Report to Mayor and City Council
Tuesday, August 02, 2016
Consent
SUBJECT:
Title
CONSIDER AMENDING CITY FACILITY RENTERS CONTRACTS AND PERMITS TO REQUIRE PROOF OF LIABILITY INSURANCE (CITY COUNCIL)
Body
I. SUMMARY
The current contracts and permits used to rent City facilities do not require that renters obtain liability insurance to protect the City against financial loss.
II. RECOMMENDATION
Recommendation
TAKE the following action:
1. APPROVE amending the current contracts and permits to include the requirement that renters of City facilities provide commercial general liability insurance.
2. APPROVE COUNCIL POLICY & PROCEDURE NUMBER 01.04.01, RENTERS OF CITY FACILITIES/REQUIREMENT FOR LIABILITY INSURANCE.
1.
Body
III. ALTERNATIVES
1. TAKE another action the City Council deems appropriate.
IV. BACKGROUND
The City does not currently require that renters of City facilities obtain commercial general liability insurance ("general liability") to protect the City against financial loss. The majority of the neighboring cities as well as other public entities require this insurance when renting their facilities (Exhibit 1). The renter's $1,000,000 general liability per occurrence/$2,000,000 general aggregate insurance requirement would effectively transfer the risk of financial loss from the City to the renter's insurance policy.
Liability Insurance Requirements for City Facility Rentals is referenced as Exhibit 2. The Park Facility Permit and Community Center Rules, Regulations and Conditions of Use are referenced as Exhibit 3. The City Attorney's Office recommends amending the indemnity language in the Parks Facility Permit and Community Center Rules, Regulations and Conditions of Use as follows:
"To the full extent permitted by law, Permittee agrees to indemnify, defend and hold harmless the City, its officers, employees and agents ("indemnified Parties" against, and will hold and save them and each of them harmless from, any and all actions, e...
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