FY2018-07 Entering Into A Three-Year Insurance Participant Membership Agreement With The Alaska Municipal League Joint Insurance Association.1
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Introduced by: Borough Manager
Drafted by: Finance Director
Introduced on: 07/20/2017
Adopted on: 07/20/2017
KODIAK ISLAND BOROUGH
RESOLUTION NO. FY2018-07
A RESOLUTION OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH ENTERING
INTO A THREE YEAR INSURANCE PARTICIPANT MEMBERSHIP AGREEMENT WITH THE
ALASKA MUNICIPAL LEAGUE JOINT INSURANCE ASSOCIATION
WHEREAS, AS 21.76 enacted by the 1986 Alaska Legislature, provides a means for local
governments and school districts to join together in a joint insurance arrangement intended to
mitigate the cyclical and erratic nature of the conventional insurance market; and
WHEREAS, Alaska Municipal League Joint Insurance Association, Inc. (AMLJIA) is a joint
insurance arrangement as authorized under AS 21.76.010 et seq., whose participating
members have agreed to pool contributions in order to assume risks for losses to the
participants on a group basis; and
WHEREAS, the Kodiak Island Borough (KIB) desires either to renew its current membership
in AMLJIA or to become a participating member of AMLJIA; and
WHEREAS, it is in the mutual interests of AMLJIA, KIB, and other participating members that
AMLJIA maintain a stable membership in order to more effectively administer the joint insurance
agreement and serve the needs of the participating members; and
WHEREAS, the Board of Trustees of AMLJIA has determined that in order to encourage
participating members to make a multi-year commitment, it is efficient and cost-effective, for
both participating members and for AMLJIA, to offer a discount on the annual contributions
required to be paid by all participating members that commit to a three-year AMLJIA
membership term; and
WHEREAS, KIB desires to commit to a three-year membership in AMLJIA, subject to the
terms and conditions stated in the AMLJIA Cooperative Participation Agreement ("CPA") and
the AMLJIA Participant Coverage Memorandum ("PCM");
NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH as follows:
Section 1: The Kodiak Island Borough Assembly approves a Cooperative Participation
Agreement (hereinafter the "Agreement'), a copy of which is attached hereto and incorporated
by reference. The Manager is hereby authorized and directed to execute said "Agreement' and
Kodiak Island Borough, Alaska
Resolution No. FY2018-07
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such other documents as may be necessary to effectuate participation of the Borough as a
member of the Joint Insurance Association.
Section 2: the Kodiak Island Borough Assembly pledges to appropriate sufficient funds for
the annual premiums and assessments to enable the "Agreement' to go into effect on July 1,
2017 and to remain in effect for a term of at least three years or until all payment obligations
have been satisfied. Amounts payable to the Association, as encumbered by the "Agreement',
shall be classified as 'operating expenses" and are subject to annual appropriation by the
Borough Assembly.
Section 3: The Kodiak Island Borough holds two options to withdraw from the program as
follows:
(1) Submitting written notice cancellation and intent to withdraw within thirty (30)
days after receiving notice of an anticipation of rate increase greater than
10% - without penalties.
(2) Submitting written notice of intent to withdraw prior to end of agreement term
— with penalties.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS TWENTIETH DAY OF JULY, 2017.
KODIAK ISLAND BOROUGH
A. Rohrer, Mayor
VOTES:
Ayes: Crow, LeDoux, Skinner, Smiley
Noes: Symmons
Absent: Townsend, VanDaele
Kodiak Island Borough, Alaska
ATTEST:
QaILA,
Nova M. Javier, MMC, derk
Resolution No. FY2018-07
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