ORDINANCE NO. 1365
August 9, 2013
ORDINANCE NO. 1365
AN ORDINANCE AUTHORIZING AND DIRECTING SUBMISSION OF A WRITTEN REQUEST TO PARTICIPATE IN THE INDIANA DEPARTMENT OF INSURANCE’S INSURANCE PROCEEDS SET ASIDE PROGRAM
WHEREAS, the State of Indiana, through the Indiana Department of Insurance, for many years, has administered a program to help preserve for the participating cities “available insurance proceeds” which program provides to cities that specifically elect to be governed by the applicable law notice and certain protections in the event that insurance proceeds are available due to damage to a building in their community caused by fire explosion and at the time of final settlement of an eligible insurance claim; and
WHEREAS, in qualifying instances, the participating city can require a statutorily set percentage or amount of the insurance proceeds to be paid to the city, to be held in escrow, and potentially used for demolition, remediation, or other unsafe building expenses following any necessary legal action; and
WHEREAS, the law is designed to provide some level of protection to cities from property owners who might choose to take any insurance proceeds and fail to repair or cleanup their damaged property; and
WHEREAS, this program became available to third class cities on July 1, 2013, and
WHEREAS, there is a one-time registration fee of $100.00 to participate in the program; and
WHEREAS, the Council finds that the interests of the citizens of the City of Bluffton would be best served by participating in the program;
THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF BLUFFTON, INDIANA AS FOLLOWS:
Section 1: the City of Bluffton hereby elects to be governed by IC 27-2-15-1, et seq, and the Mayor of Bluffton is hereby authorized and directed to submit to the Indiana Department of Insurance a written request reflecting the City’s desire to participate in the available insurance proceeds set aside program as described herein.
Section 2: The Clerk-Treasurer is hereby directed to make payment to the Indiana Department of Insurance the sum of $100.00 to register the City into the program as provided for in IC 27-2-15-4.4(d).
This Ordinance shall be in force upon adoption and publication as required by law.
Passed by the Common Council of the City of Bluffton, Indiana this 6th day of August, 2013, by the following vote:
AYES 5 , to-wit:
NAYS 0 , to-wit:
ABSENT 0 , to-wit:
Bette A. Erxleben
James E. Phillabaum
Melanie S. Durr
Carl W. Perry
Michael D. Morrissey
Presented to me, the Mayor of Bluffton, Indiana and approved this 6th day of August, 2013, at 7:38 p.m.
Honorable Ted Ellis, Mayor
Tamara D. Runyon, CMC