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HomeMy WebLinkAboutD02.0 Vehicle Risk Management �'l3llRl�ll `Y 111CJ- 1' E A S CITY OF GRAPEVINE ADMINISTRATIVE POLICY SUBJECT- VEHICLE RISK MANAGEMENT SECTION. D NUMBER: 2.0 PREPARED BY- Fleet Services REVISED DATE: 02/01/2014 PAGE: 1 of 3 PURPOSE 2.1 The purpose of the Vehicle Risk Management policy is to establish guidelines for automobile insurance liability and equipment/vehicle repair for the City of Grapevine. 2.2 DEFINITION OF ACCIDENT: Accident — For purposes of this policy, an accident is defined as any damage to a City owned vehicle or equipment resulting in a reduction of the fair market value of said vehicle or a second party vehicle, whether moving or stationary. PROCEDURE 2.3 The City of Grapevine maintains commercial auto liability coverage and auto physical damage protection on all of its vehicles known as the City fleet. Auto liability protection is provided in the amount of $1 ,000,000 per accident. This coverage provides for both bodily injury and property damage liability arising out of each accident. The City insurance policy also provides for hired and non-owned auto liability and physical damage coverage. 2.4 The following guidelines indicate how vehicles are repaired and what account should be debited for the necessary repairs: 2.5 When there is an accident involving a City vehicle, the department involved in the accident will forward a completed Accident Summary Report (see Attachment A 2.0 Accident Summary Report Form) along with the police report to the Administrative Services/Risk Management Division and the Public Works/Fleet Services Division. Risk Management coordinates the loss/claim with the City's insurance carrier to recover the costs to repair or replace the damaged vehicle. 2.6 If a City vehicle is involved in an accident with a third party other than a City vehicle, Risk Management pursues subrogation against the third party auto liability carrier when applicable and processes the physical damage claim for the City vehicle through the City's insurance carrier. If the third party liability claim exceeds the retention held by the City, the City's commercial auto liability policy will bear the responsibility for funding the repairs. �'l3llRl�ll `Y 111CJ- 1' E A S CITY OF GRAPEVINE ADMINISTRATIVE POLICY SUBJECT- VEHICLE RISK MANAGEMENT SECTION. D NUMBER: 2.0 PREPARED BY- Fleet Services REVISED DATE: 02/01/2014 PAGE: 2 of 3 2.7 All City vehicles that receive physical property damage should be repaired unless the Director of Public Works or his designee determines it unnecessary. All towing and related charges are a part of the reimbursement. The department is not charged for both insurance and towing per GASB 34 rules. 2.8 All accidents involving City vehicles and/or equipment must be immediately reported to the Police Department of the jurisdiction in which the accident occurred, also to the Fleet Services and Risk Management Departments. A police report is mandatory for all accidents involving City equipment. Failure to contact the Police Department to obtain an accident report may be grounds for disciplinary action. 2.9 Fleet Services obtains an estimate of all repair work to a damaged department vehicle. All required accident reports (Police report and City incident report) must be submitted to the Risk Manager and Fleet Services prior to any repairs being made. These reports are to be completed within 24 hours of the accident. 2.10 If the vehicle or equipment can be driven safely, it should be driven to the Fleet Services area of the Municipal Service Center to be evaluated. A picture of the damage will be taken and the unit scheduled for repair estimates. 2.11 In accordance with the State Purchasing Law, Fleet Services requisitions the funds for repair based on the required quotes. 2.12 Fleet Services schedules the repairs with the successful bidder. 2.13 All costs associated with vehicle or equipment accidents are reimbursed by third party insurance or Risk Management. 2.14 In the event, the vehicle or equipment is a total loss and the City is determined to be at fault, the Risk Management Department contributes funds not to exceed the actual cash value of the vehicle or equipment. Actual cash value is determined by NADA resale value. Additional funds required to replace a totaled vehicle come from the department and the replacement of the vehicle is subject to approval by the City Manager. 2.15 All City vehicles and equipment accidents are subject to the provisions of the City CITY OF GRAPEVINE ADMINISTRATIVE POLICY SUBJECT- VEHICLE RISK MANAGEMENT SECTION. D NUMBER: 2.0 PREPARED BY- Fleet Services REVISED DATE: 02/01/2014 PAGE: 3 of 3 Drug and Alcohol Policy. In the event of a question regarding the City Drug and Alcohol Policy, refer to Personnel Manual, Section 907.07 for more detail. Note: Exceptions to this policy for the purpose of making all drug and alcohol testing mandatory can be made by a department head with the City Manager's approval.