2016-10 3/25/2016
RESOLUTION NO. 2016 - 10
A RESOLUTION AUTHORIZING THE VILLAGE OF BUFFALO GROVE TO ISSUE A
REVOCABLE WITHDRAWAL NOTICE TO THE INTERGOVERNMENTAL RISK
MANAGEMENT AGENCY
WHEREAS, the Village of Buffalo Grove ("Village") is and has been a member of the
Intergovernmental is Management Agency("IRMA") is has served as the Village's
primary risk management and insurance provider for numerous years; and
WHEREAS, the Village is in the midst of conducting due diligence regarding the pricing
and services provided by IRMA as well as other potential risk management and insurance
carriers; and
WHEREAS, pursuant t o t he terms oft e Contract and Bylaws of IRMA, a member
must give at least 120 days notice prior to withdrawing from IRMA as a member, but must also
provide such notice at least nine (9)months prior t o t he end of IRMA's fiscal year in order to
receive its Member Reserve Funds back - and
WHEREAS, the Village currently has approximately$460,000 in the Members Reserve
Fund; and
WHEREAS, IRMA's executive director has indicated that failure to provide this notice
nine (9)months prior to the end of IRMA's fiscal year would in fact result in a forfeiture of the
Village's Member Reserve Fund if it were to withdraw after that nine of period during this
fiscal year; and
WHEREAS, IRMA's executive director also indicated that such notice of withdrawal
may be revoked should the Village decide to stay with IRMA after the completion of its due
diligence; and
WHEREAS, the provisions of IRMA's Contract and Bylaws and IRMA's refusal to
waive those provisions have forced the Village to issue a revocable notice of withdrawal; and
WHEREAS, the President and Board of Trustees of the Village of Buffalo Grove believe
it is in the best interests of the Village and its residents to preserve its right to withdraw from
IRMA and secure its Member Reserve Fund should the results of the Village's due diligence
reveal a cost savings requiring it to withdraw from IMRA.
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD
OF TRUSTEES OF THE VILLAGE OF BUFFALO GROVE, COOK AND LAKE
COUNTIES, ILLINOIS,AS FOLLOWS:
SECTION 1: The foregoing findings and recitals, and each oft , are hereby adopted as
Section 1 of this Resolution and are incorporated by reference as if set forth verbatim herein.
SECTION 2: The President and Board of Trustees authorize that a notice be given, by
the Village Manager or his designee, to IRMA's executive director notifying IRMA of the
Village's intention to withdraw from IRMA this fiscal year pursuant to Article IV of IRMA's
Contract and Bylaws.
SECTION 3:The President and Board of Trustees hereby authorize that such
withdrawal be revocable and that the Village Manager is authorized, in his discretion based on
the results of the Village's due diligence, to revoke the withdrawal notice by sending the same to
IRMA's Executive Director.
SECTION 4: This Resolution shall be in full force and effect from and after its passage
and approval as provided by law. All prior resolutions,motions and orders in conflict herewith
are hereby repealed, to the extent of such conflict.
AYES: G Bei*jfjan . Trilli-n stca in offenhp-imar, Weidenfeld, Johnson
NAYES: —0 None
ABSENT: .0 none
ABSTAIN: 0 - None
PASSED: - March 28 . 2016 - 52016
APPROVED: March 28, 2016, , 2016
APPROVED-
BEVE -r`SU-S§M- A- N, Village President
ATTEST:
JANE f SIRABIAN, Village Clerk
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