Supporting Document (36e1436c...)

City of Scottsdale — Regular Meeting (2026-03-24)

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Item 11
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REPORT
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Meeting Date:
General Plan Element: 
General Plan Goal:
ACTION
March 24,2026
Provide for the orderly administration of the affairs of the City 
Fiscal management
Adopt Resolution No. 13618 authorizing the Contract No. 2026-040-COS releasing Cody 
Wilson and Progressive Insurance Company for the pa3mient of $40,085.51 to settle the 
City's claim against them related to damage to two City-owned vehicles on October 24, 
2024.
Background
Under S.R.C. §2-174(b)[4), settlement of claims in excess of $20,000 must be approved by the 
City Council. The City Attorney's Office - Safety & Risk Management Division has successfully 
secured a settlement of $40,085.51 to reimburse the City's Loss Trust Fund for expenses 
incurred from an automobile collision that damaged and totaled two City vehicles.
On October 24, 2024, Cody Wilson (“Mr. Wilson") was driving impaired on the shoulder of the 
southbound 101 freeway. Mr. Wilson then rear-ended two police vehicles that were 
unoccupied and off to the right of the freeway. Three officers were oUt of both vehicles talking 
with the driver of a violator vehicle when the collision occurred. Mr. Wilson was traveling at a 
high rate of speed, and he continued past the initial collisions and he hit another vehicle, owned 
by a third party. All the vehicles were declared total losses.
Safety & Risk Management adjusted the total losses and settled the daniage with the Fleet 
Department. The first vehicle was a 2019 Chevrolet Tahoe. The Actual Cash Value for the 
Tahoe was $29,715.91. The second vehicle was a 2017 Ford Explorer. The Actual Cash Value 
for the Explorer was $15,532.19, The value was determined by comparing the vehicles to 
similar vehicles for sale in this region with similar options, mileage, and condition.
A subrogation, demand in the amount of $45,248.10 was sent to Mr. Wilson's carrier. 
Progressive Insurance Company ("Progressive"). Progressive had a policy limit of $50,000 and 
had to factor in damages to the third party, which was a 2017 Chevy Malibu and some towing 
expenses. The total of all the damage to the City and a third party was $56,439.46. This 
exceeded the available coverage limits of Mr. Wilson's liability insurance policy. Progressive 
completed a pro-rata calculation and offered the City $40,085.51 to cover the City of 
Scottsdale's portion. While this is $5,162.59 less than the total amount owed, it allows the 
immediate recovery of funds without the necessity of litigation. In addition, Mr. Wilson had no 
other insurance policy or assets that the City could pursue. Thus, the City Attorney’s Office recommends 
the proffered settlement of $40,085.51 as being in the best interest of the City.
18455919
Page 1 of 3

Council Report | Authorize Settlement
ANALYSIS & ASSESSMENT
Recent Staff Action
The SRAs for both vehicles were reviewed and investigated by the City Attorney's Office - Safety 
& Risk Management Division - and the costs were found to be reasonable and necessary. The 
Fleet department was paid to replace both vehicles. The Safety & Risk Management Division 
secured an offer of settlement with Progressive based on the available liability coverage limits.
Policy Implications
None.
Significant Issues to be Addressed
None.
Community Involvement
N/A.
RESOURCE IMPACTS
i'
Available funding
The cost of replacing the damaged vehicles was paid by the Loss Trust Fund, and if recovered, 
will be deposited into the Loss Trust Fund account to reimburse the Fund for that expense.
Staffing, Workload Impact
Approval of this Resolution will allow the City to recover nearly full reimbursement for the two 
vehicles totaled in the incident.
Future Budget Implications
Approval of this Resolution will allow the City to recover reimbursement to the Loss Trust Fund for 
the majority of the losses it incurred in this incident.
OPTIONS & STAFF RECOMMENDATION__________________________ __________
Recommended Approach
The City Attorney's Office recommends that the Council adopt Resolution No. 13618 and 
authorize settlement of this claim as proposed.
18455919
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Council Report | Authorize Settlement 
Proposed Next Steps
If the settlement is approved, City representative(s) will finalize the documents and deposit 
the funds into the Loss Trust Fund account for City Claim Numbers 2425-066-19931 and 
2425-065-17704.
RESPONSIBLE DEPARTMENT(S)
City Attorney's Office - Civil Division and Safety & Risk Management Division
STAFF CONTACTS (S)
George Woods, Jr., Safety & Risk Management Director, gwoods@scottsdaleaz.gov 
Luis E. Santaella, Interim City Attorney, lsantaella@scottsdaleaz.gov
APPROVED BY
MJMA
George Woo^ Safety & Risk Management Director Date
(480) 312-^40
gwoods@scottsdaleaz.gov
Luis E. Santaella, Interim City Attorney 
(480) 312-2405 
lsantaella@scottsdaleaz.gov
?/ i Or /
Date
ATTACHIMENTS
1. Resolution No. 13618
2. Contract No. 2026-040-COS
18455919
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RESOLUTION NO. 13618
A RESOLUTION OF THE CITY OF SCOTTSDALE, MARICOPA COUNTY, 
ARIZONA, AUTHORIZING SETTLEMENT IN THE AMOUNT OF 
$40,085.51 TO SETTLE THE CITY’S CLAIM AGAINST CODY WILSON 
AND PROGRESSIVE INSURANCE COMPANY, AND AUTHORIZING THE 
MAYOR TO EXECUTE CONTRACT NO. 2026-040-COS.
WHEREAS, on October 24, 2024, Scottsdale Police Department officers were conducting 
a traffic stop on the southbound 101 freeway. The officers were out of their respective vehicles 
and talking to the driver of a violator vehicle;
WHEREAS, another driver, Cody Wilson, was driving southbound on the shoulder of the 
101 freeway while impaired. Mr. Wilson collided into both stopped and unoccupied Scottsdale 
Police vehicles. Mr. Cody was driving at such a high rate of speed, the initial impact did not stop 
him and he continued to move forward and he collided with a third-party’s vehicle. As a result, 
both Scottsdale vehicles were declared total losses; and
Whereas, the city (through its Loss Trust Fund) had to pay for the replacement for both 
vehicles, which cost the City $45,248.10. A subrogation demand was sent to Mr. Cody’s liability 
insurance carrier. Progressive Insurance Company. Mr. Cody did not have sufficient policy limits 
to cover all the damages for all parties. Progressive Insurance Company sent a Pro-Rata 
breakdown and offer of $40,085.51 to settle the City’s claim; and
WHEREAS, it is in the best interest of the City to effectuate a settlement of this claim in 
the amount of $40,085.51; and
WHEREAS, the parties have agreed to resolve the disputed issues and compromise all 
claims by settling herein.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Scottsdale, Maricopa 
County, Arizona, as follows;
Section 1. That the City Council authorizes the Mayor to execute Contract No. 2026-040- 
COS on behalf of the City to settle this claim in its entirety in the amount of Forty Thousand Eighty- 
Five dollars and Fifty-One Cents (40,085,51) with the funds to be deposited into the City’s Loss 
Trust Fund for the settlement of City of Scottsdale Claim Number 2425-065-17704.
Section 2. That the City Council approves the settlement set forth above and authorizes 
and directs the City Manager, the City Treasurer, and the Interim City Attorney, and their 
respective staff to execute such documents and take such other actions as are necessary to carry 
out the purpose of the Resolution.
18421233
Resolution No. 13618 
Page 1 of 2
ATTAGHMENT1

■t
PASSED AND ADOPTED by the Council of the City of Scottsdale, Maricopa County, 
Arizona this J__ day of_______ , 2026.
CITY OF SCOTTSDALE, an Arizona 
municipal corporation
ATTEST;
Ben Lane, City Clerk 
APPROVED AS TO FORM;
Luis E. Santaella, Interim City Attorney
Lisa Bprowsky, Mayor
Resolution No. 13618 
Page 2 of 2

PROPERTY DAMAGE RELEASE
January 29,2026
Claim Number: 24-327810092
<
In consideration of the sum of forty thousaiid, eighty five (lollai-s and flfty one cents (S40,085.51) receipt of which 
is hereby acknowledged, lAve, City of Scottsdale, do liereby release and forever discharge Cody Wilson, Kyle 
Wilson, and Progressive Advanced Insurance Company (Progressive) from any properly damage claim, 
demand, right or cause of action arising out of or in any way connected with that certain accident, resulting 
therefiom, which occuned on or about 10/24/2024, in Scottsdale, AZ.
AS A FURTHER CONSIDERATION AND INDUCEMENT FOR THIS COMPROMISE SETTLEMENT, AND 
PAYMENT, IT IS EXPRESSLY WARRANTED AND AGREED:
(i) That this is a fiill and final release of any and all claims for property damage arising out of said accident and 
expressly includes, but is not limited to, ail unknown and unanticipated property damage resulting from said 
accident, casually dr event, as'well as those now disclosed.
(2) That this is a compromise settlement of a disputed claim, and that the payment of the consideration for this release 
shall not be deemed or construed as an admission of liability on the part of any and all of the releases herein 
described, but on the contrary, any such liability is expressly deiiied.
(3) That there are no liens, or claim of liens, or assignments in law or equity, or otherwise, of, or against, the claim 
or cause of action of the undersigned herein and that the undersigned is fully entitled to give a complete release 
and discharge of said claims.
For your protection, Arizona law requires the following statement to appear on this form. “Any 
person who knowingly presents a false or fiaudulent claim for payment of a loss is subject to 
criminal and civil penalties."
THE UNDERSIGNED HAS READ AND UNDERSTANDS THE TERMS OF NATURE OF THE FOREGOING 
RELEASE AND WARRANTS THAT THE RELEASE CONTAINS THE “ENTIRE AGREEMENT” BETWEEN 
THE PARTIES HERETO AND NO PROMISE, INDUCEMENT OR AGREEMENT NOT EXPRESSLY 
CONTAINED HEREIN HAS,BEEN MADE.
IN WITNESS WHEREOF, I have hereunder set my hand this____ day of
CITY OF SCOTTSDALE, an Arizona Municipal Corporation
By:________________________________
Lisa Borowsky 
Mayor, City of Scottsdale
Dated:
, 2026.
ATTEST:
Ben Lane, City Clerk 
Dated:
Page 1 of 1
2026-040-COS
ATTACHMENT 2