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Item C10J BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: April 17, 2013 Bulk Item: Yes X No Division: Employee Services Department: Employee Benefits Staff Contact Person/Phone #: Maria Fernandez -Gonzalez, Ext. 4448 AGENDA ITEM WORDING: Approval of a Workers' Compensation settlement in the amount of $245,000.00, inclusive of attorney fees and costs for file #WC951110-GH which is to be reimbursed by the County's excess insurer. ITEM BACKGROUND: A private mediation was held at which time both parties agreed to settle all open claims for $245,000 including attorney fees and costs contingent on Monroe County BOCC approval. Future medical exposure value is approximately $300,000 and the indemnity portion has a settlement value of $100,000. PREVIOUS RELEVANT BOCC ACTION: N/A CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATIONS: Approval TOTAL COST: $245,000 INDIRECT COST: BUDGETED: Yes X No DIFFERENTIAL OF LOCAL PREFERENCE: Internal Service Fund COST TO COUNTY: $0 (reimbursed by insurance) SOURCE OF FUNDS: Primarily Ad Valorem REVENUE PRODUCING: Yes F No X AMOUNT PER MONTH Year PSG.. APPROVED BY: County Atty OMB/Purch(asing Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: AGENDA ITEM # Revised 7/09 CDa �. r. County of Monroe t The Florida Keys Office of the Employee Services Division Director The Historic Gato Cigar Factory 1100 Simonton Street, Suite 268 Key West, FL 33040 (305) 292-4458 — Phone (305) 292-4564 - Fax TO: Board of County Commissioners FROM: Teresa E. Aguiar, Employee Services Director d*'D DATE: March 22, 2013 SUBJ: Workers' Compensation Settlement #WC951110-GH BOARD OF COUNTY COMMISSIONERS Mayor George Neugent, District 2 Mayor Pro Tern, Heather Carruthers, District 3 Danny L. Kolhage, District 1 David Rice, District 4 Sylvia J. Murphy, District 5 This item requests approval for the settlement of a workers' compensation claim on a former employee with the initial date of accident on October 11, 1995. The claimant injured her lumbar and cervical spine when she was arresting a violent mentally ill person. The claimant retired in November, 2012 and last physically worked as a deputy in December, 2011 and retired on November 12, 2012. During the time since her injury, the claimant saw numerous physicians and as of the last part of 2012, we had already spent in excess of $440,000 on the medical portion of the claim. Based on prior care and treatment of the claimant, it was estimated that medical expenses could reach over $400,000 over the claimant's life expectancy. When a formal Medicare Set Aside was prepared, it was recommended that a total allocation of $389,590 be set aside for future medicare care. In addition to the medical exposure, there is a possibility of permanent total disability and that figure is estimated to be approximately $100,000. This claim is already being covered under the County's Excess Insurance Policy. We have received the company's permission to move forward with the settlement of $245,000 and this amount will therefore be reimbursed to the County. The $245,000 total includes the attorney's fees of $24,750 and the claimant's net will be $220,250. It is strongly recommended that the BOCC approve this settlement. The settlement includes any and all potential claims against the County in regards to this injury.