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(a) In the event of any loss by fire within the City occurring after the effective date of this section when the amount of such loss agreed to between the named insured or insureds and the company or companies insuring such loss equals or exceeds sixty percent (60%) of the aggregate limits of liability on all fire policies covering the building or structure insured, the insurance company or companies in accordance with Ohio R.C. 715.26(F), shall transfer from the insurance proceeds to the Director of Finance of the City of Springboro in the aggregate one thousand dollars ($1,000) for each twenty thousand dollars ($20,000), 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 have submitted a contractor's signed estimate of the costs of removing, repairing or securing the building or other structure, shall transfer from the insurance proceeds the amount specified in the estimate.
(b) Such transfer of proceeds shall be on a pro rata basis by all companies insuring the building or other structure.
(c) The named insured or insureds may submit a contractor's signed estimate of the costs of removing, repairing or securing the building or other structure after the transfer, and the Director of Finance shall place the proceeds in the Fire Insurance Trust Fund to be used solely as security against the total cost of removing, repairing or securing incurred by the City pursuant to Ohio R.C. 715.261.
(d) When transferring the funds as required by this section an insurance company shall provide the Director of Finance with the name and address of the named insured or insureds, whereupon the Director of Finance or his designee shall contact the named insured or insureds, certify that the proceeds have been received by the City and notify them that the following procedures will be followed:
(e) The fund shall be returned to the named insured or insureds when the repairs or removal, or securing of the building or other structure have been completed and the required proof received by the Director of Finance. If the City has incurred any costs for repairs, removal or securing of the building or other structure, such costs shall be paid from the fund and if excess funds remain, the City of Springboro shall transfer the remaining funds to the insured or insureds. Nothing in this section shall be construed to limit the ability of the City to recover any deficiency under Ohio R.C. 715.261.
(f) Nothing in this section shall be construed to prohibit the City and the named insured or insureds from entering into an agreement that permits the transfer of funds to the named insured or insureds if some other reasonable disposition of the damaged property has been negotiated.
(Ord. 90-41. Passed 7-5-90.)