(a) The City hereby authorizes the procedures described in Ohio Revised Code Section 3929.86 (C) and (D) to be adopted within the City
(b) When a fire loss to a building or structure agreed to between the named insured or insureds and the company or companies equals or exceeds sixty per cent of the aggregate limits of liability on all fire policies covering the building or structure, the insurance company or companies in accordance with division (F) of Section 715.26 of the Ohio Revised Code shall transfer from the insurance proceeds to the Municipal Clerk in the aggregate two thousand dollars for each fifteen thousand dollars, and each fraction of that amount, of a claim, or, if at the time of a proof of loss agreed to between the named insured or insureds and the insurance company or companies, the named insured or insureds have submitted a contractor's signed estimate of the costs of removing, repairing, or securing the building or structure, shall transfer from the insurance proceeds the amount specified in the estimate.
(c) The transfer of proceeds shall be on a pro rata basis by all companies insuring the building or structure. Policy proceeds remaining after the transfer to the Municipal Clerk shall be disbursed in accordance with the policy terms.
(d) The named insured or insureds may submit a contractor's signed estimate of the costs of removing, repairing, or securing the building or structure after the transfer, and the Municipal Clerk shall return the amount of the fund in excess of the estimate to the named insured or insureds, provided that the City has not commenced to remove, repair, or secure the building or structure.
(e) Upon receipt of the proceeds by the Municipal Clerk, the Municipal Clerk shall place the proceeds in a separate fund to be used solely as security against the total cost of removing, repairing, or securing incurred by the City
(f) Upon receipt of funds as required in division (C) of Ohio Revised Code Section 3929.86, the Municipal Clerk shall contact the named insured or insureds at the addresses provided by the insurance company, certify that the proceeds have been received by the City, and notify them that the following procedures will be followed:
(1) The fund shall be returned to the named insured or insureds when repairs, removal, or securing of the building or other structure has been completed and the required proof has been received by the Building and Zoning Inspector, if the City has not incurred any costs for the repairs, removal, or securing. The fund shall be returned to the named insured or insureds no later than sixty days after the Building and Zoning Inspector receives the required proof.
(2) If the City has incurred any costs for repairs, removal, or securing of the building or other structure, the costs shall be paid from the fund and if excess funds remain, the Municipal Clerk shall transfer, no later than sixty days after all such costs have been paid, the remaining funds to the named insured or insureds.
(g) Nothing in this subsection shall be construed to limit the ability of the City to recover any deficiency under Ohio Revised Code Section 715.26.
(Ord. 95-2000. Passed 6-5-00.)