(a) Council shall annually appropriate and reserve such money as is necessary, in the exercise of sound and prudent actuarial judgment, to cover potential liability, expense, loss and damage as stated in Section 104.01. The amount so appropriated and reserved shall not be less than four hundred thousand dollars ($400,000) annually, to be effective for the 2007 annual contribution.
(Ord. 83-88. Passed 3-30-88; Ord. 26-97. Passed 5-7-97; Ord. 411-03. Passed 12-15-03.)
(b) All money appropriated and reserved as provided in this section shall be maintained by the Auditor in Special Fund No. 6705, Liability Insurance, and shall be dispersed solely for the purpose of administering the City self-insurance program, including, but not limited to, disbursements for claims paid, costs of legal representation, costs of establishing a risk management program, costs of the claims administrator and other personnel, fees paid to administering consultants, fees paid to expert witnesses, expenses incurred in the evaluation of claims, expenses incurred in preparation for trial or appeals, and court costs. All moneys collected as a result of claims asserted by or on behalf of the City, except for moneys received for damage to City motor vehicles, guardrails, fire hydrants, and traffic control devices shall be deposited into such Special Fund.
(Ord. 182-91. Passed 7-1-91; Ord. 363-96. Passed 1-21-97; Ord. 275-00. Passed 11-20-00.)
(c) The Auditor shall deposit moneys of such Special Fund into interest generating accounts. All interest generated by such deposits shall be transferred by the Auditor to the Special Fund.
(d) Interest earned and any unencumbered surplus remaining in the Special Fund at the end of any fiscal year shall be carried over to the following year, and no amount thereof shall be transferred to any other fund.
(e) On or before January 31 of the first year after the establishment of a self-insurance program, and annually thereafter, the Auditor shall submit a written report to the Mayor and Council detailing the amounts received and disbursed from the Special Fund during the preceding calendar year, including the persons to whom any such disbursements were paid and the reasons for such disbursements.
(Ord. 83-88. Passed 3-30-88; Ord. 228-07. Passed 9-17-07.)