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CC - CONSENT ITEM: (1) Adoption of a Resolution Authorizing the City of Culver City to Join Public Innovation, Solutions, and Management (PRISM) for the City’s General and Excess Municipal Liability Insurance Coverage Effective Fiscal Year (FY) 2026/2027; and (2) Authorization to the City Manager to Execute all Necessary Required Membership Agreements to Bind Coverage with PRISM and Related Carriers.
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Meeting Date: June 22, 2026
Contact Person/Dept.: Rasheedah Johnson/ Human Resources
Dana Anderson/Human Resources
Phone Number: (310) 253-5680
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Attachments: Yes [] No [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (06/17/2026)
Department Approval: Dana Anderson, Chief Human Resources Officer (06/01/2026)
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RECOMMENDATION
Staff recommends the City Council (1) adopt a resolution authorizing the City of Culver City to join Public Innovation, Solutions, and Management (PRISM) for the City’s general and excess municipal liability insurance coverage effective fiscal year (FY) 2026/2027; and (2) authorize the City Manager to execute all necessary required membership agreements to bind coverage with PRISM and related carriers.
BACKGROUND
As a municipal organization, the City of Culver City is authorized to manage the risks associated with local government operations, including general liability and lawsuits.
Since 2017, the City has maintained stand-alone coverage in the open market and used an insurance broker to purchase and place insurance programs to mitigate large risks that could hinder the City’s ability to operate and provide services to our community. The City’s current insurance broker is Alliant Insurance Services, Inc.
As a matter of due diligence, staff conducted an analysis of viable Joint Powers Authorities (JPAs) for California municipal risk and subsequently submitted a variety of insurance applications and conducted a detailed review and analysis of the City’s insurance portfolio. Staff’s intent was to evaluate not only premium costs, but also key differences in coverage provisions, claims administration and control, membership characteristics, and available resources among four JPAs.
DISCUSSION
City staff reviewed several potential JPAs including:
• Authority for California Cities Excess Liability (ACCEL);
• California Joint Powers Insurance Authority (CJPIA); and
• Public Risk Innovation, Solutions, and Management (PRISM).
Staff reviewed the benefits and key considerations of participating in a JPA. The benefits presented included shared risk, reduced exposure to large losses, access to legal and risk management resources, collectively negotiated coverage terms, and opportunities for member governance and oversight. Considerations included shared liability for losses incurred by other members, the potential for increased contributions or assessments, reduced individual control over coverage, and requirements to provide advance notice to exit the pool.
Staff’s recommendation is to pursue membership with PRISM for General and Excess Liability. Joining PRISM will not only strengthen the City’s risk management strategy but also provide significantly greater financial protection against large or catastrophic losses through risk sharing, and cost-effective premiums. Coverage Enhancements and Benefits under PRISM include:
• General Liability: Options for Lower deductibles and higher coverage limits at preferred prices.
• Governed by the Board of Directors composed of its members.
• Risk Management and Safety Resources - at no cost to members.
• $1,000/annual Grant for training, equipment, services, and conferences related to safety and an annual actuarial subsidy of up to $1,000 available for General Liability.
PRISM is governed by its members. Upon Council approval of membership:
• The City Council will appoint a primary representative on the PRISM Governing Board.
• The City Manager will designate a staff member as the alternate representative.
FISCAL ANALYSIS
Staff anticipates that the City will realize approximately 29% in cost savings while maintaining the current level of insurance coverage across all policy areas, with exception of enhanced coverage for Flood/Earthquake and Property insurance.
The Adopted Budget for Fiscal Year 2026-2027 includes sufficient funding to cover $4,481,291.00 for the insurance premiums in the following accounts:
• Account No. 30922220.650100 (Premium/Claims - Insurance Premiums Liability);
• Account No. 30922220.650200 (Premium/Claims - Insurance Premiums Other); and
• Account No. 30922220.650400 (Premium/Claims - Workers Compensation Insurance Premiums).
These accounts are located in the Human Resources Department section of the budget book under the Premium/Claims expenditures.
ATTACHMENTS
1. 2026-06-22 - ATT Resolution Authorizing Participation in PRISM
recommended action
MOTIONS
That the City Council:
1. Adopt a resolution authorizing the City of Culver City to join Public Innovation, Solutions, and Management (PRISM) for the City’s general and excess municipal liability insurance coverage effective fiscal year (FY) 2026/2027; and
2. Authorize the City Manager to execute all necessary required membership agreements to bind coverage with PRISM and related carriers.