House Amendment 8374


PAG LIN




     1  1    Amend Senate File 2337, as passed by the Senate, as
     1  2 follows:
     1  3 #1.  Page 1, by striking lines 2 through 5 and
     1  4 inserting the following:
     1  5    <The association of Iowa fairs, or a fair, shall
     1  6 have the power to join a local government risk pool as
     1  7 provided in section 670.7.
     1  8    Sec.    .  Section 670.7, Code 2007, is amended to
     1  9 read as follows:
     1 10    670.7  INSURANCE.
     1 11    1.  The governing body of a municipality may
     1 12 purchase a policy of liability insurance insuring
     1 13 against all or any part of liability which might be
     1 14 incurred by the municipality or its officers,
     1 15 employees, and agents under section 670.2 and section
     1 16 670.8 and may similarly purchase insurance covering
     1 17 torts specified in section 670.4.  The governing body
     1 18 of a municipality may adopt a self=insurance program,
     1 19 including but not limited to the investigation and
     1 20 defense of claims, the establishment of a reserve fund
     1 21 for claims, the payment of claims, and the
     1 22 administration and management of the self=insurance
     1 23 program, to cover all or any part of the liability.
     1 24 The governing body of a municipality may join and pay
     1 25 funds into a local government risk pool to protect
     1 26 itself against any or all liability.  The governing
     1 27 body of a municipality may enter into insurance
     1 28 agreements obligating the municipality to make
     1 29 payments beyond its current budget year to provide or
     1 30 procure the policies of insurance, self=insurance
     1 31 program, or local government risk pool.  The premium
     1 32 costs of the insurance, the costs of a self=insurance
     1 33 program, the costs of a local government risk pool,
     1 34 and the amounts payable under the insurance agreements
     1 35 may be paid out of the general fund or any available
     1 36 funds or may be levied in excess of any tax limitation
     1 37 imposed by statute.  However, for school districts,
     1 38 the costs shall be included in the district management
     1 39 levy as provided in section 296.7 if the district has
     1 40 certified a district management levy.  If the district
     1 41 has not certified a district management levy, the cost
     1 42 shall be paid from the general fund.  Any independent
     1 43 or autonomous board or commission in the municipality
     1 44 having authority to disburse funds for a particular
     1 45 municipal function without approval of the governing
     1 46 body may similarly enter into insurance agreements,
     1 47 procure liability insurance, adopt a self=insurance
     1 48 program, or join a local government risk pool within
     1 49 the field of its operation.
     1 50    2.  The procurement of this insurance constitutes a
     2  1 waiver of the defense of governmental immunity as to
     2  2 those exceptions listed in section 670.4 to the extent
     2  3 stated in the policy but shall have no further effect
     2  4 on the liability of the municipality beyond the scope
     2  5 of this chapter, but if a municipality adopts a
     2  6 self=insurance program or joins and pays funds into a
     2  7 local government risk pool the action does not
     2  8 constitute a waiver of the defense of governmental
     2  9 immunity as to the exceptions listed in section 670.4.
     2 10    3.  The existence of any insurance which covers in
     2 11 whole or in part any judgment or award which may be
     2 12 rendered in favor of the plaintiff, or lack of any
     2 13 such insurance, shall not be material in the trial of
     2 14 any action brought against the governing body of a
     2 15 municipality, or its officers, employees, or agents
     2 16 and any reference to such insurance, or lack of
     2 17 insurance, is grounds for a mistrial.  A
     2 18 self=insurance program or local government risk pool
     2 19 is not insurance and is not subject to regulation
     2 20 under chapters 505 through 523C.
     2 21    4.  The association of county fairs as defined in
     2 22 section 174.1, or a fair, shall be deemed to be a
     2 23 municipality as defined in this chapter only for the
     2 24 purpose of joining a local government risk pool as
     2 25 provided in this section.>
     2 26 #2.  By renumbering as necessary.
     2 27
     2 28
     2 29                               
     2 30 COMMITTEE ON AGRICULTURE
     2 31 MERTZ of Kossuth, CHAIRPERSON
     2 32 SF 2337.502 82
     2 33 av/rj/7398

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