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HomeMy WebLinkAbout09-25-17 City Commission Packet Materials - C5. Interlocal Agreement with Story Mill Fire District for Protection Services Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Josh Waldo, Fire Chief Dennis Taylor, Interim City Manager SUBJECT: Authorize City Manager’s signature on Fiscal Year 2018 Interlocal Agreement for Fire Protection Services with Story Mill Fire District MEETING DATE: September 25, 2017 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize City Manager’s signature on agreement. BACKGROUND: Since 1979 the City has provided fire protection services for the Story Mill Fire Protection District. Previous agreements were for one year terms which required a re- drafting of the agreement annually. This agreement has a term of 10 years with an option for an additional 10 year renewal in 2027. This agreement is in accordance with MCA 7-11-101 “Inter- local Cooperation Act”. ALTERNATIVES: As suggested by the City Commission FISCAL EFFECTS: The City will receive a payment from the District via the Gallatin County Treasurer twice per year for services based on assessed values of the District. Attachments: Fiscal Year 2018 Fire Service Agreement Report compiled on: September 7, 2017 56 Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services Page 1 FISCAL YEAR 2018 INTERLOCAL AGREEMENT FOR FIRE PROTECTION SERVICES THIS INTERLOCAL AGREEMENT is made and entered into this ____ day of __________, 2017 by and between the CITY OF BOZEMAN, with a mailing address of P.O. Box 1230, Bozeman, Montana 59771-1230, hereinafter referred to as “CITY” and STORY MILL FIRE DISTRICT, a duly organized and active fire district within Gallatin County, Montana, with a mailing address of, 2155 Bridger Drive, Bozeman, MT, 59715 hereinafter referred to as “DISTRICT”. WHEREAS, the DISTRICT may contract with a city or other public entity to furnish all fire protection services for property within the DISTRICT pursuant to 7-33-2104, MCA; and WHEREAS, the CITY has the personnel and equipment to extend fire protection to the DISTRICT; and WHEREAS, the DISTRICT desires to contract with CITY to provide emergency fire protection within the DISTRICT; and WHEREAS, the CITY and the DISTRICT have the authority to enter into this Agreement pursuant to 7-11-101 through 7-11-108, MCA. NOW, THEREFORE, in consideration of the mutual covenants and conditions contained herein and upon the terms and conditions of this Agreement, the CITY and DISTRICT hereby agree as follows: 1. Purpose. The purpose of this Agreement is to establish the terms and conditions of a cooperative arrangement whereby CITY provides fire protection services to DISTRICT. 2. City’s Obligations. CITY agrees to provide fire protection services to all property located within the DISTRICT during the term of this Agreement, subject to the provisions of this Agreement 3. Payment. DISTRICT agrees that as payment for said services, the DISTRICT shall assess all properties located within the DISTRICT at the maximum authorized mill levy under Section 15-10-420, MCA. The DISTRICT shall pay to the City of Bozeman, on a monthly basis, revenue collected from all sources, less reasonable DISTRICT expenses set forth in its annual budget including insurance, increases to insurance deductible reserve resulting from increased deductible amount, clerical supplies, check purchases and filing fees. The Gallatin County Treasurer will transfer these amounts directly from the DISTRICT’S account to the City of Bozeman upon approval by the District. DISTRICT shall annually provide CITY with an itemized listing of such deducted expenses and such supporting documentation as 57 Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services Page 2 CITY may reasonably request. At the beginning of each fiscal year the millage rate will be adjusted to reflect mill levy limitations under Section 15-10-420, MCA. 4. Term. This Agreement period shall commence as of July 1, 2017, and shall terminate on June 30, 2027. The parties agree that any term may be terminated with no less than 6 months written notice to the other party. 5. Renewal. This Agreement will be subject to review by both parties 60 days from the end of the contract term. The parties shall in good faith negotiate any and all requests for changes. If no party objects to this Agreement or any part thereof, the Agreement shall be deemed as renewed for an additional 10 year term. 6. District Changes. CITY will not be responsible for the extension of fire protection services to new areas within the DISTRICT boundaries unless and until DISTRICT provides written notice to the Fire Chief of a change to or expansion of the DISTRICT’s boundaries. 7. Waiver of Claims. The DISTRICT waives any and all claims and recourse against the CITY or its officers, agents or employees, including the right of contribution for loss or damage to person or property arising from, growing out of, or in any way connected with or incident to the performance of this Agreement except as prohibited by 28-2-702, MCA. 8. Insurance. The DISTRICT shall maintain, at DISTRICT’s expense, an insurance policy through an insurance company duly licensed to conduct insurance business in Montana which insures the liabilities and obligations assumed by DISTRICT for errors, misstatements, misleading statements, acts or omissions, neglect or breach of duty of the DISTRICT in at least the amount of $1,000,000 per occurrence; $1,000,000 annual aggregate. The CITY shall be endorsed as an additional or named insured on a primary non-contributory basis on the policy. DISTRICT must provide proof of such insurance coverage and endorsements upon CITY’s request, and must provide CITY with thirty (30) day notice of cancellation or non-renewal. 9. No Separate Legal Entity. There shall be no separate legal entity created as a consequence of this Agreement. No retirement or other employee obligations are shared between the DISTRICT and the CITY as a result of this Agreement, and no partnership or joint venture exists or shall be deemed to exist between the Parties. Administration of this Agreement shall be the responsibility of the DISTRICT trustees or their designee and the Bozeman Fire Chief or their designee. 10. Entire Agreement; Modification. This Agreement constitutes the entire agreement between the Parties with regard to the subject matter hereof. No alterations, modifications, or additions to this Agreement shall be binding unless reduced to writing and signed by the parties to be charged herewith. 58 Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services Page 3 No covenant, term or addition to this Agreement shall be deemed waived by either party unless such waiver shall be reduced to writing and signed by the parties. 11. Severability. The provisions of this Agreement shall be deemed independent and severable, and the invalidity, partial invalidity, or unenforceability of any one provision or portion thereof shall not affect the validity or enforceability of any other provision herein. 12. Applicable Law; Venue; Attorney’s Fees. This Agreement shall be governed by the laws of the State of Montana and any action to enforce any right or obligation shall be brought in the Eighteenth Judicial District, Gallatin County. The prevailing party in any action to enforce this Agreement shall be entitled to attorney’s fees including those of the City Attorney’s Office or County Attorney’s Office. 13. Recordation. The DISTRICT will be responsible for filing an executed copy of this Agreement with the Gallatin County Clerk and Recorder and Montana Secretary of State as required by Section 7-11- 107, MCA, and will provide a copy of the recorded document to the Bozeman City Clerk. Cost of filing will be shared equally. 14. Dispute Resolution. Should a dispute arise as to the meaning of any provision of this Agreement or the Parties’ respective rights and obligations under this Agreement that cannot be resolved by the Parties’ representatives administering this Agreement, the dispute shall be submitted to mediation. A request to mediate shall be submitted in writing by the Party desiring mediation and shall specify the dispute for mediation. Within ten (10) working days after receipt of a request for mediation, the Party receiving the request shall submit a written response stating its position on the dispute. If no agreement or resolution is reached within ten (10) working days after receipt of the response by the requesting Party, the requesting Party shall provide a list of three (3) names of mediators to the other Party, who shall strike one name from the list. The Party requesting mediation shall then strike a name. Any decision or recommendation of the mediator is not binding on the Parties. Each Party shall be equally responsible for the costs of the mediation. If the Parties are unable to resolve the dispute through mediation, then such dispute shall be resolved in a court of competent jurisdiction in compliance with the Applicable Law provisions of this Agreement. 59 Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services Page 4 IN WITNESS WHEREOF, the parties hereto have hereunder set their hands and seals the day and year first above-written. CITY OF BOZEMAN _________________________ Dennis Taylor, Interim City Manager City of Bozeman _________________________ Attest: Robin Crough, City Clerk STORY MILL FIRE DISTRICT _________________________ Chair Board of Trustees Attest:__________________________ Secretary Board of Trustees APPROVED AS TO FORM: _________________________ Greg Sullivan, City Attorney 60