Council Approves Insurance, Addresses Legal Risks

Introduction

On October 24, 2022, the St. Charles Government Operations Committee met to review administrative reports, discuss insurance coverage for the upcoming fiscal year, and address potential litigation matters. The meeting highlighted the city’s proactive management of risk, compliance, and financial oversight.

Administrative Items: Fuel Tax and Video Gaming

The meeting began with a review of September 2022 administrative reports:

• Fuel Tax Statistics: Reported and approved without issue.

• Video Gaming Statistics: Reviewed, with clarification provided on enforcement responsibilities for signage violations. Community Development confirmed that signage enforcement falls under zoning-related license terms.

Both items were approved by committee vote, ensuring accurate monitoring of city revenues and regulatory compliance.

Annual Risk Insurance Program Renewal

The primary agenda item was the city’s annual risk insurance program renewal for property, workers’ compensation, liability, auto, and cyber coverage:

• Finance Department Recommendation: Presented by Finance Director Bill and Bob Davidson from Assurance Agency.

• Key Achievements:

  • Cyber coverage successfully reinstated, overcoming previous procurement challenges.

  • Overall insurance increase limited to 1.7%, while property insurance costs decreased by 14% through switching from Chubb to Travelers.

  • Total cost for coverage: $955,129.

• Safety Grant: The city continues to receive an annual workers’ compensation safety grant (~$20,000–$21,000) to support safety initiatives.

This renewal ensures the city maintains comprehensive, cost-effective protection against potential risks.

Executive Session: Litigation Matters

The committee concluded the public portion of the meeting with a motion to enter executive session to discuss pending, probable, and imminent litigation. The session allows council members to address sensitive legal matters privately while preserving public transparency for general administrative decisions.

Conclusion

The October 24 meeting emphasized fiscal responsibility and risk management. Approvals for administrative reporting and the comprehensive insurance program demonstrate the city’s commitment to safeguarding public assets. The proactive review of video gaming enforcement and entry into executive session for litigation further highlights the council’s focus on compliance, accountability, and long-term stability for St. Charles residents.