Loading...
HomeMy WebLinkAboutOrdinance 22767-06-2017ORDINANCE NO. 22767-06-2017 AN ORDINANCE AMENDING CHAPTER 2, `�ADMINISTRATION," ARTICLE IX, OF THE CODE OF THE CITY OF FORT WORTH, TEXAS (2015), AS AMENDED, BY UPDATING AND ADDING DEFINITIONS; ADDING A MAXIMUM AMOUNT PAYABLE FOR CITY MOTOR VEHICLE COVERAGE; LIMITING SUCH COVERAGE TO STATE MINIMUMS UNDER THE TEXAS TRANSPORTATION CODE FOR USE WHILE NOT IN THE SCOPE OF EMPLOYMENT; PROVIDING A SEVERABILITY CLAUSE; PROVIDING FOR A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Fort Worth ("the City") has a personal liability indemnity plan whereby the City will pay actual damages and other specified costs arising from certain types of claims and lawsuits against City employees, volunteers, and elected or appointed officers ("plan members"); and _ _ . - WHEREAS, the City Manager has previously determined that certain employees should have rapid access to City vehicles for use when the plan member is required to return to the worksite outside of the plan member's normal work hours in order to provide public safety; and WHEREAS, the City Manager has accomplished this goal of public safety by allowing certain employees to drive City vehicles to and from the plan member's home and worksite, while not in the scope of employment, as part of the employee's commute; and WHEREAS, the City Manager has found it appropriate to limit the distance driven by employees when commuting by allowing use of certain approved off-site parking facilities as part of the commute to and from home, while still making returns to the worksite outside of the employee's normal work hours more expeditious; and WHEREAS, the current personal liability indemnity plan does not clearly provide for coverage while an employee is operating a City vehicle as part of the employee's commute; WHEREAS, it is advisable to amend the plan to provide for city vehicle coverage up to the state minimum requirements under Chapter 601 of the Texas Transportation Code, Limitations of Liability for employees who are using City outside the scope of employment as part of the commute; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: Ordinance No. 22767-06-2017 Page 1 of 6 SECTION 1. That § 2-290, "Definitions," of the Code of the City of Fort Worth, Texas (2015), as amended, is hereby amended to revise the definition of city vehicle and add additional definitions. Section 2-290 shall read in pertinent part as follows: � AUTHORIZED OFF-DUTYOPERATION. Operation of a city vehicle by a plan member in accordance with department policy while not in the scope of employment for the purpose of: a. Commuting to and from work and home; or b. Commuting to and from the work place and an off-site parking facility. CITY VEHICLE. A motor vehicle leased or owned by the City of Fort Worth COMMUTING. Direct travel in a city vehicle to or from the worksite(s) of a plan member, including to or from an off-site parking facility including returns to the worksite(s) outside of the plan member's normal work hours. Commuting is not in the scope of employment. OFF-SITE PARKING FACILITY. City facilities and other locations along the plan member's reasonable commute route to and from the worksite(s) that are determined to be adequately secure by the authorizing department and are approved for the purpose of parking a city vehicle during non-work hours. Selection of an off-site parking facility is made based in part on the convenience of the facility to an individual plan member. Travel between an off-site parking facility and a plan member's worksite(s) is not in the scope of employment. PLAN. The Personal Liability and Indemnity Plan defined and governed by this article. � REMOTE PARKING FACILITY. A City facility or other approved location at which a plan member is directed to park a City vehicle due to limitations at the primary site or for the operational convenience of the City. Selection of a remote parking facility is made without regard to the convenience of the facility to an individual plan member. Travel between a remote parking facility and a plan member's worksite(s) is in the scope of employment_ Ordinance No. 22767-06-2017 Page 2 of 6 All portions of §2-290, "Definitions," not specifically amended shall remain in effect. SECTION 2. That § 2-291, "Coverage," of the Code of the City of Fort Worth, Texas (2015), as amended, is hereby revised to amend and renumber subsection (a) and to add a new subsection (a)(1)(B) to read as follow: (a) The city shall pay the actual damages, in accordance with and as limited by the terms of the plan that a plan member is legally obligated to pay_arising from any claim, lawsuit or judgment against a plan member, whether or not the city is a party defendant, if said damages: (1) A. Result from an act or omission of the plan member while in the scope of employment with the city or during assigned volunteer work with the city; or B, Relate to authorized off-duty operation of a city vehicle for which coverage is provided under section 2-299; and For the purpose of this section, travel between a worksite and an assigned remote parking facility is in the scope of employment_ All portions of § 2-291, "Coverage," not speciiically amended shall remain in effect. SECTION 3. That § 2-292, "Cooperation of Plan Member Required," of the Code of the City of Fort Worth, Texas (2015), as amended, is hereby amended in pertinent part as follows: (a) To be entitled to coverage, a plan member must: (1) Notify risk management within five days after receipt of any written notice of claim; (2) No later than five (5) days after receipt of a lawsuit, notify the city attorney and request in writing legal representation by the city attorney; � (4) Assist and cooperate in the defense of the lawsuit, including attending hearings, depositions, and trials;—securing and giving evidence; and cooperating in enforcing any right of contribution or indemnity; All portions of § 2-292, "Cooperation of Plan Member Required," not specifically amended shall remain in effect. Ordinance No. 22767-06-2017 Page 3 of 6 SECTION 4. That § 2:293, "Limits of Coverage," of the Code of the City of Fort Worth, Texas (2015), as amended, is hereby amended to revise subsection (a) and remove subsection (b) to read as follows: Except as provided by §2-299 related to City Vehicle Coverage, the city will pay the actual damages that a plan member is legally obligated to pay for any claim, lawsuit or judgment covered by this article, provided that payments under this article by the city will not exceed $100,000 per occurrence. SECTION 5. That § 2-294, "Exclusions," of the Code of the City of Fort Worth, Texas (2015), as amended, is hereby amended to remove subsection (a)(7), renumber the remaining portions of subsection (a) accordingly, and renumber and amend subsection (a)(12), and revise subsection (b) to read as follows: (11) Any plan member who is already covered by an insurance contract or other plan of self-insurance authorized by statute for acts or omissions occurring while in the scope of employment, up to the limits of said insurance contract or plan. (b) Nothing in this section shall prohibit the city, in its discretion, on a case by case basis, from providing legal representation and paying damages, court costs and attorney's fees that a plan member is legally obligated to pay in any claim or lawsuit, to the extent and in the amount provided for by the plan, unless otherwise prohibited by state law. All portions of § 2-294, "Exclusions," not specifically amended shall remain in effect. SECTION 6. That § 2-297, "No Defenses Waived," of the Code of the City of Fort Worth, Texas (2015) as amended, is hereby amended to read in pertinent part as follows: Nothing in this article shall be construed as waiving any defense, immunity or jurisdictional bar available to the city or plan member. Ordinance No. 22767-06-2017 Page 4 of 6 SECTION 7. That Chapter 2, "Administration," Article IX "Personal Liability Indemnity Plan," of the Code of the City of Fort Worth, Texas (2015), as amended, is hereby amended to add § 2-299 extending coverage to plan members in the authorized off-duty operation of a city vehicle. Section 2-299 shall read as follows: § 2-299 CITY MOTOR VEHICLE COVERAGE. The city will pay the actual damages for any claim, lawsuit or judgment that a plan member is legally obligated to pay arising out of any act or omission committed in connection with the authorized off-duty operation of a city vehicle, provided that payments under this provision will not exceed the minimum coverage limits required by Chapter 601 of the Texas Transportation Code, as hereafter amended. SECTION 8. This ordinance shall be cumulative of all provisions of ordinances of the Code of the City of Fort Worth, Texas (2015), as amended, except where the provisions of this ordinance are in direct conflict with the provision of such ordinances and such Code, in which event conflicting provisions of such ordinances and such Code are hereby repealed. SECTION 9. It is hereby declared to be the intention of the City Council that the phrases, clauses, sentences, paragraphs and sections of this ordinance are severable, and, if any phrase, clause, sentence, paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such nonconstitutional phrase, clause, sentence, paragraph or section. SECTION 10. All rights and remedies of the City of Fort Worth, are expressly saved as to any and all violations of the provisions of the Code of the City of Fort Worth, or any other ordinances of the City, that had accrued at the time of the effective date of this ordinance; and, as to such accrued violations and all pending litigation, both civil and criminal, whether pending in court or not, under such ordinances, same shall not be affected by this ordinance, but may be prosecuted until final disposition by the courts. Ordinance No. 22767-06-2017 Page 5 of 6 SECTION 11. All other provisions of Chapter 2 of the Code of the City of Fort Worth, Texas (2015), as amended, shall remain in full force and effect, save and except as amended by this ordinance. SECTION 12. This ordinance shall take effect upon adoption. APPRO D S T FORM AND LEGALITY: � ,� Gerald Pruitt, Deputy City Attorney ADOPTED and EFFECTIVE: June 20, 2017 Ordinance No. 22767-06-2017 Page 6 of 6 City of Fort Worth, Texas Mayor and Council Communication � COUNCIL ACTION: Appro�ed on 6/20/2017 - Ordinance No. 22767-06-2017 ' DATE: Tuesday, June 20, 2017 REFERENCE NO.: **G-19029 LOG NAME: 12PERSONAL LIABILITY SUBJECT: Adopt Ordinance Amending Chapter 2, "Administration," Article IX, "Personal Liability Indemnity Plan," of the Code of the City of Fort Worth, Texas (2015), as Amended, to Add and Update Definitions, Establish Separate Motor Vehicle Coverage Consistent with State Law and Make Other Conforming Changes (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council adopt the attached ordinance amending Chapter 2, "Administration," Article IX, "Personal Liability Indemnity Plan," of the Code of the City of Fort Worth, Texas (2015), as amended, to revise the Personal Liability Indemnity Plan to add and update definitions, establish separate motor vehicle coverage with amounts consistent with state law, and make other conforming changes. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to adopt an ordinance updating the City's Personal Liability Indemnity Plan (PLIP) to clarify and revise coverage provided related to the use of a City vehicle while not in the scope of employment in conformance with state law. The PLIP provides coverage for negligence-related liability of employees, officers, and volunteers under certain conditions. In addition to outlining coverage criteria and procedural requirements, the PLIP sets a maximum amount of financial liability that the City will cover for an event. Currently, that amount is set at $100,000 per occurrence regardless of the nature of the liability exposure. With respect to motor vehicle liability, Texas law (i) provides statutory minimum amounts per-claimant and per-event for bodily injury or death and per-event for property damage or destruction; and (ii) requires the City to provide at least the statutorily required minimum coverage for peace officers and fire fighter's operating, maintaining or using a motor vehicle owned or leased by the City. Adoption of the recommended amendments would clearly separate motor vehicle coverage from other liability under the PLIP for use of a City vehicle while not in the scope of employment, provide motor vehicle coverage that meets the minimum amount required for motor vehicle insurance under Texas law for all employees and officers operating City vehicles while not in the scope of employment, and retain the current per-incident limit for all other types of third-party liability including use of a City vehicle while in the scope of employment. The Ordinance also adds and revises definitions consistent with these changes and makes minor conforming changes and updates elsewhere, such as revisions to eliminate references to Risk Management being within the Financial Management Services Department. This M&C does not request approval of a contract with a business entity. Logname: 12PERSONAL LIABILITY Page 1 of 2 FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the Risk Management fund to pay claims arising from the City's personal liability indemnity plan. FUND IDENTIFIERS (FIDs): TO Fund Department ccoun Project Program ctivity Budget Reference # moun ID ID Year Chartfield 2 Fundl Department ID CERTIFICATIONS: Project ID Submitted for City Manager's Office by_ Originating Department Head: Additional Information Contact: Budget Year Susan Alanis (6222) Reference # Chartfield 2; Sarah Fullenwider (76 06) Gerald Pruitt (7616) mou Logname: 12PERSONAL LIABILITY Page 2 of 2