Scott, an agent with Avera Insurance, told the City Council on June 5 that the city's property-insurance renewal is due July 1 and that three city-owned buildings currently on a blanket statement of values must have replacement-cost limits increased to remain eligible for 125% replacement-cost protection.

Scott said the blanket statement of values removes qualifying buildings from the individual schedule and extends a 125% margin (for example, a $1,000,000 building would be covered up to $1,250,000) if valuations are adequate. He presented a spreadsheet of six city structures, including three that currently qualify and three additional buildings that could qualify if their replacement-cost limits were increased. He said the premium cost to include the three at the recommended values would be $445 (annual) for the blanket property coverage shown in the materials.

On the city's auto coverage, Scott proposed raising comp/collision deductibles from the current $100/$250 levels to $500/$1,000 as a cost-saving measure; he said the change would save the city just under $1,500 per year unless the city experiences multiple vehicle claims annually.

Scott recommended moving the city's mobile equipment schedule to an inland-marine blanket divided into categories (contractor equipment, emergency services, a catchall category, and audio/computer equipment). He said the city currently lists millions of dollars of scheduled equipment by serial number; if an item is not listed it is not covered. The blanket option would replace the schedule and provide continuous coverage and replacement-cost pricing in many cases, and Scott said the quoted premium for the blanket option was actually lower than the current scheduled premium ($2,529).

Scott also discussed optional garage-keepers coverage to protect vehicles the city temporarily holds in its care, custody or control (for example, impounded vehicles). He quoted a $50,000 limit for pound and collision coverage and a premium of approximately $470 per year as an optional add-on.

Following the presentation, council members asked procedural and timing questions. Tanya and the city auditor were identified as staff contacts; the council voted to give the auditor authority to complete the renewal and make the valuation adjustments needed to maintain blanket eligibility.

No final contract text was signed during the meeting; staff were directed to finalize valuation updates, provide any premium impacts to council, and proceed to bind coverages before the July 1 renewal if appropriate.