Council reviews $218,317 WesBanco letter of credit for workers' compensation surety

Director Montgomery, the city comptroller, briefed the council on Resolution 2026-R-17, explaining that the City of Huntington self-insures for workers' compensation and that the West Virginia Offices of the Insurance Commissioner annually calculates potential claim liability and requires surety coverage. Montgomery said the city uses multiple security instruments and that "three of the instruments renew automatically, and the fourth is this letter of credit with WesBanco" which changes yearly to match the OIC's requirement.

Montgomery stated the letter of credit amount would be $218,317 and that the fees for the letter would be 1.5% (stated as $3,275). When asked whether the city had previously entered into such an agreement with the bank, Montgomery confirmed it is a renewal and explained the renewal process tracks the OIC's changing surety requirement.

The transcript records the presentation and a short question-and-answer exchange; no vote or formal execution appears on the record during the session.