TO: AC Transit Board of Directors
FROM: Shayna van Hoften, Interim General Counsel/Chief Legal Officer
SUBJECT: 2024-2025 District Commercial Property Insurance Program Renewal
ACTION ITEM
AGENDA PLANNING REQUEST: ?
RECOMMENDED ACTION(S):
Title
Consider authorizing the General Manager to bind the District's 2024-2025 Commercial Property Insurance and Deadly Weapons Response Insurance programs.
Staff Contact:
Shayna van Hoften, Interim General Counsel/Chief Legal Officer
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
Initiative - Financial Efficiency and Revenue Maximization
Authorizing the General Manager to bind the proposed Commercial Property and Deadly Weapons Response Insurance programs will provide for the protection of the District's property, plant and equipment assets, and allow the District to maintain its risk retention and risk transfer programs at the current optimum levels for the 2024-2025 policy period.
BUDGETARY/FISCAL IMPACT:
The total budgetary impact of binding the proposed insurance coverages as recommended by staff will not exceed $2,666,735. This amount is for the July 1, 2024 through June 30, 2025 period and in included in the Fiscal Year 2024-25 Budget.
BACKGROUND/RATIONALE:
During its April 10, 2024 meeting, the Board of Directors (Board) authorized the General Manager to bind the 2024-25 Excess Commercial Liability, Excess Workers' Compensation, Cyber-Liability, Fiduciary Liability, and Commercial Crime components of the District's Transit Operations Insurance Program.
The District's 2023-2024 Commercial Property (APIP) and Deadly Weapons Response insurance (ADWRP) programs will expire at 12:01 a.m. on July 1, 2024. Staff is requesting that the Board authorize the General Manager to bind the renewal of both the Commercial Property and Deadly Weapons Response Insurance programs as recommended in this report.
The commercial property insurance market continues to be adversely impacted by a c...
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