To: Board of Supervisors
From: Human Resources
Agenda Section: Consent
Vote Requirement: 4/5th
SUBJECT:
title
Supplemental Budget for the Liability Budget Unit (3524-354) in the Amount of $1,250,000 (4/5 Vote Required)
end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve the attached supplemental budget in the Liability budget (3524-354) for Fiscal Year (FY) 2024-25 (4/5 Vote Required).
Body
STRATEGIC PLAN:
This action supports the following areas of your Board's Strategic Plan.
Area of Focus: Workforce & Operational Excellence
Strategic Plan Category: 3001 - Support a well-trained workforce.
DISCUSSION:
The Risk Management-Liability budget (3524-354) received unanticipated revenue, and this agenda item seeks to receive those funds and pay for unanticipated legal settlement costs which will be partially reimbursed by the county's excess insurance provider. Human Resources anticipates a reimbursement from Public Risk, Innovation, Solutions and Management (PRISM) in the amount of approximately $1,250,000 for a refund on a claim above the county's self-insured retention (SIR) level. PRISM is an insurance risk sharing pool through which the county purchases excess liability, primary and excess workers' compensation, as well as various other insurance programs. Human Resources is recommending utilizing the insurance reimbursements to pay settlement costs.
The attached supplemental budget reflects these additional revenues utilized to cover overages in the Liability budget for FY 2024-25. Current settlement costs as well as closing several outstanding cases has created a situation where the Liability Fund has an excess of expenditures above budgeted costs. The Human Resources - Risk Management Division anticipates receiving revenue for the current FY from PRISM in relation to these current litigation cases which have exceeded the county's current SIR.
Per county policy, corrections to the insurance internal service fun...
Click here for full text