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Human Resources Sharrone Taylor
[email protected] 510-620-6803
6596 7043
General liability third party administrator services.
7/1/24
660,000
George Hills Company, Inc.
P.O. Box 278
Rancho Cordova, CA 9574 1
Chris Shaffer
915-859-4826 [email protected]
4001 8218
6/30/27
220,000
220,000
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25/26
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Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Chief Operating Officer
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George Hills Company, Inc.
P.O. Box 278
Rancho Cordova, CA 9574 1
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Sharrone Taylor
Chris Shaffer
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Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92
EXHIBIT G
SANCTUARY CITY COMPLIANCE STATEMENT
The undersigned, an authorized agent of (hereafter
"Contractor"), has had an opportunity to review the requirements of City of Richmond Ordinance 12-18 (hereafter "Sanctuary City Contracting Ordinance" or “SCCO”). Contractor understands and agrees that the City may choose with whom it will maintain business relations and may refrain from contracting with any person or entity that provides Data Broker or Extreme Vetting services to the U.S. Immigration and Customs Enforcement Division of the United States Department of Homeland Security (“ICE”). Contractor understands the meaning of the following terms used in the SCCO:
a. "Data Broker” means either of the following:
i. The collection of information, including personal information about consumers, from a wide variety of sources for the purposes of reselling such information to their customers, which include both private-sector business and government agencies; ii. The aggregation of data that was collected for another purpose from that for which it is ultimately used.
b. “Extreme Vetting” means data mining, threat modeling, predictive risk analysis, or other similar services."
Contractor understands that it is not eligible to receive or retain a City contract if at the time the Contract is executed, or at any time during the term of the Contract, it provides Data Broker or Extreme Vetting services to ICE.
Contractor further understands and agrees that Contractor's failure to comply with the SCCO shall constitute a material default of the Contract and the City Manager may terminate the Contract and bar Contractor from bidding on future contracts with the City for five (5) years from the effective date of the contract termination.
By executing this statement, Contractor certifies that it complies with the requirements of the SCCO and that if at any time during the term of the Contract it ceases to comply, Contractor will promptly notify the City Manager in writing. Any person or entity who knowingly or willingly supplies false information in violation of the SCCO shall be guilty of a misdemeanor and subject to a $1,000 fine.
Based on the foregoing, the undersigned declares under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Executed this day of , 20 , at , California.
Printed Name: Title:
Signed: Date:
Business Entity:
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Chief Operating OfficerChris Shaffer
7/24/2024
George Hills
Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
Our minds over your matters — 21
PART 4: SCOPE OF
WORK
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
Our minds over your matters — 22
PART 4: SCOPE OF WORK
A. Tort Claims Handling
1. George Hills will promptly make a claim file after receipt of the tort claim from the City.
George Hills will investigate claims and inci dents which may be the subject of such claim against the City. We will recommend acceptance or rejection of submitted claims.
2. George Hills will provide claims adjusting for liability claims.
3. George Hills will assess and evaluate the nature and extent of each claim, and establish claim reserves for indemnity, medical, and legal expenses.
4. George Hills will ensure timely claims handling, including follow-up with claimants regarding claims issues and processing.
5. George Hills will determine the need for defense representation and monitor litigation activity. We acknowledge that the City Attorney’s O ffice will select defense and subrogation counsel.
6. George Hills will report claims to the exc ess insurer, and coordinate with the excess insurer on a claim’s progress in accordance with the excess insurer’s reporting requirements. George Hills will submit reque sts for reimbursement on behalf of the City to the excess insurer.
7. George Hills will coordinate Medicare and Medicaid set aside agreements in compliance with Section 111 of the MMSEA, including required reporting.
8. George Hills will tender and demand indemni fication from responsible persons, agencies, and/or agents in an effort to recover losses suffered by the City from claims filed against the City.
9. George Hills will provide a designated clai ms adjuster for the City. We acknowledge that the claims adjuster may not be chan ged without mutual written consent of the City during term of contract.
B. Litigation
1. George Hills will assist with litigation management and support the City in the defense of litigated cases. We acknowledge this may include timely provision of claim files, assisting with investigation and discover y as needed, and advising on defense activities.
2. George Hills will assist and advise on potential exposure and ensure cases are reported to excess carriers as required.
3. George Hills will monitor and track litigatio n costs and set reserves for indemnity, medical, and legal expenses with input fr om the City and defense counsel. We acknowledge this may also include providing data and information relating to incurred litigation costs to the City and its excess carrier as required.
C. Financial Accounting
1. George Hills will maintain a trust fund for the purpose of paying expenses for claims.
The amount that will be maintained in the trust fund shall be determined by the parties and confirmed in writing.
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
Our minds over your matters — 23
2. George Hills will provide to the City a copy of all checks, vouchers, or warrants drawn by George Hills to pay benefits on City claims.
3. George Hills will provide a monthly check/voucher register of all transactions made for the period.
4. George Hills acknowledges the City’s right to conduct a financial audit of the trust account to ensure the integrity of the account.
D. Data Products
1. George Hills will provide a computerized loss run and summary report each month covering activity on all newly reported, op en, and newly closed claims for the period.
This report will be customized for the Cit y’s needs and will provide the following by claim year:
a. Monthly listing of open claims by da te of loss, department, location, and alpha by name showing expense categories, reserves, and total incurred. b. Various responsive reports on demand, at no additional charge, such as claim frequency reports, i.e., by cause, site, department, etc. c. Provide monthly claim summary reports, within 15 days of month end.
2. George Hills will provide loss run data and required reports for actuarial, auditing, and reserve analysis purposes.
3. George Hills’ software systems will be Wi ndows-based, available 24 hours/day, 7 days/week, and able to provide email exchanges.
4. George Hills will provide a report writer function for City staff to design customized ad hoc and standard reports to be printed at City o ffices, as well as training on usage of report writer function.
5. George Hills will transfer all current and pa st loss data from SIMS to our software system.
6. George Hills will provide compliance with required reporting requirements for liability (including self-insurance) un der Section 111 of the Medicare, Medicaid, and SCHIP Extension Act of 2007 (MMSEA).
7. George Hills will provide training, support, and software access to the City’s Risk Manager to look up claim information and da ta as required, and to run reports as needed.
E. Additional Services
1. George Hills acknowledges claim adjust er attendance at hearings, settlement conferences, conferences with defense counsel, small claims court proceedings, meetings with City staff, and departments when required.
2. George Hills acknowledges the importance of communication – written, oral, and in person – with City staff by the Claims Adjuster.
3. George Hills acknowledges that all records, files, transcripts, computer tapes, and other materials on claims adjusting activity developed on the City of Richmond claims is the property of the City of Richmond and must be relinquished in good order and condition upon termination of this contract with the adjusting firm. The City shall not be required to pay any additional cost for the transfer of files to the City.
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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4. George Hills will attend all meetings with City Staff as requested.
5. George Hills will be available for file audit checks by the City when requested.
6. George Hills will cooperate with file and program audits with City designated auditors.
7. George Hills will be available to respond, potentially upon short notice, to a major emergency or catastrophe involving potential claims.
8. George Hills will provide a monthly claims diary of all open files and enter review notes on the claim reporting system.
9. Upon request, George Hills will provide training to City managers and supervisors on general liability issues, loss control, management responsibility, and practices to improve reduction of filed claims.
10. George Hills will provide internet email communications for the designated claims adjuster to City staff.
11. George Hills will provide an administrative manual on claims processing.
12. If available, George Hills will provide loss control, investigative services (Sub-rosa, fraud investigation), specialized training or workshops, including additional costs for such services.
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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PART 7: FEES
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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PART 7: FEES
A. FEE STRUCTURE
Adjusting Services Fees – Options
Option A1: Time and Expense – George Hills believes, as in the legal field, services surrounding claims and potential litigation are best captured by directed effort. In this case, the client only pays for the services requested. In a time and expense enviro nment, George Hills applies its best practice approach to all claims; unless the client adjusts, restricts, or expands such services. A general administrative file will be established and maintained to track e ffort related to services necessary to fulfill our contractual obligations not otherwise associated with a claim.
Time and Expense for Adjusting Services
Supervisor $131/hour
Adjuster $105/hour
Claims Processing $86/hour
Option A2: Time and Expense with a Cap – George Hills believes that this can be the best of both worlds. This pricing model allows for the real ities of the unknown to dictate service results but retains some budget certainty. The cap will always be more than the fixed fee to protect the unknown, but often can result in less cost too. The cap is a movable target and should be adjusted annually until the services and relationship have settled.
The above hourly rates by position are the same for both options A1 and A2. The only difference shall be that George Hills will commit to an annual maximum fee for adjusting services for option A2, in the amount of $220,000. Please note that the catastrophic pricing is applicable, and therefore outside of the annual maximum fee.
All fee options are subject to the Annual Fee Escalator described below.
Option B: Fixed Fee – George Hills believes this is a workab le solution for public agencies seeking budget certainty. Unfortunately, it has its challenges. First, every other signi ficant component of a claim (settlement and legal fees) is not predic table and as such, maki ng the adjusted costs fixed will ensure that 100 percent of the time the fee will be wrong. Secondly, the result could be that the client is receiving far more resources than they are paying for, or the client is paying for far more resources than they are receiving in services on any one claim. Either outcome is wrong.
In this environment, George Hills makes every e ffort to be resource-sensitive in applying our best practices to ensure we balance the economics. No matter what, we put forth the right effort to resolve the claim. We do, however, adjust our clients’ fees that can and should be adjusted to meet our clients’ budget goals.
George Hills has developed a hybrid Fixed Fee Proposal. California Public Entities have seen dramatic increases in claims frequency in contrast to pandemi c years. As such, we want ed to create a simple fee model that allows for fee adjustments down or up due to claims frequency, as hopefully frequency Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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drops back down. Since claims activity is the ma in indicator for TPAs and the number of resources needed to perform quality services, it is important that adjustme nts can be made to resources provided and resulting costs for the benefit of the client and TPA.
Our model provides for an assessment of claims frequency twice a year – after six (6) and twelve (12) months. We have established the change must be at least 10% to trigger an adjustment and no more than 25%, as greater than that warrants a contract modi fication. For the City’s proposal the model would result in an adjustment in the event claims frequency droppe d below the current estimate of new claims per year of 165. In the event claims dropped below 149 or increased above 181, an adjustment would automatically occur during the 7th and/or 13th month. The claims base would be adjusted to this new level for future year calculations.
For the City, the financial result would be calculated based on the percentage increase or decrease ranging from 10-25%. For example, if the increase /decrease was 10%, the fee would decrease from $190,000 to $171,000. Conversely, if there was a 10 % increase the fee would increase from $190,000 to $209,000.
Fixed Fee
Fixed Fee—Claims Only $190,000
GENERAL ADMINISTRATIVE FEES – ADDITIONAL TO ADJUSTING FEES Fixed Fee and Cap pricing will be based on the current average. Should the claim volume change more than 10% in severity or frequency in a year, we request a reevaluation of our pricing agreement.
General Administrative Fee Section – Applicable to each fee option.
One Time Start-Up Fee $0 (waived)
Annual Administration Fee $10,000
Mileage - Adjuster Current IRS Rate
One Time MMSEA Setup Fee (paid to ExamWorks) - if
applicable.
Annual Reporting Fee (paid to ExamWorks)
$300/one-time
$500/year
Adjuster travel expenses for mediations, settlement
conferences, trials; subject to prior approval.
Actual
CXP access fee (up to 5 users) Included
Custom reports, if exceeds three hours and is client
specific
$185/hour
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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All fee options are subject to the Annual Fee Escalator described above.
Subrogation
The Subrogation Fee is in the amount of 30% for each recovery obtained. The minimum amount to be paid to GH will be $250 per claim upon recovery. Please note, on most claims George Hills can recover our fee, thus the net cost is zero.
FEE SECTION TERMS
One Time Startup Fee – The process of onboarding a new client covers many areas, from establishing expectations, policies, and procedures, to designing the infrastructure to meet the needs of risk management, council, and departme nt heads. It also involves time and e ffort in establishing the Trust Account or check writing, W-9, and a ll federal and state reporting requirements. Most importantly, this process involves the establishment of e ffective claims triage. Note that this is not time spent on the actual data conversion. As the City of Richmond is a current client, this fee has been waived.
Annual Administration Fee – George Hills has determined it takes a company-wide e ffort to ensure we exceed the expectations of our clients. As such, we feel it transparent to separately identify and charge for those critical functions that are not directly tied to claims handling. We include an annual administration fee, which covers the following activities:
x Claims Management Information System (CMIS) services and reports x Access to CMIS and training
x Monthly listing of open claims, showing expense categories, reserves, and total incurred x Monthly claim summary reports
x Monthly hours and claims data detail for billing
x Providing loss run data and required reports
x Access to GH Client Portal
x Providing annual reports to outside agencies
x Filing of regulatory reports, such as 1099s, W-9s, etc. x Trust Account
x Establishment and maintenance of a trust acco unt to pay indemnity and expenses that may be due on claims; the amount to be maintained in the trust account shall be determined by the City. If the trust account is set up with the GH preferred bank (California Bank and Trust), then George Hills covers the cost of Positive Pay and Payee Match.
Allocated File Expenses (see attached details) At cost
Conversion Fee (waived if client for 5 years, see below “Conversion Fees”)
See Notes below
Storage – if applicable TBD – Actual cost
Catastrophic Pricing Current hourly rate
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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o If the City prefers an alternate bank, ther e may be an additional setup fee, as other banks’ processes can be extraordinarily time consuming. x New bank account setup, including signature c ards, test checks, online access, and setup of bank in CXP
x Discussion and agreement on the approval process
x Preparation of W-9s
x Processing of checks weekly
x Submission of positive pay (if applicable) and monitoring of positive pay (review of daily emails from bank for exceptions)
x Maintenance of a copy of all checks drawn by George Hills to pay claims and claims-related expenses
x Monitoring of account balanc e, preparation of replenishment requests as needed (custom requests for each client’s needs)
x Monthly bank reconciliation (prepared and sent to the City) x Payment of invoices that are pass-throughs, su ch as invoices for medical record copies, ExamWorks, etc.
x Certificates of insurance as required by the Contract
x Annual service
x Response to outside financial auditors
x Provision of reports to the City’s actuaries and claims auditors x Submission of GH SSAE 16 reports, or the current equivalent x Account Management
Mileage: Adjuster – Mileage is paid at the current IRS rate.
MMSEA – Both the one-time setup fee and the annual reporting feeds to o ffset fees paid directly to ExamWorks.
Adjuster Travel Expenses – For mediations, settlement conferences, trials, etc.; subject to prior approval and submitted with receipts.
CXP Access Fee – Included in the annual administration fee is the setup and management of five (5) user accounts through our CMIS: CXP.
iMetrics Report Fee – There will be no charge for our iMetrics business intelligence reports with executive in-person debriefs.
Custom Reports – Additional charged for custom reporting are defined as being client-specific and needing a third-party programmer for three (3) hours or more.
Conversion Fees – This fee is intended to cover costs associated with data conversion, transition, and contract closeout. The data conversion fee is dependent on many factor s which will need to be discussed. If George Hills is retained for five (5) years, we will entirely absorb the conversion fee. If George Hills is not retained for the full length of the proposed contract, then the client shall be subject to a fee of 20 percent each year not retained, not including shipping, storing, scanning, copying, or otherwise handling open or closed paper claim files (this shall be a separate charge based on the Scope of Work).
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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George Hills will charge for any agreed services rela ted to conversion storage, copying, scanning, shipping, and disposal.
Catastrophic Pricing – Applicable only to Fixed Fee and Time And Expense With A Cap Fee agreements. George Hills recognizes that in the eve nt of a catastrophe, additional hours will need to be applied to the handling of such claims. As such, to preserve the quality and efficiency of service for which we are known, George Hills proposes that should a catastrophic event occur resulting in 10 or more claimants or claims from a single occurrence, the client shall be billed at the current hourly rate.
Annual Fee Escalator – The Annual Fixed Fee and all hourly rates shall be adjusted at the beginning of each of the remaining years of the term by the l esser of 5%, or in accordance with the changes in the Consumer Price Index (CPI-U) for all Urban Co nsumers for the Western Region using the most recently published annua l percentage change, but in any event su ch increase shall not be less than 3%.
Termination Fee – In the event of contract termination, Ge orge Hills’ procedures and cost for run- off claims will be billed at the current hourly rate; no charge for historical loss summaries. George Hills believes that the successful transition of claims requir es preparation, so we ask for 90 days’ notice if the contract is terminated without ca use to facilitate the transition of claims management properly and efficiently.
General File – A general administrative file shall be established and maintained to track e ffort related to services necessary to fulfill our contractual obligations and not otherwise associated with a claim.
Storage – George Hills will charge for any services relate d to storage, retrieval, copying, scanning, shipping, and disposal of paper files.
B. ALLOCATED EXPENSES
Typically, allocated expenses are those expenses that are generated by a claim (by outside vendors other than George Hills) that cannot be foreseen nor included in this Contract. These expenses are generally allocated back to the speci fic claim file for which the cost was incurred and then charged back to the entity whose claim incurred that cost . In most situations these are pass-through costs (with processing fees) for services and/or fees not directly generated by the TPA, but rather by a third- party consultant where the TPA has acted as an agent on behalf of the entity to necessarily outsource services to a third-party consultant and/or miscellaneous fees applicable to the specific claim applied by an outside entity, such as a court or copy services. Below, George Hills has provided a non- exhaustive list of typical allocated expenses.
Paid to GH
x CMS reporting costs and fees (ExamWorks)
Paid to Others as Authorized by Client
x Fees of outside counsel for claims in suit, coverage opinions, and litigation, and for representation and hearings or pretrial conferences
x Fees of court reporters
x All court costs, court fees, and court expenses
x Fees for service of process
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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x Costs of undercover operatives and detectives (if initially paid by GH) x Costs for employing experts for the preparat ion of maps, professional photographs, accounting, chemical or physical analysis, or diagrams
x Costs for employing experts for the advice, op inions, or testimony concerning claims under investigation or in litigation for which a declaratory judgement is sought x Costs for independent medical examination or evaluation for rehabilitation x Costs of legal transcripts of testimony taken at coroner’s i nquests, or criminal or civil proceeding
x Costs for copies of any public records or medical records x Costs of depositions and court reporting
x Costs and expenses of subrogation (if not George Hills) x Costs of engineers, handwriting experts, or any other type of expert used in the preparation of litigation or used in a one-time basis to resolve disputes x Witness fees and travel expenses
x Costs of photographers and photocopy services (if not George Hills; our costs for this are included in our rate)
x Costs of appraisal fees and expenses not included in flat fee or performed by others x Costs of indexing claimants
x Services performed outside the TPAs normal geographical regions x Costs associated with Medicare Set-Aside ana lysis and submission of Medicare Conditional Lien negotiation
x Investigation of possible fraud including SIU services and related expenses Any other similar cost, fee, or expe nse that is not otherwise included in the TPAs service fees that is reasonably chargeable to the investigation, negotiation, settlement, or defense of a claim or loss or to the protection or perfection of the subrogation rights of the entity, including travel related expenses.
Travel Related
Costs of travel related to claims including mileag e drive, such as for attendance at inspections, mediations, and trial, shall be allocated to the specific claim and reimbursed to GH based on the actual cost incurred. Mileage shall be reimbursed at the current IRS rated at the time the mileage is traveled.
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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OPTIONAL SERVICES
Full In-House Litigation Management – Use of George Hills’ Attorneys Name and Title
Years of
Experience
Role for the Client
Neil Callahan, Esq.
Litigation Manager
25 Serves as a Litigation Manager for several
clients, monitoring counsel, and as a
resource to our claims staff.
Benjamin Oram, Esq.
General Counsel/Litigation
Manager
15 Serves as a Litigation Manager for several
clients, monitoring counsel, and as a
resource to our claims staff.
Cornelius (Neil) Callahan, Esq., Litigation Manager: Mr. Callahan has over 25 years of experience defending public entities on high pro file claims in state and federal courts. Mr. Callahan commenced his career practicing law in New York , New Jersey, and Connecticut. In 1999 he began practicing law in California, where he served as lead trial counsel for public entities in the areas of civil rights, police practices, and dangerous condition defe nse. He has tried multiple cases to jury verdict in both state and federal court having been the lead defense attorney in 13 trials, with 12 defense verdicts. His emphasis has been on defending and advising public entiti es involved in civil litigation.
Past cases include officer-involved shootings, excessive force, unlawful seizure, dangerous condition, discrimination, and harassment. He is experienced in all aspects of litigat ion including discovery, depositions, motion practice, arbitrations, administrative hearings, mediations, and trials.
Benjamin Oram, Esq., General Counsel/Litigation Manager: Ben serves as George Hills’ General Counsel/Litigation Manager. He currently ser ves as a Litigation Mana ger for several clients, monitoring counsel, and as a resource to our claims staff.
George Hills’ proactive approach is founded on our commitment to the preservation of the City’s assets. Early contact with all involved parties maintains lines of communication and rapport (not only with the insured but also with the claimant); he nce, cost-saving opportunities to resolve claims efficiently are more plentiful.
Here is an outline of their role and how it would work for the City:
1. Serve as Litigation Manager (Specifics of the role below) i. Actively manage all watchlist files (parameters of a watchlist to be agreed upon through subsequent discussions)
ii. Manage and supervise all litigated files – claims adjusters will track the nonserious and/or non-active litigated files, with the support of Claims Processors, and report to the City
iii. Accessible to the entire GH adjuster team to advise and instruct as needed
2. Serve as Outside General and Special Counsel – limited basis Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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i. Work closely with the City with con fidential analysis and problem-solving for managing risk and avoiding unnecessary litigation
ii. Provide immediate access to legal advice to the City, which includes analyzing coverage issues, Public Records Act requests, tort claim handling and strategy, conflicts of interest, oversight of outside litigation counsel, and providing legal opinions on potential and active litigation
iii. Advise on sensitive and political issues/claims
3. Coverage counsel consultation
i. Review and analysis of memorandums of co verage and excess/umbrella policies to address and offer advice and consultation regarding coverage issues ii. Advise on potential changes to all coverage documents iii. Assist City and George Hills staff in interpretation of coverage issues
4. Resource to a broker of record for coverage needs
5. Trial/Mediation/Board Meeting attendance
i. Attend board/executive/coverage/claims meetings (as necessary) ii. Attend trials, mediations, and other court hearings, including appearing before Courts of Appeal as needed
iii. Provide analysis and consultation be fore, during, and after these signi ficant litigation events – to reduce exposure and maximize opportunities for resolution
6. Legal training and seminars
i. Provide customized seminars and trai ning upon request – to City sta ff, brokers, members, and GH staff
ii. Subject areas include memorandums of cove rage, all aspects of risk management, claims handling and litigation, employment law, and general liability claims iii. Courses are customized to address the client’s specific needs and to work closely with safety and loss staff, defense firms, and others
Rates for Optional Legal Service
Litigation Management $225/hour
This rate is subject to the annual fee escalator.
Please note that George Hills can provide a monthly/annual fixed fee for the above services upon discussion and agreement on level of effort.
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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1st Party Subrogation Recovery
George Hills provides subrogation recovery servic es to many of our clients. In 2013, George Hills created a dedicated Subrogation Recovery Unit to handle recovery opportunities for our clients who have requested or contracted with us for subrogation recovery services.
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George Hills has a dedicated team with extensive experience in the public entity environment who handle all 1st party subrogation matters for our clients who choose this service. Below are testimonials from a few of George Hills’ subrogation clients:
PUBLIC ENTITY TESTIMONIAL STATEMENT
Client of
Sacramento
Risk & Loss Control
“We have utilized the George Hills Subrogation unit for several years, and simply put - they get results. They have a wealth of knowledge and expertise. Our 1st and 3rd party claims are always handled promptly and professionally. Partnering with George Hills for subrogation has proven to be a wise decision for our Client.” City of Sacramento
Risk Management
“We are pleased to be partnering with George Hills for our subrogation recovery services. They provide quality staff and services.”
City of Oakley
Kevin Rohani, Public
Works Director/City
Engineer
“The City of Oakley has utilized the services of George Hills Subrogation Team for several years, and we have been very happy with this service and the professional approach that the George Hills Team brings towards the subrogation process. The knowledge and expertise of the George Hills Team has been invaluable for the City of Oakley, and we are very grateful for their great work in resolving our assortment of third -party claims and we are looking to many more years of successful collaboration with the George Hills Team.” City of Redlands
Human
Resources/Risk
Management
“The City of Redlands is always please d and impressed at the excellent service, attention and professionalism that is used by their claims adjusters. In particular, Tammy Hunt and Vicky Jimenez. They are a pleasure to work with and make the claims recovery process run smoothly and e ffectively. We are very happy with the results and recovery e fforts that they deliver. We highly recommend their services and appreciate the level of excellence that they offer to us as the client.” Quick Stats on George Hills’ Subrogation Recovery Results 2,139 - Average number of subrogation claims handled
yearly
91% - of claims handled result in a Recovery
80% - of claims result in a full recovery (including GH Fees) 84% - of amounts sought for our clients are recovered
Average recovery: $ 4,239/claim
George Hills’
subrogation recovery
unit has performed
spectacularly,
recovering several
million dollars on
behalf of our clients.
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92 George Hills, City of Richmond RFP
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Cit y of Oakland
Human Resources
Management/Risk
Management Unit
“We have utilized the George Hills Subr ogation unit for several years, and they get excellent results. They have a wealth of knowledge and expertise, and their professionalism and prompt attention to our needs is second to none. There’s no better service out there that can beat them, and the rates are below the typical rates o ffered by other vendors. Our third -party claims are always handled promptly and professionally. Our partnership has proven itself to be the best decision for our City.”
Our standard subrogation fee is 30% of the amount collected, however George Hills has been successful more than 80% of the time collecting our feeds, this equating to recovery essentially free of charge. The minimum amount to be paid to George Hills will be $250 per claim. However, George Hills also has th e authority to reject any claim for any reason, dismissing the City of any financial responsibility for rejected claims only.
Generally, no recovery shall be agreed to involvin g payment plans if the recovery is less than $5,000 and/or greater than a one-year term. Exceptions can be made on a case-by-case basis. If a recovery is agreed to above this amount, the subrogation fee shall be 45% . In the event a payment plan is authorized and entered, the subrogation fee will be based upon the total amount of the lien and will be invoiced to the City.
If authorized, small claims court appearances for recovery of funds will be priced at $150 per appearance.
The benefits of George Hills’ subrogation recovery:
x High-level expertise of subrogation recovery
x Recovery of damages to property, utilities, hazardous material cleanup x Small claims
x Preparation of proof of loss statements
x Claim reporting activity, demand letters, final demand to claimant with suspended license, closing and/or payment transmittal
x Settlements
x File retention
x Development of policy and procedures
x Provision of account manager and lead subrogation adjuster
Docusign Envelope ID: 3FB79CBB-41F3-4507-839C-F12D8FF60E0C Docusign Envelope ID: 10C7D50E-A878-47FB-910F-2BAEDC65EE92