The city of Poplar Bluff has decided to forgo bids for a property and liability insurance broker.
City council members will vote Nov. 20 on proposals submitted by three Missouri companies, two from Poplar Bluff and one from St. Louis.
Costs will be negotiated as a percentage of the policy after the vote, said city manager Mark Massingham. The city has previously used requests for proposals for this type of service over bids, Massingham said. Other cities do this as well, he told the council.
The council voted 5-1 Monday to move a recommendation by Massingham for Sterling Insurance Agency of Poplar Bluff to the next action agenda.
The city is currently served by Morse Harwell Jiles, which also submitted a proposal.
Massingham said all three companies were good, but that he recommended Sterling because the officer who serviced the city's account at MHJ had moved to that company.
Ward 4 representative Philip Crocker voted against the measure, asking the council to wait for additional information. Council member at large Ron Black was absent.
Prior to the vote, Crocker suggested the city should look more closely at a proposal from Arthur J. Gallagher and Company of St. Louis. The proposal included an effort to help reduce workers compensation claims through safety trainings and other programs, Crocker said.
He asked that the two Poplar Bluff companies submit information on any similar programs they could offer.
"I think we really need to look at that company (Gallagher) to see if it would fit our needs," Crocker said. "They're rather well known throughout the state of Missouri."
The city used a St. Louis company a number of years ago and didn't receive as much personal service, said Massingham.
"That causes problems. That was really part of our reason to stay with a smaller, local company," he said.
Mayor Ed DeGaris, a retired city police officer, added his department always had several safety meetings each year.
MHJ won the current contract in 2014 over First Community and Hollida insurance companies. MHJ had a low bid at that time of a flat $75,000 fee for the first year of service. The rate was $80,000 by the third year of service.
MHJ had been the city's broker for more than three yeas prior to 2014.