REPORT TO COUNCIL
SUBJECT
Title
Award of a Three-Year Contract in the Amount of $345,000 to Carl Warren & Company, LLC for Third-Party Claims Administrator Services (F25-239)
Report
REPORT IN BRIEF
Approval is requested to award a three-year contract in an amount not to exceed $345,000.00 to Carl Warren & Company, LLC of Anaheim to provide third-party claims administrator services. Approval is also requested to authorize the City Manager to increase the not-to-exceed amounts and extend the contract for up to two additional one-year periods, with both actions subject to budget availability, demonstrated need, acceptable pricing, and satisfactory service.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, contracts for this type of service are awarded pursuant to a Request for Proposals (RFP) best value process, unless otherwise exempt from the competitive bidding process. Additionally, City Council approval is required for the procurement of goods and/or services exceeding $250,000 in any one transaction.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a "project" within the meaning of the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
BACKGROUND AND DISCUSSION
The Liability Program manages administration of claims filed against the City, ensuring compliance with state tort claim laws. The City is self-insured for liability exposures with a current self-insured retention of $1,000,000. The City is a member of an excess liability risk pool, which provides coverage to the City for claims in excess in $1,000,000. The City receives an average of 100 to 120 total claims per year. To effectively manage these claims, the City partners with a third-party administrator (TPA). The TPA supports the City's Risk Manager and other City staff b...
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