ARIZONA HOUSE OF REPRESENTATIVES Fifty-fifth Legislature Second Regular Session
	House: MAPS DP 8-6-0-1 | 3^rd Read 31-28-0-1 Senate: APPROP DPA/SE 10-0-0-1 | 3^rd Read 27-0-3-0 Final Pass: 50-10-0-0

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HB 2081: law enforcement video recordings; redactions

NOW: risk management; liability; state agencies

Sponsor: Representative Kavanagh, LD 23

Transmitted to Governor

Overview

Makes various changes to Arizona's use of insurance or state self-insurance (State Insurance) and its coverages, limitations and exclusions.

History

Pursuant to A.R.S. § 41-621, the Arizona Department of Administration (ADOA) must, to the extent it is determined necessary, obtain State Insurance against loss for all of the following: 1) state owned or leased property; 2) liability for acts or omissions of any nature carried out by the state, its agencies, officers, agents or employees while acting in authorized governmental capacities; 3) casualty, use and occupancy and liability losses of every nature incurred by the state or its agencies; 4) workers' compensation and employers' liability insurance; 5) construction projects; and 6) other exposures to loss where insurance may be required to protect Arizona.

In addition, ADOA must, to the extent it is determined necessary, obtain State Insurance against property damage caused by clients and liability coverage resulting from the care of clients participating in the following state custodial programs: 1) foster care; 2) programs for persons with developmental disabilities; 3) an independent living program for qualifying teenage youths; and 4) respite-sitter service programs (A.R.S. § 41-621).

ADOA also may, to the extent it is determined necessary, obtain State Insurance against loss for: 1) the professional liability of physicians and psychiatrists who provide services for the Department of Corrections; and 2) payment of property loss or casualty claims or disability insurance claims against contractors of the state with the approval of the Joint Legislative Budget Committee (A.R.S. § 41-621).

Provisions

1. Adds to the list of custodial programs for which ADOA must provide State Insurance: a) transitional independent living programs; and b) extended foster care programs. (Sec. 2)

2. Limits State Insurance for custodial programs to be no more than: a) $1,000,000 per claim, including related claims; and b) $2,000,000 in the aggregate per year. (Sec. 2)

3. Permits ADOA to adopt rules to adjust the limits on State Insurance for custodial programs. (Sec. 2)

4. Specifies State Insurance for custodial programs does not apply to providers who are contractually required to indemnify Arizona or a state agency for some or all of the liability of Arizona or a state agency. (Sec. 2)

5. States ADOA may, instead of must, obtain State Insurance for agents of Arizona or its agencies to cover liability for acts or omissions while acting in the scope of state employment. (Sec. 2)

6. Asserts, if ADOA provides self-insurance, that:

a) such coverage is excess over any other valid insurance notwithstanding any clause in the insurance policy; and

b) if state self-insurance and any other valid insurance are determined to be primary insurance, then ADOA and the other insurers contribute equally up to the applicable limit of the insurance. (Sec. 2)

7. Adds, to ADOA's exemption from the procurement code for obtaining insurance, insurance for custodial programs and insurance for the payment of property loss or casualty claims or disability insurance claims against contractors of the state. (Sec. 2)

8. Adds specified exclusions to the list of exclusions for State Insurance coverage. (Sec. 2)

9. Raises monetary caps for state settlement claims for liability damages. (Sec. 2)

10. Modifies statute requiring ADOA to pay non-punitive damages as follows:

a) For state officers and employees, damages for which an individual is legally responsible must be paid by ADOA subject to the terms of any insurance obtained by ADOA;

b) For persons provided state self-insurance, damages for which an individual is legally responsible must be paid by ADOA subject to any limit of state self-insurance. (Sec. 2)

11. Permits ADOA to intervene in a lawsuit against a person with State Insurance to assert a defense on behalf of that person that: a) the claimant failed to comply with qualified immunity statue; or b) a portion or all of the action is more than a year old and barred by the statute of limitations against public entities and employees. (Sec. 2)

12. Changes language relating to a public warning, of any unreasonably dangerous condition arising out of a plan or design for transportation facilities, to remove the requirement that such warning must allow the public to take suitable precautions. (Sec. 1)

13. Makes technical and conforming changes. (Sec. 1-5)

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                        HB 2081

Initials PRB/NM          Page 0 Transmitted

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