HomeMy WebLinkAbout01072010 BSC Agenda Item 4
STAFF REPORT
Business of the Building and Standards Commission
City of West University Place, Texas
AGENDA OF: January 7, 2010 DEPARTMENT OF ORGIN: Development
Services
DATE SUBMITTED: December 22, 2009
PRESENTER: John R. Brown
PREPARED BY: John R. Brown, MCP, CFM
Chief Building Official
STAFF PRESENTER:
SUBJECT: Discuss increasing the Errors John R. Brown, MCP, CFM
and Omissions insurance amount per claim Chief Building Official
and aggregate do the cost of construction
in West University Place.
ATTACHMENTS:
STAFF SUMMARY
Background:
During the BSC meeting held in November the Board discussed the issue of the Error and Omissions
insurance being too low based on the average cost of construction for homes in the city of West
University Place. Below is the average cost of construction for years 2009, 2008, 2007. These amounts do
not include the value of the land. I was unable to obtain the cost to the Engineers for their E & O
insurance, per Shirley Orbitez; the insurance companies must have several pieces of company information
to calculate the premiums. We were informed that the normal deductable is I%.
2007 -113 new homes, total $58,768,246, average cost of $520,072.98
2008 - 68 new homes, total $42,340,689, average cost of $622,657.20
2009 - 21 new homes, total $12,679,590, average cost of $603.790.00
Code reference:
Sec. C-104. International Building Code
3. The foundation for each new building (and each new addition to a building) must meet all the criteria
in this section, as applicable. Exception: If the building or addition does not contain habitable space (as
defined in the IBC), it must meet only the requirements for "nonhabitable space," as indicated below. In
this section:
"A2LA Lab" means a laboratory accredited by the American Association for Laboratory Accreditation on
the basis of ISO/IEC 17025:1999 ("general requirements for the competence of testing and calibration
laboratories").
"RLPE" means a licensed or registered professional engineer of the State of Texas who is:
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A
(1) Listed with the State Board of Professional Engineers in either the civil or structural branch of
engineering (but, from and after May 1, 2006, listing in the structural branch is required);
(2) Employed by a registered engineering firm of the State of Texas; and
(3) (Unless waived by the BSC as provided in 'T' below) covered by professional errors and omissions
insurance that: (i) has limits of at least $250,000.00 per claim (and at least $500,000.00 per year,
aggregate) and (ii) has effective dates-including any retroactive coverage date-that include the entire
period when the person provides services or takes actions regulated by this section.
"RLGE" means a person who is:
(1) Either. (a) a registered professional geoscientist of the State of Texas, or (b) a licensed or
registered professional engineer who is listed with the State Board of Professional Engineers in a
relevant branch of engineering (civil, structural or geological) and employed by a registered engineering
firm of the State of Texas; and
(2) Covered by professional errors and omissions insurance that (i) has limits of at least $250,000.00
per claim (and at least $500,000.00 per year, aggregate) and (ii) has effective dates-including any
retroactive coverage date-that include the entire period when the person provides services or takes
actions regulated by this section.
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