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11. Terminate CPEIA ,- HUMAN RESOURCES CUPERTINO CITY HALL 10300 TORRE AVENUE. CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3227. FAX: (408) 777-3109 SUMMARY Agenda Item No. I { Meeting Date: December 18, 2007 SUBJECT AND ISSUE Adopt Resolution No. 07 -1a3. terminating the California Public Entity Insurance Authority (CPEIA). "'~:r BACKGROUND Cupertino purchases excess workers' compensation coverage from the California State Association of Counties Excess Insurance Authority (CSAC EIA). Initially, cities were provided with access to CSAC EIA's insurance programs through CPEIA, a sister JPA. With its recent merger into CSAC EIA, there is no further need to maintain CPEIA as a separate legal entity. The enclosed resolution terminating CPEIA has been reviewed and recommended by CSAC EIA's legal counsel. FISCAL IMPACT There is no fiscal impact as CPEIAhas no assets or property to distribute. RECOMMENDATION Staff recommends that the City Council adopt Resolution No. 07 -:2D 3. Upon approval. by 101 of its 134 members, CPEIA will officially be terminated as an entity. Submitted by: Approved by: A Sandy Abe Human Resources Director ~ David W. Knapp City Manager 11 - 1 " DRAFT RESOLUTION 07-203 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO TERMINATING THE CALIFORNIA PUBLIC ENTITY INSURANCE AUTHORITY JOINT POWERS AGREEMENT WHEREAS, the CSAC Excess Insurance Authority (EIA) and the California Public Entity Insurance Authority (CPEIA) have merged into one organization, the EIA, and there is no need for CPEIA to continue; and WHEREAS, CPEIA members are able to join the EIA as public entity members; and WHEREAS, pursuant to Article 22 of the CPEIA Joint Powers Agreement (Agreement) the affirmative vote of the governing bodies of three-fourths of the members are required to terminate the Agreement; and WHEREAS, there are no assets or other property to distribute under Article 22 of the . "i' Agreement; , NOW THEREFORE, BE IT RESOLVED by theCity Council of the City of Cupertino' that pursuant to the provisions of Article 22 of the Agreement it elects to terminate CPEIA, said termination shall become effective upon the affirmative vote of the governing bodies of three- fourths of the members. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this 18th day of December 2007 by the following vote: V ote Members of the City Council AYES: NOES: ABSENT: ABSTAIN: ATTEST: APPROVED: City Clerk Mayor, City of Cupertino 11 - 2