#1 Approve contiuation of Worker Compensation Limited Self-Insurance Program (File Res. #2009-586)
HUMAN RESOURCES DIVISION MEMORANDUM
13 April 2009
TO: City Council
FROM: Leslie A. Bentz, Benefits & Risk Manager
SUBJECT: Action on a Proposed Resolution Approving Continuation of Worker
Compensation Limited Self-Insurance Program (File Res. No.
2009-586)
INTRODUCTION
Every three years, political subdivisions that are self-insured for worker’s
compensation liabilities are required under Wisconsin Administrative Code DWD
80.60(3) to submit to the Department of Workforce Development (DWD) a
resolution passed by the governing body that authorizes continued participation
in the self-insurance program.
The City has been self-funded for Worker’s Compensation insurance since 1988.
Self-funding for Worker’s Compensation insurance is a lower cost option for the
City versus purchasing a fully insured policy. Premium rates for fully insured
products can run very high, and given the number of claims the City has, it
makes more sense financially to be self insured. Currently, City and Villages
Mutual Insurance Company (CVMIC) administers our worker compensation
program.
RECOMMENDATION
Staff recommends the City Council adopt File Resolution No. 2009-586 at the
regularly scheduled meeting on Monday, April 27, 2009.
Thank you.
Cc: Eric Levitt, City Manager
Jacob J. Winzenz, Director of Administrative Services
Susan A. Musick, Human Resources Director
1
RESOLUTION NO. 2009-586
A Resolution acknowledging the Common Council’s approval for the Reauthorization of Self-Insurance for Worker’s Compensation.
RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF JANESVILLE, WI
WHEREAS, the City of Janesville is a qualified political subdivision of the State of Wisconsin and an employer; and
WHEREAS, the Wisconsin Worker’s Compensation Act (Act) provides that employers covered by the Act either insure their
liability with worker’s compensation insurance carriers authorized to do business in Wisconsin, or be exempted (self-insured) from
insuring liabilities with a carrier and thereby assuming the responsibility for its own worker’s compensation risk and payment; and
WHEREAS, the State and its political subdivisions may self-insure worker’s compensation without a special order from the
Department of Workforce Development (Department) if they agree to report faithfully all compensable injuries and agree to comply
with the Act and rules of the Department; and
WHEREAS, the Common Council of the City of Janesville at their April 27, 2009 meeting approved the continuation of the
self-insured worker’s compensation program, in compliance with Wisconsin Administrative Code DWD 80.60(3); and
WHEREAS, the Common Council hereby find that this Reauthorization is in the best interest of and benefit to the City, its
residents, and taxpayers.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Janesville as follows:
1. Each of the above recitals is reiterated and incorporated herein as if fully set forth verbatim.
2. The City Administration shall provide for the continuation of the self-insured worker’s compensation program that is
currently in effect.
3. The City’s Benefits and Risk Manager, and authorized others, is authorized to forward City Clerk-Treasurer certified
photocopies of this Resolution to the Worker’s Compensation Division, Wisconsin Department of Workforce Development.
ADOPTED:
Motion by:
Second by:
APPROVED:
Councilmember Aye Nay Pass Absent
Brunner
Perrotto
Eric J. Levitt, City Manager
McDonald
Rashkin
ATTEST:
Steeber
Truman
Voskuil
Jean Ann Wulf, City Clerk-Treasurer
APPROVED AS TO FORM:
City Attorney
Proposed by: Benefits and Risk Manager
Prepared by: Benefits and Rick Manager and
City Attorney