Title
An Ordinance approving the FY2026 Workers Compensation Excess renewal policy, authorizing the City Manager to enter into an agreement with Midwest Employers for the deposit premium of $161,068, and to execute all documents necessary to obtain such coverage.
(Note: First read by Council on June 10, 2025. Passed by unanimous vote.)
Body
Issue/Request:
The City is self-insured for standard Workers' Compensation claims. Our Self Insurance Reserve (SIR) for claims for police and fire employees is $750,000. For all other employees the SIR is $500,000. To ensure the availability of Workers' Compensation benefits for our employees in the event of a catastrophic injury involving lifetime permanent total disability payments with ongoing lifetime medical care, the City is required by the Missouri Division of Workers' Compensation to maintain this Workers' Compensation Excess Renewal Policy to cover those lifetime payments and medical costs. The City retains the Thomas McGee Group as our Third Party Administrator to manage our Workers' Compensation claims process. Thomas McGee Group has recommended the City accept this agreement with Midwest Employers for this coverage. Generally, the rate increases over last year are in the 3% to 5% range.
Proposed City Council Motion:
FIRST MOTION: I move for approval and to advance to second reading of An Ordinance approving the FY2026 Workers Compensation Excess renewal policy, authorizing the City Manager to enter into an agreement with Midwest Employers for the deposit premium of $161,068, and to execute all documents necessary to obtain such coverage. .
Presenter
Jennifer Vargo, Human Resources Director
Brian W. Head, City Attorney
Recommendation
Staff recommends approval.