City auditors, insurers brief council on claims, risk policy and investment performance

City staff and outside advisors presented annual reviews of the city’s risk, insurance and investments and recommended routine renewals and procedural next steps.

WHA agents said the city reported 143 claims over six years with total incurred costs of about $2,970,000 and an average cost per claim of roughly $20,008. "Your claims counts have remained steady, averaging about 24 claims per year," Lauren Williams said, and agents noted 19 open claims trending toward closure.

Jennifer King summarized workers’ compensation performance, saying most claims were nondisabling and that the city’s reporting and return‑to‑work practices helped keep loss ratios within target ranges. King said relatively few claims exceed $100,000 and credited city HR and risk teams for strong reporting procedures.

Risk Manager Luke Chiqua presented a renewed Risk Management Policy to clarify roles, reduce duplication and support proactive risk reduction; staff said the policy will appear on the consent agenda for formal adoption at the council’s Wednesday meeting.

Investment advisers from Government Portfolio Advisors reported no recommended changes to the investment policy but provided a portfolio update: market value plus accrued interest increased from $164 million at 6/30/2024 to $181 million at 6/30/2025, and the portfolio complied with diversification and maturity constraints. Whitney Maher said the portfolio’s book yield ended near 3.97% for the fiscal year.

Councilors asked clarifying questions about timing, capital thresholds and reserve targets; staff discussed a new capitalization threshold of $10,000 in line with GASB guidance and a reserve target goal of 25% of operating expenditures with a plan to align with GFOA recommendations over time. Councilors were informed these items will return for formal consideration on the consent agenda.