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Consent Agenda Commissioners Office JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST TO: Board of County Commissioners Philip Morley, County Administrator FROM: Leslie Locke,Executive Assistant DATE: October 21,2019 SUBJECT: Resolution Updating the Jefferson County Risk Management Policy STATEMENT OF ISSUE: The Board of County Commissioners will consider passing a resolution updating the Jefferson County Risk Management Policy. As amended,the county's Risk Management Committee will have a minimum of five (5)or a maximum of six(6)voting members, depending on if the Commissioners appoint one or two FLSA Exempt Employees to the Committee. The updated Policy also adds a reference to Ordinance No. 09-0806-18 for indemnifying County employees or officers, as that ordinance exists now or may be subsequently be replaced or amended. ANALYSIS: The Risk Management Policy is a document that identifies how claims against the County will be received, and processed. The intent of this policy is to pro-actively preserve and protect from losses the assets of County operations in the most economical and efficient manner while at the same time provide a safe, secure, and healthful working environment for County employees. The risk management program must function within the financial abilities for the County consistent with related legal requirements. This policy applies to all risks of accidental loss, such as fire, liability,theft, property damage,malpractice, illness, and injury,both direct and indirect, as it relates to all County employees including elected officials, quasi-officials, and documented volunteers. The following updates have been made to the draft resolution: • Section 6.4.1 Voting Members-The Risk Management Committee shall have a minimum of five (5)or a maximum of six(6)voting members. The membership shall consist of 1 or 2 FLSA Exempt Employee as listed on the Exempt Wage Matrix(from a different department than the Elected Official serving on the Committee). • Section 6.9 Defense of County Officers and Employees: Indemnification and Tort Representation of Jefferson County Employees and Officers. This section references the current Ordinance and any subsequent ordinance that may be approved. FISCAL IMPACT: None. RECOMMENDATION: Approve the proposed Resolution updating the Jefferson County Risk Management Policy. V I WED ; . /647 410 c-- Phili p� or ey, County Administitor Date COUNTY OF JEFFERSON STATE OF WASHINGTON In the Matter of Updating the } Jefferson County } Risk Management Policy } RESOLUTION NO. WHEREAS, Jefferson County has the responsibility to its taxpayers and citizens to assure that modern loss control practices are employed in the administration of the public business; and WHEREAS, there exists a need to update the established program for the processing, handling and disposition of claims and claims lawsuits filed or brought against the County and/or County officers and employees; and WHEREAS, there exists a further need to provide a coordinated and economically efficient means for dealing with the risks facing the County without expanding the County's liability for claims or claims lawsuits. NOW, THEREFORE, BE IT RESOLVED, that the Jefferson County Board of County Commissioners hereby adopts the proposed, updated Risk Management Policy attached hereto as Exhibit "A" along with the following forms: Claim for Damages, Instructions for Completing the Jefferson County Claim for Damage Form; Vehicle Collision Form; and the Authorization for Release of Protected Health Information (PHI) to Jefferson County Risk Management. BE IT FURTHER RESOLVED that this Resolution and Policy repeals and replaces the Risk Management Policy adopted with Resolution 36-11 and any forms used for that policy. APPROVED AND SIGNED this day of , 2019. SEAL: JEFFERSON COUNTY BOARD OF COMMISSIONERS Kate Dean, Chair ATTEST David Sullivan, Member Carolyn Gallaway, CMC Deputy Clerk of the Board Greg Brotherton, Member Attachment "A" Jefferson County Risk Management Policy Section 1.0 Objectives 1 Section 2.0 Purpose 2 2.1 Coordinated Program 2 2.2 Bases of Liability 2 Section 3.0 Affected Parties 2 Section 4.0 References 2 Section 5.0 Definitions 2 Section 6.0 Risk Management Program and Policies 4 6.1 Risk Manager Appointment' 4 6.2 Risk Manager General Duties 4 6.3 Risk Management Committee (RMC) Duties 6 6.4 Risk Management Committee Membership/Meetings 7 6.5 Claims - Filing - Investigation— 8 6.6 Claims Lawsuits— Service - Investigation—Disposition 9 6.7 Self-Insurance Funds 10 6.8 Duties of County Agencies, Officers and Employees 11 6.9 Defense of County Officers and Employees 12 6.10 Safety and Loss Prevention 12 6.11 Program Purpose 12 Section 1.0 Objectives 1.1 To protect the people, property, and finances of Jefferson County against issues of risk in a cost effective and efficient manner. 1.2 The Legislative Authority recognizes the need to manage public funds wisely. The intent of this policy is to proactively preserve and protect from losses the assets of County operations in the most economical and efficient manner. Further, to provide a safe, secure, and healthful working environment for County employees. The risk management program must function within the financial abilities of the County consistent with related legal requirements. This policy applies to all risks of accidental loss, such as fire, liability, theft, property damage, malpractice, illness, and injury, both direct and indirect, as relates to all County employees including elected officials, quasi-officials, and documented volunteers. The success of our risk, claims and safety management program is impacted by the sincere, constant, and cooperative effort at all levels of management and the participation of all county elected and appointed officials, employees, quasi-employees, and volunteers to fully support the risk reduction efforts associated with this critical program. Exposures to loss are either retained primarily through self-insurance or transferred through purchased insurance or contractual transfer. Insurance funds are established and maintained to pay pooling contributions/assessments, insurance premiums, bonds, deductibles, and uninsured claims. Jefferson County Risk Management Policy Section 2.0 Purpose 2.1 Coordinated Program: The purpose of this policy is to provide a coordinated program for processing, handling and disposition of claims and claims lawsuits filed or brought against the County and/or its past and present officers, employees and quasi-employees. It is also intended to establish a procedure for the County to defend and indemnify its past and present officers, employees, or quasi-employees who, as the result of their good faith performance of County business or activities, are the subject of complaints. 2.2 Bases of Liability: This chapter shall not be construed to expand the bases of County liability for claims or claims lawsuits. Section 3.0 Affected Parties County departments, including elected or appointed department heads, employees, and quasi- employees (e.g. Election workers, Jurors, Advisory Board members, volunteers) and quasi- employees working under the direction of County personnel are subject to this policy. Section 4.0 References RCW 42.30 Washington State Open Public Meetings Act Resolution No. 81-88 Authorization to Join the Washington Counties Risk Pool Resolution No. 85-93 Jefferson County Loss Control Program and County-wide Safety Manual Resolution No. 81-96 Establishing Procedures and Guidelines for the Development and Review of Contracts Resolution No. 42-03 County Policy on the Complaint Review and Enforcement Resolution No. 21-08 Designating members to serve on the Jefferson County Risk Management Committee Resolution No. 25-19 Jefferson County Personnel Administration Manual Resolution No. 53-19 Appointing the County's Representative Pursuant to the Bylaws of the Washington Counties Risk Pool Ordinance No. 09-0806-18 Repealing and Replacing the Existing Resolution 87-86 Regarding Indemnification and Tort Representation of Jefferson County Employees and Officers and Amending the Existing Jefferson County Risk Management Policy in Resolution 36-11 Washington Counties Risk Pool Inter-local Agreement (dated August 18, 1988) and Adopted By- Laws (as provided in RCW 39.34 and 48.62) Section 5.0 Definitions These terms shall mean the following for the purposes of this Risk Management Policy: 5.1 Claim: A formal demand for monetary compensation as a result of injury or damages allegedly caused by the County, its officers, employees, or quasi-employees and does not include claims that have been transformed into civil lawsuits filed and/or initiated in District, Superior or U.S. District Court. (See also "Covered Claim"). Page 2 of 12 Jefferson County Risk Management Policy 5.2 Claims lawsuit: A lawsuit alleging that the County and/or its officers, employees, or quasi- employees while acting within the scope of their official duties, have caused injury or damages to the plaintiff and the plaintiff is seeking redress. 5.3 Claims Coordinator: The employee of the County Administrator's Office that is designated to handle and process the claims and claims lawsuits for the County at the direction of the Risk Manager and to serve as the County's liaison with the Pool regarding the administration of the County's claims. This person serves as the Secretary to the Risk Management Committee. This person also manages and retains the records relating to Risk Management including, but not limited to, serving as the repository of all insurance policies and contract bonds in which the County is a named or additional insured. 5.4 County: Jefferson County, State of Washington. 5.5 County Safety Officer: A person designated by the Risk Manager to serve in the role of "County Safety Officer" as required by the Washington Counties Risk Pool. The Safety Officer shall work with the Safety Committees to consider all recommendations of the Pool concerning the development and implementation of a loss control program to prevent unsafe practices. 5.6 Covered Claim: Means a demand by a third party for monetary damages because of an occurrence as defined in the applicable Joint Self Insurance Liability Policy (JSILP). (Refer also to Item 5.1). 5.7 Defense: County indemnification and hold harmless for any County officer, employee or quasi-employee against any allegation or request for relief made against a County officer, employee or quasi-employee that seeks punitive damages against that County officer, employee or quasi-employee and/or his or her marital community. 5.8 Joint Self Insurance Liability Policy (JSILP): The coverage document which defines who is covered, the events that are covered and the extent of coverage for the named insured. 5.9 Member: Jefferson County as a member of the Washington Counties Risk Pool. 5.10 Pool: Means the Washington Counties Risk Pool. 5.11 Protected Health Information (PHI): Individually identifiable health information which is received by a municipality if a properly executed Authorization for Release of Medical Records is obtained. 5.12 Quasi-Employee: A person acting on behalf of the county who may or may not receive wages, with temporary rights and authority relevant to the situation as outlined by the quasi- employee's description of duties or verbal instructions provided by the Departmental Director, e.g.,jurors, poll workers, advisory board members and volunteers. Page 3of12 Jefferson County Risk Management Policy 5.13 Risk Management Committee (RMC): A County committee with specific purpose as defined by these policies and procedures. 5.14 Risk Coordinator/Assistant Risk Manager: An employee of the County who is designated by the Risk Manager and who has completed the required Risk Management Certification classes provided by the Washington Counties Risk Pool. He/she shall also be a member of the RMC. 5.15 Risk Management: A coordinated and continuous program for the identification, analysis, control, prevention and financing of risk and exposures to loss, including, but not limited to property and liability. 5.16 Risk Manager: The appointed County Administrator acts as the County Risk Manager and is responsible for the County risk management function and serves as the formal contact between the County and Pool (the County designee) as to risk management. The Risk Manager is also a voting member of the County RMC. 5.17 Risk Pool: Means Washington Counties Risk Pool 5.18 Washington Counties Risk Pool (WCRP or Risk Pool): A joint local government entity, known as the Washington Counties Risk Pool established under Chapters 48.62 and 39.34, RCW to provide its member counties with joint programs and services including self- insurance (see JSILP), purchasing of insurance, and contracting for or hiring of personnel to provide administrative services, claims handling and risk management. Section 6.0 Risk Management Program and Policies 6.1 Risk Manager Appointment:_Pursuant to the By-laws of the Washington Counties Risk Pool, the Board of County Commissioners has, through adoption of Resolution No. 23-07, appointed the County Administrator as the Risk Manager for Jefferson County. 6.2 Risk Manager General Duties: The Risk Manager is charged with directing, leading and implementing actions intended to minimize the County's financial loss through the identification, mitigation and/or transfer of risks. The Risk Manager shall: 6.2.1 Identification, Mitigation and Transfer of Risks: Identify, mitigate and transfer risks that face the County and shall have authority to make recommendations to the County Commissioners concerning insurance coverage or insuring options, self- insurance, reserves, deductible levels, loss prevention, and other techniques, actions or decisions for the sound management of risk. 6.2.2 Loss Prevention Program: A) Be responsible for developing and implementing programs for the reduction of risk and exposure to loss. Page 4 of 12 Jefferson County Risk Management Policy B) Assist all legal counsel with the defense of Claims Lawsuits against the County and insure that County departments, divisions and agencies are also assisting and cooperating in said defense. 6.2.3 Insurance Policies and Information: The County Commissioners/County Administrator's Office shall be the repository of all insurance policies and contract bonds in which the County is a named insured. Such policies shall be maintained in a current fashion and shall include all riders and endorsements. A) Synopsis of Insurance Policies: The Risk Manager shall prepare and maintain a synopsis of each insurance policy carried by the County. Such synopses shall, at a minimum, include: a description of coverage provided, policy term, coverage limit, deductible, premium, and the carrier's agent. B) Certificates of Insurance: County departments are responsible for obtaining and forwarding to the Claims Coordinator, a Certificate of Insurance from any third party, where a third-party, e.g., a vendor for the County, is contractually obligated to provide the County with proof of adequate insurance (typically names the County as an"additional insured") as a precondition to performing services or providing goods to the County, or any of its elected officials, agencies or divisions and any contract of insurance or performance bonds in which the County is the named insured or a named insured. 6.2.4 Risk Transfer/Contract Review: A) Implement, maintain and update the uniform system of contract review and monitoring of all County contracts, interlocal agreements and other agreements as established in Resolution No. 81-96 for risk transfer and indemnification. B) The contracting authority of the County is the Board of County Commissioners or Legislative Authority. No employee or agent can commit the County to a legally binding contract without the express, written consent of the Board of County Commissioners, nor can a County Elected Officer bind the County to any contract which exceeds the budgetary authority authorized by the Legislative Authority. 6.2.5 Records: Maintain, with the cooperation and assistance from the Prosecuting Attorney's office, complete and accurate records as are required by the Risk Pool. Satisfaction of the Risk Pool requirements may require retaining records with respect to insurance, claims against the County, claims lawsuits filed against the County, losses incurred by the County, all accidents or incidents giving rise to possible liability against the County, and an inventory of all property in which the County has an insurable interest. Such records shall be maintained in a fashion such that statistical data can be readily extracted from the records. Maintenance of said records by the Claims Coordinator shall satisfy the requirements of this section. 6.2.6 Claims and Claims Lawsuits: Have the duties and responsibilities with respect to claims and claims lawsuits as specified in Sections 6.5 and 6.6 6.2.7 Extraordinary Investigations or Review: Be authorized to retain an outside investigator or legal counsel (or such other person or persons having the skill or Page 5of12 Jefferson County Risk Management Policy expertise in the opinion of the Risk Manager necessary to perform the required investigation) for preparation of a report or document regarding the County's potential liability with respect to a Claim filed with the County. A) Make the determination when an"Authorization for Release of Medical Records" (aka PHI) is necessary during the course of an investigation and assure that an Authorization is obtained. B) All investigations, whether internal or by an outside person or entity shall be conducted in anticipation of litigation and treated as attorney work product and/or, where applicable, a privileged attorney-client communication. 6.2.8 Confer and Consult with the Prosecuting Attorney's Office or"PAO": The Risk Manager and an attorney representative of the PAO, consistent with their training and job responsibilities shall: A) Confer with the Risk Pool as necessary to determine the legal counsel that will defend the Claims Lawsuit brought against the County or its employees, officials or representatives and to discuss the legal status of the County and the defenses, if any, available to the County. B) Review all contract forms utilized by the County to identify and reduce any contractual liability being assumed by the County, and attempt to transfer such liabilities. C) Request and receive legal advice from the PAO. D) Notify the appropriate County employees, representatives and officials of changes in State/Federal statutes and common law which affect municipal liability. E) Provide assistance to the insurer(s) in the investigation and settlement of claims against the County from both employees and the public. F) Provide legal assistance in the examination of insurance and bond contracts entered into by the County. G) File and serve Notice's of Appearance if circumstances delay formal assignment(s) of Pool-designated defense counsel. 6.2.9 Contact with the Washington Counties Risk Pool: The Risk Manager shall serve as the formal contact between the County and the Washington Counties Risk Pool on matters related to risk and loss control. A) The Risk Manager shall meet the requirements and perform the duties as defined as a participating County by the WCRP Membership Compact. 6.3 Risk Management Committee (RMC) Duties: The RMC shall be the primary mechanism by which the County manages risk, including but not limited to, the review, disposition and oversight of claims and claims lawsuits, assuring and implementing the County's compliance with the terms and obligations imposed upon it pursuant to: A) The Washington Counties Risk Pool Joint Self-Insurance Liability Policy and B) Its membership in that Risk Pool. The RMC may make periodic recommendations through the Risk Manager to the Board of County Commissioners concerning insurance coverage, self-insurance, deductible, reserves, loss prevention, and any other technique for the sound management of risk. Page 6 of 12 Jefferson County Risk Management Policy 6.3.1 Claims and Claims Lawsuits: The RMC shall have those duties and responsibilities with respect to claims and claims lawsuits as specified in Sections 6.5 and 6.6. 6.3.2 Appeals of Risk Pool Decisions: The RMC shall have authority to authorize the Risk Manager or the Prosecuting Attorney's Office to file with the Risk Pool a formal appeal of any correspondence from the Risk pool, including but not limited to, any correspondence denying coverage or providing coverage with a reservation of rights. 6.3.3 Liability Assessment: The RMC with the assistance of the Prosecuting Attorney's Office shall as needed and with reasonable promptness convey to the Risk Pool any new information, records, testimony or other material that changes or may change the potential liability of the County with respect to either a pending claim or pending claims lawsuit. 6.4 Risk Management Committee Membership/Meetings: The RMC shall be composed of the following members: 6.4.1 Voting Members: The RMC shall have a minimum of five (5) or a maximum of six (6) voting members. Risk Coordinator/Assistant Risk Manager, who shall Chair the RMC Risk Manager County Safety Officer 1 Elected Official other than a Commissioner 1 or 2 FLSA Exempt Employee as listed on the Exempt Wage Matrix (From a different Department than the Elected Official serving on the Committee.) Only appointed members will be counted to establish a quorum and vote. Alternates or designees are not recognized for that purpose. 6.4.2 Non-Voting Members: Legal Advisor to the RMC: The Prosecuting Attorney or a designated Civil Deputy Prosecuting Attorney shall attend all meetings and be the legal adviser to the RMC. Secretary of the RMC: The designated Claims Coordinator shall serve as the Secretary to the RMC. 6.4.3 Meetings: The RMC is subject to the provisions of the Washington State Open Public Meetings Act. A) Regular Meetings: The RMC shall meet regularly at a time established by the Secretary. In the event that there is no business to transact, a meeting may be canceled by the Secretary by giving notice to the remaining members and posting a notice on the door of the room where the meeting was to be held. B) Quorum: A quorum of the RMC shall be not less than 3/5th of the number of voting positions currently on the RMC, whether said positions are empty or not. A majority of the quorum is needed to approve any action of or decision by the RMC. A voting member shall abstain from voting on a claim being Page 7 of 12 Jefferson County Risk Management Policy reviewed that involves a Department or Division they manage, except that this provision shall not bar the County Administrator from voting on a matter relating to one of the departments having an appointed Department Head that he or she supervises as the County Administrator. C) Special Meetings: A special meeting may be called per RCW 42.30 by any member. The Secretary shall give twenty-four (24) hours advance notice to the remaining members and notify those newspapers that have a request for notification on file with the Secretary. Such notice shall specify the time, place and purpose of the special meeting and the special meeting shall be limited to discussion and action on the purpose of the meeting as stated in the required notice. D) Executive Session: In the event that the RMC is considering the disposition of or strategies for a specific claim or claims lawsuit, it may adjourn to executive session in a manner consistent with State law. 6.4.4 Records of the RMC: All records of the RMC will be maintained by the Secretary in the County Administrator/County Commissioner's Offices. A) Agendas and Minutes: The Secretary shall give notice of all the meetings of the RMC as provided in the Open Public Meetings Act. The Secretary shall prepare the agenda, record and keep the minutes of actions taken at all meetings of the RMC, the notices given thereof, the names of those present at the meetings and the proceedings. B) Records: The Secretary shall keep, in the Commissioner's/County Administrator's offices, the official RMC documents and records, including the minutes of RMC meetings and a list of all RMC members, and shall, to the extent needed, work with the attorney from the Prosecuting Attorney's office assigned to the RMC on any correspondence required by the RMC and shall have such other powers and duties as may be prescribed by the RMC. C) Insurance Information: See Section 6.2.3. 6.5 Claims - Filing- Investigation—Disposition 6.5.1 Filing Claims: Claims must be filed with the Office of the Clerk of the Board of County Commissioners. A claim form will be available upon request from that Office. 6.5.2 Transmittal of Claims: Immediately upon receipt of a claim the Claims Coordinator shall transmit a copy of the claim to the Risk Pool and to the Chief Civil Deputy Prosecuting Attorney. The Claims Coordinator shall also coordinate with the Risk Pool on who will investigate the claim. The County will comply with the mandated procedure for notifying the Risk Pool of a new claim. 6.5.3 Duties of the Claims Coordinator: Upon receipt of a claim the Claims Coordinator shall create a file, notify the Risk Manager and immediately give notice thereof to any insurance carrier providing insurance which may cover the claim and provide proof of such notice to the Risk Manager, the Risk Pool, and the Prosecuting Attorney's Office. Page 8 of 12 Jefferson County Risk Management Policy 6.5.4 Duties of the Risk Manager: An investigation shall be conducted into the merits of the claim and a report of the investigation will be forwarded to the Claims Coordinator. The investigation and adjustment of the claim may be contracted to an outside person or entity at the discretion of the Risk Manager and the Risk Pool. A) In an investigation done by the County, determine if Medical Records (aka Protected Health Information) is needed and if so assure that"Authorization for Release of Medical Records" is signed by the Claimant. 6.5.5 Duties of the Risk Management Committee A) The RMC shall not review the claim until an investigation or review is complete and/or the Claims Coordinator has received a written report from the agency, division or office of the County government where the allegedly tortious or unlawful action or omission occurred (or failed to occur.) B) The RMC shall make a recommendation on all claims to the Board of County Commissioners. 1) The RMC is authorized to accept the Claims in whole or in part, reject the Claim in whole or in part and/or take no action on the claim. 2) The RMC is authorized to direct the Risk Manager to convey that decision in writing to the claimant. 3) The RMC is also authorized to take any other step, including, but not limited to, requesting more information from the claimant and/or seeking further investigation(internal or external) it deems necessary for effective resolution of the claim. C) Effect of No Action Taken: If a claim received by the Claims Coordinator is not accepted or denied, in whole or in part, within 60 days of the receipt of same then said claim shall be deemed"Denied." D) All decisions of the RMC to accept a claim, in whole or in part shall be forwarded to the County Administrator as a recommendation of the RMC with final authority to approve the expenditure of County funds resting with the County Commissioners. E) The County Administrator will coordinate claim evaluation with the Pool including determining if the County has authority to settle a claim within its deductible level. Regardless of delegation authority, the Pool will actively monitor all claims. 6.6 Claims Lawsuits—Service -Investigation—Disposition 6.6.1 Service of Process: Service of process for claims lawsuits shall be made in a manner consistent with State law. 6.6.2 Transmittal by the Auditor: Immediately upon receipt of a claims lawsuit, the Auditor shall time and date stamp said claims lawsuit, state method of delivery, e.g., mail, in person or otherwise, and transmit a copy of same to the Clerk of the Board of Commissioners (on behalf of the County Commission) and the Office of the Prosecuting Attorney. Page 9 of 12 Jefferson County Risk Management Policy 6.6.3 Duties of the Claims Coordinator: Upon receipt of a claims lawsuit, the Claims Coordinator shall create a file therefore and shall notify the Washington Counties Risk Pool. 6.6.4 Duties of the Prosecuting Attorney with Respect to Claims Lawsuits: A) The responsibility for the litigation of claims lawsuits whose allegations are such that there is no coverage under the Risk Pool's Joint Self-Insurance Liability Policy shall be with the Prosecuting Attorney, unless otherwise decided by the BOCC upon the recommendation of the RMC. B) The responsibility for the litigation of claims lawsuits whose allegations are such that there is coverage provided by the Risk Pool's Joint Self-Insurance Liability Policy shall be with the attorney assigned by the Risk Pool. However, the Prosecuting Attorney's Office shall provide outside assigned counsel assistance as needed and requested. C) If necessary to protect the legal position or status of the County in the claims lawsuit, the Prosecuting Attorney's Office may file pleadings, attend hearings or otherwise participate in the claims lawsuit on behalf of the County before the next meeting of the RMC. D) The RMC and the County Commission shall be informed of the status of claims lawsuit litigation periodically or upon the request of either the RMC or the County Commission. E) The office of the Prosecuting Attorney shall prepare each year and deliver to the Auditor a list of the pending lawsuits against the County. 6.6.5 Duties of the Risk Management Committee: At its first meeting following receipt of a claims lawsuit, the RMC shall review that claims lawsuit. 6.6.6 Disposition of Claims Lawsuits: A) Claims lawsuits for which the Risk Pool has provided coverage shall be disposed of by the Risk Pool and assigned counsel. B) Claims lawsuits for which the Risk Pool does not or has not provided coverage shall be disposed of in accordance with the decisions of the County Commission. 6.7 Self-Insurance Funds: The County shall from time to time establish various funds to assist in the implementation of this policy. Such funds may be dedicated to and used for only those purposes as may be set forth in the resolutions establishing them. 6.7.1 The County will maintain a fund known as the "Risk Management Reserve" Fund for payment of claims, deductible amounts and costs incurred. The County will work with WCRP when it establishes reserves for pertinent third party liability claims. WCRP will calculate reserves to address the extent of the exposure for indemnity and defense costs. 6.7.2 When the County has or acquires knowledge regarding liability or damages that will affect the claim reserve determination, that information shall be conveyed promptly Page 10 of 12 Jefferson County Risk Management Policy to the WCRP. The County may appeal any claim reserve determination utilizing the procedures established by the WCRP. 6.8 Duties of County Agencies, Officers and Employees: 6.8.1 Cooperation: All County officers, employees and quasi-employees shall cooperate to the fullest extent with the Risk Manager, RMC, the Prosecuting Attorney, and assigned outside counsel in defending claims, actions or lawsuits against the County and investigations by an outside agency on behalf of the County. They shall: A) Assist with Information: Providing information that will assist in the implementation and/or operation of the Risk Management program. B) Help implement the Risk Management Program. Issuing directives to subordinate officers, employees or quasi-employees necessary to implement the Risk Management program. C) Report Accidents and Incidents: County officers and employees shall immediately report to the County Administrator any accident or incident which a reasonable person would expect to result in the eventual filing of a claim or suit. Known traffic collisions and incidents involving County officials, employees, quasi-employees, volunteers, invitees, automobiles or property which could or do subject the County to claims for damages should be reported immediately to the County Administrator. Statements shall not be made to, or in the presence of, third parties or witnesses to the traffic collision or incident. "Fault" shall not be acknowledged. "Fault" is a legal determination that will be made within the appropriate legal forum. D) Provide Fullest Assistance: Provide information, testimony, exhibits and documents in a timely manner in preparation for the County's defense in litigation or investigations by outside agencies. In response to notification by the Prosecuting Attorney, designate a department representative to assist the Prosecuting Attorney during discovery and, preparations for trial in claims lawsuits. E) Obtain Certificates of Insurance: County departments are responsible for obtaining and forwarding to the Claims Coordinator, a Certificate of Insurance from any third party, where a third-party, e.g., a vendor for the County, is contractually obligated to provide the County with proof of adequate insurance (typically names the County as an "additional insured") as a precondition to performing services or providing goods to the County, or any of its elected officials, agencies or divisions and any contract of insurance or performance bonds in which the County is the named insured or a named insured. 6.8.2 Prohibited Acts: Shall not do any of the following without the prior authorization of the Risk Manager, Prosecuting Attorney or assigned outside legal counsel: A) Encourage the filing of a claim or claims lawsuit against the County Page 11 of 12 Jefferson County Risk Management Policy B) Attempt to settle a claim, or claims lawsuit or interfere in any way with an investigation of an employee who is being defended by the County by a professional oversight or regulatory entity C) Make an admission of liability involving a claim or a claims lawsuit or a complaint to any person or entity; or D) Discuss incidents that have led to or could lead to claims, lawsuits or complaints against the County with persons who are not employed by the County. 6.9 Defense of County Officers and Employees: Indemnification and Tort Representation of Jefferson County Employees and Officers: See Ordinance No. 09-0806-18 as it may be subsequently amended or replaced. 6.10 Safety and Loss Prevention: Safety and Loss Prevention Policies and Procedures shall be maintained by the designated County Safety Officer. The County has designed and manages a safety and loss prevention program with the cooperation of all County Officials and Safety Committee representatives. 6.10.1 Records of all mandated training shall be maintained in the Office of the Clerk of the Board and approved by the Human Resource Manager. 6.10.2 Policies and procedures will be reviewed and updated to ensure compliance. 6.10.3 County Officials shall post all required safety related literature. 6.11 Safety Program Purpose: The purpose of the safety program is to reduce accidents causing injuries to County employees and the public, and to reduce the frequency and severity of all property losses. 6.11.1 The County will make full use of the expert services of the Pool, insurers, brokers, and departmental safety personnel whenever possible to develop better safety and loss prevention procedures. 6.11.2 The County's program shall comply with Washington State Labor and Industries regulations and shall include but is not limited to: A) Periodic inspection of facilities. B) Investigation into the causes of accidents and property losses. C) Development of safety training programs for employees. D) Communicating safety literature to all departments. 6.12 All accidents and losses shall be reported promptly to the Risk Manager and in accordance with prescribed procedures. 6.13 The County Safety Policy designates the position that will serve as Safety Officer. Page 12 of 12 In the Matter of Updating the Jefferson County COUNTY OF JEFFERSON STATE OF WASHINGTON Risk Management Policy } RESOLUTION N0. 36 -11 WHEREAS, Jefferson County has the responsibility to its taxpayers and citizens to assure that modern loss control practices are employed in the administration of the public business; and WHEREAS, there exists a need to update the established program for the processing, handling and disposition of claims and claims lawsuits filed or brought against the County and/or County officers and employees; and WHEREAS, there exists a further need to provide a coordinated and economically efficient means for dealing with the risks facing the County without expanding the County's liability for claims or claims lawsuits. NOW, THEREFORE, BE IT RESOLVED, that the Jefferson County Board of County Commissioners hereby adopts the proposed, updated Risk Management Policy attached hereto as Exhibit "A" along with the following forms: Claim for Damages, Instructions for Completing the Jefferson County Claim for Damage Form; Vehicle Collision Form; and the Authorization for Release of Protected Health Information (PHI) to Jefferson County Risk Management. BE IT FURTHER RESOLVED that this Resolution and Policy repeals and replaces the Risk Management Policy adopted with Resolution 85 -95 and any forms used for that policy. q r. PROVED AND SIGNED this day of 2011. On Raina Randall, Deputy Clerk of the Board JEFFERSON COUNTY BOARD OF COMMISSIONERS Phil Johnson, Member David Sullivan, /101m Attachment "A" Jefferson County Risk Management Policy Section1.0 Objectives .................................................................................... ............................... 1 Section2.0 Purpose ......................................................................................... ............................... 2 2.1 Coordinated Program ........................................................................... ............................... 2 2.2 Bases of Liability ................................................................................. ............................... 2 Section3.0 Affected Parties ............................................................................ ............................... 2 Section4.0 References .................................................................................... ............................... 2 Section5.0 Definitions ................................................................................... ............................... 2 Section 6.0 Risk Management Program and Policies ..................................... ............................... 4 6.1 Risk Manager Appointment: ............................................................................................... 4 6.2 Risk Manager General Duties .............................................................. ............................... 4 6.3 Risk Management Committee (RMC) Duties ..................................... ............................... 6 6.4 Risk Management Committee Membership/Meetings ........................ ............................... 7 6.5 Claims - Filing - Investigation — .......................................................... ............................... 8 6.6 Claims Lawsuits — Service - Investigation — Disposition .................... ............................... 9 6.7 Self- Insurance Funds ......................................................................... ............................... 10 6.8 Duties of County Agencies, Officers and Employees ....................... ............................... 10 6.9 Defense of County Officers and Employees ...................................... ............................... 11 6.10 Safety and Loss Prevention ................................................................ ............................... 12 6.11 Program Purpose ................................................................................ ............................... 12 Section 1.0 Objectives 1.1 To protect the people, property, and finances of Jefferson County against issues of risk in a cost effective and efficient manner. 1.2 The Legislative Authority recognizes the need to manage public funds wisely. The intent of this policy is to proactively preserve and protect from losses the assets of County operations in the most economical and efficient manner. Further, to provide a safe, secure, and healthful working environment for County employees. The risk management program must function within the financial abilities of the County consistent with related legal requirements. This policy applies to all risks of accidental loss, such as fire, liability, theft, property damage, malpractice, illness, and injury, both direct and indirect, as relates to all County employees including elected officials, quasi - officials, and documented volunteers. The success of our risk, claims and safety management program is impacted by the sincere, constant, and cooperative effort at all levels of management and the participation of all county elected and appointed officials, employees, quasi - employees, and volunteers to fully support the risk reduction efforts associated with this critical program. Exposures to loss are either retained primarily through self - insurance or transferred through purchased insurance or contractual transfer. Insurance funds are established and maintained to pay pooling contributions /assessments, insurance premiums, bonds, deductibles, and uninsured claims. Jefferson County Risk Management Policy Section 2.0 Purpose 2.1 Coordinated Program: The purpose of this policy is to provide a coordinated program for processing, handling and disposition of claims and claims lawsuits filed or brought against the County and/or its past and present officers, employees and quasi - employees. It is also intended to establish a procedure for the County to defend and indemnify its past and present officers, employees, or quasi- employees who, as the result of their good faith performance of County business or activities, are the subject of complaints. 2.2 Bases of Liability: This chapter shall not be construed to expand the bases of County liability for claims or claims lawsuits. Section 3.0 Affected Parties County departments, including elected or appointed department heads, employees, and quasi - employees (e.g. Election workers, Jurors, Advisory Board members, volunteers) and quasi - employees working under the direction of County personnel are subject to this policy. Section 4.0 References RCW 42.30 Washington State Open Public Meetings Act Resolution No. 87 -86 — Indemnification and Tort Representation for County Employees Resolution No. 81 -88 — Authorization to Join the Washington Counties Risk Pool Resolution No. 85 -93 -- Jefferson County Loss Control Program and County -wide Safety Manual Resolution No. 81 -96 — Establishing Procedures and Guidelines for the Development and Review of Contracts Resolution No. 42 -03 -- County Policy on the Complaint Review and Enforcement Resolution No. 92 -03 — Jefferson County Personnel Administration Manual Resolution No. 23 -07 -- Appointing the County's Representative Pursuant to the Bylaws of the Washington Counties Risk Pool Resolution No. 21 -08 — Designating members to serve on the Jefferson County Risk Management Committee Washington Counties Risk Pool Inter -local Agreement (dated August 18, 1988) and Adopted By- Laws (as provided in RCW 39.34 and 48.62) Section 5.0 Definitions These terms shall mean the following for the purposes of this Risk Management Policy: 5.1 Claim: A formal demand for monetary compensation as a result of injury or damages allegedly caused by the County, its officers, employees, or quasi- employees and does not include claims that have been transformed into civil lawsuits filed and /or initiated in District, Superior or U.S. District Court. (See also "Covered Claim "). 5.2 Claims lawsuit: A lawsuit alleging that the County and/or its officers, employees, or quasi - employees while acting within the scope of their official duties, have caused injury or damages to the plaintiff and the plaintiff is seeking redress. Page 2 of 13 Jefferson County Risk Management Policy 5.3 Claims Coordinator: The employee of the County Administrator's Office that is designated to handle and process the claims and claims lawsuits for the County at the direction of the Risk Manager and to serve as the County's liaison with the Pool regarding the administration of the County's claims. This person serves as the Secretary to the Risk Management Committee. This person also manages and retains the records relating to Risk Management including, but not limited to, serving as the repository of all insurance policies and contract bonds in which the County is a named or additional insured. 5.4 County: Jefferson County, State of Washington. 5.5 County Safety Officer: A person designated by the Risk Manager to serve in the role of "County Safety Officer" as required by the Washington Counties Risk Pool. The Safety Officer shall work with the Safety Committees to consider all recommendations of the Pool concerning the development and implementation of a loss control program to prevent unsafe practices. 5.6 Covered Claim: Means a demand by a third party for monetary damages because of an occurrence as defined in the applicable Joint Self Insurance Liability Policy (JSILP). (Refer also to Item 5.1). 5.7 Defense: County indemnification and hold harmless for any County officer, employee or quasi - employee against any allegation or request for relief made against a County officer, employee or quasi - employee that seeks punitive damages against that County officer, employee or quasi - employee and/or his or her marital community. 5.8 Joint Self Insurance Liability Policy (JSILP): The coverage document which defines who is covered, the events that are covered and the extent of coverage for the named insured. 5.9 Member: Jefferson County as a member of the Washington Counties Risk Pool. 5.10 Pool: Means the Washington Counties Risk Pool. 5.11 Protected Health Information (PHI): Individually identifiable health information which is received by a municipality if a properly executed Authorization for Release of Medical Records is obtained. 5.12 Quasi - Employee: A person acting on behalf of the county who may or may not receive wages, with temporary rights and authority relevant to the situation as outlined by the quasi - employee's description of duties or verbal instructions provided by the Departmental Director, e.g., jurors, poll workers, advisory board members and volunteers. 5.13 Risk Management Committee (RMC): A County committee with specific purpose as defined by these policies and procedures. 5.14 Risk Coordinator /Assistant Risk Manager: An employee of the County who is designated by the Risk Manager and who has completed the required Risk Management Page 3 of 13 Jefferson County Risk Management Policy Certification classes provided by the Washington Counties Risk Pool. He /she shall also be a member of the RMC. 5.15 Risk Management: A coordinated and continuous program for the identification, analysis, control, prevention and financing of risk and exposures to loss, including, but not limited to property and liability. 5.16 Risk Manager: The appointed County Administrator acts as the County Risk Manager and is responsible for the County risk management function and serves as the formal contact between the County and Pool (the County designee) as to risk management. The Risk Manager is also a voting member of the County RMC. 5.17 Risk Pool: Means Washington Counties Risk Pool 5.18 Washington Counties Risk Pool (WCRP or Risk Pool): A joint local government entity, known as the Washington Counties Risk Pool established under Chapters 48.62 and 39.34, RCW to provide its member counties with joint programs and services including self - insurance (see JSILP), purchasing of insurance, and contracting for or hiring of personnel to provide administrative services, claims handling and risk management. Section 6.0 Risk Management Program and Policies 6.1 Risk Manager Appointment: Pursuant to the By -laws of the Washington Counties Risk Pool, the Board of County Commissioners has, through adoption of Resolution No. 23 -07, appointed the County Administrator as the Risk Manager for Jefferson County. 6.2 Risk Manager General Duties: The Risk Manager is charged with directing, leading and implementing actions intended to minimize the County's financial loss through the identification, mitigation and/or transfer of risks. The Risk Manager shall: 6.2.1 Identification, Mitigation and Transfer of Risks: Identify, mitigate and transfer risks that face the County and shall have authority to make recommendations to the County Commissioners concerning insurance coverage or insuring options, self - insurance, reserves, deductible levels, loss prevention, and other techniques, actions or decisions for the sound management of risk. 6.2.2 Loss Prevention Program: A) Be responsible for developing and implementing programs for the reduction of risk and exposure to loss. B) Assist all legal counsel with the defense of Claims Lawsuits against the County and insure that County departments, divisions and agencies are also assisting and cooperating in said defense. 6.2.3 Insurance Policies and Information: The County Commissioners/ County Administrator's Office shall be the repository of all insurance policies and contract Page 4 of 13 Jefferson County Risk Management Policy bonds in which the County is a named insured. Such policies shall be maintained in a current fashion and shall include all riders and endorsements. A) Synopsis oflnsurance Policies: The Risk Manager shall prepare and maintain a synopsis of each insurance policy carried by the County. Such synopses shall, at a minimum, include: a description of coverage provided, policy term, coverage limit, deductible, premium, and the carrier's agent. B) Certificates oflnsurance: County departments are responsible for obtaining and forwarding to the Claims Coordinator, a Certificate of Insurance from any third party, where a third -party, e.g., a vendor for the County, is contractually obligated to provide the County with proof of adequate insurance (typically names the County as an "additional insured ") as a precondition to performing services or providing goods to the County, or any of its elected officials, agencies or divisions and any contract of insurance or performance bonds in which the County is the named insured or a named insured. 6.2.4 Risk Transfer /Contract Review: A) Implement, maintain and update the uniform system of contract review and monitoring of all County contracts, inter -local agreements and other agreements as established in Resolution No. 81 -96 for risk transfer and indemnification. B) The contracting authority of the County is the Board of County Commissioners or Legislative Authority. No employee or agent can commit the County to a legally binding contract without the express, written consent of the Board of County Commissioners, nor can a County Elected Officer bind the County to any contract which exceeds the budgetary authority authorized by the Legislative Authority. 6.2.5 Records: Maintain, with the cooperation and assistance from the Prosecuting Attorney's office, complete and accurate records as are required by the Risk Pool. Satisfaction of the Risk Pool requirements may require retaining records with respect to insurance, claims against the County, claims lawsuits filed against the County, losses incurred by the County, all accidents or incidents giving rise to possible liability against the County, and an inventory of all property in which the County has an insurable interest. Such records shall be maintained in a fashion such that statistical data can be readily extracted from the records. Maintenance of said records by the Claims Coordinator shall satisfy the requirements of this section. 6.2.6 Claims and Claims Lawsuits: Have the duties and responsibilities with respect to claims and claims lawsuits as specified in Sections 6.5 and 6.6 6.2.7 Extraordinary Investigations or Review: Be authorized to retain an outside investigator or legal counsel (or such other person or persons having the skill or expertise in the opinion of the Risk Manager necessary to perform the required investigation) for preparation of a report or document regarding the County's potential liability with respect to a Claim filed with the County. A) Make the determination when an "Authorization for Release of Medical Records" (aka PHI) is necessary during the course of an investigation and assure that a Authorization is obtained. Page 5 of 13 Jefferson County Risk Management Policy B) All investigations, whether internal or by an outside person or entity shall be conducted in anticipation of litigation and treated as attorney work product and/or, where applicable, a privileged attomey- client communication. 6.2.8 Confer and Consult with the Prosecuting Attorney's Office or "PAO ": The Risk Manager and an attorney representative of the PAO, consistent with their training and job responsibilities shall: A) Confer with the Risk Pool as necessary to determine the legal counsel that will defend the Claims Lawsuit brought against the County or its employees, officials or representatives and to discuss the legal status of the County and the defenses, if any, available to the County. B) Review all contract forms utilized by the County to identify and reduce any contractual liability being assumed by the County, and attempt to transfer such liabilities. C) Request and receive legal advice from the PAO. D) Notify the appropriate County employees, representatives and officials of changes in State /Federal statutes and common law which affect municipal liability. E) Provide assistance to the insurer(s) in the investigation and settlement of claims against the County from both employees and the public. F) Provide legal assistance in the examination of insurance and bond contracts entered into by the County. G) File and serve Notice's of Appearance if circumstances delay formal assignment(s) of Pool- designated defense counsel. 6.2.9 Contact with the Washington Counties Risk Pool: The Risk Manager shall serve as the formal contact between the County and the Washington Counties Risk Pool on matters related to risk and loss control. A) The Risk Manager shall meet the requirements and perform the duties as defined as a participating County by the WCRP Membership Compact. 6.3 Risk Management Committee (RMC) Duties: The RMC shall be the primary mechanism by which the County manages risk, including but not limited to, the review, disposition and oversight of claims and claims lawsuits, assuring and implementing the County's compliance with the terms and obligations imposed upon it pursuant to: A) The Washington Counties Risk Pool Joint Self- Insurance Liability Policy and B) Its membership in that Risk Pool. The RMC may make periodic recommendations through the Risk Manager to the Board of County Commissioners concerning insurance coverage, self - insurance, deductible, reserves, loss prevention, and any other technique for the sound management of risk. 6.3.1 Claims and Claims Lawsuits: The RMC shall have those duties and responsibilities with respect to claims and claims lawsuits as specified in Sections 6.5 and 6.6. 6.3.2 Appeals of Risk Pool Decisions: The RMC shall have authority to authorize the Risk Manager or the Prosecuting Attorney's Office to file with the Risk Pool a formal appeal of any correspondence from the Risk pool, including but not limited Page 6 of 13 Jefferson County Risk Management Policy to, any correspondence denying coverage or providing coverage with a reservation of rights. 6.3.3 Liability Assessment: The RMC with the assistance of the Prosecuting Attorney's Office shall as needed and with reasonable promptness convey to the Risk Pool any new information, records, testimony or other material that changes or may change the potential liability of the County with respect to either a pending claim or pending claims lawsuit. 6.4 Risk Management Committee Membership/Meetings: The RMC shall be composed of the following members: 6.4.1 Voting Members: The RMC shall have five (5) voting members. Risk Coordinator /Assistant Risk Manager, who shall Chair the RMC Risk Manager County Safety Officer 1 Elected Official other than a Commissioner 1 FLSA Exempt Employee as listed on the Exempt Wage Matrix (From a different Department than the Elected Official serving on the Committee.) Only appointed members will be counted to establish a quorum and vote. Alternates or designees are not recognized for that purpose. 6.4.2 Non - Voting Members: Legal Advisor to the RMC: The Prosecuting Attorney or a designated Civil Deputy Prosecuting Attorney shall attend all meetings and be the legal adviser to the RMC. Secretary of the RMC: The designated Claims Coordinator shall serve as the Secretary to the RMC. 6.4.3 Meetings: The RMC is subject to the provisions of the Washington State Open Public Meetings Act. A) Regular Meetings: The RMC shall meet regularly at a time established by the Secretary. In the event that there is no business to transact, a meeting may be canceled by the Secretary by giving notice to the remaining members and posting a notice on the door of the room where the meeting was to be held. B) Quorum: A quorum of the RMC shall be not less than 3/5`h of the number of voting positions currently on the RMC, whether said positions are empty or not. A majority of the quorum is needed to approve any action of or decision by the RMC. A voting member shall abstain from voting on a claim being reviewed that involves a Department or Division they manage, except that this provision shall not bar the County Administrator from voting on a matter relating to one of the departments having an appointed Department Head that he or she supervises as the County Administrator. C) Special Meetings: A special meeting may be called per RCW 42.30 by any member. The Secretary shall give twenty -four (24) hours advance notice to the remaining members and notify those newspapers that have a request for Page 7 of 13 Jefferson County Risk Management Policy notification on file with the Secretary. Such notice shall specify the time, place and purpose of the special meeting and the special meeting shall be limited to discussion and action on the purpose of the meeting as stated in the required notice. D) Executive Session: In the event that the RMC is considering the disposition of or strategies for a specific claim or claims lawsuit, it may adjourn to executive session in a manner consistent with State law. 6.4.4 Records of the RMC: All records of the RMC will be maintained by the Secretary in the County Administrator /County Commissioner's Offices. A) Agendas and Minutes: The Secretary shall give notice of all the meetings of the RMC as provided in the Open Public Meetings Act. The Secretary shall prepare the agenda, record and keep the minutes of actions taken at all meetings of the RMC, the notices given thereof, the names of those present at the meetings and the proceedings. B) Records: The Secretary shall keep, in the Commissioner's /County Administrator's offices, the official RMC documents and records, including the minutes of RMC meetings and a list of all RMC members, and shall, to the extent needed, work with the attorney from the Prosecuting Attorney's office assigned to the RMC on any correspondence required by the RMC and shall have such other powers and duties as may be prescribed by the RMC. C) Insurance Information: See Section 6.2.3. 6.5 Claims - Filing - Investigation — Disposition 6.5.1 Filing Claims: Claims must be filed with the Office of the Clerk of the Board of County Commissioners. A claim form will be available upon request from that Office. 6.5.2 Transmittal of Claims: Immediately upon receipt of a claim the Claims Coordinator shall transmit a copy of the claim to the Risk Pool and to the Chief Civil Deputy Prosecuting Attorney. The Claims Coordinator shall also coordinate with the Risk Pool on who will investigate the claim. The County will comply with the mandated procedure for notifying the Risk Pool of a new claim. 6.5.3 Duties of the Claims Coordinator: Upon receipt of a claim the Claims Coordinator shall create a file, notify the Risk Manager and immediately give notice thereof to any insurance carrier providing insurance which may cover the claim and provide proof of such notice to the Risk Manager, the Risk Pool, and the Prosecuting Attorney's Office. 6.5.4 Duties of the Risk Manager: An investigation shall be conducted into the merits of the claim and a report of the investigation will be forwarded to the Claims Coordinator. The investigation and adjustment of the claim may be contracted to an outside person or entity at the discretion of the Risk Manager and the Risk Pool. A) In an investigation done by the County, determine if Medical Records (aka Protected Health Information) is needed and if so assure that "Authorization for Release of Medical Records" is signed by the Claimant. Page 8 of 13 Jefferson County Risk Management Policy 6.5.5 Duties of the Risk Management Committee A) The RMC shall not review the claim until an investigation or review is complete and /or the Claims Coordinator has received a written report from the agency, division or office of the County government where the allegedly tortious or unlawful action or omission occurred (or failed to occur.) B) The RMC shall make a recommendation on all claims to the Board of County Commissioners. 1) The RMC is authorized to accept the Claims in whole or in part, reject the Claim in whole or in part and /or take no action on the claim. 2) The RMC is authorized to direct the Risk Manager to convey that decision in writing to the claimant. 3) The RMC is also authorized to take any other step, including, but not limited to, requesting more information from the claimant and/or seeking further investigation (internal or external) it deems necessary for effective resolution of the claim. C) Effect of No Action Taken: If a claim received by the Claims Coordinator is not accepted or denied, in whole or in part, within 60 days of the receipt of same then said claim shall be deemed "Denied." D) All decisions of the RMC to accept a claim, in whole or in part shall be forwarded to the County Administrator as a recommendation of the RMC with final authority to approve the expenditure of County funds resting with the County Commissioners. E) The County Administrator will coordinate claim evaluation with the Pool including determining if the County has authority to settle a claim within its deductible level. Regardless of delegation authority, the Pool will actively monitor all claims. 6.6 Claims Lawsuits — Service - Investigation — Disposition 6.6.1 Service of Process: Service of process for claims lawsuits shall be made in a manner consistent with State law. 6.6.2 Transmittal by the Auditor: Immediately upon receipt of a claims lawsuit, the Auditor shall time and date stamp said claims lawsuit, state method of delivery, e.g., mail, in person or otherwise, and transmit a copy of same to the Clerk of the Board of Commissioners (on behalf of the County Commission) and the Office of the Prosecuting Attorney. 6.6.3 Duties of the Claims Coordinator: Upon receipt of a claims lawsuit, the Claims Coordinator shall create a file therefore and shall notify the Washington Counties Risk Pool. 6.6.4 Duties of the Prosecuting Attorney with Respect to Claims Lawsuits: A) The responsibility for the litigation of claims lawsuits whose allegations are such that there is no coverage under the Risk Pool's Joint Self- Insurance Page 9 of 13 Jefferson County Risk Management Policy Liability Policy shall be with the Prosecuting Attorney, unless otherwise decided by the BOCC upon the recommendation of the RMC. B) The responsibility for the litigation of claims lawsuits whose allegations are such that there is coverage provided by the Risk Pool's Joint Self - Insurance Liability Policy shall be with the attorney assigned by the Risk Pool. However, the Prosecuting Attorney's Office shall provide outside assigned counsel assistance as needed and requested. C) If necessary to protect the legal position or status of the County in the claims lawsuit, the Prosecuting Attorney's Office may file pleadings, attend hearings or otherwise participate in the claims lawsuit on behalf of the County before the next meeting of the RMC. D) The RMC and the County Commission shall be informed of the status of claims lawsuit litigation periodically or upon the request of either the RMC or the County Commission. E) The office of the Prosecuting Attorney shall prepare each year and deliver to the Auditor a list of the pending lawsuits against the County. 6.6.5 Duties of the Risk Management Committee: At its first meeting following receipt of a claims lawsuit, the RMC shall review that claims lawsuit. 6.6.6 Disposition of Claims Lawsuits: A) Claims lawsuits for which the Risk Pool has provided coverage shall be disposed of by the Risk Pool and assigned counsel. B) Claims lawsuits for which the Risk Pool does not or has not provided coverage shall be disposed of in accordance with the decisions of the County Commission. 6.7 Self- Insurance Funds: The County shall from time to time establish various funds to assist in the implementation of this policy. Such funds may be dedicated to and used for only those purposes as may be set forth in the resolutions establishing them. 6.7.1 The County will maintain a fund known as the `Risk Management Reserve" Fund for payment of claims, deductible amounts and costs incurred. The County will work with WCRP when it establishes reserves for pertinent third party liability claims. WCRP will calculate reserves to address the extent of the exposure for indemnity and defense costs. 6.7.2 When the County has or acquires knowledge regarding liability or damages that will affect the claim reserve determination, that information shall be conveyed promptly to the WCRP. The County may appeal any claim reserve determination utilizing the procedures established by the WCRP. 6.8 Duties of County Agencies, Officers and Employees: 6.8.1 Cooperation: All County officers, employees and quasi - employees shall cooperate to the fullest extent with the Risk Manager, RMC, the Prosecuting Attorney, and Page 10 of 13 Jefferson County Risk Management Policy assigned outside counsel in defending claims, actions or lawsuits against the County and investigations by an outside agency on behalf of the County. They shall: A) Assist with Information: Providing information that will assist in the implementation and/or operation of the Risk Management program. B) Help implement the Risk Management Program. Issuing directives to subordinate officers, employees or quasi - employees necessary to implement the Risk Management program. C) Report Accidents and Incidents: County officers and employees shall immediately report to the County Administrator any accident or incident which a reasonable person would expect to result in the eventual filing of a claim or suit. Known traffic collisions and incidents involving County officials, employees, quasi- employees, volunteers, invitees, automobiles or property which could or do subject the County to claims for damages should be reported immediately to the County Administrator. Statements shall not be made to, or in the presence of, third parties or witnesses to the traffic collision or incident. "Fault" shall not be acknowledged. "Fault" is a legal determination that will be made within the appropriate legal forum. D) Provide Fullest Assistance: Provide information, testimony, exhibits and documents in a timely manner in preparation for the County's defense in litigation or investigations by outside agencies. In response to notification by the Prosecuting Attorney, designate a department representative to assist the Prosecuting Attorney during discovery and, preparations for trial in claims lawsuits. E) Obtain Certificates of Insurance: County departments are responsible for obtaining and forwarding to the Claims Coordinator, a Certificate of Insurance from any third party, where a third -party, e.g., a vendor for the County, is contractually obligated to provide the County with proof of adequate insurance (typically names the County as an "additional insured ") as a precondition to performing services or providing goods to the County, or any of its elected officials, agencies or divisions and any contract of insurance or performance bonds in which the County is the named insured or a named insured. 6.8.2 Prohibited Acts: Shall not do any of the following without the prior authorization of the Risk Manager, Prosecuting Attorney or assigned outside legal counsel: A) Encourage the filing of a claim or claims lawsuit against the County B) Attempt to settle a claim, or claims lawsuit or interfere in any way with an investigation of an employee who is being defended by the County by a professional oversight or regulatory entity C) Make an admission of liability involving a claim or a claims lawsuit or a complaint to any person or entity; or D) Discuss incidents that have led to or could lead to claims, lawsuits or complaints against the County with persons who are not employed by the County. 6.9 Defense of County Officers and Employees: County officers, employees and quasi - employees may request of the County a "Defense" (as defined in this policy) in order that past and present County officers, employees and quasi - employees may act in good faith Page 11 of 13 Jefferson County Risk Management Policy with the course of employment on the County's behalf without fear of personal liability. In accordance with RCW 4.96.041, as that law may thereafter be amended, the County is authorized to pay punitive damages assessed against a County officer, employee, or quasi - employee pursuant to the process established in this policy. 6.9.1 Alternative Protection: Portions of this section provide a means of protection for County officers, employees and quasi - employees that are in addition to the coverage provided to the County by its membership in the Washington Counties Risk Pool. 6.9.2 Application for Defense: After receipt of a Summons and Complaint, a past or present County officer, employee or quasi - employee who desires that the County provide a Defense, as that term is defined in this Chapter, shall immediately make an application for defense to his or her direct supervisor, who shall pass the request along to the Risk Manager so that it may be brought to the attention of the County Commissioners. 6.9.3 Duties of the Risk Manager: Upon receipt of an application for a Defense and if requested to do so by the County Commissioners, the Risk Manager, shall review the application for a Defense immediately. The Risk Manager shall investigate the allegations of the Claims lawsuit. If the Risk Manager determines that a lawsuit or complaint was the result of the officer, employee or quasi- employee's good faith performance of the County's lawful business, then the Risk Manager shall recommend to the County Commissioners that they adopt a resolution pursuant to State law memorializing the Commissioner's decision to provide such a Defense. 6.9.4 Establishment of Good Faith: If the County Commissioners determine the suit, complaint or investigation relates to the officer, employee or quasi - employee's good faith performance of the County's lawful business, then the County will provide the Defense and/or pay a judgment, sanction or settlement. 6.10 Safety and Loss Prevention: Safety and Loss Prevention Policies and Procedures shall be maintained by the designated County Safety Officer. The County has designed and manages a safety and loss prevention program with the cooperation of all County Officials and Safety Committee representatives. 6.10.1 Records of all mandated training shall be maintained in the Office of the Clerk of the Board and approved by the Human Resource Manager. 6.10.2 Policies and procedures will be reviewed and updated to ensure compliance. 6.10.3 County Officials shall post all required safety related literature. 6.11 Safety Program Purpose: The purpose of the safety program is to reduce accidents causing injuries to County employees and the public, and to reduce the frequency and severity of all property losses. Page 12 of 13 Jefferson County Risk Management Policy 6.11.1 The County will make full use of the expert services of the Pool, insurers, brokers, and departmental safety personnel whenever possible to develop better safety and loss prevention procedures. 6.11.2 The County's program shall comply with Washington State Labor and Industries regulations and shall include but is not limited to: A) Periodic inspection of facilities. B) Investigation into the causes of accidents and property losses. C) Development of safety training programs for employees. D) Communicating safety literature to all departments. 6.12 All accidents and losses shall be reported promptly to the Risk Manager and in accordance with prescribed procedures. 6.13 The County Safety Policy designates the position that will serve as Safety Officer. Page 13 of 13 Claim #: JEFFERSON COUNTY Claim for Damages This Claim Form is provided solely as an accommodation to claimants, and the County makes no representations as to its legal sufficiency. Responsibility for complying with all requirements of State law regarding claims rests with the claimant. No County Employee is authorized to advise a claimant in completing this form or reviewing its sufficiency. The County expressly disclaims responsibility for any such advice or review. Information requested on this form may be subject to public disclosure. This claims form must be Presented with an original signature and cannot be submitted electronically (by e-mail or fax.) PLEASE TYPE OR PRINT IN INK RISK MANAGER JEFFERSON COUNTY COURTHOUSE Business Hours: Mail or Deliver SON STREET Mon. -Fri. 8:30 a.m. to 4:30 p.m. 1820 JEFFERSON Original claim to: 18 BOX FER Closed on weekends and officials PORT TOWNSEND, WA 98368 State and Federal Holidays CLAIMANT INFORMATION 1, AS THE CLAIMANT, HEREIN BELIEVE THE CONTENTS OF THIS CLAIM TO BE TRUE. I HEREBY PRESENT A CLAIM FOR DAMAGES AGAINST JEFFERSON COUNTY, WASHINGTON, BASED UPON THE FOLLOWING INFORMATION AS REQUIRED BY RCW 4.96.020 AND 36.45.010: If more space is needed to answer any items, attach additional sheet and specify the item number. My name, address and phone number at the time of presenting and filina this claim is: 1) Name 2) Physical Residence Address: 3) Mailing Address (if different than residence): 4) Daytime Phone Numbers: of Birth: (mm /dd/yy) 5) Physical Residential address for six (6) months immediately prior to the date of the incident (if different from current address): 6) Your e-mail address: INCIDENT INFORMATION 7) Date Incident Occurred: mm Time: Q11 AM. Pit or P.M. 8) If the incident occurred over a period of time, date of first and last occurrences: FROM: Time: Q ❑; TO: Time: m� n11 Q" A.M. or „„ P.M. � AM. or P.M. 9) Location of incident: (State B CWMY) (City, d ePooaue) ((Rare where acccum3tl) 10) If the incident occurred on a street or highway: (Name of sft a gt Wx (Milepost) a 11) The nature of the damages or injury I sustained are: 12) Jefferson County Department(s) or employee(s) allegedly responsible for damagetiinjury: 13) Name(s) address, and telephone number(s) of all persons involved in, or witness to, this incident: 14) Name(s), address, and telephone number(s) of all Jefferson County department(s) or employee(s) having knowledge of this incident: 15) Name(s), address, and telephone number(s) of all individuals not already identified in (12) and (13) above that have knowledge regarding the liability issues involved in this incident, or knowledge of the claimant's resulting damages. Please include a brief description as to the nature and extent of each person's knowledge. 16) Describe the cause of the damages or injury. Explain the extent of property loss or medical expenses. 17) Has the incident been reported to law enforcement, safety or security personnel? If so, when was it reported and to whom ?: 18) Provide name(s) addresses, and telephone number(s) of treating medical providers. Attach copies of all medical reports and billings: 19) Please attach all documents which support your claim: 20) 1 claim damages from Jeffrson County in the sum of $ The amount of damages sustained must be itemized 21) If you are injured, are you a Medicare beneficiary? Yes No If Yes, please provide your Medicare # 22) The name of my insurance agency is: 23) If your claim involves a motor vehicle accident, complete, sign and include the attached vehicle collision form. Two (2) estimates of the cost of repairs must be attached to this claim with the amount of damages sustained itemized. 24) If you are presenting a personal injury claim, complete, sign and include the attached Medical Release form This claim form must be signed by the Claimant, a person holding a written power of attorney from the Claimant to serve as the attorney in fact for the Claimant, by an attorney admitted to practice in Washington State on the Claimants behalf, or by a court- approved guardian or Guardian Ad litem on behalf of the Claimant. I declare, under penalty of perjury under the laws of the State of Washington, that the foregoing is true and correct. Mate Plata (msdentlal add.) a canpa ) INSTRUCTIONS FOR COMPLETING The JEFFERSON COUNTY CLAIM FOR DAMAGE FORM Before presenting a Jefferson County Claim for Damages Form please read these instructions and the Claim for Damages Form in its entirety. Type or print clearly in ink and sign the Claim for Damages Form. The Jefferson County Claim for Damages Form must be signed by: Claimant; or Person holding a written power of attorney from the Claimant; or Attorney in fact for the Claimant; or Attorney admitted to practice in Washington State on the Claimant's behalf; or A court- approved guardian or guardian ad litem on behalf of the Claimant Provide all requested information and any available documents or evidence supporting your claim, such as medical records or bills for personal injuries, photographs, proof of ownership for property damages, receipts for property value, etc. If the requested information cannot be supplied in the space provided, please use additional blank sheets so your claim can be easily understood. The following are examples on how to complete the numbered items on the Claim for Damage form: 1) Smith, John Conner, 12/01/1910 2) 222 One Way Street, Apt. Z, Port Townsend, WA 98368 3) Post Office Box 101, Quilcene, WA 98376 4) 360 - 123 -4567 360- 123 -4567 360- 123-4567 5) 222 One Way Street, Apt. Z, Port Townsend, WA 99201 6) claimantl @comcast.net 7) 01/01/2009, 8:00 a.m. 8) From: October 31, 2009 8:00 p.m. To: November 2, 20097:00 a.m. 9) Washington, Jefferson; Chimacum County maintained road. 10) Center Road northbound, milepost 4.0 Egg & I Road 11) Please describe the incident that resulted in the injury, or damages, specifically answering the questions who, what, where, when and why. 12) Jefferson County Roads Department Smith, Jenny, 222 One Way Street, Apt. Z, Port Townsend, WA 98368, (360)123 -4567, riding 13) in the car at the time of the incident; Fitzgerald. Who sits, 3287 Wonderful Lane, Brinnon, WA 98331, (360)111 -1111; witnessed the incident. 14) List address and telephone numbers of all County Departments and employees having knowledge about this incident. List all other witnesses having knowledge of the incident in question, with their names, addresses, and telephone numbers that are not listed within items (12) and (13). Also include 15) a description of their knowledge. For example, if your sister was with you, when the alleged incident occurred, please include her name, address, and telephone number, and indicate she witnessed the incident. Instructions for Completing Jefferson County Claim for Damages Form 16) Describe how the damages or injury was caused. If you reported this incident to law enforcement, safety or security personnel, please provide 17) the name of the person you spoke with, and the date and time you spoke to them and include a copy of the report or contact information for the person with whom you spoke. Please provide a list of all your medical providers, including their names, address, telephone 18) numbers, and the type of treatment. Please attach copies of all medical records and billings if you were treated for a personal injury under this claim. 19) Attach documents which support the claim's allegations. 20) Please provide the dollar amount for your damages, including your time loss, medical costs, property damage loss, etc. This amount should represent your opinion of total damages. 21) If you were injured, please indicate if you are Medicare eligible and provide your Medicare number. If you are presenting a personal injury claim, submit the Medical Release form. 22) Please provide the name of the company that provides you insurance for this type of claim. 23) If your claim involves vehicle accident, submit the Vehicle Collision Form Page 2 of 2 - Claim Form Instructions VESICLE COLLISION FORM PLEASE TYPE OR PRINT IN INK Please attach this form to your standard tort claim form, if the claim involves a vehicle collision. SP 132 poly 2009) CLAXANT'e HAYS (A SEPARATE PORN MOST 69 COMPLff= FOR EACH CLAWAM DATE OP ACO10BNrtmNddlppy) TONE O ❑ �Oy a OUARENT0TRW OURN RNCE)ADORM Cm STATE w PHONE HOME WORK CXeXE110til STREETADOREBB FOR BOIMONTHO PpgR TO THEA00m@tT 6m STATE EP SYA4 8tamPCOuR1)9CNp g eppftabW) Whom OOYDISd STREET OR MY X104091 NO. MERSEOTION OR MEANEST STREEYGtOAD _ YEAR MAKE YODEL LKN!N80 PLATON0. WHERE CAN CAR BE BEEN? WHEN? N NPMEOP VEMICt90WNER, ADDRESS Cm HOPE AND WORK PHONE �, NAMB aP Di9vMe AODRE86 om HoMU AHD WORK PHOPX ORIVERTI LICENU NUMBER STATE OF XUANCE DAT00PE1PIRAMN �y D086=CAKA0M Eurw'E YOM MURRAHDM COMPANY AND POLICY W. YEAR MAKE MODEL LtOIEUMPLATENO. STATE AGENCY. P KNOWN HAVE OP OWRMR - ADWIESS CRY PHONE ��p*V +. NM®OFOKusK ADDRESS Om PHONE p( to (7 DESCPoIN: t1AYA06 94TMUTE $ WAHOTMRpKnT VEFSCIFOPROPE Y DAMAO®? PSC.D(XOHXEWNATTYPEOPPROPERTT WASOAMAOED. .mj NAMEOFOWNM ADORERS CRT PHONE - P�y� F� DBSC UBE DAMAGE WTWATE $ NAME ADDRESS PHONE OLWRY AOE YEH? WEIR YENS PED 0TH HOME WORK y Paj 6 HOME WORK C HOME WORK HOPE WORK Holm WORK NAME (ATrAOHAD=WNAt.SNBE fPHE0E9BARYt ADDRESS om PHONE - HOME WORK ROME WORK HOME WORK SP 132 poly 2009) COMPLETE ALL DETAILS Describe conduct and circumstances causing injury or damages and ocplain the extent of medical, physical or mental injuries. Please identify name, address, and telephone number of treating physicians and other medical providers. Please attach property damage estimates and/or all medical bills in support of your claim. If necessary, attach additional pages containing information in this format. ❑ Curve —RorL ❑ Level Showmdgpwposdm efemb ae.9ebdew mjmed Pmem. bym diutlmafaaeh, — Sidewalk Sidewalk IMPORTANT Ifastwsm obeavmd inaoyvm;, Fee WbMMd how;ahmadi Myamatew wbaekaaadbaft dgmbw ❑ Hillcrest ❑ One Lane AlarkDal ❑ Uphill ❑ One and One-Half Lane C7 Downhill ❑ Two Lane or Four Lane %J I f i i L aw N.E. &w. WC�IgCaCIDiM ONE) ( TRAFFIC CONTROL (CMCKOKBORMM XRBCKOI.RDR ON IdORR) ROAD KWACE ROADEIIRFACE WEATHER (CRECI I❑ DAYLNiNT . S NNo. I N0. E No I NO. T NO. I=NO, 3 1 ❑ p ANSLI Y A ] ❑ DAWN ❑ i ❑smAL, ❑ I ❑ oNs WAY ❑ 1 ❑ aBN ❑ 1 ❑ DRY 3 ❑ DUSK ❑ 2 ❑,STOP ❑ E ❑ TWO WAY OMC� ❑ a ❑ aLwLIO@g ❑ 1 ❑ WOr _ RAD ❑ AAOIIIiO 4 DARxmm ❑ ❑ S E = w4mmu ❑ 3 ❑ ROAD ❑ t ❑ RmRLI M ❑ 3 ❑ SNOW 7 ❑ SNOIYIN6 LIGHTS ON ❑VARKSTR uuxl RSr ❑ 4 a 4 ❑ � ❑ 4 ❑ TRUSS WORN ❑ 4 ❑ 1� 4 ❑ PARK" 4 El ❑ s ❑ &AL ❑ S ❑ aLS.SY ❑ s ❑ ❑ S ❑ 7 a M T ❑ aSFECIFY) ❑ 6 FPICE TWO TURN El 61:1 TTM� ❑ d ❑ � y an= ' ❑ r❑ ❑ F❑ SaPARAIffit SM ❑ S NO NAME OF INVESTIGATING POLICE AGENCY: 1NVESTIOAT3X2A(MCYREPORr NO. C 9 ❑CONTROL OTHER ❑ 2 ❑ DIVID$li ❑ 313 UNDIVIDED A se aaeate claim form should be submitted for each claimant. This information is being provided to aid in resolving the claim. I dedm underpenaby ofperjw under the km OtheSWe of WashhW= OW the foregoing is true and corrcet Siv apw oftTrrlmartt Date and Place liresfdenad ad*=, c1V and county) Name: AUTHORIZATION to Release of Medical Records Last, First, Middle Initial or Middle Name Date of Birth: Month Name of facility or provider: Address: Street Address Day INFORMATION TO BE RELEASED FROM Zip Code INFORMATION TO BE SENT TO To the Provider or Records Custodian: Please send legible copies of all records to: County Administrator, Jefferson County Risk Manager C/O County Administrator's Office PO Box 1220 Port Townsend, WA 98368 Please mark "Confidential: Personal Health Information" on outside of envelope. INFORMATION TO BE RELEASED (check one) I hereby authorize disclosure of my protected health information to Jefferson County for the purpose of investigating my claim for damages. I understand that by signing this document, I authorize the release of the following information: The most recent 2 years of pertinent information (chart notes, labs, x -rays and special tests) All medical records _ Specific information (please I understand the purpose for which this disclosure is being made is a Claim I filed with Jefferson County. I also understand the following: (Please Read and Initial all Statements) I understand that my records are protected under HIPAA/PHI regulations (federal law) and the Washington State Health Care Information Act (RCW 70.02). 1 understand that my health information may be subject to re- disclosure by Jefferson County and not protected for purposes of evaluating and investigation of the claim I have filed with Jefferson County. I understand that the specific information to be disclosed in my medical record may include information regarding alcohol, drug or other controlled substance use, counseling referrals and /or a history of testing or treatment of acquired immune deficiency syndrome. I understand that I may revoke this authorization at any time by notifying Jefferson County in writing, and that revocation will be effective as of the date Jefferson County receives it. Any records obtained pursuant to this Authorization for Release of PHI prior to the revocation will be deemed authorized by me for release and use by Jefferson County. I understand that this Authorization for Release will expire 90 days from the date signed or on (date) for the release to be valid. Authorization to Release Medical Records to Jefferson County Risk Management A Photostat of this Authorization carries the same authority as the original for purposes of releasing my records to Jefferson County. PATIENT AUTHORIZATION I understand that my records may contain information regarding the diagnosis or treatment of HIV /AIDS, sexually transmitted diseases, drug and /or alcohol abuse, mental illness, or psychiatric treatment. I give my specific authorization for these records to be released. EXCLUDE the following information from the records released (please initial) Drug /Alcohol abuse/treatment & diagnosis Sexually transmitted disease HIV /AIDS diagnosis /treatment/testing Mental illness or psychiatric diagnosis /treatment MY RIGHTS I understand I do not have to sign this authorization. I may revoke this authorization in writing. The process for revoking this authorization is listed above. I understand that once the health information I have authorized to be disclosed reaches the noted recipient, that person or organization may re- disclose it, at which time it may no longer be protected under Privacy laws. Signature: (Patient, Guardian *, or Authorized representative *) Date of Signature: Where the signer is not the subject of the records: I am authorized to siqn this because I am the (Check Other — Explain Telephone number Page 2 of 2 JEFFERSON COUNTY BOARD OF COMMISSIONERS Consent Agenda. Item FOR THE WEEK OF: August 15. 2011 I. Description — A brief description of the agenda item. Updating the Jefferson County Risk Management Policy II. Issues — A short outline of the major issues or areas that should be given particular attention. The Risk Management Policy is a document that identifies how claims against the County will be received, and processed The Washington Counties Risk Pool that provides the County's insurance, developed a "model" risk management policy for its' member counties to consider and this update reflects the policy and procedures proposed by the Risk Pool. The intent of this policy is to pro - actively preserve and protect from losses the assets of County operations in the most economical and efficient manner while at the same time provide a safe, secure, and healthful working environment for County employees. The risk management program must function within the financial abilities of the County consistent with related legal requirements. This policy applies to all risks of accidental loss, such as fire, liability, theft, property damage, malpractice, illness, and injury, both direct and indirect, as relates to all County employees including elected officials, quasi - officials, and documented volunteers. After being review by the Board and pulled from the agenda on July 25, 2011 the policy and the Authorization form were updated as follows: Policy - Section 5.11 now includes a definition of Protected Health Information - Section 6.23A says that the Risk Manager makes the determination when the "Authorization for Medical Records" is necessary - Section 6.5.4A says that the Risk Manager will determine if Medical Records are needed and assure that an Authorization to Release is obtained. Form - The name of the form was changed to "Authorization and Release of Medical Records" to clarify to the Claimant what is being requested. The form also allows the Claimant to Exclude specific types of records and advises them that they do not have to sign the Authorization and that if they do it expires in 90 days or it can be revoked in writing. III. Action — What is the nature of the action the Board is being asked to take (discussion, approval of a contract, support for a grant, etc.). Adopt this updated Policy for risk management. Reviewed By- Date COUNTY OF JEFFERSON STATE OF WASHINGTON An Ordinance Repealing and Replacing ) the Existing Resolution 87-86 Regarding ) Indemnification and Tort Representation ) of Jefferson County Employees and ) Officers and Amending the Existing ) Jefferson County Risk Management ) Policy in Resolution 36-11. ) ORDINANCE NO. 09-0806-18 WHEREAS, in 1986, the Jefferson County board of commissioners determined in its Resolution 87-86 that it was necessary to make orderly provision for the legal and financial protection of Jefferson County officers, employees and their material communities from personal liability for acts or omissions committed by such officers and employees while within the scope of their official county duties; and WHEREAS, in 1988, the Jefferson County joined the Washington Counties Risk Pool (WCRP) by joining an Interlocal agreement with the passage of Resolution 81-88; and WHEREAS, in 1993, the legislature of the State of Washington passed House Bill 1218 which amended RCW 36.16.134 upon which Resolution 87-86 was based, authorizing local government entities to indemnify volunteers for acts or omissions that were, or in good faith purported to be, within the scope of the volunteer's official duties; and WHEREAS, in 2011, Jefferson County updated the Jefferson County Risk Management Policy in Resolution 36-11 in an effort to comply with WCRP risk management requirements; and WHEREAS, Jefferson County provides its officers, employees, and volunteers liability coverage through its association with the WCRP and workers compensation insurance through the Washington State Department of Labor and Industries; and WHEREAS, volunteers perform valuable services on behalf of Jefferson County; and WHEREAS, RCW 36.16.134 was re -codified to RCW 4.96.041 and now provides that Jefferson County may protect volunteers, as well as employees and officers; and WHEREAS, Resolution 87-86 has never been updated to include volunteers, even though Jefferson County, through the WCRP memorandum of liability coverage, provides liability coverage for volunteers; and WHEREAS, Resolution 87-86 also does not take advantage of RCW 36.27.040 which can be used to limit Jefferson County's exposure for legal fees, where a conflict of interest exists such that Jefferson County prosecuting attorney is precluded from defending an employee or officer of Jefferson County. WHEREAS, the Jefferson County board of commissioners has determined that Resolution 87-86 should be updated to reflect the changes made by the legislature to the authorizing statute; and WHEREAS, the Jefferson County board of commissioners has determined that volunteers should be provided the same indemnity protection as officers and employees. THERFORE, BE IT ORDAINED, that: Section 1. Chapter 2.05 of the Jefferson County Code shall be added as set forth in Appendix A. Section 2. Resolution 36-11 is amended to delete section 6.9 in its entirety. Section 3. Should any section, subsection, paragraph, sentence, clause or phrase of this ordinance or Chapter 2.05 JCC adopted by it be declared unconstitutional or invalid for any reason, such decision shall not affect the validity of the remaining portions of this ordinance or Chapter 2.05 JCC. Section 4. This ordinance is effective immediately upon passage by the Jefferson County board of commissioners. Y A4 A his day of , 2018. JEFFERSON COUNTY BOARD OF COMMISSI E David Sullivan, Chair "�", �—fK7��A� ATTEST: Kathleen Kler, Member dq W& Carolyrkja,llaway Kate Dean, Member Deputy Clerk of the Board Approved as to form only: ac P1,611df Philip C. Hunsucker Date Chief Civil Deputy Prosecuting Attorney 2 APPENDIX A Chapter 2.05 INDEMNITY OF EMPLOYEE LEGAL DEFENSE COSTS — CLAIMS FOR DAMAGES Sections: 2.05.010 Purpose. 2.05.020 Procedure for findings and determination and right of appeal. 2.05.030 Payment of defense costs and settlements. 2.05.040 Procedure for approval and payment of judgment. 2.05.050 Duties of employees. 2.05.010 Purpose. The purpose of this chapter is to make orderly provision for the legal and financial protection, as authorized by RCW 4.96.041, of all past and present employees, officers, agents, elected and appointed officials and volunteers and their marital communities from personal liability and defense costs for acts or omissions committed by such persons while acting or in good faith purporting to act within the scope of their official county duties. 2.05.20 Definitions. For purposes of this Chapter the following definitions apply: (1) "Appointment" means appointment of a deputy prosecuting attorney or special deputy prosecuting attorney pursuant to RCW 36.27.040 to defend an employee. (2) "Claim" means a demand for monetary compensation as a result of injury or damages allegedly caused by the county, its officers or employees, agents, or volunteers and does not include claims that have been transformed into civil lawsuits filed in state or federal court. (3) "Claims Coordinator" means the person in the county administrator's office that is designated by the risk manager to handle and process the claims and lawsuits for the county and to serve as the county's liaison with the provider of liability coverage regarding the administration of the county's claims. (4) "Employee" means a past or present employee, officer, agent, elected, appointed official or volunteer (for purposes of this chapter) who seeks to have Jefferson County or its provider of liability insurance defend or indemnify him or her from a claim. "Employee" includes W the marital community of a past or present employee, officer, agent, elected, appointed official or volunteer. (5) "Lawsuit" means a civil lawsuit filed in state or federal court; (6) "Liability coverage" means liability coverage provided to the county by a provider of liability coverage. (7) "Prosecuting attorney" means the county prosecuting attorney, unless the claim is against the prosecuting attorney, or the county prosecuting attorney's deputies or employees, in which case prosecuting attorney means the prosecuting attorney of an adjoining county selected by the risk manager. (8) "Provide fullest assistance" means provide information, testimony, exhibits and documents in a timely manner. In response to notification by the prosecuting attorney, designate a department representative to assist the prosecuting attorney during discovery and, preparations for trial in lawsuits. (9) "Provider of liability coverage" means the party to an agreement with the county who provides, on behalf of the county, a defense or indemnity from claims covered or potentially covered by the agreement, including but not limited to an insurance policy issued by and insurance company or a memorandum of liability insurance issued by a risk pool. (10) "Risk manager" means the county's appointed risk manager. If no risk manager has been appointed, then risk manager means the county administrator. 2.05.030 Procedure for findings and determination whether a defense is due and right of appeal. (1) The board of county commissioners delegates the determination and making of the finding of whether the acts or omissions of the employee complained of were, or in good faith purported to be, within the scope of their official duties to the risk manager with the concurrence of the prosecuting attorney. (2) If the risk manager determines to grant a request for defense but the prosecuting attorney disagrees, the decision of the risk manager shall control, and the county shall proceed to defend and indemnify the employee at its own expense. However, nothing in this section shall inhibit the prosecuting attorney from his right to appoint a special deputy prosecuting attorney pursuant to RCW 36.27.040. 4 (3) The prosecuting attorney shall promptly inform the employee, in writing, by delivery of the findings and determination, such findings and determination shall be sent by first class mail return receipt requested. (4) If deemed appropriate by the risk manager, findings and a determination may be subject to a reservation of rights. (5) If the risk manager decides to deny a request for defense, the employee may appeal such determination to the board of county commissioners by filing a written request for appeal within 10 days after receipt of the findings and determination. 2.05.40 Payment of defense costs and settlements. (1) Where no conflict of interest exists that prohibits the prosecuting attorney from representing the employee, the defense of the employee shall be by the county prosecuting attorney, unless a special deputy is appointed pursuant to RCW 36.27.040. (2) Where a conflict of interest exists that prevents the prosecuting attorney from representing the employee, the prosecuting attorney shall appoint a special deputy pursuant to RCW 36.27.040. (3) Pursuant to the authority granted by RCW 4.96.041 the county shall expend funds for the payment of necessary legal fees and costs of defense, settlements and judgments resulting from claims against such employee upon an granted by findings and determination as provided in JCC 2.05.030 and to purchase liability coverage for such claims and expenses pursuant to the authority granted by RCW 36.16.136 and 36.16.138. 2.05.050 Procedure for approval and payment of judgment. Where a request for defense has been granted by findings and determination as provided in JCC 2.05.030, and the judgment is covered by and within the limits of the insurance purchased by the county, payment by the provider of liability coverage is hereby approved and any deductible shall be paid by the county on receipt of billing from the provider of liability coverage. If liability coverage is unavailable, insufficient, or the judgment against the employee is for punitive damages, then approval for payment of judgment, interest, costs, and attorney fees thereon shall be by resolution of a majority of the board of county commissioners. 5 2.05.60 Duties of employees. (1) Any employee contacted or served with a claim, demand, summons or complaint shall immediately notify and deliver any documentation received to the prosecuting attorney and the risk manager, together with a written request for defense. (2) In response to a request by the county risk manager or the prosecuting attorney, and forwarding to the claims coordinator, a certificate of insurance from any third party, where a third -party, e.g., a vendor for the county, is contractually obligated to provide the county with liability coverage (typically names the county as an "additional insured") as a precondition to performing services or providing goods to the county, or any of its elected officials, agencies or divisions. (3) The employee shall provide fullest assistance to the county and its provider of liability coverage and assist in the conduct of lawsuits, the investigation of claims, and in enforcing any right of contribution or indemnity and shall attend pre-trial hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses. (4) In response to notification by the prosecuting attorney, the employee shall designate a department representative to assist the prosecuting attorney during discovery and, preparations for trial. (5) Except as specifically directed by the prosecuting attorney, no county officer, employee, or volunteer being defended pursuant to this chapter may engage in any of the following acts with respect to actions or proceedings for damages defended arising out of the occurrence that is the subject of the defense being provided to the officer, employee or volunteer pursuant to this chapter: (a) Engage or retain legal counsel at county expense; (b) Encourage the filing of a claim or lawsuit arising out of the same occurrence against the County against the County or against another officer, employee or volunteer of the County; (c) Attempt to settle such a claim, or lawsuit or interfere in any way with an investigation of an employee who is being defended by the county by a professional oversight or regulatory entity; (d) Negotiate or otherwise affect the settlement of such a claim or a lawsuit for damages against the county; 2 (e) Make an admission of fault or liability involving such a claim or a lawsuit for damages against the county; or (f) Discuss with persons who are not county employees or collective bargaining unit representatives, facts, and circumstances of the claim. 7 Regular Agenda JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST TO: Board of Commissioners FROM: Philip Morley, County Administrator and Risk Manager Philip C. Hunsucker, Chief Civil Deputy Prosecuting Attorney DATE: July 16, 2018 RE: Modernizing How the County Provides a Defense and Indemnity to Employees, Officers and Volunteers Who May be Sued for Acts or Omissions that Were, or in Good Faith Are Purported to be, within the Scope Official Duties STATEMENT OF ISSUE: The Jefferson County Board of Commissioners will conduct a Public Hearing on Monday, August 6, 2018 at 10:00 AM to accept public testimony regarding a proposed ordinance Repealing and Replacing Existing Resolution 87-86 Regarding Indemnification and Tort Representation of Jefferson County Employees and Officers and Amending the Existing Jefferson County Risk Management Policy in Resolution 36-11, including adding a new "Chapter 2.05 Indemnity of Employee Legal Defense Costs — Claims For Damages" to Title 2 of the Jefferson County Code. After accepting public testimony, the Commissioners will deliberate on the hearing record and may take action to adopt the proposed ordinance with or without changes. ANALYSIS! Pursuant to RCW 4.06.010(1), the County is liable for damages arising out of its tortious conduct, or the tortious conduct of its "past or present officers, employees, or volunteers while performing or in good faith purporting to perform their official duties, to the same extent as if they were a private person or corporation." Consistent with RCW 36.16.136 and 36.16.138, the County contracts with the Washington Counties Risk Pool (WCRP) to provide liability coverage for its potential liability under RCW 4.06.010(1). The liability coverage provided to the County by the WCRP includes coverage for its past or present officers, employees, or volunteers. RC W 4.96.041(1) provides: Whenever an action or proceeding for damages is brought against any past or present officer, employee, or volunteer of a local governmental entity of this state, arising from acts or omissions while performing or in good faith Regular Agenda purporting to perform his or her official duties, such officer, employee, or volunteer may request the local governmental entity to authorize the defense of the action or proceeding at the expense of the local governmental entity. RCW 4.96.041(2) provides: If the legislative authority of the local governmental entity, or the local governmental entity using a procedure created by ordinance or resolution, finds that the acts or omissions of the officer, employee, or volunteer were, or in good faith purported to be, within the scope of his or her official duties, the request shall be granted. If the request is granted, the necessary expenses of defending the action or proceeding shall be paid by the local governmental entity. Any monetary judgment against the officer, employee, or volunteer shall be paid on approval of the legislative authority of the local governmental entity or by a procedure for approval created by ordinance or resolution. The predecessor to RCW 4.96.041 was RCW 36.16.134. In 1986, the Jefferson County Board of Commissioners determined in its Resolution 87-86 that it was necessary to make orderly provision for the legal and financial protection of Jefferson County officers, employees and their material communities from personal liability for acts or omissions committed by such officers and employees while within the scope of their official County duties. Resolution 87-86 was based on RCW 36.16.134 and did not include indemnity for volunteers of the County. In 1988, the Jefferson County joined the WCRP by joining an Interlocal agreement with the passage of Resolution 81-88. In 1993, the State legislature passed House Bill 1218 which amended RCW 36.16.134 upon which Resolution 87-86 was based, authorizing local government entities to indemnify volunteers for acts or omissions that were, or in good faith purported to be, within the scope of the volunteer's official duties. In 2011, the County updated the Jefferson County Risk Management Policy in Resolution 36- 11. This policy was designed to comply with WCRP risk management requirements. However, Section 6.9 of Resolution 36-11 contains language that should be modified as discussed below. Resolution 87-86 has never been updated to include volunteers, even though the County, through the WCRP memorandum of liability coverage, provides liability coverage for volunteers. Resolution 87-86 also does not take advantage of RCW 36.27.040 which can be used to limit the County's exposure for legal fees, where a conflict of interest exists such that the County prosecuting attorney is precluded from defending an employee or officer of the County. OA Regular Agenda Resolution 87-86 and Section 6.9 of Resolution 36-11 should be modernized to be consistent with RCW 4.96.041, RCW 36.27.040, and the current liability coverage and litigation environment. San Juan County has enacted Chapter 2.11 of its County Code to address these issues. San Juan County's Chapter 2.11 is mostly a well -considered means of addressing this issue. However, San Juan County's Chapter 2.11 does not include the overlayof RCW 36.27.040. The prosecuting attorney and the County administrator/risk manager recommend consideration of a proposed ordinance, along the lines of the working draft attached to this agenda request to modernize the County's process for providing a defense and indemnity to County employees, officers, and volunteers. A presentation on this topic was made during the County Administrator's briefing period on the afternoon of July 9, 2018 and can be viewed on AVCpatureAll at https://media.avcntureall.com/session.html?sessionid=60cic5a8-54dc-4f70- 954b-48b02a87954b&prefilter=845,5958 (starting at about 1:01 in the recording). The PowerPoint used on July 9, 2018 is attached. At the July 9, 2018, briefing a discussion of the working draft attached to the agenda request for that briefing which can be located at the same web address above, resulted in suggested changes to the working draft. A modified proposed ordinance is attached to this agenda request as Appendix 1. Appendix 2 shows the changes made to the working draft as a result of the July 9, 2018 briefing session. The proposed ordinance attached as Appendix 1 to this agenda request: • Adds volunteers to the persons to be defended and indemnified by the County. • Delegates the decision whether to defend to the risk manager with the concurrence of the prosecuting attorney to take advantage of the use of RCW 36.27.040. • Requires that an employee, officer, or volunteer who requests a defense take steps to not increase the liability of the County. • Reduces the possibility that a County employee, officer, or volunteer (or their marital communities) will incur personal liability acts or omissions committed by such persons while acting or in good faith purporting to act within the scope of their official County duties. • Replaces a resolution with an ordinance, ensuring that all County employees, elected officials, officers and volunteers must follow its provisions. FISCAL IMPACT: We expect the fiscal impact of this ordinance to be neutral, given that the WCRP already provides liability coverage and the deductible under the WCRP memorandum of liability coverage is per occurrence, not per person. 3 Regular Agenda RECOMMENDATION: Conduct the Public Hearing, deliberate on the hearing record, and adopt the proposed ordinance attached as ,Appendix 1, with or without changes. DEPARTMENT CONTACT: Philip C. Hunsucker, Chief Civil Deputy Prosecuting Attorney at Extension 219. REVIEWED BY: ip Morl y, ounty Administr for Date 4 Regular Agenda APPENDIX 1 COUNTY OF JEFFERSON STATE OF WASHINGTON An Ordinance Repealing and Replacing ) the Existing Resolution 87-86 Regarding ) Indemnification and Tort Representation ) of Jefferson County Employees and ) ORDINANCE NO. Officers and Amending the Existing ) Jefferson County Risk Management ) Policy in Resolution 36-11. ) WHEREAS, in 1986, the Jefferson County board of commissioners determined in its Resolution 87-86 that it was necessary to make orderly provision for the legal and financial protection of Jefferson County officers, employees and their material communities from personal liability for acts or omissions committed by such officers and employees while within the scope of their official county duties; and WHEREAS, in 1988, the Jefferson County joined the Washington Counties Risk Pool (WCRP) by joining an Interlocal agreement with the passage of Resolution 81-88; and WHEREAS, in 1993, the legislature of the State of Washington passed House Bill 1218 which amended RCW 36.16.134 upon which Resolution 87-86 was based, authorizing local government entities to indemnify volunteers for acts or omissions that were, or in good faith purported to be, within the scope of the volunteer's official duties; and WHEREAS, in 2011, Jefferson County updated the Jefferson County Risk Management Policy in Resolution 36-11 in an effort to comply with WCRP risk management requirements; and WHEREAS, Jefferson County provides its officers, employees, and volunteers liability coverage through its association with the WCRP and workers compensation insurance through the Washington State Department of Labor and Industries; and WHEREAS, volunteers perform valuable services on behalf of Jefferson County; and WHEREAS, RCW 36.16.134 was re -codified to RCW 4.96.041 and now provides that Jefferson County may protect volunteers, as well as employees and officers; and WHEREAS, Resolution 87-86 has never been updated to include volunteers, even though Jefferson County, through the WCRP memorandum of liability coverage, provides liability coverage for volunteers; and WHEREAS, Resolution 87-86 also does not take advantage of RCW 36.27.040 which can be used to limit Jefferson County's exposure for legal fees, where a conflict of interest Regular Agenda exists such that Jefferson County prosecuting attorney is precluded from defending an employee or officer of Jefferson County. WHEREAS, the Jefferson County board of commissioners has determined that Resolution 87-86 should be updated to reflect the the changes made by the legislature to the authorizing statute; and WHEREAS, the Jefferson County board of commissioners has determined that volunteers should be provided the same indemnity protection as officers and employees. THERFORE, BE IT RESOLVED, that: Section 1. Chapter 2.05 of the Jefferson County Code shall be added as set forth in Appendix A. Section 2. Resolution 36-11 is amended to delete section 6.9 in its entirety. Section 3. Should any section, subsection, paragraph, sentence, clause or phrase of this ordinance or Chapter 2.05 JCC adopted by it be declared unconstitutional or invalid for any reason, such decision shall not affect the validity of the remaining portions of this ordinance or Chapter 2.05 JCC. Section 4. This ordinance is effective immediately upon passage by the Jefferson County board of commissioners. DATED this day of 12018. 2 Regular Agenda SEAL: JEFFERSON COUNTY BOARD OF COMMISSIONERS ATTEST: Carolyn Gallaway Deputy Clerk of the Board Approved as to form only: Philip C. Hunsucker Date Chief Civil Deputy Prosecuting Attorney David Sullivan, Chair Kathleen Kler, Member Kate Dean, Member 7 Regular Agenda APPENDIX A Chapter 2.05 INDEMNITY OF EMPLOYEE LEGAL DEFENSE COSTS — CLAIMS FOR DAMAGES Sections: 2.05.010 Purpose. 2.05.020 Procedure for findings and determination and right of appeal. 2.05.030 Payment of defense costs and settlements. 2.05.040 Procedure for approval and payment of judgment. 2.05.050 Duties of employees. 2.05.010 Purpose. The purpose of this chapter is to make orderly provision for the legal and financial protection, as authorized by RCW 4.96.041, of all past and present employees, officers, agents, elected and appointed officials and volunteers and their marital communities from personal liability and defense costs for acts or omissions committed by such persons while acting or in good faith purporting to act within the scope of their official county duties. 2.05.20 Definitions. For purposes of this Chapter the following definitions apply: (1) "Appointment" means appointment of a deputy prosecuting attorney or special deputy prosecuting attorney pursuant to RCW 36.27.040 to defend an employee. (2) "Claim" means a demand for monetary compensation as a result of injury or damages allegedly caused by the county, its officers or employees, agents, or volunteers and does not include claims that have been transformed into civil lawsuits filed in state or federal court. (3) "Claims Coordinator" means the person in the county administrator's office that is designated by the risk manager to handle and process the claims and lawsuits for the county and to serve as the county's liaison with the provider of liability coverage regarding the administration of the county's claims. (4) "Employee" means a past or present employee, officer, agent, elected, appointed official or volunteer who seeks to have Jefferson County or its provider of liability insurance defend 8 Regular Agenda or indemnify him or her from a claim. "Employee" includes the marital community of a past or present employee, officer, agent, elected, appointed official or volunteer. (5) "Lawsuit" means a civil lawsuit filed in state or federal court; (6) "Liability coverage" means liability coverage provided to the county by a provider of liability coverage. (7) "Prosecuting attorney" means the county prosecuting attorney, unless the claim is against the prosecuting attorney, or the county prosecuting attorney's deputies or employees, in which case prosecuting attorney means the prosecuting attorney of an adjoining county selected by the risk manager. (8) "Provide fullest assistance" means provide information, testimony, exhibits and documents in a timely manner. In response to notification by the prosecuting attorney, designate a department representative to assist the prosecuting attorney during discovery and, preparations for trial in lawsuits. (9) "Provider of liability coverage" means the party to an agreement with the county who provides, on behalf of the county, a defense or indemnity from claims covered or potentially covered by the agreement, including but not limited to an insurance policy issued by and insurance company or a memorandum of liability insurance issued by a risk pool. (10) "Risk manager" means the county's appointed risk manager. If no risk manager has been appointed, then risk manager means the county administrator. 2.05.030 Procedure for findings and determination whether a defense is due and right of appeal. (1) The board of county commissioners delegates the determination and making of the finding of whether the acts or omissions of the employee complained of were, or in good faith purported to be, within the scope of their official duties to the risk manager with the concurrence of the prosecuting attorney. (2) If the risk manager determines to grant a request for defense but the prosecuting attorney disagrees, the decision of the risk manager shall control, and the county shall proceed to defend and indemnify the employee at its own expense. However, nothing in this section 0 Regular Agenda shall inhibit the prosecuting attorney from his right to appoint a special deputy prosecuting attorney pursuant to RCW 36.27.040. (3) The prosecuting attorney shall promptly inform the employee, in writing, by delivery of the findings and determination, such findings and determination shall be sent by first class mail return receipt requested. (4) If deemed appropriate by the risk manager, findings and a determination may be subject to a reservation of rights. (5) If the risk manager decides to deny a request for defense, the employee may appeal such determination to the board of county commissioners by filing a written request for appeal within 10 days after receipt of the findings and determination. 2.05.40 Payment of defense costs and settlements. (1) Where no conflict of interest exists that prohibits the prosecuting attorney from representing the employee, the defense of the employee shall be by the county prosecuting attorney, unless a special deputy is appointed pursuant to RCW 36.27.040. (2) Where a conflict of interest exists that prevents the prosecuting attorney from representing the employee, the prosecuting attorney shall appoint a special deputy pursuant to RCW 36.27.040. (3) Pursuant to the authority granted by RCW 4.96.041 the county shall expend funds for the payment of necessary legal fees and costs of defense, settlements and judgments resulting from claims against such employee upon an granted by findings and determination as provided in JCC 2.05.030 and to purchase liability coverage for such claims and expenses pursuant to the authority granted by RCW 36.16.136 and 36.16.138. 2.05.050 Procedure for approval and payment of judgment. Where a request for defense has been granted by findings and determination as provided in JCC 2.05.030, and the judgment is covered by and within the limits of the insurance purchased by the county, payment by the provider of liability coverage is hereby approved and any deductible shall be paid by the county on receipt of billing from the provider of liability coverage. If liability coverage is unavailable, insufficient, or the judgment against the employee is for punitive damages, then approval for payment of judgment, interest, costs, and 10 Regular Agenda attorney fees thereon shall be by resolution of a majority of the board of county commissioners. 2.05.60 Duties of employees. (1) Any employee contacted or served with a claim, demand, summons or complaint shall immediately notify and deliver any documentation received to the prosecuting attorney and the risk manager, together with a written request for defense. (2) In response to a request by the county risk manager or the prosecuting attorney, and forwarding to the claims coordinator, a certificate of insurance from any third party, where a third -party, e.g., a vendor for the county, is contractually obligated to provide the county with liability coverage (typically names the county as an "additional insured") as a precondition to performing services or providing goods to the county, or any of its elected officials, agencies or divisions. (3) The employee shall provide fullest assistance to the county and its provider of liability coverage and assist in the conduct of lawsuits, the investigation of claims, and in enforcing any right of contribution or indemnity and shall attend pre-trial hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses. (4) In response to notification by the prosecuting attorney, the employee shall designate a department representative to assist the prosecuting attorney during discovery and, preparations for trial. (5) Except as specifically directed by the prosecuting attorney, no county officer, employee, or volunteer being defended pursuant to this chapter may engage in any of the following acts with respect to actions or proceedings for damages defended arising out of the occurrence that is the subject of the defense being provided to the officer, employee or volunteer pursuant to this chapter: (a) Engage or retain legal counsel at county expense; (b) Encourage the fling of a claim or lawsuit arising out of the same occurrence against the County against the County or against another officer, employee or volunteer of the County; (c) Attempt to settle such a claim, or lawsuit or interfere in any way with an investigation of an employee who is being defended by the county by a professional oversight or regulatory entity; 11 Regular Agenda (d) Negotiate or otherwise affect the settlement of such a claim or a lawsuit for damages against the county; (e) Make an admission of fault or liability involving such a claim or a lawsuit for damages against the county; or (f) Discuss with persons who are not county employees or collective bargaining unit representatives, facts, and circumstances of the claim. 12 Regular Agenda APPENDIX 2 COUNTY OF JEFFERSON STATE OF WASHINGTON An Ordinance Repealing and Replacing ) the Existing Resolution 87-86 Regarding ) Indemnification and Tort Representation ) of Jefferson County Employees and ) ORDINANCE NO. Officers and Amending the Existing ) Jefferson County Risk Management ) Policy in Resolution 36-11. ) WHEREAS, in 1986, the Jefferson County board of commissioners determined in its Resolution 87-86 that it was necessary to make orderly provision for the legal and financial protection of Jefferson County officers, employees and their material communities from personal liability for acts or omissions committed by such officers and employees while within the scope of their official county duties; and WHEREAS, in 1988, the Jefferson County joined the Washington Counties Risk Pool (WCRP) by joining an Interlocal agreement with the passage of Resolution 81-88; and WHEREAS, in 1993, the legislature of the State of Washington passed House Bill 1218 which amended RCW 36.16.134 upon which Resolution 87-86 was based, authorizing local government entities to indemnify volunteers for acts or omissions that were, or in good faith purported to be, within the scope of the volunteer's official duties; and WHEREAS, in 2011, Jefferson County updated the Jefferson County Risk Management Policy in Resolution 36-11 in an effort to comply with WCRP risk management requirements; and WHEREAS, Jefferson County provides its officers, employees, and volunteers liability coverage through its association with the WCRP and workers compensation insurance through the Washington State Department of Labor and Industries; and WHEREAS, volunteers perform valuable services on behalf of Jefferson County; and WHEREAS, RCW 36.16.134 was re -codified to RCW 4.96.041 and now provides that Jefferson County may protect volunteers, as well as employees and officers; and WHEREAS, Resolution 87-86 has never been updated to include volunteers, even though Jefferson County, through the WCRP memorandum of liability coverage, provides liability coverage for volunteers; and 13 Regular Agenda WHEREAS, Resolution 87-86 also does not take advantage of RCW 36.27.040 which can be used to limit Jefferson County's exposure for legal fees, where a conflict of interest exists such that Jefferson County prosecuting attorney is precluded from defending an employee or officer of Jefferson County. WHEREAS, the Jefferson County board of commissioners has determined that Resolution 87-86 should be updated to reflect the the changes made by the legislature to the authorizing statute; and WHEREAS, the Jefferson County board of commissioners has determined that volunteers should be provided the same indemnity protection as officers and employees. THERFORE, BE IT RESOLVED, that: Section 1. Chapter 2.05 of the Jefferson County Code shall be added as set forth in Appendix A. Section 2. Resolution 36-11 is amended to delete section 6.9 in its entirety. Section 3. Should any section, subsection, paragraph, sentence, clause or phrase of this ordinance or Chapter 2.05 JCC adopted by it be declared unconstitutional or invalid for any reason, such decision shall not affect the validity of the remaining portions of this ordinance or Chapter 2.05 JCC. Section 4. This ordinance is effective immediately upon passage by the Jefferson County board of commissioners. DATED this day of , 2018. 14 Regular Agenda SEAL: JEFFERSON COUNTY BOARD OF COMMISSIONERS ATTEST: Carolyn Gallaway Deputy Clerk of the Board Approved as to form only: 7 /?-/ 11-6 Philip C. Hunsucker Date Chief Civil Deputy Prosecuting Attorney David Sullivan, Chair Kathleen Kler, Member Kate Dean, Member 15 Regular Agenda APPENDIX A Chapter 2.05 INDEMNITY OF EMPLOYEE LEGAL DEFENSE COSTS — CLAIMS FOR DAMAGES Sections: 2.05.010 Purpose. 2.05.020 Procedure for findings and determination and right of appeal. 2.05.030 Payment of defense costs and settlements. 2.05.040 Procedure for approval and payment of judgment. 2.05.050 Duties of employees. 2.05.010 Purpose. The purpose of this chapter is to make orderly provision for the legal and financial protection, as authorized by RCW 4.96.041, of all past and present employees, officers, agents, elected and appointed officials and volunteers and their marital communities from personal liability and defense costs for acts or omissions committed by such persons while acting or in good faith purporting to act within the scope of their official county duties. 2.05.21 Definitions. For purposes of this Chapter the following definitions apply: (11) "Appointment" means appointment of a deputy prosecuting attorney or special deputy prosecuting attorney pursuant to RCW 36.27.040 to defend an employee. (12) "Claim" means a demand for monetary compensation as a result of injury or damages allegedly caused by the county, its officers or employees, agents, or volunteers and does not include claims that have been transformed into civil lawsuits filed in state or federal court. (13) "Claims Coordinator" means the person in the county administrator's office that is designated by the risk manager to handle and process the claims and lawsuits for the county and to serve as the county's liaison with the provider of liability coverage regarding the administration of the county's claims. 16 Regular Agenda (14) "Employee" means a past or present employee, officer, agent, elected, appointed official or volunteer who seeks to have Jefferson County or its provider of liability insurance defend or indemnify him or her from a claim. "Employee" includes the marital community of a past or present employee, officer, agent, elected, appointed official or volunteer. (15) "Lawsuit" means a civil lawsuit filed in state or federal court; (16) "Liability coverage" means liability coverage provided to the county by a provider of liability coverage. (17) "Prosecuting attorney" means the county prosecuting attorney, unless the claim is against the prosecuting attorney, or the county prosecuting attorney's deputies or employees, in which case prosecuting attorney means the prosecuting attorney of an adjoining county selected by the risk manager. (18) "Provide fullest assistance" means provide information, testimony, exhibits and documents in a timely manner. In response to notification by the prosecuting attorney, designate a department representative to assist the prosecuting attorney during discovery and, preparations for trial in lawsuits. (19) "Provider of liability coverage" means the party to an agreement with the county who provides, on behalf of the county, a defense or indemnity from claims covered or potentially covered by the agreement, including but not limited to an insurance policy issued by and insurance company or a memorandum of liability insurance issued by a risk pool. (20) "Risk manager" means the county's appointed risk manager. If no risk manager has been appointed, then risk manager means the county administrator. 2.05.030 Procedure for findings and determination whether a defense is due and right of appeal. (6) The board of county commissioners delegates the determination and making of the finding of whether the acts or omissions of the employee complained of were, or in good faith 17 Regular Agenda purported to be, within the scope of their official duties to the Atemeyfisk manager with the concurrence of the Fisk managerprosecuting attorney. (7) If the riskmanager determines to grant a request for defense but the prosecuting attorney disagrees, the decision of the atterneydi k manages' shall control, and the county shall proceed to defend and indemnify the employee at its own expense. However, nothing in this section shall inhibit the nrosecutina attornev from his right to aaaoint a special denUtV nrosecutina attornev ursuant to RCW 36.27.040. (8) The prosecuting attorney shall promptly inform the employee, in writing, by delivery of the findings and determination, such findings and determination shall be sent by first class mail return receipt requested. (9) If deemed appropriate by the risk manager, findings and a determination may be subject to a reservation of rights. (10) If the risk manager decides to deny a request for defense, the employee may appeal such determination to the board of county commissioners by filing a written request for appeal within 10 days after receipt of the findings and determination. 2.05.41 Payment of defense costs and settlements. (4) Where no conflict of interest exists that prohibits the prosecuting attorney from representing the employee, the defense of the employee shall be by the county prosecuting attorney, unless a special deputy is appointed pursuant to RCW 36.27.040wtea the (5) Where a conflict of interest exists that prevents the prosecuting attorney from representing the employee, the prosecuting attorney shall appoint a special deputy pursuant to RCW 36.27.040. (6) Pursuant to the authority granted by RCW 4.96.041 the county shall expend funds for the payment of necessary legal fees and costs of defense, settlements and judgments resulting from claims against such employee upon an granted by findings and determination as 18 Regular Agenda provided in JCC 2.05.030 and to purchase liability coverage for such claims and expenses pursuant to the authority granted by RCW 36.16.136 and 36.16.138. 2.05.050 Procedure for approval and payment of judgment. Where a request for defense has been granted by findings and determination as provided in JCC 2.05.030, and the judgment is covered by and within the limits of the insurance purchased by the county, payment by the provider of liability coverage is hereby approved and any deductible shall be paid by the county on receipt of billing from the provider of liability coverage. If liability coverage is unavailable, insufficient, or the judgment against the employee is for punitive damages, then approval for payment of judgment, interest, costs, and attorney fees thereon shall be by resolution of a majority of the board of county commissioners. 2.05.61 Duties of employees. (6) Any employee contacted or served with a claim, demand, summons or complaint shall immediately notify and deliver any documentation received to the prosecuting attorney and the risk manager, together with a written request for defense. (7) In response to a request by the county risk manager or the prosecuting attorney, and forwarding to the claims coordinator, a certificate of insurance from any third party, where a third -party, e.g., a vendor for the county, is contractually obligated to provide the county with liability coverage (typically names the county as an "additional insured") as a precondition to performing services or providing goods to the county, or any of its elected officials, agencies or divisions. (8) The employee shall provide fullest assistance to the county and its provider of liability coverage and assist in the conduct of lawsuits, the investigation of claims, and in enforcing any right of contribution or indemnity and shall attend pre-trial hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses. (9) In response to notification by the prosecuting attorney, the employee shall designate a department representative to assist the prosecuting attorney during discovery and, preparations for trial. 19 Regular Agenda (10) Except as specifically directed by the prosecuting attorney, no county officer -or em-plo},ee, employee, or volunteer being defended pursuant to this chapter may engage in any of the following acts with respect to actions or proceedings for damages defended arising out of the occurrence that is the subject of the defense being provided to the officer, employee or volunteer pursuant to this chapter: (g) Engage or retain legal counsel at county expense; (h) Encourage the filing of a claim or lawsuit againstarising out of the same occurrence a Tag inst the County against the County or against another officer, employee or volunteer of the County; (i) Attempt to settle such a claim, or lawsuit or interfere in any way with an investigation of an employee who is being defended by the county by a professional oversight or regulatory entity; 0) Negotiate or otherwise affect the settlement of such a claim or a lawsuit for damages against the county; (k) Make an admission of fault or liability involving such a claim or a lawsuit for damages against the county; or (1) Discuss with persons who are not county employees or collective bargaining unit representatives, facts, and circumstances of the claim. Off :, Michael Haas Prosecuting Attorney Modernizing County Defense and Indemnity of Employees, Officers and Volunteers (0 Presentation for July 9, 2018 BoCC Executive Session by Philip C. Hunsucker, Chief Civil Deputy Prosecuting Attorney BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 1986: Resolution 87-86 K� r. ---------------- A _ _—A RESOLUTION REGARDING INDENNIPICATION AND TORT REPRESENTATION WHEREAS, it is necessary to make orderly provision for the legal and financial protection of County officers, employees and their marital communities from personal liability for acts or omissions committed by such officers and employees while within i the scope of their official County duties, therefore, BE IT RESOLVED, that: Section 1. Consistent with the powers vested in the County legislative authority by RCN 36.16.134, that, whenever an action or proceeding for damages is brought against any officer or employee of the County where it has been determined pursuant to Section 2 of this resolution that such action or proceedings arose from acts or omissions while pertorming or in good faith purporting to perform such person's official duties and when such officer or employee has requested defense of the action or proceeding at the expense of the County, the Board of County Commissioners shall be deemed to have granted such request. Upon such granting of the request, the necessary expenses of defending the action or proceeding by the Prosecuting Attorney shall be paid by the County and any final money judgment against said officer or employee shall be paid by the County. BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 7/7/2018 1 1993: House Bill 1218 Adds Liability for Volunteers _.._.._.._.._.._.._.._.._.._.._.._.._.._.._.._.._.. 15 Sec. 2. RCW 4.96.010 and 1967 c 164 s 1 are each amended to read 16 as follows: 17 j3d, All ((gelitea2 sabdivis4arts; mttrrepa eorporatiettsgttast 18 mun#cipai--eerporations-©€ the --state)) yQcal_-governmenta.l, ewt ties, i1 whether acting in a governmental or proprietary capacity, shall be 2 liable for damages arising out of their tortious conduct, or the 3 tortious conduct of their paq>ti_ gr ylresent officers, ((egerrEe -or)) 4 employees, or_. tint Phil- perform{ng or in g9od fa+th n�yo i*+a 5 to perE.orm_the-i�9ffi ial__$uLie�,.. to the same extent as if they were a 6 private person or corporation((. the)) —Filing a claim i 7 for damages within the time allowed by law ( (of-- any- cl*ti*--requ4ied)} i8 shall be a condition precedent to the ((ma#nt-&#Hing)) comme ceme= of 9 any action claiming -damages. The laws specifying the content for such 110 claims shall be liberally construed so that substantial compliance :11 therewith will be deemed satisfactory. i L.._.._.._.._.._.._.._.._.._.._.._.._.._.._.._.._.._., BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 3 . 1993: House Bill 1218 ITSOW Authorizes Protection of Volunteers 28 (2 1, If the ((county)) legislative authority of the___jQ_caj 29 governmental entity, or the1,9S,�lgQyemm� of 1_ep lty using a procedure 30 created_by_.-oS.dinanCe.. or -res-Q1uti_=., finds that the acts or omissions of 31 the officer t or) ), employee, or__va1=_ee.r were, or in good faith 32 purported to be, within the scope of his or her official duties, the 33 request ((may)) s21a11 be granted. If the request is granted, the i34 necessary expenses of defending the action or proceeding shall be paid 35 by the ((county)) local_ governmental entity. Any monetary judgment 36 against the officer ((or) )- employee((m&y} ).__.str i!Qlunte.eZ_.shell be i 37 paid on approval of the ((county)) legislative authority Qf_tbe_1Q(;a1 1 governmental entity or by a procedure--for- 2 rocedure._€or2 cr resolution. Resolution 87-86 Has Not Been Updated to Address HB 1218 BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 4 7/7/2018 2 t, tI Risk Pool and ,;. County Risk Management Policy • 1988: County Joins the Washington Countis Risk Pool by joining an interlocal agreement via Resolution 81-88. — Coverage provided via a Memorandum of Liability (MOL). — MOL includes coverage for volunteers. — MOL's $25,000 deductible is per occurrence, not per person. • 1995: County Adopts First Risk Management Policy in Resolution 85-95. Does not address protection of officers, employees or volunteers. • 2011: County Updates Risk Management Policy in Resolution 36- 11. Authorizes Risk Manager to propose a resolution of the Board of County Commissioners to protect of of officers, employees and "quasi -employees," including volunteers. BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 Chapter 4.96 RCW y Actions Against Political Subdivisions, Municipal And Quasi -municipal Corporations RCW 4.96,041 (1) provides: Whenever an action or proceeding for damages is brought against any past or present officer, employee, or volunteer of a local governmental entity of this state, arising from acts or omissions while performing or in good faith purporting to perform his or her official duties, such officer, employee, or volunteer may request the local governmental entity to authorize the defense of the action or proceeding at the expense of the local governmental entity. RCW 4.96.041 (21 provides: If the legislative authority of the local governmental entity, or the local governmental entity using a procedure created by ordinance or resolution, finds that the acts or omissions of the officer, employee, or volunteer were, or in good faith purported to be, within the scope of his or her official duties, the request shall be granted. If the request is granted, the necessary expenses of defending the action or proceeding shall be paid by the local governmental entity. Any monetary judgment against the officer, employee, or volunteer shall be paid on approval of the legislative authority of the local governmental entity or by a procedure for approval created by ordinance or resolution. BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 7/7/2018 3 �I RCW 36.27.040 Appointment of deputies—Special and temporary deputies. The prosecuting attorney may appoint one or more deputies who shall have the same power in all respects as their principal. Each appointment shall be in writing, signed by the prosecuting attorney, and filed in the county auditor's office. Each deputy thus appointed shall have the same qualifications required of the prosecuting attorney, except that such deputy need not be a resident of the county in which he or she serves. The prosecuting attorney may appoint one or more special deputy prosecuting attorneys upon a contract or fee basis whose authority shall be limited to the purposes stated in the writing signed by the prosecuting attorney and filed in the county auditor's office. Such special deputy prosecuting attorney shall be admitted to practice as an attorney before the courts of this state but need not be a resident of the county in which he or she serves and shall not be under the legal ; disabilities attendant upon prosecuting attorneys or their deputies except to avoid any conflict of interest with the purpose for which he or she has been engaged by the prosecuting attorney. The prosecuting attorney shall be responsible for the acts of his or her deputies and may revoke appointments at will. L.._.._. BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 Six Proposed Upgrades to County Risk Management Policy Add Volunteers. Add volunteers to the persons that must be defended and indemnified by the County, consistent with state law. 2. Further Protect Officers, Employees and Volunteers. Reduce the possibility that a County employee, officer, or volunteer (or their marital communities) will incur personal liability acts or omissions committed by such persons while acting or in good faith purporting to act within the scope of their official County duties. 3. Delegate. Delegate the decision whether to defend. BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 7/7/2018 '❑ I Six Proposed Upgrades to County Risk Management Policy 4. Limit County Liability. Require that an employee, officer, or volunteer who requests a defense take steps to not increase the liability of the County. 5. Use RCW 36.27.040. Take advantage of RCW 36.27.040, to require defense by the prosecuting attorney or a special deputy prosecuting attorney whose authority would be limited to the purposes stated in the appointment. 6. Use an Ordinance. Replace a resolution with an ordinance, ensuring that all County employees, elected officials, officers and volunteers must follow its provisions. BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 Working Draft of Proposed Ordinance • Working draft of a proposed ordinance was attached to the Agenda Request for this briefing. • Prepared for discussion by the Chief Civil Deputy Prosecuting Attorney. • Modeled on Chapter 2.11 of the San Juan County SAN JUAN COUNTY Code. p.PEMRPSLOONEEE EG4L OFFENSE COSTS - CW MS FOR UAMROES BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 10 7/7/2018 5 A Michael Haas Prosecuting Attorney QUESTIONS? BoCC Presentation - Modernizing Officer Employee and Volunteer Indemnity 7/9/2018 7/7/2018 REQUEST FOR DEFENSE OF OFFICERS, EMPLOYEES OR VOLUNTEERS OF JEFFERSON COUNTY EMPLOYEE/OFFICER REQUESTING DEFENSE SPOUSE [IF NAMED DEFENDANT] HOME ADDRESS NAME OF CASE COURT COMPLAINT DATE COMPLAINT RECEIVED FROM WHOM RECEIVED REQUEST FOR DEFENSE: CAUSE NUMBER attach copies of all documents received PHONE Pursuant to chapter 2.05 of the Jefferson County Code, on behalf of myself (and my spouse if listed above), I am requesting that Jefferson County provide for my defense at county expense. I understand and agree that if at any time I fail to provide fullest assistance to the County and its provider of liability coverage and assist in the conduct of lawsuits, the investigation of claims, and in enforcing any right of contribution or indemnity and shall attend pre-trial hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses, the County may withdraw its defense in writing. I further understand and agree that I may not engage in any of the following acts regarding this case unless specifically authorized by the prosecuting attorney's office or other attorney representing me on behalf of the County: (1) Engage or retain legal counsel at county expense; (2) Encourage the filing of a claim or lawsuit arising out of the same occurrence against the County or against another officer, employee or volunteer of the County; (3) Attempt to settle such a claim or lawsuit or 'interfere in any way with an investigation of an employee who is being defended by the County by a professional oversight or regulatory entity; (4) Negotiate or otherwise affect the settlement of such a claim or a lawsuit for damages against the County; (5) Make an admission of fault or liability involving such a claim or a lawsuit for damages against the County; or, (6) Discuss with persons who are not county employees or collective bargaining unit representatives facts and circumstances of the claim. EMPLOYEE/OFFICERNOLUNTEER REQUESTING DEFENSE DATE REQUEST FOR DEFENSE OF OFFICERS, EMPLOYEES OR VOLUNTEERS OF JEFFERSON COUNTY RISK MANAGER'S DETERMINATION: ❑ APPROVED: ❑ DENIED: ■I010I►141110 RISK MANAGER DATE PROSECUTING ATTORNEY DATE CONDITIONS AND COMMENTS: THIS DECISION MAY BE APPEALED IN WRITING TO THE BOARD OF COUNTY COMMISSIONERS WITHIN TEN (10) DAYS AFTER RECIEPT OF THE RISK MANAGER'S DETERMINATION NO DEFENSE IS DUE. Complete this form and submit it to the Jefferson County Risk Manager's Office, Jefferson County Courthouse, 1820 Jefferson Street, Port Townsend, WA 98358