLICY PROVISIONS.
C011:3815764 Tp1:1475984 Cart:il6?Yt634 el
88-2010 ACORD CORPORATION. All rights reserved.
ACORD 25 (2010105) The ACORD name and logo are registered marks ot'ACORD
kw*
Frahm; Environmental, Ic,
Hunt Yleurence Group, LLC
YteuranceNoode, Inc.
Medan, Oddy & Aaodatea, Inc.
Philadalphle Benefits, LLC
Premium Funding Msodates, Inc.
Qoeenewond Properties, Inc.
With, 8s I & Thompson, Inc.
Weapon Financial Services, LLC
Westport HRH, LLC
Weis AdreMisbeivs services Cerporsiorn
Wells Americas Administrate, Inc.
Weis Benefits of Pennsylvania. inc.
Wills Glemnls Ufa, LLC
WWII KiH, Inc.
Wiles insurance Brokerage of llteh, Inc.
Willla i nsurerroe services of California, Inc.
Wells Iraurmw Services of Georgia, Inc.
Wits Management (Vermont) Ltd.
Willa of Alabama, Inc.
Wis of Arizona, Inc.
Winks d Colorado, Inc.
Wiles of Connecticut, LLC
Weis of Delaware, Inc,
WIIh of Florida, Inc.
Willie of Greeter Kansas, Inc.
Willis of Illinois, Inc.
Willa of Loulelem, Mo.
Wills of Maryland, Inc.
Mk of Measechusette,ins:.
Wlih of 'Achim, Inc.
Willis of Minnesota, Inc.
Willis of Mlselsslppt, Inc.
Willis of New HempaHre, Inc.
Willie of New Jersey, Inc.
WIIIIe of New York, Inc.
Wills of North Camllra, Inc.
Wits of Northam New England, Inc.
Wigs of Ohio, inc.
Weis d Oklahoma, Inc.
Weis of Oregon, Ina
Wells of Pennsylvania, Inc.
WIIII. of Seattle, Inc.
Wills of Tennessee, Inc.
Willis of Toss, Inc.
Willis of Virginia, Inc.
Wills of Wisconsin, Inc.
Wile of Wyoming, Inc.
WSW Personal Urea, LLC
Win Program of CcasciarL Inc.
Wale Re Inc.
Wiles Securities, Inc.
Willis SeMcee LLC
ENDORSEMENT
This endorsement, effective 12:01 A.M. 07/01/2012 forms a part of
policy No.CA 093-97-49 issued to WILLIS NORTH AMERICA INC.
by NAT I ONAL UNION FIRE INSURANCE COMPANY OF P I TTSBURGH , PA
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADDITIONAL INSURED - WHERE REQUIRED UNDER CONTRACT OR AGREEMENT
NEW YORK
This endorsement modifies insurance provided under the following:
BUSINESS AUTO COVERAGE FORM
SCHEDULE
ADDITIONAL INSURED:
ANY PERSON OR ORGANIZATION FOR WHOM YOU ARE CONTRACTUALLY BOUND +`
TO PROVIDE ADDITIONAL INSURED STATUS BUT ONLY TO THE EXTENT OF SUCH
PERSON OR ORGANIZATIONS LIABILITY ARISING OUT OF THE USE OF A COVERED
"AUTO".
I. SECTION II - LIABIUTY COVERAGE, A. Coverage, 1. - Who Is Insured, is amended to add:
d. Any person or organization, shown In the schedule above, to whom you become obligated
to include as an additional insured under this policy, as a result of any contract or agreement
you enter into which requires you to furnish insurance to that person or organization of the
type provided by this policy, but only with respect to liability arising out of use of a covered
"auto". However, the insurance provided through this endorsement will not exceed the
lesser of:
(1) The.coverage and/or limits of this policy, or
(2) The coverage and/or limits required by said contract or agreement.
94199 (3/07)
ed Reptative or
Countarslgnature (In States Where
Applicable)
Page 1of1
ENDORSEMENT
This endorsement, effective 12:01 A.M. 07/0112012 forms a part of
policy No.tiL 192.96-56 issued to WILLIS NORTH AMERICA INC.
by NATIONAL UNION FIRE INSURANCE COMPANY OF P ITTSBURGH . PA
HIS E]NDORSENIENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADDITIONAL INSURED - WHERE REQUIRED UNDER CONTRACT' OR AGREEMENT
This endorsement modifies insurance provided under the foRowing:
COMMERCIAL GENERAL LIABILITY COVERAGE PORN!
Section 1) - Who is an Insured, 1., ie emended to add:
f) Any person or organization to whom you become obligated to include as an additional Insured
under this policy, as a result of any contract or agreement you emer Into which requires you
to furnish insurance to that parson or organization of the type provided by this policy, but
only with respect to liability arising out of your operations or premises owned by or rented to
you. However, the insurance provided will not exceed the lesser of:
1. The coverage and/or limits of this policy, or
2. The coverage and/or limits required by said contract or agreement.
A$141-44rized Reppreaertattve or
me ignature tin States Where
61712 (9/01)
RESOLUTION NO. 2013 —
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY
AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
WITH WILLIS INSURANCE SERVICES OF CALIFORNIA, INC.,
FOR INSURANCE BROKERAGE SERVICES EFFECTIVE JULY 1, 2013
FOR A PERIOD OF TWO YEARS WITH THE ABILITY TO EXTEND BY
ONE YEAR INCREMENTS FOR UP TO AN ADDITIONAL THREE YEARS
WHEREAS, the City desires to employ a consultant to provide insurance
brokerage services; and
WHEREAS, the City initiated a Request for Proposals for insurance brokerage
services and seven entities responded, including Willis Insurance Service of California, Inc.; and
WHEREAS, Willis Insurance Services of California, Inc., an employee benefits firm,
was selected based upon their understanding of the industry in general, their comprehensive
package of brokerage services, and the support services the firm has provided the City,
demonstrating their qualifications through experience and ability to perform.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of
National City hereby authorizes the Mayor to execute an Agreement with Willis Insurance
Services of California, Inc., to provide Insurance Brokerage Services. Said Agreement is on file in
the office of the City Clerk.
PASSED and ADOPTED this 18th day of June, 2013.
ATTEST:
Michael R. Dalla, City Clerk
APPROVED AS TO FORM:
Claudia Gacitua Silva
City Attorney
Ron Morrison, Mayor
June 6, 2013
City of National City
Attn: Lilia Munoz
Human Resources
140 East 12th Street, Suite A
National City, CA 91950
Dear Lilia:
RECEIVED
JUN 1 0 2013
CITY OF NATIONAL CITI'
HUMAN RESOURCES DEPARTMENT
Willis
Contact: Christie Barr
Direct Line: (858) 678-2133
Direct Fax: (858) 678-2100
E-mail: christie.barr@willis.com
Thank you so much for the contract to extend brokerage services between the City and Willis. Attached
are two originals with signatures. We will scan a copy to you for your files.
e,$t)Regards,
istie Barr
Senior Vice President
Employee Benefits
Enclosure
Willis Insurance Services of California, Inc.
4250 Executive Square, Suite 250
La Jolla, CA 92037
CITY OF NATIONAL CITY
Office of the City Clerk
1243 National City Blvd., National City, California 91950
619-336-4228 phone / 619-336-4229 fax
Michael R. Dalla, CMC - City Clerk
June 27, 2013
Ms. Christie Barr
Willis Insurance Services of California
4250 Executive Square, Suite 250
La Jolla, CA 92037
Dear Ms. Barr,
On June 18th, 2013, Resolution No. 2013-89 was passed and adopted by the City Council
of the City of National City, authorizing execution of an Agreement with Willis Insurance
Services of California.
We are enclosing for your records a certified copy of the above Resolution and a fully
executed original Agreement.
Sincerely,
1-Ui i%
rA
Michael R. Dalla, CMC
City Clerk
Enclosures
cc: Human Resources Dept.