Obtained By Public Records Request
From: Mell Smigielski [mailto:citymanager@defuniaksprings.net]
Sent: Thursday, January 31, 2019 10:57 AM
To: Bob Campbell; Henry Ennis; Janie Griffith; Kermit Wright; Loretta Laird; ronkelley@defuniaksprings.net; waynegraham@defuniaksprings.net; Charles Burney; Chris Mitchell; publicworks@defuniaksprings.net; Cynthia Permenter; Debra Gibson; Jim Gierlinski; Kelly Schultz; Lacey Woodham; Lisa Gierlinski; Michael Lolley; Morgan Hulion; Ryan Adams; weeksma@defuniakspringspolice.net
Cc: Clayton@adkinsonlaw.com; Clay Adkinson
Subject: Krika Case
Many of you have heard the Krika case has been settled. The Krika case against the City, as you may know, was dismissed. But the individual case against Chief Weeks and Captain Lolley continued. Our insurance company did represent both individuals and agreed to a settlement without conferring with the City. As you can see below, the settlement was for $200,000.00 with an additional incurred legal expense of $98,669.79. So the million dollar question is if the settlement will have an effect on our insurance premiums in the coming year or two. If you read further below, an e-mail from Clayton and from Mr. Conley is copied and pasted for your review. In essence, our premiums will likely go up as a result of the settlement.
Mel,
Here is an email that I received from the League when I inquired about whether the city’s premium would go up as a result of the Krika settlement. Since we have had a couple of council members ask about this perhaps you should send all of them a copy of this email, or if you prefer I can send it to them. Please advise.
Clayton
Sent from my iPad
Begin forwarded message:
From: Tom Conley <TConley@flcities.com>
Date: January 29, 2019 at 1:23:09 PM CST
To: "clayton@adkinsonlaw.com" <clayton@adkinsonlaw.com>
Subject: settlement, premiums
Hi Clayton,
I got an email that you were curious how much a recent settlement might affect the city’s premium. It’s impossible to put a specific number on it. However, there is a factor in the premium calculation that reflects claims activity. And yes, the premium will most likely go up because that settlement will drive up the total claims $ paid, which in turn drives up that factor. The rating system also has a capping mechanism to prevent an increase from being too large. Rather, it spreads out the resulting increase over two or three years.
Tom Conley
Account Executive
Florida League of Cities, Inc.
850.251.8722
www.flcities.com
Mell Smigielski, City Manager
71 US HWY 90 West
PO Box 685
De Funiak Springs, FL 32435
(850) 892-8500 – Office
(850) 978-7618 – Cell
From: Mell Smigielski [mailto:citymanager@defuniaksprings.net]
Sent: Thursday, January 31, 2019 10:57 AM
To: Bob Campbell; Henry Ennis; Janie Griffith; Kermit Wright; Loretta Laird; ronkelley@defuniaksprings.net; waynegraham@defuniaksprings.net; Charles Burney; Chris Mitchell; publicworks@defuniaksprings.net; Cynthia Permenter; Debra Gibson; Jim Gierlinski; Kelly Schultz; Lacey Woodham; Lisa Gierlinski; Michael Lolley; Morgan Hulion; Ryan Adams; weeksma@defuniakspringspolice.net
Cc: Clayton@adkinsonlaw.com; Clay Adkinson
Subject: Krika Case
Many of you have heard the Krika case has been settled. The Krika case against the City, as you may know, was dismissed. But the individual case against Chief Weeks and Captain Lolley continued. Our insurance company did represent both individuals and agreed to a settlement without conferring with the City. As you can see below, the settlement was for $200,000.00 with an additional incurred legal expense of $98,669.79. So the million dollar question is if the settlement will have an effect on our insurance premiums in the coming year or two. If you read further below, an e-mail from Clayton and from Mr. Conley is copied and pasted for your review. In essence, our premiums will likely go up as a result of the settlement.
Mel,
Here is an email that I received from the League when I inquired about whether the city’s premium would go up as a result of the Krika settlement. Since we have had a couple of council members ask about this perhaps you should send all of them a copy of this email, or if you prefer I can send it to them. Please advise.
Clayton
Sent from my iPad
Begin forwarded message:
From: Tom Conley <TConley@flcities.com>
Date: January 29, 2019 at 1:23:09 PM CST
To: "clayton@adkinsonlaw.com" <clayton@adkinsonlaw.com>
Subject: settlement, premiums
Hi Clayton,
I got an email that you were curious how much a recent settlement might affect the city’s premium. It’s impossible to put a specific number on it. However, there is a factor in the premium calculation that reflects claims activity. And yes, the premium will most likely go up because that settlement will drive up the total claims $ paid, which in turn drives up that factor. The rating system also has a capping mechanism to prevent an increase from being too large. Rather, it spreads out the resulting increase over two or three years.
Tom Conley
Account Executive
Florida League of Cities, Inc.
850.251.8722
www.flcities.com
Mell Smigielski, City Manager
71 US HWY 90 West
PO Box 685
De Funiak Springs, FL 32435
(850) 892-8500 – Office
(850) 978-7618 – Cell
