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Aldermen pause cyber-insurance approval and request fuller IT contract terms; item moved to June 24 special meeting
Summary
Council members reviewed a proposed $7,525 cyber liability renewal and a draft IT services agreement (ArchTech, $5,625/month). Concerns included coverage limits, renewal/termination notice timing, data-retention policies and service-level guarantees; the board voted to add the cyber-insurance renewal as the first item on the June 24 special meeting so the attorney can review it beforehand.
The Board of Aldermen reviewed a Travelers cyber-liability renewal and a proposed IT services contract with ArchTech during its June 18 meeting.
Staff flagged a cyber insurance renewal for $7,525 with coverage items that include privacy/security liability, payment-card costs, cyber extortion and data restoration. Members expressed concern that the policy packet (more than 30 pages) arrived late for review and said they wanted Attorney Jones to examine coverage and termination provisions before approving. Mayor Felic and others noted the city’s current policy coverage expires June 30; council moved to add the cyber renewal to the June 24 special meeting agenda as the first item so the attorney could review it in advance.
The IT-services agreement with ArchTech (proposed $5,625 per month) prompted detailed questions about renewal notice timing (90-day termination notice vs. 30-day rate-change notice), whether antivirus/anti-ransomware services listed in the scope match exclusions, the need for an explicit SLA or performance guarantees, data-retention terms (the draft referenced one-year post-termination retention), and dispute-resolution (some members recommended replacing arbitration with litigation). Staff said the current contract should keep services in place while proposed edits are negotiated and planned to bring recommended contract language back to the July 2 meeting.
Next steps: Attorney Jones agreed to review the cyber policy in advance of the June 24 special meeting. Staff will return proposed ArchTech edits and clarifications to a future board meeting.
