Committee backs ordinance to codify city manager authority to settle claims up to $75,000
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Summary
The committee recommended adding a new section to the city code giving the city manager authority to approve claims, expenses or settlements up to $75,000 and the city attorney authority up to $25,000, replacing annual budget‑embedded language.
The Finance & Budget Committee voted to recommend to city council Ordinance TMP-3354, which would codify authority for the city manager and city attorney to settle claims from the self‑insurance fund without annual reauthorization.
Ed Rucker, chief counsel for management operations, told the committee the authority to settle claims had been included in the FY25 budget ordinance and would expire June 30. "Instead of reenacting that authority every year, what we've asked you to do today is to institutionalize that authority inside the code of ordinances," Rucker said. Under the proposed code change, the city manager could approve settlements up to $75,000 per claim and the city attorney could approve up to $25,000 per claim.
A committee member asked whether this applied to insurance claims and whether the city was self‑insured; Rucker confirmed it applies to the self‑insurance fund. "This is specifically where that money would be spent," he said, giving the example of settling a slip‑and‑fall claim for $20,000 from the self‑insurance reserve.
Committee members voted to recommend the ordinance to the full council.
The ordinance will go before city council for final approval.
