Chapter 2.24 — CLAIMS AGAINST THE CITY

Any claim or demand against the City or against any City officer in his official capacity, payable out of any City funds or any funds under control of the City Treasurer, shall be filed and presented to the party or entity delegated to review and act on any such claim as provided in this chapter before any suit may be brought thereon. No suit may be brought on any claim until it has been rejected in whole or in part.

(Ord. No. 2012-1365, 4-24-12)

The City Council, or other party or entity delegated to review and act on any claim under this Chapter 2.24, shall not hear, consider, allow or approve any claim, bill or demand against the City unless the claim is itemized, giving names; dates; the particular services rendered; the character of process served and upon whom; the distance traveled; the character of the work done; the number of days engaged; the materials and supplies furnished, when and to whom and in what quantity furnished; the price therefor; and any other pertinent details as the case may be.

(Ord. No. 2012-1365, 4-24-12)

The functions of the City Council required to be performed in considering and rejecting, approving, compromising, or settling claims for liability against the City or any City officer acting in his or her official capacity are hereby delegated to and shall be performed as provided for in this Section 2.24.030.

(a)

Claims Covered Under the CJPIA Memorandum of Liability Coverage. The City delegates to the California Joint Powers Insurance Authority (CJPIA), of which it is a member, the authority to act on its behalf to defend and indemnify the City from all liability claims covered under the City's Memorandum of Liability Coverage. Pursuant to Government Code Sections 910 et seq., the CJPIA is further authorized to issue notices relating to claims against the City or any City officer acting in his or her official capacity covered under the Memorandum of Liability Coverage, and to accept, reject, return as insufficient, or return as untimely any such claims.

(b)

Claims Not Covered Under the CJPIA Memorandum of Liability Coverage. For all other liability or other claims against the City or any City officer acting in his or her official capacity not covered under the CJPIA's Memorandum of Liability Coverage, the claim shall be referred to the City Manager, City Attorney and/or Risk Management Division for consideration if the claim reasonably appears to be for an amount less than $50,000.00. The authority designated to review and act on any such claim shall have the right to accept or reject the claim as limited by this Section 2.24.030.

Claims not covered under the Memorandum of Liability Coverage that are $50,000.00 and above shall be referred to the City Council for review and action. Notwithstanding this delegation of authority, the City Council may consider any claims brought before the City.

(Ord. No. 2012-1365, 4-24-12)

Claims and demands arising out of tort and all claims and demands not found upon contract shall comply with the provisions of Sections 900 and 951 of the Government Code of the State. The approval or rejection of tort claims or demands by the City Council or

its designee shall be in compliance with the applicable provision of the Government Code of the State.

(Ord. No. 2012-1365, 4-24-12)

Any claim filed against the City to dispute a City-imposed tax, charge or fee shall satisfy the requirements of this Section 2.24.045.

(a)

Payment Required Before Filing Claim. Prior to filing a claim to challenge a City-imposed tax, charge or fee, a disputant must pay the full tax, charge or fee amount owed, including any interest and penalties thereon.

(b)

Statute of Limitations Period. Any claim to challenge a City-imposed tax, charge or fee must be made by the payer within one year of incurring the disputed tax, charge or fee. This one year statute of limitations period does not begin to run anew each time a tax, charge or fee is paid, with the exception of a disputed general tax.

(c)

Administrative Remedy Process. Following compliance with Sections 2.24.045(a) and 2.24.045(b), the aggrieved payer must file an appeal with the City pursuant to Section 2.14.020 of this Code. The disputant may also wish to present a claim pursuant to any other administrative remedy specified by law. An administrative hearing shall be scheduled by the City and the claim shall be heard by a neutral examiner. The decision of the neutral examiner may be appealed by either party to the City Council. The City Council must render an adjudicatory decision on the challenged tax, charge or fee before the disputant may file suit against the City.

(d)

Prohibition of Class Claims. No claim disputing any tax, charge or fee may be filed against the City on behalf of a class of persons, unless such a claim is verified by each member of the class.

(Ord. No. 2011-1356, 1-10-12)

Any claim or demand required to be presented to the City Council for review and action pursuant to this article shall be presented to the City Council in writing. The City Council shall audit the presented claims and demands as required by law.

(Ord. No. 2012-1365, 4-24-12)

No City officer shall, except on his own behalf, present any claim, account or demand for allowance against the City or in any way, except in the discharge of his official duty, advocate the relief asked in a claim or demand against the City made by any other person.

Any person may appear before the City Council and oppose the allowance of any claim or demand made against the City.

(a)

If the City Council finds that any claim or demand presented to it pursuant to this article is not a proper charge against the City, it shall be rejected by resolution or minute action and the fact of rejection shall be plainly endorsed upon the claim by the City Clerk or his authorized representative.

(b)

If any claim or demand presented to the City Council pursuant to this article is determined to be a proper charge against the City, it shall be allowed only by resolution setting forth as to each claim the name of the claimant, a brief statement of the claim, and the amount allowed. If any claim or demand is approved and allowed by the City Council, the City Clerk shall endorse upon each of the duplicate

copies thereof the words "Allowed by the City Council of the City of San Marcos," together with the resolution number allowing the claim, for what amount and from what fund and the City Clerk shall attest the copies with his signature.

(c)

The City Council may allow in part and reject in part any claim presented to it pursuant to this article.

(a)

If any claim or demand is approved and allowed by the City Council pursuant to this article, the Mayor shall draw a warrant upon the City Treasury therefor, which warrant shall be countersigned by the City Clerk or his authorized representative, and shall specify for what purpose the warrant is drawn and out of what fund it is to be paid.

(b)

Except as otherwise provided, no warrant shall be drawn or evidence of indebtedness issued unless there is at the time sufficient money in the City Treasury legally applicable to the payment of the warrant. When an order or demand is not approved for want of funds and its amount does not exceed the income and revenue for the year in which the indebtedness was incurred, the City Clerk shall endorse on it: "Not approved for want of funds," with the date of presentation and his signature. The City Clerk shall number the endorsement, register the order or demand in his records and deliver the warrant to the claimant or his order. From delivery the order or demand bears interest at six percent a year. Orders or demands shall be paid in the sequence they are registered.

Upon presentation of a warrant prepared pursuant to this article, properly executed and endorsed, the City Treasurer shall pay the warrant out of the funds in the City Treasury properly applicable to that purpose.