[HISTORY: Adopted by the Mayor and Council of the Borough of Paulsboro 10-7-1986
by Ord. No. 0.8.86. Amendments noted where applicable.]
[Amended 4-4-1995 by Ord. No. 0.5.95]
A.
There is hereby established an insurance fund within
the Borough of Paulsboro in accordance with the provisions of N.J.S.A. 40A:10-6
et seq. for the following purposes:
(1)
To insure against any loss or damage however caused to
any property, motor vehicle, equipment or apparatus owned by the Borough of
Paulsboro or owned by or under the control of any of the Borough of Paulsboro's
departments, boards, agencies or commissions.
(2)
To insure against liability from the use or operation
of motor vehicles, equipment or apparatus owned by or controlled by the Borough
of Paulsboro or owned by or under the control of any of the Borough of Paulsboro's
departments, boards, agencies or commissions.
(3)
To insure against liability for any negligence caused
or attributed to the Borough of Paulsboro and that of any of the Borough of
Paulsboro's officers, employees and servants, whether or not compensated
or part-time, who are authorized to perform any act or services, but not including
an independent contractor within the limitations of the New Jersey Tort Claims
Act (N.J.S.A. 59:1-1 et seq.).
B.
The Mayor and Borough Council of the Borough of Paulsboro
may appropriate the moneys necessary to effectuate the purposes of this ordinance.
The Borough Council may designate the maximum or minimum amount of the
insurance fund and, from time to time, provide for the disposition of any
excess over and above the maximum fixed or of the interest or profits arising
therefrom when the fund shall have reached the maximum limit.
[Amended 4-4-1995 by Ord. No. 0.5.95]
There is hereby established an Insurance Fund Commission consisting
of three Commissioners. The Mayor shall nominate and, with the advice and
consent of Council, appoint said Commissioners.
A.
The Commissioners shall be members of the governing body
of the Borough of Paulsboro. The Commissioners shall hold office for two years
or for the remainder of their term of office, whichever shall be less, and
until their successor shall have been duly appointed and qualified. Vacancies
in the office of the Insurance Fund Commissioners caused by any reason, other
than the expiration of term as a member of the governing body, shall be filled
for the unexpired term. The Commissioners shall serve without compensation.
[Amended 4-4-1995 by Ord. No. 0.5.95]
A.
A person shall be appointed to serve as Secretary to
the Insurance Fund Commission. The Secretary shall be appointed by the Mayor,
with the advice and consent of Borough Council, and shall serve at the pleasure
of the Commission.
B.
The annual salary of the Commission's Secretary,
if any, shall be set by ordinance or resolution, as appropriate, as authorized
by the governing body.
The Commissioners shall have the following powers and authority:
A.
Subject to the approval of the Mayor and Council, to
employ necessary clerical assistants whose compensation shall be fixed and
paid by the Borough Council in the same manner as that of other employees.
B.
Subject to the control of the Mayor and Council, to invest
the fund and all additions and accretions therefrom in such securities that
may be readily sold for cash, for the payment of the losses suffered upon
any of the property of the municipality designated as having been covered
by the insurance fund. The Commissioners shall not invest the fund in any
security other than those investments customarily made by the Borough of Paulsboro
with other funds.
C.
To perform such other functions and duties as delegated
to them by state statute and by the terms and provisions of this ordinance.
Within 30 days of their appointment, the Insurance Fund Commissioners
shall meet for the purpose of preparing and adopting operating procedures,
which shall be in writing and subject to the approval of the Mayor and Council.
Thereafter, the Commissioners shall meet at least quarterly and submit a report
to the Mayor and Council concerning the status of the fund and other relevant
information. Annually thereafter, the Commissioners shall, forthwith after
their appointment, organize for the ensuing year and elect from their membership
a Chairman, who shall serve for the year.
A.
All claims made against the Borough of Paulsboro, for
which payment shall be sought out of the insurance fund created hereunder,
shall be submitted to the Borough's Risk Manager. The Risk Manager shall
evaluate all claims submitted, and if, in his discretion, he determines that
such claim is valid and should be paid, he shall:
(1)
Authorize, for all claims of $500 or less, payment from
the fund of such claim; or
(2)
Recommend, for all claims over $500, payment, in which
event the Insurance Fund Commissioners shall then meet to evaluate the Risk
Manager's recommendation and, if concurring, authorize payment of such
claims.
B.
All claims which the Risk Manager recommends for disapproval,
compromise or some other form of disposition shall be forwarded to the Insurance
Fund Commissioners with the Risk Manager's evaluation for the Commissioner's
review and disposition.
C.
Neither the Risk Manager or the Insurance Fund Commissioners
shall approve any claim, the payment of which would create an insolvency in
the fund. Likewise, any authorized payment to be made in installments covering
a period of more than one fiscal year shall be first approved in writing upon
enactment of a concurring resolution by the Mayor and Borough Council. If
it appears to the Risk Manager and/or Insurance Fund Commissioners that during
any given fiscal year there is likely to exist an excess of claims over proceeds
available in the fund, the Risk Manager and/or Insurance Fund Commissioners
shall immediately so certify in writing to the Mayor and Borough Council.
D.
Claims for payment approved by the Risk Manager and/or
Insurance Fund Commissioners shall be submitted on the voucher form prescribed
by the Borough and will for all claims of $500 or less require the signature
of the Risk Manager, and for all claims over $500 require the signature of
two of the Insurance Commissioners.
E.
Payments to be made on all vouchers will be by check
signed by the appropriate counter signatories of the Borough as is required
for the payment of all other duly approved bills and vouchers.
F.
When required, the Insurance Fund Commissioner may consult
with the Borough Solicitor and Borough Auditor.
The duties of the Risk Manager shall be assumed by the Borough Administrator
or such other person as the Mayor and Borough Council shall designate. The
Risk Manager shall be appointed for a one-year term and shall serve until
his successor is duly appointed.
