[Adopted 8-4-1987 as Ord.
No. 87-14]
The borough shall contract with a service company to administer the
borough self-insurance liability program. The borough shall engage the service
organization to administer claims against the borough, to advise the borough
on the administration of claims, to advise the borough on contributions to
be made to the insurance trust fund, to provide statistical and other related
claim data to the borough, to analyze and study risk management and to prepare
all necessary reports required by the borough self-insurance program.
The borough shall establish a trust fund for the specific purpose of
administering the borough self-insurance program. The trust fund shall receive,
invest and reinvest payments from the borough to the fund for claims and related
expenses for the borough self-insurance program. The trust fund shall have
four (4) trustees, who shall be the Borough Mayor, the President of Borough
Council, the Borough Director of Finances and the Borough Administrator.
Commencing with the year 1988, all allocations for the borough self-insurance program shall be paid to the trust fund described in §
43-3 on or before June 1 of each year.
The borough self-insurance program shall be effective as of July 1,
1987, and shall continue until such time as the Borough Council decides to
modify, change and/or eliminate the borough self-insurance program.
All unexpended moneys budgeted for general liability insurance and police
claims for the year 1987 are hereby reallocated and transferred to the borough
self-insurance program for the year 1987.
[Adopted 1-3-1989 as Ord.
No. 89-2]
The borough hereby establishes a workmen's compensation self-insurance
program to provide benefits to all borough employees pursuant to the Pennsylvania
Workmen's Compensation Act of 1915, as amended.
The borough administration shall make application to the Department
of Labor and Industry, Bureau of Workmen's Compensation, for approval of the
Borough of Norristown self-insurance program pursuant to Section 305 of the
Pennsylvania Workmen's Compensation Act (77 P.S. § 501). In connection
with the application for approval of the self-insurance plan, the borough
administration shall have the authority to make application for approval of
the self-insurance program to the Department of Labor and Industry on behalf
of the Borough of Norristown, complete all necessary forms, provide any necessary
information, post the required bonds and do all things necessary to obtain
approval of the Borough of Norristown self-insurance plan for workmen's compensation
liability.
The borough administration shall prepare and submit to the Borough Council
for approval a deed of trust establishing a trust fund for the specific purpose
of controlling the money for the borough self-insurance program. The deed
of trust shall provide for a trust fund which shall receive, invest and reinvest
payments received from the borough to the insurance fund for claims and related
expenses for the self-insurance workmen's compensation program and shall provide
that all claims, claim expenses and other related expenses for workmen's compensation
claims be paid from the Workmen's Compensation Self-Insurance Trust Fund.
The borough administration is hereby instructed to move as expeditiously
as possible to institute the self-insurance program for the workmen's compensation
liability for borough employees of the Borough of Norristown.