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HomeMy WebLinkAbout05/19/2009 15 Licensed Sign Companies Liability Insurance Coverage; YMC Amendment 11.08.140 and 10.32.030 BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. /5 For Meeting of May 19, 2009 ITEM TITLE: Consideration of amendment to Sections 11.08.140 and 10.32.030.A of the Yakima Municipal Code Relating to Liability Insurance Coverage Requirements for Licensed Sign Companies SUBMITTED BY: William R. Cook, Director of Community Economic Development Department CONTACT PERSON/TELEPHONE: Joe Caruso, Acting Code Administration Manager (575 -6257) SUMMARY EXPLANATION: Currently 11.08.140 has the following liability insurance requirements for licensed sign companies, "a bond in the amount of $50,000 or a certificate of insurance with coverage limits of no less than $50,000 for personal injury or death of one person, $225,000 aggregate coverage for any single accident or occurrence and $25,000 property damage ". During the review of insurance coverage requirements outlined in 10.32 of the Yakima Municipal Code it was determined the above - referenced insurance requirements are not sufficient for business types of this nature. As such, it is the recommendation of the City's insurance carrier and City staff that the above - referenced coverage limits be increased to limits to not less than $2,000,000 combined single limit for bodily injury and property damage arising out of any one occurrence. Further, it is staff's recommendation to amend Section 10.32.030.A to be consistent with Section 11.08.140 as minimum insurance coverage requirements for sign companies making application under the provisions of this chapter (Banner signs). Resolution Ordinance X Other (Specify) Contracts Mail to (name and address): Phone: Funding Source APPROVED FOR SUBMITTAL: -_Q City Manager STAFF RECOMMENDATION: Approve amendment to Chapter 11.08 and 10.32 of the Yakima Municipal Code. BOARD /COMMISSION RECOMMENDATION: COUNCIL ACTION: 1 • ORDINANCE N0.2009- AN ORDINANCE amending Yakima Municipal Code Sections 11.08.140 and 10.32.030.A relating to liability insurance coverage for licensed sign companies BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: Section 1. Section 11.08.140 of the City of Yakima Municipal Code is hereby amended to read as follows: 11.08.140 Bond or insurance required Before any license is granted under the terms of this chapter, the applicant shall execute and deliver to the city a bond in the amount of two million dollars executed by the applicant and a surety company authorized to do business in the state of Washington as surety, conditioned that the applicant will keep and save harmless the city, its officials, agents and employees from any and all claims, damages, judgments and expenses and other liability which may arise from any negligence of the applicant, its agents, servants, contractors or employees, or any of them, in the erection, servicing, maintaining or • removing of any sign, street decoration or banner; provided, however, in lieu of the bond required by this section, any licensee may file with the Yakima city clerk a copy of an insurance policy or a certificate of insurance with the city of Yakima as an insured party insuring against liability arising from the erection, servicing, maintaining or removing of any sign with limits of comprehensive general liability coverage of no Tess than fifty thousand two million dollars - e'- - - - - - - - - e.- - e", - ---e - - - - - - - -- d o l l a r s property damage coverage combined single limit for bodily injury and property damage arising out of any one occurrence. Section 2. Section 10.32.030.A of the City of Yakima Municipal Code is hereby amended to read as follows: 10.32.030 Bond — Liability insurance A. Before any permit shall be issued to a licensed sign installation company for the installation of outdoor banners or other decorative material for advertising or decorations, and as a prerequisite thereto, the licensed sign installation company shall execute and deliver to the city of Yakima a bond or certificate of insurance from a surety company authorized by law to transact the business of surety in the state of Washington, providing that the applicant shall keep and save harmless the city, its officers, officials, agents and employees from any and all claims, damages, judgments and expenses, together with any other liability that may arise from any negligence of the applicant, its agents, servants, ill contractors or employees, or any of them, in the erection, servicing, maintaining or removing of any banner or other decorative material. The insurance policy or certificate of insurance shall provide the following minimum liability coverage: combined single limit -• - - -- ••• ' -• -- •- - -•- - - - ••' ' -- - . liability coverage in an amount set forth in Yakima Municipal Code 11.08.140 and any subsequent amendments thereto. Section 3. This ordinance shall be in full force and effect 30 days after its passage, approval, and publication as provided by law and by the City Charter. PASSED BY THE CITY COUNCIL, signed and approved this day of , 2009. David Edler, Mayor ATTEST: City Clerk Publication Date: Effective Date: