Exh 3AAGENDA#3A
DECEMBER 11, 2000
December 6, 2000
MEMORANDUM
TO: The Honorable Mayor
and Members of the City Commission
PROM:
City
SUBJECT:
The following aze responses to questions and requests for additional information that were made
in recent City Commission meetings.
Low Spots: East Coast and 12`" Street: It was reported in the last Commission meeting that
there was a sunken area in the City pavement at the intersection of East Coast and 12's Street.
Gnthn-May, the City comractor who recently completed the water line replacement project in the
azea, has completed the repair of the pavement.
GRIT was the City's Workers' Compensation insurance provider from October 1995 through
September 1999 and was established as the result of an interlocal agreement in 1990 with the City
of Atlantic Beach becoming a member effective October 1, 1995. Losses prior to July I, 1998.
were not protected by reinsurance with all members to share in the costs and/or savings. All
losses since 7uly 1, 1998 were to have been on a fully insured basis.
To date, the City has paid an additional $33,271.14 in supplemental premiums and $1,213 in
medical bills. The City has also received an invoice for an additional $80,142,06 in supplemental
premiums which has not been paid.
We have now been advised that GRIT is no longer attempting to collect monies from farmer
members and the law firm representing GRIT is filing to close out the bankruptcy estate and case.
This action will result in GRIT utilizing currem "reserve" funds to pay current bills rather than
requiring the members to pay current bills while GRIT retains the "reserve" funds for potential
future bills. Once this case is finalized and the estate distributed, the City may recover some of
the supplemental premiums ($33,271.14) already paid. The City may also receive future bills to
pay; however, as the City's major Workers' Compensation cases have been legally settled, we do
not anticipate any major future hills.