Minutes - Council - 12/09/1997 - Laserfiche WebLink

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it provides Northland Security with a larger portion of the banking activities than they currently have. It would also afford the opportunity to provide adequate notice when collateral would need to be adjusted to accommodate larger deposits. Ms. Hart recommended the bid be awarded for a minimum three years. Mayor Gamec wondered how many developments the Landmark Bank has financed in the City of Ramsey. He noted that Northland Bank has been doing a lot of financing in the City and he felt that the way they work in the community is also important. Mayor Gamec and Councilmember Haas Steffen did not feel the City should enter into a three- year contract. City Attorney Goodrich explained that this is not a contract binding us to a three-year term, this is basically a three-year proposal. Motion by Councilmember Haas Steffen and seconded by Councilmember Beahen to adopt Resolution #97-12-338P awarding banking services to Landmark Community Bank. Motion carried. Voting Yes: Mayor Gamec, Councilmembers Haas Steffen, Beahen, Beyer and Zimmerman. Voting No: None. Case #7: Decide Whether or Not to Waive Statutory Liability Limits for Insurance Application Acting City Administrator Waite Smith reported that staff is currently completing the annual application for general liability and property insurance through the League of Minnesota Cities Insurance Trust (LMCIT). This year, LMCIT is requiring that city councils take action to waive or decline to waive statutory tort liability limits. Effective January 1, 1998, the statutory tort liability limit will be $750,000 per occurrence (it is now $600,000 per occurrence). Tort liability per claimant will be $300,000 (it is now $200,000). Ms. Waite Smith explained that, in the past, LMCIT policies automatically waived the per claimant liability limit. A claimant could, potentially, receive an amount up to the total limit per occurrence. Under the new policy, claimants who have actual damages that exceed the per claimant limit of $300,000, will not be compensated for damages beyond that $300,000 limit. If, however, the City Council chooses to waive the statutory limits per claimant, actual damages up to the $750,000 per occurrence could be paid. She noted that the potential amount paid for claims increase if the Council chooses to waive the statutory limits. Therefore, the premiums are somewhat higher if limits are waived. City Attorney Goodrich advised Council to stay with the $300,000 limit. Motion by Councilmember Haas Steffen and seconded by Councilmember Beahen to not waive the statutory liability limits for insurance application (compensation up to $300,000). Motion carried. Voting Yes: Mayor Gamec, Coun¢ilmembers Haas Steffen, Beahen, Beyer and Zimmerman. Voting No: None. City Council/December 9, 1997 Page 10 of 18