HomeMy WebLinkAboutR-78-03784/24/78
et
usuPP F;€iVe
r.
i _
. 4.
RESOLUTION
A RESOLUTION ACCEPTING THE BID OF AMERICAN FIDELITY
FIRE INSURANCE COMPANY THROUGH ITS LOCAL AGENT,
CHALLENGE INSURANCE, INC., FOR PROVIDING FIRE, LIGHTNING
WINDSTORM, VANDALISM & MALICIOUS MISCHIEF INSURANCE FOR
CITY OWNED BUILDINGS & CONTENTS VALUED AT FIFTY ONE
MILLION FIVE HUNDRED TWENTY FIVE THOUSAND NINE HUNDRED
THIRTY ($51,525,930.00) DOLLARS, FOR A THREE (3) YEAR
PERIOD BEGINNING JUNE 1, 1978 THROUGH MAY 31, 1981, AT
A COST OF $168,138.00 WHICH AMOUNT IS DISCOUNTED IF PAID
IN ADVANCE OR AT A COST OF $62,644.00 IF PAID ANNUALLY,
WITH FUNDS ALLOCATED FROM THE CITY'S SELF INSURANCE TRUST
FUND.
WHEREAS, pursuant to Public Notice, sealed bids were received
April 10, 1978, for providing Fire, Lightning, Windstorm, Vandalism and
Malicious Mischief Insurance for City owned buildings and contents valued
at $51,525,930 for a Three (3) year period beginning June 1, 1978, and
WHEREAS, invitations were mailed to seventy-four (74) Insurance
Agents in Dade County, and Two (2) Bids were received, and
WHEREAS, the City Manager recommends that the Bid received
from American Fidelity Fire Insurance Company through its local agent,
Challenge Insurance, Inc., which is the most advantageous to the City, be
accepted at a discounted cost of $168,138.00 if total paid in advance, or
$62,644.00 if payable annually, said annual premium to vary in accordance
with the bid rate upon change of the value of building and contents as
submitted by the City of Miami;
"DOCUMEHT„,INOEX
ITEM NO.
NOW THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CI,iY OF
MIAMI, FLORIDA:
Section 1. The Bid received April 10, 1978, for furnishing Fire,
Lightning, Windstorm, Vandalism & Malicious Mischief Insurance for City
owned buildings and contents valued at $51,525,930.00 for a three (3) year
period beginning June 1, 1978, and expiring May 31, 1981, is hereby
accepted at a discounted cost of $168,138.00 if paid in advance, or if
payable annually, at a premium cost of $62,644,00,said annual premium
to vary in accordance with the bid rate upon change of value of buildings
and contents, as submitted by the City of Miami, Florida, from the
„page l of 2,.
CITY COMMISSION
MEETING OF
MAY 3 1 1978
man No. 7 8
Du1
American Fidelity Fire Insurance Company through its local agent, Challenge
Insurance, Inc.,
PASSED AND ADOPTED THIS_.. .11 day
ATTEST
c=5/
RA PH G. NGIE, CITY CLERK
PREPARED AIID APPROVED BY:
d— Ii4t .. f`) 1C_i
TERRY PERCY' ASSISTANT CITY ATTORNEY
APPR• ' AS TO FORM AND CORRECTNESS
GEORGE . •X, JR.
CITY ORNEY
May
Maurice A. Fevre
1978►
-Page 2 of 2,-
MAYOR
DC(•
F r,
�j i..`$ .tt j )1
r 78--:378
TO:
FROM:
Joseph Ri Grassie
City Manager
undersoti
Director of Finance
CITY CsF' :''_nor fDA
INTc; .0i- FtC7. ,1EMO Ai`NDU;,i
Acceptance of Fite Insurance Bids
..._. Copy of Resolution
,Pursuant to public notice, sealed bids were received April 10, 1978, to provide Fire,
Lightning, Windstorm, Vandalism and Malicious Mischief Insurance for all City owned
buildings and contents valued at $51,525,930.00 for a three (3) year period from June
1, 1978 through May 31, 1981.
The previous policy which was written by Allstate Insurance Company expired April 15,
1978. Allstate had indicated to the City in January, 1978, they would be agreeable
to renew this risk, but at a later date notified us that they were not interested in
bidding, and would not renew the policy. The City requested from Allstate that the
policy be extended until June 1, 1978, and the request was granted.
The reasons that necessitated this request for an extension are as follows:
In January, the Insurance Committee reviewed the specifications and noted that the
value shown for buildings and contents should be based on current cost of replacing
a building or the contents, and not the present method which is the original construc-
tion costs with a yearly inflation factor.
In order to comply with this request, it was necessary to obtain the amount of square
feet in each of the 176 buildings shown on the Schedule. Request was made to the
Department of Public Works to furnish this data. Approximately ten days elapsed
before it was learned that Public Works, due to the amount of research involved, could
not deliver these figures within a month.
Upon this notice, an advertising date was fixed and specs were mailed, reserving the
right in the specs to amend the values in accordance to replacement costs. The date
of Notice of Public Bid was February 23, 1978, with Bid openings on March 13, 1978.
Between these dates, a letter addressed to the City Manager was received from Marsh &
McLennon, Insurance Agents, objecting to the brevity of time to submit bids.
Consequently, on March 10, 1978, all agents were notified that Bid opening was to be
delayed until April 10, 1978, and any bids received on Monday, March 13, 1978, were
to be returned unopened. Despite the extension of time, Marsh & McLennon failed to
submit a bid.
The particulars of the bid are:
Premiums will vary in accordance to the bid rate, upon change of the value of
the building and contents, as submitted by the City of Miami.
" ` n, a
t:7-1 it 1� r
7 8- 37$ 4
Page 1 of 2.
May 8, 1978
Joseph RS Gtassie, City Manager
Metnotandtiih = Page 2 of 2
continued a
a ai c & ac a a a a a a a a a a - a a a a a a s ra a a a a:: a a s a a a a a: & a a lit
Specifications were mailed to 74 insurance agents, and two (2) bids were receive ,
as follows:
1) American Fidelity Fire Insurance Company
Local Agent: Challenge Insurance, Inc.
Three Year Premium: $168,138 (Discounted if paid in Advance)
Payable Annually at $62,644
Deductible: $10,000 per occurrence.
If losses in any annual policy period reach or exceed
$100,000 the deductible disappears.
2) Employers Insurance of Wausau
Local Agent: Fulton Insurance Company
Three Year Premium: $228,774
Payable Annually at $76,258
Deductibles:
A. $5,000 per location (buildings and contents) for
locations valued up to $20,000.
B. $10,000 per location (buildings and contents) for
locations valued between $20,000 up to $950,000.
C. $25,000 per location (buildings and contents) for
locations valued between $150,000 and $1,000,000.
D. $50,000 per location (buildings and contents) for
locations valued at $1,000,000 and higher.
This bid contains no disappearing deductible.
It is recommended that the bid received from American Fidelity Fire Insurance Company
be accepted through its local agent, Challenge Insurance, Inc., to provide Fire,
Lightning, Windstorm, Vandalism and Malicious Mischief insurance covering City owned
buildings and contents, at a value of $51,525,930 for a three (3) year period,
payable annually at $62,644.00.
JEG:DRS:et
attachment: as stated
cc: Mr. George F. Knox, Jr.
City Attorney
Mr. Howard V. Gary, Director
Budget & Management
BID SECURITY
DATE BIDS RECEIVED
L 'I, • I
LtYzr
BIDDER
TYPE OF SECURITY
AMOUNT
FOR
ACCOUNTING
USE
'eV
.4-4 •K
'S P Pn rrr I v
I
DOCUMb I TS
FOLLOW
Received the above described checks this
19
day of
FOR ACCOUNTING DIVISION
7
Attached hereto is a set of Specifications soliciting sealed proposals
to furnish public liability, Fire & Extended Coverage, and Use & Occupancy
insurance as follows:
Public Liabilit;• $ 25,000,000.00
Fire & Extended Covera es,:.,5 5,000,000.00
3usiness Interruption S 250,000.00
all in accordance to the Lease Agreement between the City of Miami, as
Lessee and the Miami International Merchandise Mart, Inc., as Lessor,
for the use of the premises located at 777 Northwest 72nd Avenue, Miami,
Florida, for a period of approximately twenty-five (25) days, wherein the
City agrees to indemnify the Lessor during its tenancy.
Time is of the essence, and bids mist he received on or before January 18,
1978, at the Office of the City Clerk, City Hall, 3500 Pan. American Drive,
Miami, Florida.
If there are any questions concerning :hese Specifications, please contact
Mr. Donal R. Stewart, .Property Manager, Risk Management Division, Telephone
Number: 579-6058.
Sincerely yours,
Ae i'02//
421
Mar4hall Litvak
Assistant Finance Director
Risk Management
attachments: as stated
l ( • **'
FOLLOW"
NOTICE OP PUBLIC BID
Sealed bids for Public Liability, Eire & E.C., and Business
Interruption Insurance will be received by the City Manager and
the City Clerk of the City of Miami, Florida, not later than
10:00 A.M., E.S.T., on the 18th day of January, 1978, in the City
Clerk's Office, first floor, Miami City Hall, 3500 Pan American
Drive, Dinner Key, Miami, Florida, 33133, at which time and place
they will be publicly opened and read.
All bids shall be submitted in accordance with the instructions
to bidders and specifications, which may be obtained from the
Risk Management Division, located on the second floor, 3318 Pan
American Drive, Miami, Florida.
The City Commission reserves the right to waive any informality
in any bid, and the City Manager may reject any or all bids and may
re -advertise.
Joseph R. Grassie
City Manager
fj
CITY_OF'__MIAMI, FLORIDA
GENERAL.. SPECIFICATIONS .APPLICABLE TO ALL INSURANCE BIDS
INSTRUCTIONS TO BIDDERS
1. Bids will be received, opened, and read publicly, at the time and place specified
in the advertisement. Bidders or their authorized agents are invited to be
present. Bids received after the time and date specified will not be considered,
but will be returned unopened.
2. The Bidder is required to examine carefully the specifications and the risks to
be covered. It will be assumed that the Bidder has made such investigation as to
be fully informed of the extent and character of each hazard and of the requirements
of the specifications.
3. Each bid must give complete detail.
4. Each bid must
carriers must
Guide, Latest
show the name of the proposed carrier or carriers; such carrier or
be companies rated A X or its equivalent, as per A.M. Best's Insurance
Edition.
5. All policies must be non -assessable.
6. Each bid shall include a description of the following services that will be made
available, including whether or not company staff, personnel, or independent firms
will be used. If independent firms are expected to be used, the name of such firm
is to be shown.
FIRE & ALLIED LINES AND/OR
a. Claims adjusting service
b. Safety engineering service
a.
b.
c.
d.
LIABILITY
Claims adjusting service
Legal counsel for defense
Safety engineering service
Auditing service
7. Each bid must agree in writing to furnish the City of Miami with periodic reports
as might be required by the said City.
8. Each bid shall be submitted separately in a sealed envelope property addressed
and marked as set forth in the specific instructions.
9. Every effort has been expended to provide complete and accurate information in the
instructions, specifications and underwriting data; however, we do not represent
the information to be 100% complete and accurate. The responsibility for determin-
ing the full extent of the exposures and for verifying the information in the
specifications and underwriting data, shall rest solely with the bidders and their
companies.
10. The premium submitted shall be accepted as a net premium unless otherwise stated
and fully supported by detailed explanation.
11. A mutual insurance company submitting quotations should include the pre -paid
premium, less the anticipated dividend, if
•
any,
idS V'D -Y, ,ram:THA
c ,,!.%; p
•
D �� •• t..
u 1
OWNER4LANDLORDTENANTLIABILITY ,INSURANCE
UNDERWRITING INFORMATION
I- t‘.. i \ Z r
nor',1r7.7-1\1"-is
1. Name Insured: The City of Miami, Florida, a municipal corpora-
tion, and Miami International Merchandise Mart,
Inc., a Florida corporation, d.b.a Expo/Center;
as their interests may appear.
2. Effective Date: February 23, 1978 through March 19, 1978.
3. Term: Twenty-five (25) days
4. Coverages: Bodily Injury $25,000,000.00
Property Damage Combined Single Limit
Deductible: $50,000.00 Per Occurrence
The building size in total square feet: 522,380.
The parking lot is comprised of approximately 800,000 square feet.
Note: The above described building and parking lot, located at 777
Northwest 72nd Avenue, Miami, Florida 33126, has been leased
to the City of Miami, Florida, for the period of time as out-
lined, for the purpose of holding a Trade Fair of the Americas.
This Trade Fair is for the purpose of exhibition and the
solicitation and writing of orders for producers, goods and
merchandise to exhibitors and persons attending the Trade Fair.
This Trade Fair is open only to authorized buyers of the goods
and services offered for the period February 23, 1978 through
March 19, 1978, and from March 15, 1978 to March 19, 1978 will
be open to the general public for six (6) hours daily; all this
in accordance to a certain Lease Agreement between the Miami
International Merchandise Mart, Inc., and the City of Miami,
Florida, a copy of which will be furnished upon request.
1. Name Insured:
2. Effective Date:
3. Term:
4. Coverages:
5. Total Value:
6. Location:
FIRE AND_ ALLIED LINES _INSURANCE
UNDERWRITING INFORMATION
The City of Miami, Florida, a municipal corpora-
tion, and Miami International Merchandise Mart,
Inc., a Florida corporation, d/b/a Expo/Center;
as their interests may appear.
February 23, 1978 through March 19, 1978
Twenty-fiuE (25) days
Fire, Extended Coverages, Vandalism and Malicious
Mischief.
$5,000,000.00
777 Northwest 72nd Avenue, Miami, Florida 33126
Building is comprised of 522,380 sq. ft.,
CBS construction with bar joists; poured concrete
floors with one hour fire rated asbestos ceilings.
All public areas are sprinkled.
7. The insurance may be written at 807%, 9070, or 1007, Co -Insurance.
8. Deductibles will be considered in analyzing the bids.
9. Additional information concerning this risk may be obtained from
RISK MANAGEMENT DIVISION
3318 Pan American Drive
Miami, Florida 33133
Telephone No.: 579-6058
Building Size: 522,380 sq. ft.
Parking Lot Approximately 800,000 sq. ft.
1. Name Insured:
2. Effective Date:
3. Term:
4. Coverages:
5. Deductible:
USE. AND OCCUPANCY_tNSURANCE
(BUSINESS __ INTERRUPTION)
Miami International Merchandise Mart,
Inc., a Florida corporation, d/b/a
Expo -Center.
January 23, 1978 through April 19, 1978
Eighty-five (85) days.
$250,000.00
Loss of earnings as the result of
interruption of business within the
demised premises.
$10,000.00
17,P
ir BID SECURITY'- •
cs,
t.
•
Fire & Allied tines Inc.
flEM
6 /‹;
DATE BIDS RECEIVEO , „ (-4 - / • /
BIDDER TYPE OF SECURITY
FOR
AMOUNT ACCOUNTING
USE
Challenge Insurance INc.
7000 SW 62nd Ave. Suite A-201
S. Miami,Florida 33143
Alan D. Fulton Insurance Inc.
350 Sevilla Avenue P.O. Box34060
Cr.a1 Gables, Florida
_7 ?
I
Received the above described checks his day of 1
MIIKINOW
FOR ACCOUNTING DIVISION
TO:
Ralph G. Ongie
City Clerk
a es E► Gunderson
Director of Finance
CITY OF MIAMI. FLORIDA
INTEROFFICE MEMORANDUM
DATE.
March 10, 1978
FILE:
SUBJECT: Notice'Public Bid No 7748.,46
nvIPENCE:S Copy of Letter re Subject Matter
Attached is copy of letter of notification extending date
from March 13, 1978, at 10:00 a.m., at your office, to
submit bids on Fire & Allied Lines Insurance, to April 10,
1978, 10:00 a.m., City Clerk's Office. E
Please adjust and reserve your calendar for this Bid opening.
JEG:DRS:et
attachment: as stated
mum
MEE
MIR
MID
MEE
Orrice of the
DIRECTOR OF FINANCE
March 9, 1978
Gentlemen:
eitu 0
ulna,
ltrt r
PO 90X 330708
COCONUT GROVE StAt1ON
MIAM1. $LORIbA 33133
Re: Bid No. 77-78-46
Fire & Allied Lines Insurance
NE Meth
MUNICIPAL FINANCE OFFICENS
Ast'N OF tHE
uNItED A tAttf AND CANAD•
Please be advised that the City of Miami, Florida, has received
written requests for extended time to submit bids for Fire &
Allied Lines Insurance coverages.
Therefore, the City has extended the Bid opening date to April 10,
1978, at 10:00 a.m., at the City Clerk's Office.
If any bids are received on March 13, 1978, they will be returned
to the bidders unopened.
All other terms and conditions of this bid shall remain the same.
Sincerely,
es E. Gunderson
irector of Finance
JEG:DRS:et
Wig
151.
NOTICE: OF PUBLIC HID
NO. 71-7.8-46
Sealed bids for a three (3) year xance olicy coverin
Fire E.C.ld_A 4,49 ,,Sity, Buildings_.and contents will be
received by the City Manager and the City Clerk of the City
of Miami, Florida, not later than 10:00 A,M., on the 13th
day of March, 1978,E in the City carats office, first floor,
Miami City Hail, 3500 Pan American Drive, Miami, Florida,
33133, at which time and place they will be publicly opened
and read.
All bids shall be submitted in accordance with the instruc-
tions to bidders and specifications, which may be obtained
from the office of the City Property & Insurance Manager,
Risk Management Division, 3318 Pan American Drive, Miami,
Florida.
The City Commission reserves the right to waive any informality
in any bid and the City Manager may reject any or all bids and
re -advertise.
Joseph R. Grassie
City Manager
CItY OF MIAMI. FLOFIlbA
INTER.OPPICE MEMORANDUM
7:1"7,D
TO:
FROM:
Ralph G. Ongie
City Clerk
aes E. Gunderson
itectot Of Pittance
,,OATIEtt 4404tUarY 11) 1978 Mt:
SUSJEIGT: Notice of Public Bid
NO. 7748.46
REFERENCES:
ENCLOSURES: Copies of Notice
Attached is Notice of Public Bid for a three (3) year
Insurance Policy covering Fire, E.C. and SIMM on City
Buildings and Contents.
This will be advertised on Thursday, February 23, 1978,
and Bid opening will be at 10:00 A.M., on the 13th day
of March, 1978.
Please reserve your calendar for this Bid opening.
JEG:DRS:et
attachment: as stated