Item Coversheet
CITY OF PEORIA, ARIZONA
COUNCIL COMMUNICATION
 
Agenda Item: 19C. 


Date Prepared:  11/12/2024 Council Meeting Date: 12/17/2024

TO:Mike Faust, City Manager 
FROM:  Christine Nickel, Human Resources Director 
SUBJECT:
Workers' Compensation Exemption Request 

Purpose:

Discussion and possible action to authorize the execution of documents necessary to certify the City of Peoria exemption from the Industrial Commission of Arizona requirements to post security for self-insured Workers' Compensation claims.

Summary:

The Industrial Commission of Arizona (ICA) exempts public entities from posting financial security for claims liability provided the governing body provides a statement to the ICA at the beginning of each year certifying the availability of adequate funds to pay for workers' compensation claims. By providing a certified statement, the City of Peoria will meet the requirements imposed by the ICA as it relates to establishing a self-insured workers' compensation plan.

 

Once City Council approves the certification that the City of Peoria, a chartered Arizona Municipality and duly qualified Workers' Compensation self-insurer, requests exemption from the Industrial Commission of Arizona's (ICA) requirement to post security for pending self-insurance claims and necessary signatures are obtained, these documents will be returned to the Human Resources Department and routed through the City Clerk. The final approved documents will be submitted to the ICA.

Previous Actions/Background:

Previous requests for exemption have been approved by Peoria City Council and the ICA annually since July 2009.

Options:

A: The Mayor and City Council sign the attached letter certifying the City of Peoria, a chartered Arizona Municipality and duly qualified Arizona Workers' Compensation self-insurer, requests the Industrial Commission of Arizona (ICA) exemption from the requirement to post security for pending self-insured workers' compensation claims.

 

B: If this request is not approved and signed, the City will be required to purchase a bond (cost of bond is unknown).

 

Staff Recommendation:

This is a request for City Council to review and approve certification that the City of Peoria, a chartered Arizona Municipality and duly qualified Workers' Compensation self-insurer, is exempt from the Industrial Commission of Arizona's (ICA) requirement to post security for pending self- insurance claims.

Fiscal Analysis:

N/A
ATTACHMENTS:
Description
Signature Page
Contact Name and Number:  

Christine Nickel, (623) 773-7101