Title
Approve and authorize the County Counsel to execute a Renewal and Amendment No. 2 to the professional services agreement with Marsh USA, Inc. dba Marsh Risk and Insurance Services, for insurance brokerage services extending the agreement for two years, effective July 1, 2022 through June 30, 2024, for a one-time payment in the amount of $10,000.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors approve and authorize the County Counsel to execute a Renewal and Amendment No. 2 to the professional services agreement with Marsh USA, Inc. dba Marsh Risk and Insurance Services, for casualty insurance brokerage services extending the agreement for two years, effective July 1, 2022 through June 30, 2024, for a one-time payment in the amount of $10,000. This is a revision to the report submitted June 21, 2022, with additional material enclosed.
SUMMARY/DISCUSSION:
This matter was previously before the Board on June 21, 2022, and was approved; however, staff noticed that not all appropriate documentation was enclosed and is therefore resubmitting the requested action.
The County entered into an original Agreement with Marsh on February 1, 2009, to provide casualty insurance brokerage services after the issuance of a Request for Proposals. Since 2009, the County has continued its business relationship with Marsh by amending the contract for several years. In 2019, the Board authorized a new, 1-year contract with Marsh, to expire June 30, 2020, and in 2020, the Board authorized a Renewal and Amendment No. 1 to expire June 30, 2022. A copy of the2019 agreement and its amendment are enclosed.
Marsh has provided services related to a variety of insurance for many years, most significantly General Liability. Due to market conditions, the General Liability program Marsh was able to present was unsatisfactory, and a decision was made to bind the General Liability program with PRISM (formerly CSAC-EIA). However, Marsh has continued to provide services related to Fiduciary liability, Volunteer (AD&D) insurance, Laguna Seca (General Liability/Excess Liability), Police Officers Liability (Primary Liability) including the shooting range, and Environmental Program, and staff recommends continuing the contractual agreement with Marsh for those services. Since the agreement has expired, the agreement needs to be renewed and staff is recommending a two-year extension. Marsh will be compensated by a one-time payment of $10,000, and commissions from providers for placed insurance. A draft renewal and amendment are enclosed.
OTHER AGENCY INVOLVEMENT:
N/A
FINANCING:
This renewal and amendment will be paid from the General Liability (GL) - Internal Service Fund (ISF), and the total cost to the County will be a one-time payment of $10,000.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
Check the related Board of Supervisors Strategic Initiative(s):
___ Economic Development - Through collaboration, strengthen economic development to ensure a diversified and healthy economy.
_X_ Administration - Promote an organization that practices efficient and effective resource management and is recognized for responsiveness, strong customer orientation, accountability and transparency.
___ Health & Human Services - Improve health and quality of life through County supported policies, programs, and services; promoting access to equitable opportunities for health choices and healthy environments in collaboration with communities.
___ Infrastructure - Plan and develop a sustainable, physical infrastructure that improves the quality of life for County residents and supports economic development results.
___ Public Safety - Create a safe environment for people to achieve their potential, leading business and communities to thrive and grow by reducing violent crimes as well as crimes in general.
Prepared by:
______________________________
Danielle Mancuso, Risk Manager
Approved by:
___________________________________
Leslie J. Girard, County Counsel
Attachments: Board Report
Marsh - Amend. No. 2 Exp. June 2024
Marsh - Amend. No. 1
Marsh - Original Agreement