Ordinance No. 15,801 ORDINANCE NO. 15,801
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS
APPROVING A LIABILITY/PROPERTY INTERLOCAL AGREEMENT BETWEEN
THE CITY OF BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT AND THE
TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL FOR THE
PURPOSE OF JOINING THE TEXAS MUNICIPAL LEAGUE JOINT SELF-
INSURANCE FUND; AUTHORIZING PAYMENT BY THE CITY OF BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT IN AN AMOUNT NOT TO EXCEED FIVE
HUNDRED TWELVE THOUSAND FIVE HUNDRED TWENTY-EIGHT AND NO. 100
DOLLARS ($512,528.00) FOR PREMIUMS, REIMBURSABLE LOSSES,
ADMINISTRATIVE FEES AND DEDUCTIBLES; MAKING OTHER PROVISIONS
RELATED THERETO; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
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BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section 1: That the City Council of the City of Baytown, Texas hereby approves a
Liability/Property Interlocal Agreement between the Baytown Municipal Development District and the
Texas Municipal League Intergovernmental Risk Pool for the purpose of Baytown Municipal Development
District joining the Texas Municipal League Joint Self-Insurance Fund. The Interlocal Agreement and
Proposal for Coverage are attached hereto as Exhibit "A"and Exhibit `B", respectively, and incorporated
herein for all intents and purposes.
Section 2: That the City Council of the City of Baytown, Texas hereby approves payment by
the Baytown Municipal Development to the Texas Municipal League in an amount not to exceed FIVE
HUNDRED TWELVE THOUSAND FIVE HUNDRED TWENTY-EIGHT AND NO'100 DOLLARS
($512,528.00) for the premiums, reimbursable losses, administrative fees and deductibles for the Texas
Municipal League Liability Self-Insurance Plan and the Texas Municipal League Property Self-Insurance
Plan.
Section 3: That pursuant to the provisions of Texas Local Government Code Annotated
§252.048, the General Manager of the Baytown Municipal Development District is hereby granted general
authority to approve any change order involving a decrease or an increase in costs of FIFTY THOUSAND
AND NO 100 DOLLARS ($50,000.00)or less,subject to the provision that the original contract price may
not be increased by more than twenty-five percent (250 o) or decreased by more than twenty-five percent
(25°o)without the consent of the Texas Municipal League to such decrease.
Section 4: This ordinance shall take effect immediately from and after its passage by the City
Council of the City of Baytown, Texas.
INTRODUCED, READ and PASSED by the affirm to of th Ci ouncil of the City of
Baytown this the 91h day of M
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Ordinance.Appro-ing ILA with TMLIRP.MDD.Hotel.kh.docx
Exhibit A
Texas Municipal League
Intergovernmental Risk Pool
1821 Rutherford Lane,First Floor • Austin,Texas 78754
LIABILITY/PROPERTY INTERLOCAL AGREEMENT
This Contract and Interlocal Agreement is entered into by and between political subdivisions of this state(hereinafter referred to as"Pool
Members")to form a joint self-insurance pool to be named the Texas Municipal League Joint Self-Insurance Fund(hereinafter referred to
as the"Fund")for the purpose of providing coverages against risks which are inherent in operating a political subdivision.
WTTNESSETH:
The undersigned Pool Member,in accordance with the Interlocal Cooperation Act,Tex.Gov't Code§791.001,et seq.,and the interpretation
thereof by the Attorney General of the State of Texas(Opinion#MW-347,May 29,1981),and in consideration of other political subdivisions
executing like agreements,does hereby agree to become one of the Pool Members of this self-insured pool. The conditions of membership
agreed upon by and between the parties are as follows:
l. Definitions of terms used in this Interlocal Agreement.
a. Board. Refers to the Board of Trustees of the Texas Municipal League Joint Self-Insurance Fund.
b. Fund Year. 12:01 a.m.October 1 through 12:01 a.m.the following October 1.
c. Manual Rates. The basic rates applicable to each liability classification promulgated by the Insurance Service Office or the Board
of Trustees.
d. TML Municipal Liability Self-Insurance Plan. The liability coverage document that sets forth in exact detail the coverages provided
as part of the overall plan.
e. Adjustments. Refers to any offsets to manual premium that may result from the Pool Member's election of deductibles,loss ex-
perience or Fund Modifier which reflects the savings to the Pool Member by entering into this Agreement.
f. TML Municipal Property Self-Insurance Plan.The property coverage document that sets forth in exact detail the coverages provided
as part of the overall plan.
g. Premium and Contribution. Used interchangeably in some parts of this Interlocal Agreement. Any reference at any time in this
Interlocal Agreement to an insurance term not ordinarily a part of self-insurance shall be deemed for convenience only and is not
construed as being contrary to the self-insurance concept except where the context clearly indicates no other possible interpretation
such as but not limited to the reference to"reinsurance"
h. Reimbursable Deductible. The amount that was chosen by this Pool Member to be applicable to the first monies paid by the Fund
to effect judgment or settlement of any claim or suit. The Pool Member,upon notification of the action taken,shall promptly reim-
burse the Fund for all or such part of the deductible amount as has been paid by the Fund. Further,however,the Fund's obligation
to pay damages shall be subject to the Limits of Liability stated in the Declarations of Coverage or Endorsements to this Interlocal
Agreement less the stated deductible amount.
i. Fund Modifier. A percentage figure that is applied to the manual rates by the Fund to reflect the savings to the Pool Member by
entering into the Interlocal Agreement.
j. Agreement Period. The continuous period since the Pool Member first became a member of this Fund excluding,however,any
period or periods of time therein that the member did not participate as a member of the Pool.
k. Declarations of Coverage. The specific indication of the coverages,limits,deductibles,contributions and special provisions elected
by each individual Pool Member. The Declarations of Coverages may be modified by Endorsement.
2. The Board of Trustees,acting through its agents and Fund staff,is responsible for the administration of all Fund business on behalf
of the Pool Members.
Revised 10/90
3. In consideration of the execution of this Agreement by and between the Pool Member and the Fund and of the contributions of the
Pool Member,the coverage elected by the Pool Member is afforded according to the terms of the TML Liability Self-Insurance Plan
and the TML Property Self-Insurance Plan. The affirmative declaration of contributions and limits of liability in the Declarations of
Coverage and Endorsements determines the applicability of the Self-Insurance Plans.
Each Pool Member agrees to adopt and accept the coverages,provisions,terms,conditions,exclusions and limitations as further pro-
vided for in the TML Self-Insurance Plans or as specifically modified by the Pool Member's Declarations of Coverage. This Interlocal
Agreement shall be construed to incorporate the TML Liability Self-Insurance Plan and/or the TML Property Self-Insurance Plan,
Declarations of Coverage,and Endorsements and addenda whether or not physically attached hereto.
4. It is understood that by participating in this risk sharing mechanism to cover liability exposures,the Pool Member does not intend to
waive any of the immunities that its officers or its employees now possess. The Pool Member recognizes the Texas Tort Claims Act
and its limitations to certain governmental functions as well as its monetary limitations and that by executing this Agreement does not
agree to expand those limitations.
The Pool Member,upon the execution of this Agreement,shall supply the Fund with a current copy of its charter provisions or ordi
nance that sets out its requirement as to the number of days in which a third party liability claim must be made against it.
If the Pool Member does not have such an ordinance provision that establishes a set number of days or if it has an ordinance provision
which provides for less than sixty(60)days notice and for good cause shown up to six(6)months notice the Pool Member agrees to
adopt an ordinance providing for such notice reasonably describing the damage or injury claimed and the time,manner and place of
the incident from which it arose. The notice requirement shall not be changed by the Pool Member without first giving the Fund thirty
(30)days written notice. Violation of this provision may,at the Fund's discretion,void this Interlocal Agreement.
5. The term of this Agreement and the self-insurance provided to the Pool Member shall be continuous commencing 12:01 a.m.on the
date designated in this Agreement until terminated as provided below. Although the self-insurance provided for in this Agreement
shall be continuous until terminated,the limit of liability of the Fund under the coverages that the Pool Member elects shall be limited
during any Fund Year to the amount stated in the Declarations of Coverage for that Fund Year.
This Agreement may be terminated by either party giving to the other sixty(60)days prior written notice of intent to terminate except
the Pool Member may terminate this Agreement and its coverages thereunder without giving the sixty(60)days notice if the reason
is because of a change by the Fund in the Pool Member's contribution, coverage, or other change in the limits of liability,terms,
conditions,exclusions and limitations provided for in the Texas Municipal League Self-Insurance Plans provided that no temmnation
by the Member shall be effective prior to the date that written notice of termination is actually received in the offices of the Texas
Municipal League Joint Self-Insurance Fund and provided that the Pool Member agrees to and shall pay the applicable premium and
contribution for those coverages it is terminating until the date the notice of termination is actually received by the Fund.
The Fund shall provide the Pool Member with Declarations of Coverage and any Endorsements that determine the applicability of
the Texas Municipal League Self-Insurance Plans annually by December 1. Such Declarations of Coverage shall include,but not
be limited to,the coverage period which shall be the applicable Fund Year,limits,deductibles,contributions,special provisions and
limitations. Changes made during the Fund Year,whether requested by the Pool Member or required by the Fund,will be handled
by Endorsement.
It is the intention of the parties that the Pool Member's coverages under this Agreement shall remain in full force and effect from Fund
Year to Fund Year,subject to the limits of liability that the Fund can provide each Fund Year and the terms,conditions,limitations
that the Fund may require to protect its solvency and to comply with reinsurance requirements,until notice of termination is given
as herein provided. Realizing that the Pool Member needs the earliest possible information concerning the Fund coverages,limits,
and exclusions and the Pool Member's contribution that will be required for any new Fund Year,the Fund will endeavor to provide
this information as soon as possible before the beginning of each Fund Year. The parties recognize,however,that conditions in the
reinsurance industry are such that the Fund may not be able to provide this information to the Pool Member before the beginning
of a Fund Year for various reasons including the failure of the Pool Member to timely submit the appropriate exposure summary or
delays on the part of reinsurers in getting information to the Fund,and so,to protect the Pool Member from gaps in its coverage and
to protect the solvency of the Fund,the parties agree as follows:
If.for any reason other than the Pool Member's failure to provide the information requested in the exposure summary,the Fund
has not been able to provide the Pool Member with information concerning available coverages for a new Fund Year or advise the
Pool Member of the amount of its contribution for the new Fund Year by the beginning of the Fund Year,the Fund shall neverthe
less continue the Pool Member's coverages at the same limits of liability(if still available and if not, then at the highest limit of
liability available for the new Fund Year)so that the Pool Member shall at all times remain covered as herein provided and the
Pool Member's initial contributions for the new Fund Year shall be determined by a "tentative contribution"as determined by
Revised 10/90
the Board with the Pool Member's actual annual contribution to be credited by the amount paid in accordance with the tentative
contribution and adjusted during the Fund Year. In the event the Pool Member does not wish to have its coverages extended or
renewed at the end of any Fund Year, the burden shall be upon the Pool Member to give written notice to the Fund as provided
hereinabove and the Pool Member agrees to pay as hereinabove stated all contributions or pro rata contributions until the date
such written notice is received in the offices of the Fund or the date of termination of this Agreement,whichever is later.
6. Commensurate with the execution of this Agreement and annually thereafter,the Pool Member shall complete the appropriate exposure
summary and deliver it or cause it to be delivered to the Fund,or,if so instructed,to a designated contractor,no later than September l
of each year and new annual contributions shall be calculated using manual rates times exposure,less any adjustments. Intentional or
reckless misstatements on the exposure summary shall be grounds for cancellation. In the event that the Pool Member fails or refuses
to submit the appropriate exposure summary,the Fund reserves the right to terminate such Pool Member by giving thirty(30)days
written notice and to collect any and all contributions that are earned pro rata for the period preceding contract termination.
The Pool Member agrees to pay the annual contribution to the Fund in four(4)equal quarterly installments,in advance,commencing
at the beginning of this Agreement with subsequent installments due the first quarter thereafter. Pool Members who elect a deductible
in excess of$25,000 shall comply with the monthly payment schedule outlined to thernrirr advance of assuming such a large deductible.
In the event this Agreement is terminated as herein provided,the Fund shall promptly repay to the Pool Member any such unearned
annual contribution prorated as of the date of termination and the Pool Member agrees during the term of this Agreement to promptly
pay all reimbursable deductibles upon receipt of statement.
At the end of each and every Fund Year,the Fund may require the Pool Member to submit the actual data requested on the exposure
summary as reflected by the books and records of the Pool Member. The Fund reserves the right to audit the records of any Pool
Member and adjust contributions accordingly.
In the event that the Pool Member fails or refuses to make the payments, including accrued interest,as herein provided,the Fund
reserves the right to terminate such Pool Member by giving them ten(10)days written notice and to collect any and all amounts that
are earned pro rata for the period preceding contract termination. If the amounts owed,including reimbursable deductibles,have to
be collected by suit,the Pool Member agrees to pay attorneys' fees and costs incurred in such suit.
7. The Fund shall maintain adequate protection from catastrophic losses to protect its financial integrity. Aggregate protection shall also
be maintained. The Member's contributions shall be limited to that amount as calculated under this Agreement.
8. Notwithstanding the provisions of the foregoing paragraph,it is agreed the Board shall have the right to adjust the financial protection
outlined above and/or amend coverages as it finds available or deems necessary to maintain the fiscal soundness of the Fund at the
beginning of or during any Fund Year.
9. The Fund will make available loss control services to the Pool Members to assist them in following a plan of loss control that may
result in reduced losses. The Pool Member agrees that it will cooperate in institutingany and all reasonable loss control recommen
dations. In the event that the recommendations submitted seem unreasonable,the Pool Member has a right to appeal to the Board of
Trustees. The Board shall hear the objections of the Pool Member at its next regularly scheduled meeting and its decisions will be
final and binding on all parties. Any Pool Member who does not agree to follow the decision of the Board shall be withdrawn from
the Fund immediately.
10. The Pool Member agrees that it will appoint a contact of department head rank,and the Fund shall not be required to contact any other
individual except this one person. Any notice to or any agreements with the contact shall be binding upon the Pool Member. The
Pool Member reserves the right to change the contact from time to time by giving written notice to the Fund.
11. The Fund agrees to handle all liability and property claims,and provide a defense for any and all liability claims covered under this
Agreement after prompt notice has been given. The Pool Member hereby appoints the Fund staff and Contractors as its agents to act
in all matters pertaining to processing and handling of claims covered under this Agreement and shall cooperate fully in supplying
any information needed or helpful in settlement or defense of such claims. As respects liability claims,the Fund staff and Contractors
shall carry on all negotiations with the claimant and his attorney and negotiate within authority previously granted by the Fund. If a
personal appearance by the Pool Member or an employee is necessary,the expense of this appearance will not be the responsibility of
the Fund. With the advice and consent of the Fund,the Fund staff and the Contractors will retain and supervise legal counsel for the
prosecution and defense of any litigation. All decisions on individual cases shall be made by the Fund through the Fund staff and the
Contractors,which includes the decision to appeal or not to appeal. However,any Pool Member shall have the right in any case to
consult with the Fund on any decision made by the Fund staff or Contractors. The Board shall hear the objections of the Pool Member
at its next regularly scheduled meeting and its decision will be final and binding on all parties. Any suit brought or defended by the
Fund shall be brought or defended only in the name of the Pool Member and/or its officers or employees. There shall be supplied
Revised 10/90
periodically to each Pool Member a computer printout involving a statement of claims. As respects the TML Municipal Liability
Self Insurance Plan,the Fund shall have priority in enforcing its subrogation claims against the claims of Pool Member except as to
claims of the Texas Municipal League Workers'Compensation Joint Insurance Fund,which shall take preference.
12. The Pool Member acknowledges that it has received a copy of the Bylaws of the Fund and agrees to abide by the Bylaws and any
amendments thereto.
13. The Fund agrees that all Fund transactions will be annually audited by a nationally recognized certified public accounting firm.
14. if legally required,the Fund shall cause to be filed the necessary tax forms with the Internal Revenue Service.
15. As the administrators of the Fund,the Board shall primarily and consistently keep foremost in their deliberations and decisions in
operating the Fund that each of the participating Pool Members is a"self insured." At least annually,the Board shall carefully review,
study and consider the actual claims or loss experience(including reserves for future claims payments)of each of the Pool Members,
the pro rata savings to the Fund resulting from overall loss experience attributed to each fool Member,and the pro rata portion of the
cost of all catastrophic loss protection and aggregate stop loss protection allocated to each Pool Member as well as the pro rata al-
location,as determined by the Board of the other and necessary administrative expenses of the Pool,in order to reasonably determine
the actual pro rata cost,expense and loss experience of each Pool Member in order to maintain as nearly as possible an equitable and
reasonable self-insurance administration of the Fund as applied to each Pool Member.
The Fund shall maintain case reserves and supplemental reserves computed in accordance with standard actuarial principles,tak
ing into account historical and other data,designed to measure claims development and claims incurred but not yet reported,so that
funds will be available to meet these claims as they become due. The Fund shall also establish and maintain a reserve for Return of
Contributions to further ensure the fiscal integrity of the Fund in the event of a potential adverse loss development. Only current Pool
Members may receive return of contribution.
16. The Pool Member may elect to participate in the Fund only to the extent of obtaining administrative services,and,if desired and avail
able,reinsurance. In that event,the Pool Member shall not make contributions as provided in Paragraph 5 nor receive the coverages
provided for in the TML Self-Insurance Plan,nor shall the TML Joint Self-Insurance Fund be liable for the payment of claims against
the Pool Member. The Fund shall only handle and service claims for the Pool Member and pay same out of funds to be deposited
by the Pool Member in a separate account administered by the Fund for the payment of claims and judgments only against that Pool
Member as hereinafter provided.
Notwithstanding the provisions of any other section of this Interlocal Agreement,a Pool Member who elects to receive Administrative
Services Only as specified in the attached Declarations(hereinafter referred to as the"ASO Pool Member")shall be subject to the
following requirements and conditions:
A. Although the ASO Pool Member will receive coverage documents setting forth the coverages, provisions, terms, conditions,
exclusions and limitations provided for in the TML Self-Insurance Plans,these documents are not intended to and shall not cre-
ate an insured-insurer relationship between the Fund or any of its other Pool Members and the ASO Pool Member,but rather are
provided solely for the purposes of: (1)defining the scope of claims the Fund will handle on behalf of the ASO Pool Member,and
(2)defining the nature and scope of claims and conditions applicable thereto that will be covered by reinsurance,if available and
obtained by the ASO Pool Member,beyond the ASO Pool Member's self-insured retention. The Fund shall not itself be liable
for the payment of claims or judgments against the electing ASO Pool Member,nor to provide the electing ASO Pool Member
with a defense of any such claims or suits at the expense of the Fund. The Fund will only make payments on behalf of the ASO
Pool Member out of the ASO Pool Member's claims account. The ASO Pool Member shall comply with all requirements of
any reinsurer including but not linuted to furnishing timely claims reports,proposed settlements that would impact the reinsurer
as well as progress reports involving litigation. The ASO Pool Member further agrees to hold the Fund harmless from any and
all claims(including attorney fees)that may be asserted against the Fund for the non-payment of any claims due to the failure of
the ASO Pool Member to maintain adequate reserves for the payment of claims as well as claims based upon breach of a duty of
good faith and fair dealing because of the ASO Pool Member's or their agents'conduct toward the claimant.
B. In connection with claims within the scope of the coverage documents,the Fund shall provide the following services or on behalf
of the ASO Pool Member as confirmed specifically in the attached Declarations:
1. Overall contract and claims administration;
2. Loss control services to the ASO Pool Member to assist it in developing a plan of loss control to attempt to control or reduce
the frequency and severity of claims against it;
Revised 10/90
3. Claims servicing including investigation and recommendation by the Fund's contractors;periodic meetings with the ASO Pool
Member's claims official or claims committee attended by representatives of Contractors;
4. Claims administration including coordination and recommendation of defense;reserve recommendations;claims handling and
defense recommendations by the Fund claims manager and assistants,as well as review of all files to monitor the ASO Pool
Member's self-insurance exposure;participation by Fund staff member(s)in the periodic meetings to review claims with the
ASO Pool Member's claims official or claims committee.
5. Storage and retention of claims records;periodic MIS reports detailing claims and loss information and history.
The Fund shall charge the ASO Pool Member its usual and customary charges for the aforesaid services based on actual services provided.
Allocated claim expenses,including defense attorney's fees,discovery fees,expert and witness fees and court costs shag be paid by the
Fund on behalf of the ASO Pool Member out of the ASO Pool Member's claims account as part of the administrative services provided by
the Pool,but shall never be an expense or liability of the Fund but rather is solely that of ttre ASO Pool Member.
The Fund shall handle all liability and automobile physical damage claims and oversee,coordinate and make recommendations in connection
with the defense of any and all liability lawsuits covered under this Agreement after prompt notice has been given. The ASO Pool Member
hereby appoints Fund staff and Contractors as its agents to act in all matters pertaining to processing and handling of claims covered under
this Agreement and shall cooperate fully in supplying any information needed or helpful in settlement or defense of such claims. As respects
liability claims,the Fund staff and Contractors shall carry on all negotiations with the claimant or his attorney,but no settlement shall be
made without express prior approval of the ASO Pool Member. All claims will be discussed with the ASO Pool Member's claims official
or claims committee on a periodic basis. As information on each claim develops,the Fund staff and Contractors shall make recommenda
tions concerning claim reserves,settlement and whether or not a case should be tried or settled or a judgment should be appealed,but all
decisions on individual cases shall be made by the ASO Pool Member. In the event of litigation,the Fund staff and Contractors will retain
on behalf of the ASO Pool Member legal counsel approved by the ASO Pool Member to represent it and will supervise the defense of the
litigation,including any appeals.
The ASO Pool Member shall establish in its name a"claims account"at a bank designated by the Fund,out of which the Fund,through
its agents,shall pay on behalf of the ASO Pool Member qualified claims or losses and allocated claims expense including court costs, fees
and expenses of attorneys,independent investigators,experts and witnesses and all other costs,charges or expense properly chargeable to
a qualified claim or loss. Funds shall be provided at the inception of the ASO Member's self-insurance program and promptly from time
to time under the following formula based on estimates furnished by the Fund of the anticipated or actual level and volume of qualified
claims or losses and allocated expenses: The ASO Pool Member shall deposit into the account initially an amount equal to one,fourth(;)
of the estimated volume of qualified claims or losses and allocated claim expenses during the first twelve(12)months of its self insur-
ance program and each month thereafter,or sooner if necessary,shall deposit into the account an amount sufficient to restore,maintain
or increase the account balance to an amount equal to one-fourth(14)of the estimated volume of qualified claims or losses and allocated
claim expenses during the next twelve(12)months.
The Fund shall account to the ASO Pool Member monthly for all expenditures from the claims account. If at anytime the claims account
balance drops to below fifty percent (50%)of the balance currently called for under the above formula,the ASO Pool Member shall
promptly deposit additional funds to restore the full balance. During any period of time that the claims account balance is fifty percent
(50%)or less of that currently called from under the formula,only allocated claim expenses shall be paid out and the ASO Pool Member
shall directly pay qualified claims or losses out of other funds until it deposits into the claims account the amount necessary to restore the
account to its full balance. In the event payment of a qualified claim or loss would reduce the claims account balance to less than fifty
percent(50%)of that called for under the formula,the ASO Pool Member shall be promptly notified and shall either pay the qualified
claim or loss directly out of other funds or deposit into the claims account sufficient funds for its payment.
It is expressly understood that the Fund shall not be required to advance its own funds or those of the Joint Self-Insurance Fund to pay
claims or losses or allocated expenses hereunder,or continue to perform any services hereunder if the ASO Pool Member fails to provide
necessary and adequate funds as herein set forth.
It shall be the sole responsibility of the ASO Pool Member to establish and maintain adequate reserves in addition to the limited funds
in the claims account for payment of all claims, including catastrophic claims. The Fund will provide reserve recommendations and
estimates of liability exposures,but both parties realize that judges and juries have wide discretion in assessing damage awards and the
award in any particular case may be greatly in excess of or greatly less than a recommended reserve.
Revised 10/90
Either party to this agreement may at any time terminate it upon sixty(60)days written notice for any reason as to either all pending and
future claims,or alternatively,only as to future claims. In the event cancellation is with respect to both pending and future claims,the
Fund will no longer be obligated to perform the services outlined in this Agreement and shall promptly and in an orderly manner forward
to the ASO Pool Member or its designee all pending claim files. In the event termination is only as to future claims, this Agreement
shall continue in full force and effect with respect to all pending claims and claims occurring but not reported prior to cancellation until
concluded. In either event,the ASO Pool Member shall be entitled,if it so requests and at its own expense,to have the closed claim filed
retrieved from storage and delivered to it. In the event the ASO Pool Member does not request closed files in the notice of cancellation,
however,they will be retained or destroyed at the Fund's option and the ASO Pool Member shall have no recourse against the Fund for
failure to retain them.
TO BE COMPLETED BY MEMBER:
EMPLOYER MEMBERS'FUND CONTACT(See Section IQ):
Member Name
Name of Contact Title
Mailing Address _
Street Address(if different from above)
City Zip Phone
SIGNATURE OF AUTHORIZED MEMBER OFFICIAL
Title Date
Member's Federal Tax I.D. Number
This Information is MANDATORY
TO BE COMPLETED BY FUND: (OFFICE USE ONLY)
Effective Date of This Agreement
Member Name
Contract Number
SIGNATURE OF AUTHORIZED FUND OFFICIAL
Title Date
Revised 10I40
Exhibit B
TOIML
Workers'Compensation I Property Liability
March 20,2024
Phillip Davis
Risk Administrator
Baytown Municipal Development District
100 Convention Ctr Wy
Baytown,Texas 77520
RE: Proposal for Coverage
Dear Mr. Davis:
The Texas Municipal League Intergovernmental Risk Pool (the Pool)is pleased to provide
this proposal for coverages as requested. Please review each section carefully.
There are a few points to which I would like to draw your attention:
The Pool recognizes that the most effective way to stabilize or lower rates is to prevent
losses from occurring or, if they do occur, to minimize their impact through effective
claims handling. Loss prevention services including site visits by loss prevention
representatives,attendance at loss prevention seminars, access to the Pool's
extensive loss prevention video library and online training are available to all of the
Pool's members at no additional cost. A training schedule for the current quarter is
included in the "Member Services"section of the proposal.
If full payment is made within 30 days of receipt of the first bill, the contribution will
be reduced 2%. If quarterly payments are preferred,there is no interest charge or
payment fee.
A Proposal Acceptance Form and Interlocal Agreement are included for the coverages being
offered in this proposal. In order to bind coverage,please:
1. Complete and sign the Proposal Acceptance Form.
2. Sign the Interlocal Agreement and designate a Fund Contact.Please note that
the Interlocal Agreement requires the Member to appoint a contact of department
head rank or higher.The Interlocal Agreement must be signed by someone
authorized by the goveming body to sign contracts.
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane, First Floor,Austin,Texas 78754
LP111 (512)491-2300 1(800)537-6655
02/07/2014 Page 1 of 2
3. Return original documents to:
Texas Municipal League Intergovernmental Risk Pool
Underwriting Department
PO Box 149194
Austin,Texas 78714-9194
If you have any questions concerning this proposal, please call Jeff Trinker,your Member
Services Manager, at 832-474-6579.You may also reach me at 512-491-2370.
Sincerely,
Corby Bittner
Underwriter
CC: Jeff Trinker, Member Services Manager
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane, First Floor,Austin,Texas 78754
LP111 (512)491-2300 i(800)537-6655
02/07/2014 Page 2 of 2
Bid /Proposal Summary
Date: March 19,2024
Proposed Proposed
Entity Name: Baytown Municipal Development District Effective Date Anniversary Date
Entity ID: 3384 May 18,2024 May 18,2025
Annual
Type of Coverage Limit Deductible Contribution
General Liability $ 1,000,000 Each occurrence $ 0 $ 1,984
$ 2,000,000 Aggregate
Errors&Omissions Liability= $ 1,000,000 Each wrongful act $ 1,000 $ 3,881
(Public Officials) $ 2,000,000 Aggregate
Real&Personal Property, $ 71,338,643 ❑Actual Cash Value $ 50,000 $ 1,255,218
® Replacement Cost
Wind and Hail Occurrence $ Included
Deductible Reinstatement
Flood $ 2,500,00 ❑Actual Cash Value $ 50,000 $ 44,830
® Replacement Cost
Earthquake $ 10,000,000 ❑Actual Cash Value $ $ Included
® Replacement Cost
Boiler& Machinery $ 1,000,000 Per accident $ 50,000 $ Included
TOTAL ANNUAL: $ 1,305,913
2% Annual Payment Discount": $ (26,118)
Total Annual Contribution: $ 1,279,795
Quarterly Payment: $ 326,728
SEE PROPOSAL FOR OPTIONAL COVERAGES, LIMITS, DEDUCTIBLES,etc.
Sudden events involving pollution provided at the occurrence limit shown or$2,000,000,whichever is less.
Z E&O retroactive date may be available for 5 years prior to the effective date of coverage.
Real&Personal Property deductible is on a per occurrence basis except for Wind and Hail. The deductible for Wind and Hail is 5%of the
value of each building damaged at the time of loss subject to the minimum occurrence deductible selected. Real and Personal Property cannot
be accepted on a monoline basis.
a Flood&Earthquake coverage is provided as an option under Real&Personal Property Coverage and may not be purchased separately. Flood
& Earthquake limit is the aggregate limit for all losses occurring during the fund year. Limitations apply to properties in Flood Zones A and
V located in the first tier of counties and in Harris,Orange and Jackson counties.The deductible for Flood and Earthquake is the lesser of 1%
of the value of each building damaged or 1%of the total building value for all buildings scheduled at the time of loss,subject to the minimum
occurrence deductible selected.
' Boiler& Machinery Coverage is included at no additional charge(except for electric generating facilities) under Real& Personal Property
Coverage and may not be purchased separately.
Annual Payment Discount applies if full annual contribution is paid within 30 days of the effective date,or receipt of your first bill,whichever
is later. (The Annual Payment Discount does not apply to public officials'bonds or windstorm coverage for Tier I members.)
"Effective October 1, 2019, Automobile Physical Damage and/or Automobile Catastrophe coverages may only be placed with TMLtRP in
conjunction with either Workers'Compensation or Automobile Liability coverage. Real& Personal Property may only be placed if Workers'
Compensation or General Liability, Errors& Omissions and Law Enforcement Liability(as applicable)are also in force.
Texas Municipal League Intergovernmental Risk Pool
Page I of 1
X 104
07n6n3
TL Liability Proposal Acceptance Form
Directions:This form and the interlocal Agreement must be completed,signed and returned. If time is of the essence,you may wish to use an express mail service or
a facsimile copier. In the event you submit these documents by facsimile, the originals must still be sent by regular mail. (Note: Rural Fire Prevention Districts and
Emergency Service Districts must provide other documents before coverage is effective.) Please indicate with (X)the coverages and method of payments that
you are accepting.
RETURN TO:
Texas Municipal League Intergovernmental Risk Pool
Underwriting Department
PO Box 149194
Austin,Texas 78714-9194
Phone:(512)491-2300 or(800)537-6655
FAX:(512)491-2404
COVERAGE LIMITS DEDUCTIBLE CONTRIBUTION EFFECTIVE ANNIVERSARY
Ga6i:5l�owfit .................-...-........................... $ .... $ $ DATE DATE
Errors&Omission Liability $
''5yr Prior.A,cts Coverage(E&O) Same as E&O Same as E&O Included
Method of Payment:[] Quarterly [] Annually(2%DISCOUNT)
I,the undersigned,as an authorized representative of:
Baytown-Municipal Development District
(Name of Political Subdivision)
do hereby accept on behalf of the above named political subdivision the portions of the proposal as indicated above.
Signature of Authorized Official:
Title:
Date:
The Signed lnterlocal OFFICE USE ONLY
Agreement Must Accompany Contribution: $ Member ID : 3384
This Form Verification:
() New () Re-awarding Adding Coverage
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane,First Floor,Austin,Texas 78754
L238 (512)491-23001(800)537-6655
04/20/2012
Page 1 of 1
TMLPROPOSAL ACCEPTANCE FORM
axe
Member Name: Baytown Municipal Development District
Member ID: 3384
Directions:This form and the Interlocal Agreement must be completed,signed and returned. If time is of the essence,
you may wish to use an express mail service or a facsimile copier. In the event you submit these documents
by facsimile,the originals must still be sent by regular mail. (Exception: Rural Fire Prevention Districts and
Emergency Service Districts must provide other documents before coverage is effective.)Please indicate with
[X j the coverages and method of payment that you are accepting.
RETURN TO:
Texas Municipal League Intergovernmental Risk Pool
Underwriting Department
PO Box 149194
Austin, Texas 78714-9194
Phone:(512)491-2300 or(800)537-6655
FAX:(512)491-2404
COVERAGE DEDUCTIBLE CONTRIBUTION EFFECTIVE DATE EXPIRATION
DATE
[J Real &Personal Property
Limit $ $
(]Actual Cash Value OR
[)Replacement Value
[J Special Form OR
[]Named Perils
[)Flood &Earthquake $ $
[]Included OR
(J Excluded
[J Boiler& Machinery
Accident Limit $ $
I, the undersigned, as an authorized representative of:
Baytown-Municipal Development District
(Name of Political Subdivision)
do hereby accept on behalf of the above named political subdivision the portions of the proposal as indicated above.
Signature of Authorized Official:
Title: y
Date:
The Signed lnterlocal OFFICE USE ONLY
Agreement Must Accompany Contribution: $ Member ID : 3384
This Form Verification:
( ) New ( ) Re-awarding —()—Adding Coverage
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane, First Floor,Austin,Texas 78754
P307 (512)491-2300 1(800)537-6655
04/01/2022
Page 1 of 1
Liability Schedule
Member Name: Baytown Municipa Development District
Member ID: 3384
Contract Type: Liability
Coverage Period: 05/18/2024 to 05/18/2025
Population:
General Liability Line
Class Code Classification Description _ _ Reported Exposure
SP9999 8 __.. �».......___...»..._.._.. Non-Profit Organizations-Municipality(2,501&Over Pop.) .� _ �._.» ._... 2.594.527�
Errors and Omissions Liability Line
Class Code Classification Description _ Reported Exposure
(�342Q ......... .. .__.._.._.. ..................... E&O Liability-City•2,500 and»Greater Population _.W_»_. . .�.w »w 1.884
Notes Applicable to Fireworks and Special Events:
Sponsored Only-The actual operation or display is performed by independent contractors.
Primary Coverage:The actual operation or display is performed by your own employees or volunteers.
I
Texas Municipa League Intergovernmental Risk Pool
1821 Rutherford Lane,First Floor,Austin,Texas 78754
L105 (512)491-2300 1 (800)537-6655
01/02/2007
Page 1 of 1
TMLReal and Personal Property Schedule
Member Name: Baytown Municipal Development District
Member ID: 3384
Coverage Period: 05/18/2024 to 05/18/2025 Shown As of 03/20/2024
Your Real&Personal Property Coverage and associated contribution and limit are based on the values shown
on the following schedule. Where a"0"or no value is shown, no coverage is provided.The values shown are the
estimated Replacement Cost or Actual Cash Value(RC or ACV)unless otherwise noted and endorsed. Any changes
or corrections may require adjustment to the contribution. Improvements and betterments to locations you lease
from others are included with the contents value. Your elected Coverage Extension limits are shown on a separate
schedule.
----JID Hist. ID Address or Site Year Occupancy Bldg Value Contents Value
Secondary ID Built Department Valuation Basis Valuation Basis
[Coverage:
100 Convention Ctr Wy 2023 Hyatt Regency $60,338,643 $11,498,719
City Replacement cost Replacement cost
Real &Personal Property ITotal Items: 1 1 $60,338,643f $11,498,719
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane, First Floor,Austin,Texas 78754
P200 (512)491-23001(800)537-6655
04/26/2010 Page 1 of 1
Coverage Extensions Schedule
TVL
Member Name: Baytown Municipal Development District
Member ID: 3384
Coverage Period: 05/18/2024 to 05/18/2025 Shown As of 03/20/2024
Elected Coverage Extension limits are shown below. Any changes or corrections may require adjustment to the
contribution. Note: Limits for Newly Acquired Property and Pollutant Cleanup and Removal may not be increased
above the limits indicated below.
Coverage Extension Limit
Accounts Receivable $500,000
Leasehold Interest $5,000
Loss of Revenue/Extra Expense and Rental Value $3,000,000
Newly Acquired Property $1,000,000 or the Real&Personal
Property Limit,whichever is less
Outdoor Trees&Shrubs ($250 per item) $10,000
Personal Property of Employees&Officials $5,000
Pollutant Cleanup and Removal $20,000 each premises
Property in Transit $1,000,000
Valuable Papers and Records, and EDP Media $10.000
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane,First Floor,Austin,Texas 78754
P215 (512)491-2300 1(800)537-6655
07/16/2018 Page 1 of 1
PER OCCURRENCE WIND AND HAIL DEDUCTIBLE
This endorsement forms a part of the Declarations to which attached,
effective on the inception date of the coverage unless otherwise stated
herein, and modifies such coverage as is afforded by the provisions of the
coverage shown below:
REAL AND PERSONAL PROPERTY COVERAGE
Member Name Baytown Municipal Development District
Member ID 3384
Effective Date 05/1812024
Paragraph II.C. of the General Conditions is removed in its entirety.
Texas Municipal League Intergovernmental Risk Pool
1821 Rutherford Lane,First Floor,Austin,Texas 78754
EP375 (512)491-2300 1(800)537-6655
05/01/2018 Page 1 of 1