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HomeMy WebLinkAboutItem 3n: Letter of Indemnification to Santa Anita Park for Fire & Police Training and Other Events of ARC U~ Au,...s,loos Oo\ '�ce �4nity oil" STAFF REPORT Office of the City Attorney DATE: June 19, 2012 TO: Honorable Mayor and City Council P FROM: Stephen P. Deitsch, City Attorney y: l Prepared By: Lisa Mussenden, Chief Deputy City Clerk/Records Manager SUBJECT: AUTHORIZE AND DIRECT THE CITY MANAGER TO TRANSMIT A LETTER OF INDEMNIFICATION TO SANTA ANITA PARK REGARDING USE OF SANTA ANITA PARK PROPERTY FOR FIRE AND POLICE DEPARTMENT TRAINING AND OTHER CITY ACTIVITIES/EVENTS Recommendation: Approve SUMMARY Periodically, the City is granted permission by Santa Anita Park (the "Race Track") to use Race Track property for Fire and Police Department training purposes, for parking for events occurring at the civic center and for other purposes for which the Race Track grants permission from time to time. The Race Track has granted permission in the past, and would do so again, now, on condition that the City agrees to indemnify the Race Track regarding such use by the City. It is therefore recommended that the City Council authorize the City Manager to transmit a letter of indemnification, on behalf of the City, for use of Race Track property for City purposes. DISCUSSION In the past, prior City Managers have agreed to indemnify, defend and hold the Race Track harmless in connection with the City's use of the property for Fire and Police Department training purposes or other purposes or events for which the Race Track may, from time to time, grant permission to the City to use the property. Due to the recent change in City Manager, the Race Track has requested an updated indemnification letter signed by Mr. Lazzaretto. Although this matter has never been before the City Council, the City Attorney and City Manager conclude that for such a significant matter where there is unlimited exposure to the City, the City Council should approve the letter. Honorable Mayor and City Council June 19, 2012 Page 2 of 2 FISCAL IMPACT Indemnifying the Race Track for use by the City exposes the City to possible liability. Although the City is insured by the California Insurance Pool Authority ("CIPA"), the General Fund would pay the first $500,000 in liability, and future insurance "premiums" might increase if the City were found liability concerning this indemnity. RECOMMENDATION It is recommended the City Council authorize and direct the City Manager to transmit a letter of indemnification to Santa Anita Park regarding use of Santa Anita Park property for Fire and Police Department training and other City Activities/Event. Approved: Dominic Lazzaretto City Manager