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05-19-2020 - AGENDA ITEM 07 CONSIDERATION OF RESOLUTION DELEGATING TORT LIABILITY CLAIMS HANDLING TO THE CALIFORNIA JOINT POWERS INSURANCE AUTHORITY AS AUTHORIZED BY GOVERNMENT CODE SECTION 910 ET SEQAGENDA ITEM NO.7 Xft AGENDA STAFF REPORT City of West Covina I Office of the City Manager DATE: May 19, 2020 TO: Mayor and City Council FROM: David Carmany City Manager SUBJECT: CONSIDERATION OF RESOLUTION DELEGATING TORT LIABILITY CLAIMS HANDLING TO THE CALIFORNIA JOINT POWERS INSURANCE AUTHORITY AS AUTHORIZED BY GOVERNMENT CODE SECTION 910 ET SEQ RECOMMENDATION: It is recommended that the City Council take the following actions: 1. Adopt the following resolution: RESOLUTION NO.2020-42 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, IMPLEMENTING A POLICY DELEGATING TORT LIABILITY CLAIMS HANDLING RESPONSIBILITIES TO THE CALIFORNIA JOINT POWERS INSURANCE AUTHORITY AS AUTHORIZED BY GOVERNMENT CODE SECTION 910, ET SEQ. BACKGROUND: Risk management is the identification, evaluation, and prioritization of risks followed by coordinated and economical application of resources to minimize, monitor, and control the probability or impact of unfortunate events or to maximize the realization of opportunities. The overall goal is to keep employees prepared and the city safe so the focus remains on fire protection/EMS, policing, recreation and all the things that matter to ensuring quality of life for residents. Strategies to manage threats (uncertainties with negative consequences) typically include avoiding the threat, reducing the negative effect or probability of the threat, transferring all or part of the threat to another party, and even retaining some or all of the potential or actual consequences of a particular threat. The opposite of these strategies can be used to respond to opportunities. For the most part, these methods consist of several elements, performed, more or less, in the following order; 1) Identify the threats, 2) Assess the vulnerability of critical assets to specific threats, 3) Determine the risk (i.e. the expected likelihood and consequences of specific types of attacks on specific assets, 4) Identify ways to reduce those risks and 5) Prioritize risk reduction measures DISCUSSION: City of West Covina Initial Risk Management Evaluation [61 Action Item: 2019-002 Observations: Contracts are not developed and implemented for all service providers. Action Required: Develop and execute service contracts which include appropriate risk transfer language when outsourcing agency activities to service companies. By properly managing its contracts, the agency can reduce its loss exposures and likewise reduce disputes with contractors and their insurers when a loss occurs. Standards: Best Risk Management Practices Resources: Contractual Risk Transfer for California Public Agencies manual. California JPIA, Seventh Edition, 2018 Action Item: 2019-003 Observations: The agency does not require insurance as part of the encroachment permit application and its indemnity language is broad. Action Required: Revise encroachment permit to include insurance requirements and appropriate indemnity language. Resources: A sample template is located on the California JPIA's website. CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [71 Occupational Safety & Health Programs Action Item: 2019-004 Observations: The agency has not implemented a Facilities Inspection Program. Action Required: Develop and implement a program to regularly inspect agency facilities to identify hazardous conditions and practices that require corrective or preventive measures, consistent with the requirements of Cal/OSHA. This program should be coordinated with the inspection program required by the Injury and Illness Prevention Program and should include documentation of identified deficiencies and corrective actions that are completed or planned. Standards: California Code of Regulations, Title 8, Section 3203 (a) (4); 29 CFR 1910.157, Fire Protection Resources: Sample checklists have been developed and are located on the California JPIA's website. Action Item: 2019-005 Observations: A centralized Safety Manual has not been developed. Action Required: Develop a centralized Safety Manual to encourage employee awareness of and compliance with each of the agency's specific safety policies. The manual should include all department -specific safety policies and be formally adopted by the agency governing body. The Injury and Illness Prevention Program Administrator will be better prepared to respond to questions posed by a Cal/OSHA inspector if a centralized Safety Manual is maintained, and it will also enable the agency to maintain greater control over the Cal/OSHA inspection process. Standards: California Code of Regulations, Title 8, Section 3203 Resources: A link to additional website Resources and a sample program has been provided and is located on the California JPIA's website. CALIFORNIA J , P , I • A City of West Covina Initial Risk Management Evaluation [81 Action Item: 2019-006 Observations: The agency does not have a Bloodborne Pathogens Exposure Control Program. Action Required: Assess employee exposure to blood or other potentially infectious materials, document the findings, and include this in the centralized Safety Manual. The California Code of Regulations provides that all employers who may reasonably be anticipated to have this occupational exposure develop a Bloodborne Pathogens Exposure Control Plan consistent with the requirements of Cal/OSHA. Standards: California Code of Regulations, Title 8, Section 5193; 29 CFR 1910.1030, Bloodborne Pathogens Resources: A link to additional website resources has been provided and is located on the California JPIA's website. Action Item: 2019-007 Observations: The agency does not have a Confined Space Entry Control Program. Action Required: Determine whether confined spaces exist at agency facilities. If confined spaces exist, a written Confined Space Entry Control Program, consistent with the applicable Sections of Cal/OSHA, should be developed. The program must include procedures for testing the atmosphere in confined spaces; assignment of supervisors, attendants, and rescue personnel; and employee training. A permit system may be required. Standards: California Code of Regulations, Title 8, Sections 5156, 5157, and 5158, Confined Spaces; 29 CFR 1910.146 Resources: A sample policy has been developed and is located on the California JPIA's website. CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [91 Action Item: 2019-008 Observations: The agency does not have an Emergency Action Plan. Action Required: Develop and implement an Emergency Action Plan consistent with the requirements of Cal/OSHA. This plan shall be in writing and shall cover those designated actions employers and employees must take to ensure employee safety from fire and other emergencies. Elements of the plan include (at a minimum): o Emergency escape procedures and emergency escape route assignments; o Procedures to be followed by employees who remain to operate critical plant operations before they evacuate; o Procedures to account for all employees after emergency evacuation has been completed; o Rescue and medical duties for those employees who are to perform them; o The preferred means of reporting fires and other emergencies; o Names or regular job titles of persons or departments who can be contacted for further information or explanation of duties under the plan; o An employee alarm system that complies with Article 165; o The types of evacuation to be used in emergency circumstances: and o Training. Standards: California Code of Regulations, Title 8, Section 3220; 29 CFR 1910.38 Resources: A link to additional website resources has been provided and is located on the California JPIA's website. Action Item: 2019-009 Observations: The agency does not have a Fire Prevention Plan. Action Required: Develop and implement a Fire Prevention Plan consistent with the requirements of Cal/OSHA. This plan should include an inventory of fuels and sources of ignition, fire protection systems, housekeeping policies, employee training, and the names or job titles of responsible personnel. Standards: California Code of Regulations, Title 8, Section 3221; 29 CFR 1910.39 Resources: A link to additional website resources has been provided and is located on the California JPIA's website. CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [10] Action Item: 2019-010 Observations: The agency does not have a Hazard Communication Program. Action Required: Develop and implement a Hazard Communication Program, consistent with the requirements of Cal/OSHA. This program should include product labeling, Safety Data Sheets (SDS) availability, and employee training. Standards: California Code of Regulations, Title 8, Section 5194; OSHA Publication 3695 Resources: A link to additional website resources has been provided and is located on the California JPIA's website. Action Item: 2019-011 Observations: The agency does not have a Hearing Conservation Program. Action Required: Assess employee exposure to hazardous noise levels, document the findings, and include this in the centralized Safety Manual. This program should contain provisions for pre -employment assessment, appropriate hearing protection, annual audiometric tests, annual employee training, and periodic environmental assessments. Determine if existing machinery emits noise greater than 85 dB and how long employees are exposed to the machinery. If the research indicates that employees are exposed to noise levels in excess of 85 dB for an eight -hour time -weighted average, a Hearing Conservation Program, consistent with the requirements of Cal/OSHA, should be implemented. Standards: California Code of Regulations, Title 8, Article 105, Section 5097; 29 CFR 1910.95, Occupational Noise Exposure Resources: A link to additional website resources has been provided and is located on the California JPIA's website. CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [11] Action Item: 2019-012 Observations: The agency does not have a Heat Illness Prevention Program. Action Required: A Heat Illness Prevention Program should be developed and implemented. The program should include provision of shade, breaks, drinking water, and employee/supervisor training in recognizing the symptoms of heat illness. Standards: California Code of Regulations, Title 8, Section 3395; OSHA General Duty Clause, Section 5(a)(1) Resources: A link to additional website resources has been provided and is located on the California JPIA's website. Action Item: 2019-013 Observations: The agency's Injury and Illness Prevention Program is outdated. It was last updated in 1994. Action Required: Revise the agency's Injury and Illness Prevention Program to comply with the requirements of Cal/OSHA. The following required provisions should be reviewed and revised as necessary: o Identification of the person or persons responsible for implementing the program; o The agency's name and address; o The employer's system for identifying and evaluating workplace hazards, including scheduled periodic inspections to identify unsafe conditions and work practices; Investigations of all occupational injuries and illnesses; o The employer's methods and procedures for correcting unsafe or unhealthy conditions and work practices in a timely manner; o An occupational health and safety training program designed to instruct employees in general safe and healthy work practices and to provide specific instructions with respect to hazards specific to each employee's job assignment; o The employer's system for communicating with employees on occupational health and safety matters, including provisions designed to encourage employees to inform the employer of hazards at the work site without fear of reprisal (anonymous reporting system); and o The employer's system for ensuring that employees comply with safe and healthy work practices, which must include recognition, training, re-training, and disciplinary action. The agency's Injury and illness Prevention Program should be reviewed and revised as necessary annually. CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [121 Standards: California Code of Regulations, Title 8, Section 3203 Resources: A sample policy has been developed and is located on the California JPIA's website. Action Item: 2019-014 Observations: The agency does not have a Lockout/Tagout Program. Action Required: Develop a written Lockout/Tagout Program, consistent with the requirements of Cal/OSHA. The agency's Lockout/Tagout procedures must be followed whenever outside servicing personnel are engaged in this work. Standards: California Code of Regulations, Title 8, Sections 3314 and 2320; Appendix A to 29 CFR 1910.147 Resources: A link to additional website resources has been provided and is located on the California JPIA's website. Action Item: 2019-015 Observations: Agency forklift operators have not been trained as required. Action Required: Provide training to operators of powered industrial trucks in accordance with the California Code of Regulations, Title 8. Refresher training should be provided every three years or as required by the California Code of Regulations, Title 8. Standards: California Code of Regulations, Title 8, Section 3668; OSHA General Duty Clause, Section 5(a)(1) CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [131 Action Item: 2019-016 Observations: The agency does not have a Repetitive Motion Injury Control (Ergonomics) Program. Action Required: Consider developing and implementing a Repetitive Motion Injury Control (Ergonomic) Program consistent with the requirements of Cal/OSHA. This is required where a repetitive motion injury (RMI) has occurred to more than one employee under the following conditions: o The employees incurring the RMIs were performing a job process, or operation of identical work activity; o The RMIs were musculoskeletal injuries that a licensed physician objectively identified and diagnosed; and o The RMIs were reported by the employees to the employer in the last twelve months. This program should include a worksite evaluation, control of exposures that have caused repetitive motion injuries, and training of employees. Standards: California Code of Regulations, Title 8, Sections 3203 and 5110; 29 CFR 1910.900 Resources: A sample policy has been developed and is located on the California JPIA's website. Action Item: 2019-017 Observations: The agency does not have a Respiratory Protection Program, nor has an Airborne Health Hazards Assessment been completed. Action Required: Document the agency's assessment regarding employee exposure to airborne health hazards in the workplace and include this in the centralized Safety Manual. Reassess employee exposure periodically. If identified hazards cannot be eliminated, develop and implement a Respiratory Protection Program, consistent with the requirements of Cal/OSHA. Standards: California Code of Regulations, Title 8, Section 5144; 29 CFR 1910.134, Respiratory Protection Resources: A sample policy has been developed and is located on the California JPIA's website. CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [141 Action Item: 2019-018 Observations: The agency does not have a formal Trenching and Excavation Safety Program in place. Action Required: A Trenching and Excavation Safety Program, consistent with the requirements of Cal/OSHA, should be developed. Training should be conducted as needed and as required. Standards: California Code of Regulations, Title 8, Section 1541; 29 CFR 1910.652 Excavations, Requirements for Protective Systems Resources: A link to additional website Resources and a sample program has been provided and is located on the California JPIA's website. Action Item: 2019-019 Observations: The agency does have a Safety Committee, though it is not currently active. The agency's Injury and Illness Prevention Program (IIPP) needs revisions. Action Required: Determine if the Safety Committee will resume or formally disband the Safety Committee and reassign its defined responsibilities to other agency staff. Should the agency decide to resume the Safety Committee's efforts, it should consider broadening the scope of issues covered during Safety Committee meetings and keep a file of meeting agendas and minutes of items discussed and actions taken. The issues should include: o Overseeing a hazard identification program for all departments; o Reviewing accidents involving agency employees to make certain the actions taken to prevent recurrence are adequate; o Monitoring accident statistics to determine trends and problem areas; o Reviewing safety training needs and current training programs for adequacy and recommending changes or additional programs as necessary; o Initiating programs to stimulate and maintain employee interest in safety; and o Reviewing and evaluating safety and health recommendations from all sources, including employee suggestions and complaints. If the Safety Committee will resume, develop a formal written policy with regular meetings at the specified frequency. The policy should be included in the agency's Injury and Illness Prevention Program. Standards: Best Risk Management Practices CALIFORNIA J • P , I , A City of West Covina Initial Risk Management Evaluation [151 Action Item: 2019-020 Observations: It is unknown whether training is provided to employees who may be exposed to hazards associated with working around asbestos or lead -based paint. There is not a written Operations and Maintenance Program in place for agency facilities which contain asbestos or lead -based paint building materials. Action Required: Personnel activities should be reviewed to determine whether there is a potential for employee exposures to asbestos or lead. When employees are exposed to asbestos or lead, an Exposure Control Plan should be developed. Personal protective equipment (PPE) and employee training should be provided as needed and required. Develop and implement an Operations and Maintenance Program to manage exposures to asbestos -containing materials and lead -based paint, consistent with the requirements of the California Code of Regulations, Title 8. The program should include employee awareness training. It should also contain a provision advising all employees, service vendors, contractors, and tenants of the known presence of asbestos -containing materials (ACM) and lead -based paint (LBP) in agency facilities, as well as any pre-1978 facilities that have not been sampled. Awareness training reduces the potential for any accidental disturbance of ACM and LBP, and it ensures that proper response procedures are initiated in the event of an incident. Standards: California Code of Regulations, Title 8, Section 1529, 1532.1, 5208 and 5216 40 CFR, Part 763 — Asbestos; California Code of Regulations, Title 8, Section 5208, Asbestos; 29 CFR 1910.1200 Hazard Communication Resources: A sample program has been developed and is located in the Resource Center on the California JPIA's website. CALIFORNIA J • P • I , A On May 5, 2020, the City Council approved the City's membership in the California Joint Powers Insurance Authority (CJPIA) and the pooling of the City's self-insurance general liability and workers' compensation insurance through CJPIA programs. Although the City is making significant improvements in stabilizing its workforce and incorporating risk management practices mitigating its exposures, the CJPIA placed four membership conditions in order to protect the pool and the members; 1) for claims categorized as employment practices liability, the city will have a separate Member Retained Limit of $1,000,000 per occurrence, 2) delegation of settlement authority in the amount of $750,000 to the CJPIA ($1,000,000 for employment practices claims), 3) delegation of claims handling authority allow the CJPIA to send notice of the rejection and shortening the timeframe in which to file a lawsuit to six months (Attachment No. 1, Resolution No. 2020-42), and 4) the city will be required to complete the action items noted in the Initial Risk Management Evaluation report within 18 months (Attachment No. 2). Resolution 2020-42 implements City Council direction. Prepared by: Helen Tran, Director Human Resources/Risk Management Attachments Attachment No. 1 - Resolution 2020-42 (CJPIA) Attachment No. 2 - Risk Management Plan CITY COUNCIL GOALS & OBJECTIVES: Achieve Fiscal Sustainability and Financial Stability Enhance the City Image and Effectiveness Protect Public Safety Respond to the Global COVID-19 Pandemic City of West Covina Initial Risk Management Evaluation [161 Action Item: 2019-021 Observations: Automated External Defibrillators (AEDs) and other medical emergency equipment were provided for emergency use. It was not determined whether the AEDs are inspected, tested, and maintained on a regular basis. It was not determined whether staff members are properly trained on the use of AEDs and maintain current CPR certification. It was not determined whether a written program outlining the operation, inspection, maintenance, and training requirements for AEDs has been developed. Action Required: AEDs should be inspected monthly to ensure that they are in good condition and functional. AEDs should be tested and maintained in accordance with the recommendations of the manufacturer. All inspections, testing, and maintenance should be documented. An adequate number of staff should be properly trained to respond to emergency situations requiring the use of the AED. This training should include, at a minimum, training on proper use of the AED as well as maintaining current CPR certification. All staff at locations with AEDs should annually receive a brochure that describes the proper use of the AED. This information should also be posted next to each AED. All staff should be informed annually as to the location of each AED. If one does not exist, a written program that complies with the requirements of the California Health and Safety Code should be developed. Standards: California Health and Safety Code, Section 1797.196; California Civil Code, Section 1714.21 Resources: A sample policy has been developed and is located on the California JPIA's website. CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [171 Human Resources Action Item: 2019-022 Observations: The organization's Personnel Manual and personnel policies are not reviewed regularly with employees. Action Required: Employees should be periodically required to sign an acknowledgement of these policies. To ensure regular acknowledgement of the policies, this can be incorporated into annual performance evaluations. Standards: Best Risk Management Practices Action Item: 2019-023 Observations: Pre -employment screening for alcohol and/or controlled substances is conducted for all prospective employees. The agency has not created a list of safety -sensitive positions. Action Required: Agency policy should be updated to reflect case law which prohibits blanket drug screening of employment applicants. The agency should develop a list of safety - sensitive positions for which employment is contingent upon screening for illegal or controlled substances. Accordingly, only those applying for positions identified as safety -sensitive should be screened for illegal or controlled substances. Standards: Best Risk Management Practices Action Item: 2019-024 Observations: Annual performance evaluations do not consider safety compliance. Action Required: Include safety compliance as part of the evaluation. Quantifiable performance measures should be utilized when evaluating safety compliance. Standards: Best Risk Management Practices CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [181 Action Item: 2019-025 Observations: Volunteers are utilized; however, a Volunteer Handbook has not been developed. Action Required: Develop and distribute a Volunteer Handbook to volunteers defining volunteer roles and responsibilities. Provide initial and refresher training to all volunteers at least annually. Standards: Best Risk Management Practices Resources: A sample policy has been developed and is located on the California JPIA's website. Action Item: 2019-026 Observations: The organization does not have a Volunteer Orientation and Training Program in place. Action Required: Develop a Volunteer Orientation Program that includes an introduction to agency policies as well as safety training consistent with the requirements of Cal/OSHA. Field services personnel should have "tailgate" safety meetings on a bi-weekly basis with training sessions lasting a minimum of 15 minutes. For administrative and clerical staff, quarterly safety meetings are adequate. Training should include hazards specific to employee job assignments as well as hazards common to all workplaces and situations. Documentation of these meetings should be maintained for at least three years and be readily available for review by Cal/OSHA or other enforcement agencies. Standards: California Code of Regulations, Title 8, Section 3203 (a) (7) Resources: Register for workshops online on the California JPIA's website. Action Item: 2019-027 Observations: The agency does not evaluate the driving record of volunteers when driving is a job function. Action Required: Require prospective volunteers to provide a current Motor Vehicle Report. This will allow the agency to determine whether prospective volunteers have acceptable driving histories before extending an offer to those where driving is a job function. Standards: Best Risk Management Practices CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [191 Action Item: 2019-028 Observations: The agency does not conduct background checks on all volunteers. Action Required: Perform background checks on all volunteers, including those who work with or around minors. Standards: Public Resources Code, Section 5164, and Penal Code, Section 11105.3 Resources: A link to additional website resources on Criminal Background Check requirements is located on the California JPIAs website or the National Recreation and Park Association — Operation TLC2 "Making Communities Safe." Action Item: 2019-029 Observations: The agency does not have a formal policy and procedure for notifying Cal/OSHA in the event an employee is involved in a serious injury or illness. Action Required: A formal policy and procedure should be developed to meet the requirement that Cal/OSHA be notified of serious injury or illness, or death of an employee. Develop a chain of command and designate a key person to notify Cal/OSHA when required. Standards: California Code of Regulations, Title 8, Section 342, and Section 330(h) Resources: A link to additional website resources has been provided and is located on the California JPIA's website. CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [201 Action Item: 2019-030 Observations: The agency has not developed a Transitional Return to Work Program. Action Required: Establish a written Transitional Return to Work Policy for injured or ill employees and volunteers and include this policy in both the Employee and Volunteer Handbooks and respective orientation programs. Individuals who cannot return to their previous work or volunteer functions, either temporarily or permanently, should be medically examined to determine their work capacity, and every effort should be made to accommodate transitional light duty requirements. Transitional light duty assignments should be identified and developed before injuries occur to best ensure the effectiveness and success of the program. The agency should consider including individuals on light duty assignments in some of the various inspection programs recommended in other formal recommendations contained within this report. Standards: Best Risk Management Practices Resources: A sample policy has been developed and is located on the California JPIA's website. CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [211 Fleet and Driver Management Action Item: 2019-031 Observations: Supervisors of commercial vehicle operators have not received the required drug and alcohol awareness training. The agency's commercial drivers have not received training in alcohol and substance abuse awareness. Action Required: Provide required drug/alcohol awareness training to all supervisors overseeing drivers of commercial vehicles. Continue monitoring employees who operate vehicles for improper consumption of alcoholic beverages and use of controlled substances and enroll all commercially licensed drivers in a random drug and alcohol testing program. Standards: 49 Code of Federal Regulation Part 40; 49 Code of Federal Regulations, Section 382.603 Resources: Register for workshops online in the Resource Center on the California JPIA's website. Action Item: 2019-032 Observations: The agency does not have a formal Commercial Vehicle Inspection Program. Action Required: Develop and implement a program to regularly inspect agency commercial vehicles to identify hazardous conditions that require repairs or preventive maintenance. A minimum inspection frequency of monthly is recommended. Standards: Best Risk Management Practices CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [221 Infrastructure Management Action Item: 2019-033 Observations: The agency has conducted an ADA Self -Evaluation of agency facilities; however, it is not in writing. Action Required: Perform a written ADA Self -Evaluation of all public facilities. By January 26, 1993, each public entity was to have evaluated its services, policies and practices to determine their effect on accessibility of public facilities and modify them as necessary. Standards: Americans with Disabilities Act, Title II, Section 35.149-151; 28 C.F.R. § 35.104 Resources: Assistance can be obtained from the following website links: http://www.ada.gov/websites2.htm; http://www.section508.gov. Action Item: 2019-034 Observations: The agency has not developed an ADA Transition Plan outlining the steps necessary to achieve barrier -free access. Action Required: Develop a formal ADA Transition Plan outlining the steps necessary to complete structural changes to facilities to achieve required accessibility. Existing buildings were to have been retrofitted to eliminate barriers to program accessibility no later than January 26, 1995. Public entities with 50 or more employees were to have developed a Transition Plan by July 26, 1992. The Transition Plan must identify physical obstacles, describe how the agency will make facilities accessible, outline the schedule for each year's modification efforts, and indicate the official with responsibility for implementation of the Transition Plan as required. Standards: Americans with Disabilities Act, Title II, Section 35.149-151; 28 C.F.R. § 35.104 Resources: Assistance can be obtained from the following website links: http://www.ada.gov/websites2.htm; http://www.section508.gov. CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [231 Action Item: 2019-035 Observations: The agency does not have a formal ADA Grievance Policy or ADA Grievance Coordinator. Action Required: Develop a formal ADA Grievance Policy. Agencies with 50 or more employees must designate a responsible person to coordinate efforts to comply with ADA, carry out responsibilities, and establish grievance procedures that provide for prompt and equitable resolution of complaints alleging prohibited actions. Standards: Americans with Disabilities Act, Title II, Section 35.107; 28 CFR Part 35 §35.107, Designation of Responsible Employee and Adoption of Grievance Procedures Resources: A sample policy has been developed and is located on the California JPIA's website. Action Item: 2019-036 Observations: The agency has not developed an Asbestos and Lead -Based Paint Awareness Program. The agency has not formally inspected its facilities for the presence of asbestos and lead -based paint. Action Required: Develop and implement an Operations and Maintenance Program to manage exposures to asbestos -containing materials and lead -based paint, consistent with the requirements of the California Code of Regulations, Title 8. The program should include employee awareness training. It should also contain a provision advising all employees, service vendors, contractors, and tenants of the known presence of asbestos -containing materials (ACM) and lead -based paint (LBP) in agency facilities, as well as any pre-1978 facilities that have not been sampled. Awareness training reduces the potential for any accidental disturbance of ACM and LBP, and it ensures that proper response procedures are initiated in the event of an incident. Standards: California Code of Regulations, Title 8, Sections 1529, 1532.1, 5198, and 5208 29 CFR 1910.1001, Toxic and Hazardous Substances; Asbestos Resources: A sample program is located in the Resource Center on the California JPIA website. CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [241 Action Item: 2019-037 Observations: The agency website does not include Terms and Conditions. Action Required: Develop website Terms and Conditions and post them to the agency's website. Standards: Best Risk Management Practices Resources: A sample policy has been developed and is located on the California JPIA's website. Action Item: 2019-038 Observations: A Tree Inspection and Maintenance Program has not been developed or implemented. Action Required: Develop and implement a Tree Inspection and Maintenance Program. Standards: Best Risk Management Practices Resources: A sample policy has been developed and is located in the Resource Center on the California JPIA's website. Action Item: 2019-039 Observations: The agency has not established formal sidewalk maintenance and repair standards. Action Required: Develop and implement formal inspection and repair standards to guide the inspection and maintenance of sidewalks and related infrastructure features. Standards: Best Risk Management Practices Resources: A sample policy has been developed and is located on the California JPIA's website. Action Item: 2019-040 Observations: While some of the storm drain covers have been retrofitted to ensure that bicycle tires cannot get trapped in grid patterns that run parallel to the direction of traffic, many have not. Action Required: Retrofit remaining storm drain covers for bicycle safety. Standards: Best Risk Management Practices CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [251 Action Item: 2019-041 Observations: The Agency does not have design plans for all major roadways and related infrastructure. Action Required: To preserve design immunity, a comprehensive index should be developed and matched to all major roadways. Identify missing roadway design plans and develop a program to recreate any missing plans through a review of those specific roadways and approval by Council or through those granted discretionary authority. Standards: Best Risk Management Practices Resources: California JPIA White Paper Series: The Design Immunity Action Item: 2019-042 Observations: The following observations were made at the Wescove Day Care: o Some of the doormats were torn, curled, and/or damaged. This condition poses trip/fall hazards. o One or more of the illuminated exit signs observed were only partially lit. Action Required: Repair or replace doormats at front entrance of the day care. Exit signs should be equipped with light bulbs for all sockets so that the signs are still illuminated even if one bulb rig fails. 4(' Standards: California Code of Regulations, Title 8, Section 3273, Working Area; 29 CFR 1910.22 General Requirements - Walking -Working Surfaces; California Fire Code, Section 1011, Exit Signs; California Fire Code, Section 1011.2, Illumination; California Code of Regulations, Title 24, Section 1006, Means of Egress Illumination; NFPA 101, Chapter 5 - Means of Egress CALIFORNIA J • P • I , A F',M'T1TR 11 Y [170M`►CM0iTlLya A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA, IMPLEMENTING A POLICY DELEGATING TORT LIABILITY CLAIMS HANDLING RESPONSIBILITIES TO THE CALIFORNIA JOINT POWERS INSURANCE AUTHORITY AS AUTHORIZED BY GOVERNMENT CODE SECTION 910, ET SEQ. WHEREAS, the City of West Covina is a member of the California Joint Powers Insurance Authority (California JPIA) effective July 1, 2020, and pursuant to Government Code sections 990.4, et seq. and 6500 et seq. pools its self -insured liability claims and losses with other California JPIA members under a Memorandum of Coverage; and WHEREAS, the Joint Powers Agreement creating the California JPIA authorizes it to exercise powers common to members and appropriate to defend and indemnify members from liability claims under the Memorandum of Coverage. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA, CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. the City of West Covina delegates to California JPIA authority to act on its behalf pursuant to Government Code sections 910, et seq. to accept, reject, return as insufficient, or return as untimely any claims against it, and to provide any notices authorized under those statutes on behalf of the City of West Covina. SECTION 2. This resolution shall become effective July 1, 2020. SECTION 3. The City of West Covina's Clerk shall certify to the adoption of this Resolution. SECTION 4. The City Clerk shall certify to the adoption of this resolution and shall enter the same in the book of original resolutions and it shall become effective immediately. SECTION 5. The City Clerk is directed to forward a certified copy of this resolution to the California JPIA, 8081 Moody Street, La Palma, CA 90623 APPROVED AND ADOPTED this 19th day of May, 2020. Tony Wu Mayor City of West Covina Initial Risk Management Evaluation [26] Action Item: 2019-043 Observations: The following observations were made at the Public Works Department - Maintenance Division: o At least one of the ladders observed was unsecured and leaning against the wall. These ladder storage practices pose falling object hazards. o Cross bars were missing from storage racks. o Compressed gas cylinders were not properly secured. Action Required: Ladders should be stored on wall hooks or secured with ropes, straps, or chains to prevent them from falling if struck or during seismic activity. Determine if current storage racks can safely support the intended load. Secure compressed gas cylinders with one or more restraints to prevent falling caused by contact, vibration or seismic activity. Standards: California Code of Regulations, Title 8, Section 3241, Live Loads; 29 CFR 1910, Subpart D - Walking -Working Surfaces; California Government Code, Section 835 California Fire Code, Section 3003.5.3; 29 CFR 1910.101, Compressed Gases (General Requirements) CALIFORNIA J , P - I - A City of West Covina Initial Risk Management Evaluation [271 Action Item: 2019-044 Observations: The fire extinguishers are not inspected�- on a monthly basis. Action Required: Ensure that fire extinguishers are visually inspected monthly, consistent with the requirements of Cal/OSHA and California Fire Code. Standards: California Fire Code, Section 906, Portable Fire Extinguishers; California Code of Regulations, Title 8, Section 6151, Portable Fire Extinguishers Action Item: 2019-045 Observations: It was not determined whether emergency eyewash stations are inspected and tested on a regular basis. Action Required: All emergency eyewash stations should be tested and flushed weekly to verify proper operation. Plumbed units should be flushed for a minimum of three minutes. All inspection information should be documented and maintained for a minimum of one year. Standards: California Code of Regulations, Title 8, Section 5162, Emergency Eyewash and Shower Equipment; 29 CFR 1910, Subpart K - Medical and First Aid CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [281 Parks and Playground Management Action Item: 2019-046 Observations: Detailed installation, maintenance, inspection, and repair records were not available or each piece of playground equipment. Action Required: Detailed installation, maintenance, inspection, and repair records for each piece of playground equipment should be established, maintained, and documented. Standards: California Health and Safety Code, Sections 115725-115735; CPSC, Publication 325, Public Playground Safety Handbook Action Item: 2019-047 Observations: Not all agency -owned playgrounds have been audited by a Certified Playground Safety Inspector (CPSI). Action Required: All playgrounds must have an initial inspection completed by a Certified Playground Safety Inspector (CPSI) prior to their use. Standards: U.S. Consumer Product Safety Commission's Public Playground Safety Handbook; California Health and Safety Code Sections 115725 — 115750 CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [291 Action Item: 2019-048 Observations: The agency does not have a comprehensive Playground Inspection and Maintenance Program. Playground inspection and maintenance is contracted through a third party. Action Required: A formal, written Playground Safety and Risk Management Program should be developed to include the following: o A formal policy specifying playground inspection, maintenance, and repair standards; o An initial audit of playground facilities by a Certified Playground Safety Inspector (CPSI); o Provision of required signage/labels; o Ongoing inspection, repair, and maintenance standards; o Phasing out and/or replacement of hazardous and/or noncompliant equipment; o Ongoing renovation as needed to comply with ADA accessibility standards; and o Record keeping/documentation standards. The policy requirements should be outlined in the third -party agreement. Standards: ASTM 1487, Standard Consumer Performance Specifications for Playground Equipment for Public Use; U.S. Consumer Product Safety Commission's Public Playground Safety Handbook; California Health and Safety Code Sections 115725 — 115750 Resources: A sample checklist has been developed to augment parks and playground inspection programs, which are located on the California IPIA's website. Action Item: 2019-049 Observations: The playground equipment coating was \ peeling or otherwise deteriorated at CA Parquette. Action Required: The equipment should be repaired or replaced in accordance with the manufacturer's recommendations. Standards:z' U.S. Consumer Product Safety Commission's Public Playground Safety Handbook; California Health and Safety Code Sections 115725 — 115750 CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [30] Action Item: 2019-050 Observations: The playgrounds at the following parks require preventative maintenance: o Orangewood Park - peeling signage and graffiti present o CA Parquette - signage missing or peeling and litter observed o Cortez Park - signage missing or peeling o Big League Dreams - signage missing Action Required: Focus maintenance on playground equipment, repairing or replacing damaged or worn parts, and fastening devices. Required signage and/or labels should be repaired or replaced when they become faded, deteriorated, or illegible. All informational signs should be periodically reviewed for clarity and legibility. Signs and labels should comply with the description found in Section 14 of ASTM F1487. Improve housekeeping at CA Parquette. Graffiti that is allowed to remain visible invites additional graffiti. Prompt response to graffiti is a proven deterrent to future graffiti. Standards: U.S. Consumer Product Safety Commission's Public Playground Safety Handbook; California Health and Safety Code Sections 115725 — 115750 Resources: Sample checklists have been developed and are located on the California JPIA's website. CALIFORNIA J • P - I - A City of West Covina Initial Risk Management Evaluation [31] Action Item: 2019-051 Observations: The surfacing beneath the playgrounds at CA Parquette and Cortez Park are not properly maintained. The transition from the concrete to the playground areas was uneven. These conditions pose trip/fall hazards. Action Required: Depending on the playground location, weather conditions, watering patterns, and frequency of use, weekly maintenance may be necessary to ensure adequate depth and to loosen surfacing material that may have become compressed. Improve maintenance of playground protective surfaces. Add more surfacing to fall zones and the most frequently used play areas. Make sure that the surfacing under and around playground equipment is uncompressed and of an appropriate depth. Standards: U.S. Consumer Product Safety Commission's Public Playground Safety Handbook; California Health and Safety Code Sections 115725 — 115750 CALIFORNIA J • P - I - A City of West Covina Initial Risk Management Evaluation [321 Action Item: 2019-052 Observations: Park inspection and maintenance is contracted through a third party. The Agency should develop a formal inspection policy and include in the third -party agreement. Action Required: Perform regular, formal inspections of parks and fields to identify hard ground; damaged, depressed, or protruding irrigation components; excessive wet areas; missing delineations; holes or divots in the play surface; foreign objects; and fields in need of reseeding. Inspections should also include a review of park lighting, walking surfaces, benches/bleachers, fences, parking areas, and other site -specific features. Identified deficiencies should be corrected in accordance with agency policy. Resources: A sample checklist has been developed to augment parks and playground inspection programs, which are located on the California IPIA's website. CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [33] Action Item: 2019-053 Observations: The Skate Park's rules sign is small and deteriorating. Some rules, like when the park allows mixed use, were not readily apparent. Graffiti was present in some areas. The presence of graffiti invites additional graffiti. Prompt response to graffiti is a proven deterrent to future graffiti. The agency does not formally inspect the Skate Park. Participants at the Skate Park were not qW_ using helmets and mixed use was observed when it is not allowed. Action Required: The skate park rules should be re- printed in a large, clear format that can be easily read from ten feet away. The signs should reference the information noted in Section III (10) of the California JPIA's Recommended Risk Management Guidelines for skate parks. Graffiti should be removed. Formal inspections should be conducted at the Skate Park. Documentation should take form of checklists or other similar documentation. Records of corrective actions should be retained. Ensure the agency's existing skate park ordinances are followed and enforced. Standards: Best Risk Management Practices Resources: AB1296 Section III (10) of the California JPIA's Recommended Risk Management Guidelines for Skate Parks. CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [34] Action Item: 2019-054 Observations: A temporary makeshift ramp was observed at the entrance to the Skate °r= Park. The damaged ramp is a trip and fall hazard.' Action Required: Repair, replace, or remove the ramp. Standards: - California Code of Regulations, Title 8, Section 3203 Action Item: 2019-055 Observations: It was not determined whether the bleachers/grandstands are inspected and serviced on a regular basis. Bleacher structures and grandstands present a loss exposure due to falls and/or structure failure. Action Required: Retrofit or replace bleachers that do not meet the current guidelines for bleachers. The grandstands and bleachers should be inspected annually and required maintenance performed to ensure safe conditions. At least biennially, the inspection should be performed by a professional engineer or registered architect. If required by the authority having jurisdiction, the agency should provide certification that both inspections have been performed. Standards: U.S. Consumer Product Safety Commission's Publication Number 330-000011, Guidelines for Retrofitting Bleachers; National Fire Protection Association (NFPA) 102, Standard for Grandstands, Folding and Telescopic Seating, Tents, and Membrane Structures; Publication 330, Guidelines for Retrofitting Bleachers, United States Consumer Product Safety Commission; California Code of Regulations, Title 24, Section 1028.1.1, Bleachers Resources: A link to the Guidelines for Retrofitting Bleachers is located on the California JPIA's website. CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [351 Recreation and Community Services Action Item: 2019-056 Observations: The agency's waiver requires the participant or participant's parent/guardian to hold the agency harmless from any liability. Participant waivers should not release any party from any act or omission of gross negligence, as the term is used in applicable case law and/or statutory provision. Action Required: Revise the participant waiver to conform to accepted best practices, using the suggested language outlined in the Contractual Risk Transfer for California Public Agencies Manual. Resources: Contractual Risk Transfer for California Public Agencies manual. California JPIA, Seventh Edition, 2018 Action Item: 2019-057 Observations: Waivers for minors are retained for only one year. Action Required: Waivers involving minors should be retained for at least three years after the participant has reached 18 years old. The agency's Records Retention Policy should be revised as needed to reflect this policy. Waivers should be retained in accordance with the agency's Records Retention Policy. Standards: Best Risk Management Practices Action Item: 2019-058 Observations: Contracted instructor agreements are not required to provide insurance; however, they are still required to sign agreements with indemnity language. Action Required: Include appropriate indemnity language in agreements with contractor instructors and require sufficient insurance to support the indemnity provisions. Standards: Best Risk Management Practices Resources: Contractual Risk Transfer for California Public Agencies manual. California JPIA, Seventh Edition, 2018 CALIFORNIA J , P • I , A APPROVED AS FORM ATTEST Thomas P. Duarte Lisa Sherrick City Attorney Assistant City Clerk I, LISA SHERRICK, ASSISTANT CITY CLERK of the City of West Covina, California, do hereby certify that the foregoing Resolution No. 2020-42 was duly adopted by the City Council of the City of West Covina, California, at a regular meeting thereof held on the 19th day of May, 2020, by the following vote of the City Council: AYES: NOES: ABSENT: ABSTAIN: Lisa Sherrick Assistant City Clerk City of West Covina Initial Risk Management Evaluation [361 Action Item: 2019-059 Observations: Certain contractors, including Independent Contractors for recreation classes, are not providing certificates of insurance. By properly managing its contracts, the agency can reduce its loss exposures and likewise reduce disputes with contractors and their insurers when a loss occurs. Action Required: Develop contract documentation tracking procedures to monitor contractor compliance with contract provisions and to ensure that insurance documents required in contracts are received in a timely fashion. Develop a system to ensure that contractors provide certificates of insurance and policy endorsements before they are allowed to begin work. Contractors should be notified immediately in writing when insurance documentation is deficient or is not received as required. Resources: Contractual Risk Transfer for California Public Agencies manual. California JPIA, Seventh Edition, 2018 Action Item: 2019-060 Observations: The agency does not have written agreements for all individuals or groups who use the agency's recreational facilities. Action Required: Utilize rental agreements with all agency facility renters. The rental agreement should include indemnification and hold harmless language, and it should contain insurance requirements as recommended by the California JPIA. Require facility renters to provide evidence of sufficient insurance to support the indemnity agreements in the facility rental agreements. Compliance with insurance requirements should be monitored and consistently enforced. When third -party users do not have, or are unable to obtain general liability insurance, consider using the California JPIA Special Event Coverage when possible. Standards: Best Risk Management Practices Resources: A sample facility rental agreement has been developed and is located on the California JPIA's website. CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [371 Action Item: 2019-061 Observations: The agency does not have a policy addressing at what age staff or volunteers are permitted to work around minors. It is important to note that juvenile criminal records may not be accessible and/or disclosed to the agency. Action Required: Develop and implement a policy specifying what age an employee or volunteer is permitted to work around youth unsupervised. Provide training to staff and volunteers on all provisions of the policy. Standards: Best Risk Management Practices CALIFORNIA J , P , I • A City of West Covina Initial Risk Management Evaluation [38] Law Enforcement Services Action Item: 2019-062 Observations: The following was observed at the Police Department: o Evidence of leaks and/or other water intrusion were present in the server room and the female jail cell. Some of the damage appears to be potentially substantial. Water intrusion and the presence of moisture in building materials can foster the growth of mold and mildew. o Regulated hazardous waste was idly stored. It was not determined whether plans were in place to remove this waste. o Computer room server data cables are unorganized and could present a trip and fall hazard. o Electric panelboards and switchboards were obstructed with stored materials and/or furnishings. Obscuring and obstructing electric panelboard cabinets and/or switchboards delays or prevents access in an emergency. Action Required: The source of the water intrusion should be determined and corrective action taken to prevent recurrence. Wall coverings, ceiling tiles, floor coverings, and wall and ceiling insulation should be inspected to identify the presence of damage or mold growth. Both exposed and concealed surfaces should be inspected. Damaged and contaminated materials should be removed and disposed of in a way that prevents their continued use. The entire damaged or contaminated area should be cleaned and disinfected with an effective fungicide prior to installing new materials. CALIFORNIA J , P - I - A City of West Covina Initial Risk Management Evaluation [391 Regulated waste should be stored and removed in accordance with Agency policy and other applicable regulations. Practice cable management in server room to avoid potential trip & fall injuries. Ensure that all electric panels in agency facilities have clear and unobstructed access (minimum 30-inch clearance) and are properly labeled, closed, and latched, consistent with the requirements of California Fire Code. Standards: California Code of Regulations, Title 8, Section 3362, Sanitation, General Requirements; California Code of Regulations, Title 8, Section 3203 (a) (4); California Code of Regulations, Title 8, Section 2340.16, Work Space About Electric Equipment; California Code of Regulations, Title 19, Section 3.01, Basic Electrical Regulations; California Code of Regulations, Title 24, Part 9, California Fire Code, Section 605.3, Working Space and Clearance; 29 CFR 1910, Subpart S - Electrical CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [40] Fire Department Operations Action Item: 2019-063 Observations: Evidence of leaks and/or other water intrusion was present at Fire Station 1. Water intrusion and the presence of moisture in building materials can foster the growth of mold and mildew. Action Required: The source of the water intrusion should be determined and corrective action taken to prevent recurrence. Wall coverings, ceiling tiles, floor coverings, and wall and ceiling insulation should be inspected to identify the presence of damage or mold growth. Both exposed and concealed surfaces should be inspected. Damaged and contaminated materials should be removed and disposed of in a way that prevents their continued use. The entire damaged or contaminated area should be cleaned and disinfected with an effective fungicide prior to installing new materials. Standards: California Code of Regulations, Title 8, Section 3362, Sanitation, General Requirements; California Code of Regulations, Title 24, Section 3401.2. Maintenance CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [411 Report Summary The information noted in this report is based upon an assessment of your agency's overall operations. Because the evaluation is only a snapshot in time, your agency should continue evaluating its risk management practices, and take action as necessary when conditions change. Your agency need not wait on a formal process to identify its risk exposures. Each observation was carefully documented, and attention was given to ensure its accuracy. The observations identify risk exposures that, if not addressed, have the potential to adversely impact your agency's operations. Thank you again for your partnership in completing this undertaking. CALIFORNIA J , P • I , A City of West Covina Initial Risk Management Evaluation [421 Agency Exemplar An Agency Exemplar has a structure in place to effectively lead agency -wide risk management policies and practices. These policies and practices are part of the organizational culture. Such policies and practices include the adoption and implementation of the following: 1. Injury and Illness Prevention Program 2. Citizen complaint logging system 3. Americans with Disabilities Act Compliance Program 4. Safety/risk management committee 5. Records retention policy 6. Employee training programs 7. Environmental protection programs 8. Contracts administration 9. Evaluation of general liability claims for frequency and severity trends 10. Evaluation of workers' compensation claims frequency and severity trends As the agency's leadership embraces risk management through agency -wide policies and practices, each department and division will have their own areas of responsibilities including: Human Resources Personnel manual Employee handbook Standard hiring practices Safety manual Cal/OSHA compliance training Discrimination and harassment training Discrimination and harassment complaint processing Management, direction, and control of volunteers Violence in the work place policy OSHA 300 log and summary DMV pull notice Proper driver licenses Supervisor training for reasonable suspicion testing for drug/alcohol abuse Transitional return to work policy Interactive/reasonable accommodation process (ADA/FEHA) Job descriptions include job function analysis elements Social media policy Mandated reporter program and training CALIFORNIA J , P • I • A City of West Covina Initial Risk Management Evaluation [431 2. Public Works/Public Service Supervisor Training Safety training for field personnel based on job duties Water treatment Water distribution Wastewater treatment Sanitary sewer operations Confined space Trench spaces Facilities maintenance Fleet maintenance Vehicle inspection and maintenance programs Traffic control Lockout/Blockout program Sidewalk inspection and maintenance program Tree inspection and maintenance program Defensible space/vegetation management program Proper driver licenses 3. Facilities and Infrastructure Asbestos and lead based paint operations and maintenance programs and awareness training Facility inspection and maintenance program Pavement management inspection and maintenance program Parks and playground inspection and maintenance program Streetlight inspection program Power generation facilities protocols Evaluation of property claims for frequency and severity trends 4. Recreation and Community Services Participant waivers and application program Facility use procedure and agreements Proper indemnification and hold -harmless clauses in contracts Compliant day care programs Mandated reporter program and training 5. Animal Control (not applicable to agency) Employee training Policies and procedures for handling of animals Waivers and indemnity agreements for animal release or adoption 6. Police Services (not applicable to agency) Lexipol policy manual and daily training bulletin service POST training requirements CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [441 Fire Services (not applicable to agency) Policy manual in place and current Hearing protection Special operational programs and training Hazardous material Trench rescue Swift water rescue Confined space entry Advanced Life Support Managed risks are of great importance. The consequences of ignoring their importance include lost employee time, increased operational costs and payment of claims. Furthermore, an agency's fiduciary responsibility means that it owes a high standard of care to protect public funds. More importantly, the obligation to safeguard workers, the public, and assets should compel every organization to manage risk effectively. An Agency Exemplar must manage risk exposures by: 1. Examining feasible alternative for addressing exposures 2. Selecting and implementing best risk management techniques 3. Monitoring results of the chosen techniques to ensure effectiveness, and modify if necessary An Agency Exemplar must also view risk management holistically by recognizing its scope: 1. Casualty and/or hazard risk (accidents — including property, liability, personnel) 2. Cash flow risks (insufficient cash or assets to function normally in the event of a major loss) 3. Operational risk (not being able to fulfill the organization's mission, exposing the stakeholders, lack of succession planning) 4. Political risk (adverse action of governments that might expropriate or excessively restrict or tax an organization's assets and activities) 5. Technological risk (failure to keep pace with changes in operating techniques, and security protection) 6. Reputational risk (risk of loss resulting from not being able to maintain a good name or standing) In conclusion, an Agency Exemplar begins and ends with the belief that an individual who is charged with managing the organization overall, then creates a culture in which all others similarly are committed to risk management. It is the Authority's desire to support each member in becoming an Agency Exemplar. The Authority is committed to assisting each member in working toward this goal. CALIFORNIA J • P • I , A /4OW ATTACHMENT NO. 2 LossCAP Program Initial Risk Management Evaluation City of West Covina July 15 - 16, 2019 CALIFORNIA J , P , I , A of West Covina Initial Risk Management Evaluation [2] Table of Contents ExecutiveSummary ...................................................................................................3 NewAction Items.....................................................................................................4 Records & Contract Management...............................................................................4 Occupational Safety & Health Programs......................................................................7 HumanResources...................................................................................................17 Fleet and Driver Management..................................................................................21 Infrastructure Management.....................................................................................22 Parks and Playground Management..........................................................................28 Recreation and Community Services.........................................................................35 Law Enforcement Services.......................................................................................38 Fire Department Operations.....................................................................................40 ReportSummary .....................................................................................................41 AgencyExemplar....................................................................................................42 CALIFORNIA J , P , I - A City of West Covina Initial Risk Management Evaluation [31 Executive Summary This report contains the findings of an Initial Risk Management Evaluation (IRME) of the City of West Covina. The evaluation was conducted by the California Joint Powers Insurance Authority (California JPIA) on July 16, 2019. The California JPIA extends its thanks to staff for their support and assistance in completing this evaluation. This report is designed to assist your agency in addressing areas in which risk exposure or loss data support the need for change in operations or activity. This report is arranged to outline the various areas of concern identified during the evaluation. Specifically, the IRME, although not exhaustive in scope, does this by examining key areas of your operations. Action items made are drawn from information provided by agency staff and conditions observed at the time of the evaluation and are measured against various applicable statutes, regulatory codes, and Best Risk Management Practices. Best Risk Management Practices (BRMP) are accepted in the professional community as those measures best able to control risk exposure. BRMP do not have an associated regulatory requirement, but are considered sound measures to reduce losses. Each action item may be supported by a standard (statute, regulatory code, or publication) and/or resource, and will be noted accordingly; otherwise, it is considered a BRMP. Your agency is encouraged to act upon the findings contained herein, in a manner that is consistent with their importance to your agency. Risk management, loss control, and safety are daily responsibilities of your agency. Visits and related efforts made by the California JPIA are not considered or intended to supplant your agency's comprehensive risk management and safety programs. Successfully managing risk ensures that your agency is able to reduce impact on key areas of your operations, including services, personnel, and property. Finally, we have included an Agency Exemplar at the end of the report to serve as a guide to help our members better understand the elements of good risk management. CALIFORNIA J • P • I , A City of West Covina Initial Risk Management Evaluation [41 New Action Items Records & Contract Management Action Item: 2019-001 Observations: The following contract agreements were reviewed during the evaluation: o The Los Angeles County Metropolitan Transportation Authority (LACMTA): The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. o San Gabriel Mountains Regional Conservancy - Operation and Maintenance of the Galster Park Nature Program: The agreement does not require sexual/physical abuse insurance. The contract should include sexual molestation coverage as the contractor will be working with minor children. The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. o Busy Bee Home Day Care — Facilities Use Agreement: The agreement did not require an Additional Insured Endorsement. The agreement did not include the Evidence of Coverage. o Merchants Landscape Services, Inc. — Landscape Maintenance: The Certificate of Insurance provided was expired and it did not provide the policy limits as required per the Agreement. The Agreement does not include language pertaining to the inspection and maintenance of the playgrounds. Include language in the Agreement outlining the Agency's playground maintenance and inspection requirements. o West Coast Arborists, Inc. — Tree Trimming: The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. o Willdan Engineering — Professional Services Agreement: The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. o Santa Barbara Transportation Corp. dba Student Transportation of America: The contract expired 9/30/2018. If the agency is currently using the services of this provider, a current agreement should be executed. The contract should include sexual molestation coverage as the contractor will be working with minor children. The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. o Big League Dreams West Covina, LLC (BLDWC) — Maintenance and Operations Agreement: The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. o The Humane Society of Pomona Valley, Inc. dba Inland Valley Humane Society & S.P.C.A. -The Animal Shelter & Animal Control Services Agreement: The Agreement does not include an expiration date. The agreement did not include the Evidence of Coverage and Additional Insured Endorsements. CALIFORNIA J • P , I , A City of West Covina Initial Risk Management Evaluation [51 o City of West Covina and LA County Sheriff's Dept - MOU Agreement: The agreement was signed by West Covina's former Chief of Police on 06/28/16. The Memorandum is to be reviewed at a minimum of once every two (2) years. Staff members indicated that insurance types and limits are not determined by contract exposure. Action Required: Based on the observations made when reviewing the above contracts, the following recommendations are made to enhance your agency's contract management efforts: o Obtain certificates of insurance and endorsements from contractors. Contractors should provide certificates of insurance and policy endorsements before they can begin work. Contractors should be notified immediately in writing when insurance documentation is deficient or is not received as required. o Review existing specifications for the most frequently used types of contracts and ensure that required levels of insurance are adequate to the scope of services provided by contractors. Increase limits when necessary, using the minimum suggested insurance limits outlined in the California JPIA's Contractual Risk Transfer for California Public Agencies manual. o Renegotiate contracts as needed at renewal times, and clearly delineate insurance requirements based on the exposure of the contract. o The agency clerk or designee should maintain the filing system for all service and construction contracts and agreements. Certificates of insurance, indemnification agreements, endorsements, and bonding documents required by contract provisions should be kept together with the original contract agreements. Complete documentation should be maintained within fire safe containers and protected by a fire detection and suppression system. o Develop contract documentation tracking procedures to monitor contractor compliance with contract provisions and to ensure that insurance documents required in contracts are received in a timely fashion. By properly managing its contracts, the agency can reduce its loss exposures and likewise reduce disputes with contractors and their insurers when a loss occurs. Standards: Best Risk Management Practices Resources: Contractual Risk Transfer for California Public Agencies manual. California JPIA, Seventh Edition, 2018 CALIFORNIA J , P • I , A