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District staff: snow‑day office closures cost about $2,529 for essential personnel; claims could raise costs substantially
Summary
Staff presented a snow‑day closure cost analysis showing immediate staffing cost of roughly $2,529 for essential personnel for an 8‑hour closure and potential downstream impacts to the district’s insurance experience modifier and premiums if slip/vehicle claims occur.
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Katrina Peter, the district’s chief administrative officer, presented an analysis of the direct and potential indirect costs when the district keeps offices open during significant snow events.
Peter said the district’s initial personnel cost estimate to bring in essential personnel for an 8‑hour closure was about $2,184; after adding taxes and related contributions the figure rose to $2,529.41. Peter explained staff also asked the Colorado Special District Property Liability Pool to estimate probable workers’ compensation and liability costs for two realistic incident types (slip/trip/fall and a vehicular accident).
The pool’s modeled total payouts for two typical claims were about $141,000. Because the district carries a $5,000 deductible per claim, the district’s immediate out‑of‑pocket for two claims would be $10,000. The pool estimated that two such claims could raise the district’s contribution (through its experience modification or EMOD) and increase next year’s premium burden by an additional $14,125 to $26,232; combined with the deductible costs, Peter said two average claims could create an approximate $36,000 impact on next year’s costs.
Peter also reported the district’s EMOD has declined in recent years because of an active focus on safety, training and risk controls, but she noted recent incidents will likely affect the score and staff will report additional details once those claims are finalized. Peter said during the most recent snow event the district recorded six slip/trip incidents (no claims filed) and two vehicle accidents. Board members noted that employees working from home can also be subject to workers’ compensation claims if they suffer an injury while performing work duties.
Board members asked questions. Peter and the district risk manager explained the analysis is intended to weigh direct staffing costs against the possible larger, longer‑term insurance and liability consequences of keeping facilities open during hazardous conditions.
