#04 Approve continuation of Worker Compensation Limited Self-Insurance Program (File Res. #2012-883)
HUMAN RESOURCES DIVISION MEMORANDUM
February 27, 2012
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.2012-883)
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) (of which the City is a founding member)
administers our worker compensation program.
RECOMMENDATION
Staff recommends the City Council adopt File Resolution No. 2012-883 at the
regularly scheduled meeting on Monday, February 27, 2012
City Manager Recommendation
City Manager Recommends approval.
Thank you.
Cc: Eric Levitt, City Manager
Jacob J. Winzenz, Director of Administrative Services
Susan A. Musick, Human Resources Director
1
RESOLUTION NO. 2012-883
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
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 February 27, 2012 meeting approved
the continuation of the self-insured worker’s compensation program, in compliance with Wisconsin
Administrative Code DWD 80.60(3);
NOW, THEREFORE, BE IT RESOLVED that the Common Council of the City of Janesville do ordain
as follows:
1.Provide for the continuation of a self-insured worker’s compensation program that is currently in effect.
2.Authorize the Benefits and Risk Manager to forward certified copies 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
Dongarra-Adams
Liebert
McDonald
Eric J. Levitt, City Manager
Rashkin
Steeber
ATTEST:
Voskuil
Jean Ann Wulf, City Clerk-Treasurer
APPROVED AS TO FORM:
Wald Klimczyk, City Attorney
Proposed by: Human Resources
Prepared by: Human Resources