Broken Arrow City Council
Meeting of: 04-16-2019
Title:
title
Approval of and authorization to accept Mercury Insurance’s offer to settle a claim for vehicle loss, declare the vehicle surplus, authorize execution of the bill of sale and release vehicle to Mercury Insurance
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Background:
A Police Department vehicle was involved in a collision on January 3, 2019. The vehicle, unit number 1829, a Ford Explorer Police Interceptor, was purchased on February 12, 2018 for $29,348.00. The unit was excellent condition with 7,933 miles accumulated at the time of the accident. Replacement of this vehicle is undetermined at this time.
Mercury Insurance has determined the vehicle is a total loss and made an offer to settle the vehicle loss at $38,756. This settlement includes the vehicle itself plus the aftermarket installed police equipment.
The Fleet Maintenance Division is satisfied that the settlement offer by Mercury Insurance is appropriate compensation for the vehicle based on Kelly Blue Book used car values, as well as the offer for the aftermarket police equipment.
Funds from this settlement will go into the Sales Tax Capital Improvement Fund.
Cost: None
Funding Source: Not applicable
Requested By: Lee Zirk, General Services Director
Approved By: Michael L. Spurgeon, City Manager
Attachments: Market valuation report from Mercury Insurance
Settlement offer from Mercury Insurance
Bill of Sale for unit 1829, Mercury Insurance
Recommendation:
recommend
Approve and accept the offer from Mercury Insurance to settle the claim for vehicle loss, declare the vehicle surplus, authorize execution of the bill of sale and release vehicle to Mercury Insurance.
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