HomeMy WebLinkAbout2-27-2003-8.10 - Resolution - 02/27/2003RESOLUTION NO. 2-27-2003 -8. 10
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLLEGE STATION,
TEXAS, SUPPORTING HOUSE BILL 211, FILED BY STATE REPRESENTATIVE
FRED BROWN, TO PERMIT MUNICIPALITIES WITH A POPULATION OF 25,000
OR MORE TO TAKE ADVANTAGE OF THE COMPETITIVE SEALED PROPOSAL
PROCEDURES FOR THE PURCHASE OF INSURANCE.
WHEREAS, there are two possible methods for purchasing insurance: (1) competitive sealed
proposals and (2) competitive sealed bidding; and
WHEREAS, pursuant to TExAS Locat, GovERNNtENT CoDE §252.021(b) &(c), municipalities
with a population of 75,000 or more are able to use both methods to purchase insurance, but
municipalities with a population less than 75,000 can purchase insurance only through
competitive sealed bids; and
WHEREAS, unlike commodities, insurance is not uniform. Coverage requirements vary and
insurance policies differ from insurer to insurer. In this context, the competitive sealed bidding
process may be cumbersome, inflexible and costly; and
WHEREAS, for the competitive sealed proposal procedures allow negotiation and flexibility,
thus permitting local governments to obtain better pricing for their citizens and to obtain
coverage and ancillary services that are custom tailored to their risk management needs; and
WHEREAS, nationally, health insurance rates continue at double-digit increases and property
casualty insurance rates have soared since September 11 t", Enron and WorldCom; and
WHEREAS, House Bill No. 211, filed by State Representative Fred Brown, would allow
municipalities with a population of 25,000 or more to reap the benefits of the competitive sealed
proposal procedures that are already available to counties, school districts, and municipalities
with a population of 75,000 or more for the purchase of insurance; now, therefore1
BE IT RESOLVED by the City Council of the City of College Station, Texas:
PART 1: That the City Council hereby strongly supports and urges the Texas Legislature to
favorably consider and adopt House Bill No. 211, filed by Texas State Representative
Fred Brown, to allow municipalities with a population of 25,000 or more to use
competitive sealed proposal procedures to purchase necessary and adequate insurance
at prices their taxpayers can afford.
PART 2: That the passage of such legislation would allow municipalities to negotiate the
terms, conditions, benefits, coverage, limits, deductibles and other ancillary services
through the competitive sealed proposal procedures.
PART 3: That this resolution shall take effect immediately from and after its passage
ADOPTED this 27th day of Februarv, A.D. 2003.
APPROVED:
BY: ~
RON SIL IA, Mayor
ATTEST:
CONNIE HOOKS, City Secretary
APPROVED:
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City Attorney