April 26, 2007
Lake Charles, Louisiana
The Police Jury of Calcasieu Parish, Louisiana, met in Special Session at 5:30 p.m. on Thursday, April 26, 2007, in the Police Jury Meeting Room of the Parish Government Building, 1015 Pithon Street, Lake Charles, Louisiana, with The Honorable Chris E. Landry, President, presiding, and the following members present:
Mrs. Elizabeth Conway Griffin; and Messrs. Francis Andrepont, Guy Brame, Brent Clement, Calvin Collins, Michael E. Danahay, Kevin Guidry, Tony Guillory, Charles S. Mackey, D.D.S., Don Manuel, Hal McMillin, Cornelius “Cornie” Moon, and Tony Stelly
Absent: Mrs. Sandra J. “Sandy” Treme (out-of-town for meeting of Executive Board of Louisiana Police Jury Association)
Also present were Mr. S. Mark McMurry, Parish Administrator; Mr. Bryan Beam, Assistant Parish Administrator; Mrs. Coleen Clark, Executive Secretary; Mr. Richard Gremillion, Director of the Office of Homeland Security and Emergency Preparedness; Mrs. Cheryl Heisser, Director of Human Resources; Mr. Jerry Milner, Director of Finance; Mr. Claude Smart, Parish Engineer; Mr. Allen L. Smith, Jr., of the firm of Plauche, Smith and Nieset, General Counsel; Ms. Kathy P. Smith, Recording Secretary; Mr. Gerry Trahan, Director of Facilities Management; and Mr. Jim Vickers, Director of Planning and Development.
President Landry called the meeting to order, and the roll was called with the result being as outlined above.
President Landry advised that the bid opening scheduled for 5:30 on this date would be held immediately following the Special Meeting, and he asked that all bids be turned in at this time for repairs to existing structures for damage caused by Hurricane Rita to the Bell City Branch Library, the Hayes Branch Library, the Carnegie Memorial Branch Library, the Starks Branch Library, the Sulphur Branch Library, the DeQuincy Branch Library, and the Epps Memorial Branch Library.
President Landry also advised that the purpose of the Special Meeting was to take appropriate action on recommendations of the General Insurance Committee which met at 4:45 p.m. on this date.
Following a brief report by Mr. Danahay, Chairman of the General Insurance Committee, motion was made by Mrs. Griffin, seconded by Mr. Moon and carried unanimously to approve the General Insurance Committee Report as follows:
GENERAL INSURANCE COMMITTEE REPORT
April 26, 2007
A meeting of the General Insurance Committee was held at 4:45 p.m. on Thursday, April 26, 2007, in the Police Jury Meeting Room of the Parish Government Building, located at 1015 Pithon Street, Lake Charles, Louisiana, with Mr. Mike Danahay, Chairman, presiding and the following members present:
Mr. Francis Andrepont, Mrs. Elizabeth Conway Griffin, Mr. Cornelius “Cornie” Moon and Mr. Tony Stelly
Absent: Mrs. Sandra J. “Sandy” Treme (out-of-town for meeting of Executive Board of Louisiana Police Jury Association)
Also present were Charles S. Mackey, D.D.S., Mr. S. Mark McMurry, Mr. Jerry Milner, Mr. Allen L. Smith, Jr., and Ms. Kathy P. Smith.
Said Committee:
(1) Received report from staff regarding physical damage coverage for property, vehicles, and equipment for the policy period beginning May 1, 2007. The Committee recommended (a) that the proposal provided by Arthur J. Gallagher Risk Management Services, Inc., be accepted for property insurance in the total amount of $1,087,360 (an increase of $851,508), (b) that the FY 2007 budget be amended in the approximate amount of $300,00 to fund the increase in premiums, and (c) that the auto physical damage coverage be purchased at the lowest premium available with comparable coverage. (The vast majority of the increase in premiums - $784,828 - for physical damage coverage was attributable to the increase in wind coverage due to Hurricanes Katrina and Rita in 2005.)
* * * * * * * * * * * *
With regard to the foregoing, Mr. Milner explained that property insurance would come up for renewal on May 1, 2007, and there had been a substantial increase in the cost of same due to the rise in wind coverage as a result of Hurricane Rita. He pointed out that the quote ($784,828) was the best the Parish’s insurance consultant could obtain. Mr. Milner stated that another factor in the overall increase was a $26,250 premium to cover terrorism. He explained that the federal government offered such coverage but that it only covered international terrorism. Mr. Milner stated that the grand total for insurance coverage on buildings and equipment, auto physical damage, wind, and terrorism, was $1,087,360, an increase of $851,508 over the past year, and further, that the budget would needed to be amended in the approximate amount of $300,000 to fund the increase.
Mr. Clement asked if there was a cap in insurance increases, and Mr. Milner stated that there had been for a certain time period right after the hurricane, but he thought that time period had elapsed. Mr. Milner also stated that the prices outlined above were the best prices in the market at the present time and that the current insurance carrier was not going to submit a bid on the renewal.
Motion was made by Mrs. Griffin, seconded by Mr. Moon and carried unanimously that the recommendation of the General Insurance Committee as outlined above, and as explained by Chairman Danahay and Mr. Milner, be approved.
It was moved by Mr. McMillin, seconded by Mrs. Griffin and carried unanimously to suspend the rules by a two-thirds majority vote to approve a request by the City of DeQuincy for financial assistance in the amount of $25,000 from the Parishwide Gaming Economic Development Fund towards their efforts to produce an incentive package for a prospective manufacturing company to locate at the DeQuincy Industrial Park.
There being no further business, motion was made by Mr. Danahay, seconded by Mr. Guidry and carried unanimously that the meeting be adjourned.
/s/ Chris E. Landry, President
/s/ S. Mark McMurry, Administrator &
Ex-Officio Parish Secretary