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CITY OF COLTON <br />AGENDA REPORT <br />FOR CITY COUNCIL MEETING OF September 18, 2001 <br />TO: Honorable Mayor and City Council Members <br />FROM: Dilu de Alwis, Finance Director <br />Item #9 <br />SUBJECT: Award Contract for Self -Insured General Liability Claims Administration to Carl <br />Warren & Company <br />DATE: September 10, 2001 <br />BACKGROUND: <br />The City currently has an agreement with Ward of North America for administration of general liability claims and <br />related services. The existing agreement is a three-year agreement that expires September 30, 2001. The current annual <br />cost for general liability claims administration services is $32,400. <br />DISCUSSION/ANALYSIS: <br />Requests for proposals were sent out to ten (10) firms with a deadline to respond by August 16, 2001. A total of four (4) <br />proposals were submitted. The Finance Director and the Risk Manager interviewed all four firms. The decision for <br />selection was based on the following criteria: proposal and firm presentation experience in adjusting, early claims <br />resolution, customer response philosophy, and outside references. The firm of Carl Warren & Company was rated the <br />highest in all categories. The following proposals were received: <br />Firm Name <br />Annual Flat Fee <br />Tristar Risk Management <br />$51,000 <br />Colen & Lee <br />$37,200 <br />Ward of North America <br />$32,400 <br />Carl Warren & Company <br />$28,800 <br />FINANCIAL IMPACT: <br />The amount is budgeted in Self -Insurance Account No. 605-8600-8601-2350. This contract will lock in the service fee <br />for three -years, thereby saving the City $10,800, plus any additional service fee increases. <br />ENVIRONMENTAL IMPACT: <br />None <br />RECOMMENDATION: <br />Request City Council authorization for staff to enter into a three-year agreement with Carl Warren for Self -Insured <br />General Liability Claims Administration services. <br />REVIEW TEA O Y <br />City Attorney: Finance Director: <br />City Manager: OTHER: _ <br />Reported by: Joanne Knowles, Risk Manager/Agenda, General Liability TPA Contract Award <br />