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
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Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services
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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
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Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services
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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.
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Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services
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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.
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Interlocal Agreement between City of Bozeman and Story Mill Fire District for Fire Protection Services
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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
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