REPORT TO COUNCIL
SUBJECT
Title
Action on Adoption of Ordinance No. 1987 Codifying Existing Claims Settlement Authority and Amending Settlement Authority for Workers’ Compensation Matters
Report
BACKGROUND
Proposed Ordinance No. 1987 was passed for the purpose of publication on September 11, 2018. Pursuant to City Charter Sections 808 and 812, proposed Ordinance No. 1987 was published on September 19, 2018 and copies were posted in at least three public places.
DISCUSSION
The Ordinance codifies existing settlement authority for liability claims matters, previously set by Resolution, and provides for an increased settlement authority in worker’s compensation matters.
Resolution 17-8430 contained liability claims settlement limits of $25,000 and $50,000 for City Attorney and City Manager, respectively. To promote transparency and ease of access for the general public, those previously established claims settlement authority figures will now be codified. These limits comport with the $50,000 settlement limit of Government Code §934.5.
Claims for which the workers’ compensation system provides the exclusive remedy are exempt from the Government Claims Act (Government Code §905). As such, these claims are not subject to the $50,000 statutory cap on Council’s ability to delegate settlement of claims (Government Code §935.4). Therefore, and in line with similar actions taken by neighboring cities and historical claim figures for the City of Santa Clara, the ordinance permits City Attorney and City Manager approval of all stipulation awards, regardless of amount, and approval of compromise and release claims up to $250,000. The authority to settle workers’ compensation claims does not include negligence or other acts by the City or its employees (such as serious and willful misconduct cases); those cases would be limited to the settlement authority figures listed above in accordance with the $50,000 limit in the California Government Code. Limiting the times that these matters are presented at closed or open sessions of Council meetings would also ensure that employee medical privacy is maintained.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
FISCAL IMPACT
With the approval of the recommendation outlined in this report, staff time can be dedicated towards other priority issues.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Adopt Ordinance No. 1987 Codifying Existing Claims Settlement Authority and Amending Settlement Authority for Workers’ Compensation Matters.
Staff
Reviewed by: Brian Doyle, City Attorney
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Ordinance No. 1987