Number
231849
Version
SUBSTITUTE 1
Reference
Sponsor
THE CHAIR
Title
Substitute resolution authorizing the City Attorney’s Office to hire RWH Myers to provide forensic accounting related to a fire insurance claim at the City’s Material Recovery Facility.
Analysis
This resolution authorizes the City Attorney’s Office to hire RWH Myers to provide forensic accounting related to a fire insurance claim at the City’s Material Recovery Facility.
Body
Whereas, On May 31, 2023, there was a significant fire at the City’s Material Recovery Facility (MRF); and
Whereas, The MRF and the building in which it is located are insured under a policy issued by Travelers Insurance on January 1, 2023; and
Whereas, Under this policy, the MRF building was insured at $8,839,506, while the contents were further insured at $13,422,963; and
Whereas, There are additional coverages under the Travelers policy, with $5 million limits each, for Business Interruption and Extra Expense; and
Whereas, Within these coverages are sublimits of $25,000 each, enabling the City to hire a forensic accountant to track and prove up to its claim for Business Interruption and Extra Expense, during the period of the facility’s indemnity; and
Whereas, The City Attorney’s Office opted to retain RHW Myers as forensic accountants, and the firm will need to be compensated through the City’s Outside Counsel/Expert Witness Fund Special Purpose Account before anticipated reimbursement from the Traveler’s Policy, now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the City Attorney’s Office may hire RHW Myers to render forensic accounting services related to the City’s insurance claims arising from the May 31, 2023 fire at the MRF; and, be it
Further Resolved, that the non-City funds for such accounting work shall be expended at the discretion of the City Attorney’s Office; and, be it
Further Resolved, that the City Attorney’s Office is authorized to enter into such ...
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