Chapter 3.08
CLAIMS AGAINST THE CITY

Sections:

3.08.010    Findings.

3.08.020    Definitions.

3.08.030    Special claims procedures.

3.08.040    Filing of claims.

3.08.050    Claims covered by insurance.

3.08.060    Purchases, supplies, or services.

3.08.070    Risk management program functions.

3.08.080    Authority to settle claims, or shut down city operations in an emergency.

3.08.010 Findings.

The provisions of this chapter recognize that the general claim procedures applicable to local public agencies, including this city, are governed by the provisions of Chapter 1 of Division 3.6 of the Government Code of the state of California, commencing with Section 900 and following. (Ord. 174 § 1, 1994)

3.08.020 Definitions.

The following words and phrases as used in this chapter shall have the signification and meaning, unless otherwise clearly apparent from the context:

“City council” means the city council of the city of Highland, California.

“City manager” means the city manager of the city of Highland, or his/her designee.

“City” means the city of Highland, California. (Ord. 174 § 3, 1994)

3.08.030 Special claims procedures.

Pursuant to the authority contained in Section 935 of the Government Code of the state of California, the following claims procedures are established for those claims against the city for money or damages not now governed by state or local laws:

A. Employee Claims. Notwithstanding the exceptions contained in Section 905 of the Government Code of the state of California, all claims by public officers or employees for fees, salaries, wages, overtime pay, holiday pay, compensation for time off, vacation pay, sick leave pay, and any other expense or allowance claimed due from the city, when a procedure for processing such claims is not otherwise provided by state or local laws, shall be presented within the time limitations and in the manner prescribed by Sections 910 through 915.2 of the Government Code of the state of California. Such claims shall further be subject to the provisions of Section 945.4 of the Government Code of the state of California relating to the prohibition of suits in the absence of the presentation of claims and action thereon by the city council, as those provisions may from time to time be amended.

B. Contract and Other Claims. In addition to the requirements of subsection A of this section, and notwithstanding the exemptions set forth in Section 905 of the Government Code of the state of California, all claims against the city for damages or money, when a procedure for processing such claims is not otherwise provided for by state or local laws, shall be presented within the time limitations and in the manner prescribed by Sections 910 through 915.2 of the Government Code of the state of California. Such claims shall further be subject to the provisions of Section 945.4 of the Government Code of the state of California relating to the prohibition of suits in the absence of the presentation of claims and action thereon by the council. (Ord. 174 § 4, 1994)

3.08.040 Filing of claims.

All tort liability claims required to be presented to the city under the provisions of the California Tort Claims Act of 1963 (Government Code Section 900 et seq.) shall be filed with the city clerk. For purposes of Government Code Section 915 only, the city clerk is designated to receive all filings. To the extent possible, claims shall be acted upon to allow written notice of the rejection no more than 45 days after they are filed, unless they are settled. (Ord. 174 § 5, 1994)

3.08.050 Claims covered by insurance.

All claims filed with the city clerk, which claims are covered by insurance, shall be forwarded by the city clerk after action thereon by the city council to the appropriate insurance carrier for handling and further processing. (Ord. 174 § 6, 1994)

3.08.060 Purchases, supplies, or services.

A. All demands, invoices, or claims for purchases, supplies or service included within budgetary appropriations shall be presented in writing to the city manager. All such demands, invoices, or claims shall be fully itemized and verified as just and correct by the claimant and his/her authorized agent.

B. Each demand shall bear the number of the purchase order issued for the materials or services rendered.

C. Such demands, invoices, or claims shall be audited by the city manager, who shall prepare a register of audited demands. The affidavit of the city manager shall be attached to such register, certifying to the accuracy of the register.

D. Such demands, invoices, or claims shall be approved by the city manager and finance subcommittee consisting of two designated members of the city council.

E. All claims approved shall be paid by checks drawn upon the city treasury signed by the person(s) designated by resolution of the city council. (Ord. 174 § 7, 1994)

3.08.070 Risk management program functions.

The purpose of the risk management program is to provide protection for the city’s assets by identifying risk exposure areas; by treating these areas using methods of risk avoidance or reduction; and by determining the best technique or combination for treating each exposure that cannot be avoided or reduced such as risk retention, self-insurance, noninsurance and insurance on those risks that are too great to assume. (Ord. 174 § 8, 1994)

3.08.080 Authority to settle claims, or shut down city operations in an emergency.

A. The city manager shall have the powers to shut down any city operation or facility which represents an imminent hazard to city employees or to the public.

B. The city manager is authorized to allow, deny, compromise or settle any tort liability claim or action that is filed against the city, its officers or employees; provided, that as to payment:

1. Amount to be paid pursuant to such allowance, compromise or settlement does not exceed $500.00. The claim or action is not subject to the terms of an insurance policy wherein the insurer is granted the authority to allow, deny, compromise or settle claims or action within the scope of such policy.

C. A duly authorized subcommittee of the city council in conjunction with the city manager is authorized to settle tort liability claims or actions against the city in an amount not to exceed $5,000, but which is more than $500.00.

D. All settlements recommended by the city manager or subcommittee of the city council of a tort liability claim or action in excess of $5,000 shall first be approved by the city council.

E. The city manager is authorized to allow, deny, compromise or settle any workers’ compensation claim or case that is filed against the city; provided:

1. The claim or action is for benefits as defined under the Workers’ Compensation Laws of the state of California;

2. The claim or action is not subject to the terms of an insurance policy wherein the insurer is granted the authority to allow, deny, compromise or settle claims or actions within the scope of such policy;

3. That any such compromise or settlement is approved by the Workers’ Compensation Appeals Board (WCAB);

4. Except as hereinafter provided, the amount to be paid pursuant to such compromise or settlement does not exceed $50,000; provided further, that if the matter is in litigation, the compromise or settlement is with the concurrence of the attorney retained to represent the city. If the amount to be paid exceeds $50,000, the compromise or settlement must be approved by the city council, unless the amount of compromise or settlement is to meet state-mandated payments or benefits under the Workers’ Compensation Laws of the state of California such as WCAB-approved lump sum payments for permanent disability, life pension, burial expense and/or other death benefits.

F. In all claims or actions that are allowed, compromised or settled, the finance department shall, upon written order of the city manager, and in accordance with the terms of such allowance, compromise or settlement, cause the necessary warrant to be issued upon the treasury of the city in an amount for which such tort liability or workers’ compensation claim or action has been allowed, compromised or settled pursuant to this section.

G. Workers’ Compensation Appeals Board Awards and judicial judgments shall be processed according to these provisions and regular reports shall be provided to the city council. (Ord. 174 § 9, 1994)