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HomeMy WebLinkAbout5G - Fire Services for Credit River & Spring Lake Townships MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: STAFF AGENDA REPORT DECEMBER 21, 1998 5G RALPH TESCHNER, FINANCE DIRECTOR CONSIDER APPROVAL OF AGREEMENT FOR FIRE AND RESCUE SERVICES FOR CREDIT RIVER AND SPRING LAKE TOWNSHIPS Introduction The purpose of this agenda item is to consider renewing the fire service agreements of Credit River and Spring Lake Townships for an additional five (5) years commencing January 1, 1999 through December 31,2003. Historv The City's volunteer fire department has been providing fire service to these townships for as long as memory serves. Through 1993 the City contracted with the townships on an annual basis. In 1994 the contract was formalized and the payment calculation method was refined whereby the townships would not only pay their fair share of the fire department's annual operating budget costs but would also include long term capital amortization of buildings and equipment that was purchased by the City since these too are costs incurred to deliver fire services. The term of the original contract was established for five years and is scheduled to automatically roll over on December 31, 1998, The reason we are considering the agreement for formal approval again is that we incorporated some minor language changes and reorganized some of the sections as recommended by our City Attorney. Attached is a copy of the old agreement if the Council wishes to compare these two documents. Current Circumstances The cost distribution is based upon each jurisdictions representative percentage of the overall tax capacity valuation. The percentages for payable 1999 are indicated in the following table and are obtained from the Scott County Assessor's Office: TIJRISDICTJON Credit River Spring Lake Prior Lake TOTALS ... 1998 V ALUA TJON $2,776,826.00 $2,650,411.00 $9.907.620.00 $15,334,857.00 %OFTOTAL V ALl J A TION 18.1% 17.3% 64.6% 100% 16200 Eagle Creek Ave, S,E" Prior Lake, Minnesota 55372-1714 / Ph, (612) 447-4230 / Fax (612) 447-4245 H:IFlRElFlREAGEN.DOC AN EQUAL OPPORTUNITY EMPLOYER ALTERNATIVES: RECOMMENDED MOTION: REVIEWED BY: Attachments: H:IFIREIFIREAGEN.DOC The method is a very fair means of cost shafing because it is based upon the tax base value that each government is protecting. The agreement basically provides the townships fire protection and emergency backup medical services. The City Attorney has reviewed the agreement and all recommended modifications have been incorporated into the updated agreement. Both townships have formally approved the extension of the existing Agreement for Fire and Rescue Services and the appropriate township officials have signed the agreement. Fiscal Imnact Under the conditions of this agreement the townships would pay the respective amounts as follows for next year with a comparative column indicating what they paid in 1997 and 1998: Townshin 1999 Contract Amt. 1998 Amt. 1997 Amt. Credit River Spring Lake $59,580.00 $56,947.00 $51,495.00 $47,282.00 $59,349.00 $56,088.00 These dollars have been programmed into the general operating budget for 1999. 1. A motion as part of the consent agenda to approve the Agreement for Fire and Rescue Services for both Credit River and Spring Lake Townships and direct the Mayor and City Manager to execute the agreement on behalf of the City of Prior Lake. 2. Remove from the consent agenda and reject the Agreements for a specific reason. Alternative #1 - a motion s part of the consent agenda to approve the Agreement for Fire d Rescue Services for Credit River and Spring Lake T ship a submitted. ~.1J 1. Agre...Gfor Fire and Rescoe Services (Credit River Township) 2. Agreement for Fire and Rescue Services (Spring Lake Township) 3. Former Contract copy AGREEMENT FOR FIRE AND RESCUE SERVICES THIS AGREEMENT, entered into by and between the TOWNSHIP OF CREDIT RIVER, an organized township in Scott County, Minnesota, hereafter referred to as "Township" and the CITY OF PRIOR LAKE, a municipal corporation located in Scott County, Minnesota, hereafter referred to as the "City", RECITALS A. The Township is authorized by law to provide fire protection for all of the property in said Town; B. The City owns fire apparatus and equipment consistent with nationally recognized standards and employs fire fighters trained for the purpose of providing fire protection, rescue and emergency medical services (EMS) excluding ambulance transport. C, The Township deems it advisable to have available for the benefit of its residents the, services of the Prior Lake Fire Department of Said City, and NOW, THEREFORE, IN CONSIDERATION OF THEIR MUTUAL COVENANTS THE PARTIES AGREE AS FOLLOWS: 1. SERVICES PROVIDED. During the term of this Agreement the City agre,es to provide to the Township fire protection for interior structural, wild land, vehicles, and miscellaneous fire suppression, rescue, and emergency medical services (EMS) at the Basic Life Support level excluding ambulance transport. 2. TERM. This agreement shall be for a term of five (5) years commencing January 1, 1999 through December 31,2003. Following expiration of initial five (5) year term, this agreement shall be automatically renewed for successive one (1) year terms unless terminated by either party giving the other party at least 180 days advance notice of its decision not to renew the agreement. 3. PAYMENT. On or before the first day of August each year, the City shall notify the Township of their proposed amount for the following year detailing the formula upon which payment is sought. The final amount shall be based upon the actual budget adopted by the Prior Lake City Council for each year of this agreement period. The City shall invoice and the Township shall pay the bill in two equal semi-annual installments due on or before the first day of January and the first day of June. Payments shall be based upon the formula set forth in paragraph 4 below. 4. PAYMENT CALCULATION METHOD. The Township shall pay a percentage of the City's cost of operating the City's Fire Department as set forth below. The City's cost shall be calculated as follows: H:IFlREIFIRECRDOC + Annual Fire Operating Budget (excluding capital cost). + $169,960.00 (cost of existing Fire Hall amortized over 20 years). + Cost of fire fighting equipment amortized over 15 years. + Renovation cost of existing equipment amortized over 15 years. - State fire aid. - Shakopee Mdewakanton Dakota Community contract revenue for fire servIces The Township shall pay a percentage of the City's cost determined as follows: Tax Capacity Valuation of Credit River Township for Year Prior to Year Payment is Due (divided by) The Combined Tax Capacity Valuation of Prior Lake and those Participating Townships for Year Prior to Year Payment is Due. Credit River Cost % Credit River Cost Percentage X Cost (see paragraph 3) = Annual Payment 5. CITY AGREEMENT. The City agrees: A. To respond to all alarms for fire, rescue and medical emergencies (excluding ambulance transport) itself or through its agents. It is understood and agreed, however, that at times weather and road conditions will interfere with the rendering of services, and that any given time the equipment may be engaged for services in the City or in another township. In any of these events, failure to provide the service herein agreed upon, shall not be taken to be a breach of this Contract. B. The operation, management and control ofthe people and equipment provided by the City shall at times be under the charge and direction of the City Fire Chief or the Chief s duly authorized agent. C. To maintain mutual aid agreements in effect on the date this Contract is signed. 6. INSURANCE. The City and Township shall each maintain insurance of the types listed below and such other coverage as it deems appropriate: A. Workers Compensation - statutory limits B. Comprehensive Liability - statutory limits 7. TERMINATION OF CONTRACT. This Contract, following expiration of its initial five (5) year term, may be terminated by either the City or the Township by giving the other party at least one hundred eighty (180) days prior written notice of such cancellation. H:IFIREIFlRECR.DOC 8. AMENDMENT. This Contract may be amended at any time by the mutual consent of the parties. Any such amendment shall be in writing and will be . , attached to this Contract. IN WITNESS WHEREOF, the parties have caused this instrument to be executed by the respective offices thereof and the respective seals to be affixed hereto. Dated <t- '1-'j f TOWNSHIP-- JF CREDIT RIVER BY (7~ rJr--~ Chair6fTownBoard ~ t r BY Vu.R Q, ~ Clerk of Town BoarU (SEAL) CITY OF PRIOR LAKE Dated BY Its Mayor (SEAL) BY Its City Manager H:IFlRElFlRE.DOC FIRE AND RESCUE CONTRACT THIS AGREEMENT, entered into by and between the TOWNSHIP OF CREDIT RIVER, an organized township in Scott County, Minnesota, hereafter referred to as "Tq\.ynship" and the CITY OF PRIOR LAKE, a municipal corporation located in Scott County, Mlri1J.~~qta, hereafter referred to as the "City", RECITALS A. The Township is authorized by law to provide property in said Town; of the B. The Township deems it advisable to have availap1efor the services of the Fire Department of Said City, and of its residents C. The City owns fire apparatus and equipment9onsistentwi~11 nationally recognized standards and employs fire fighters trained for thePJ1!;pose ofpr(}yiding fire protection and emergency medical services (EMS). D. By this agreement the Town and desiretocotitract for providing fire protection, to include interior structu~~l; wildlarid,vehicle and miscellaneous fire' suppression and emergency medical services (EMS) atlheBasic Life Support level, and to set forth the various rights and obliga.tions of the parties with regard to such services. NOW, THEREFORE, IN CON'SJPERATION OF THEIR MUTUAL COVENANTS THE PARTIES AGREE AS FOLLOWS: 1. TERM. This contract shall be for a term of (5) years commencing January 1, 1994, through December 31, 1998. FolloWing e~piration of the initial five (5) year term, this Contract shall be automatically renewed for successive one year terms unless terminated by either party giving the other party at least 180 days advance notice of its decision not to renew the Contract. 2. 1994PAYMEN'I'. The TOwnship agrees to pay the City $51,865.00 for the performance of thisic;OntraGt in 1994.. Payment in future years shall be based upon the formula set forth in paragraph 3 belqw: 3. PAYMENT INi1995 AND FUTURE YEARS. The Township shall pay a percentage oftheC;ity's cost<.)f operating the City's Fire Department as set forth below. The City's cos~shall becalGula.tedas follows: + Annual Fire Operating Budget (excluding capital cost). + $169;960.00 (cost of existing Fire Hall amortized over 20 years). + Cost of fire fighting equipment amortized over 15 years. Renovation cost of existing equipment amortized over 15 years. State fire aid Indian Community contract revenue for fire services. Fire & Rescue service revenue (revenue derived from individuals and insurance payments for ambulance, rescue and fire service calls within the Township shall be credited one year forward for the previous year). ======================================================== COST Page 1 If Emergency Medical Service ("EMS ") is no longer provided during the duration of this Contract period, an adjustment shall be credited to the Township to reflect all expense and revenue reductions associated with such ambulance service. The Townshin shall become resJ)onsible for obtaining and J)aving f~r such EMS services if no lonQ:er nrovided bv the City. Revenue derived from the sale of the ambulance units will be divided between the Township and the City in accordance with the percentage of cost the Township paid for the year when the equipment is sold. The Township shall pay a percentage of the City's cost determined as follows: Tax Capacity Valuation of Credit River Township = for Year Prior to Year Payment is Due (divided by) The Combined Tax Capacity Valuation of Prior Lake and those Participating Townships for Year Prior to Year Payment is Due. Credit River Cost % Credit River Cost Percentage X Cost (see paragraph 3) = Annual Payment 4. PAYMENT. On or before the first day of August each year the city shall bill the Township for the following year detailing the formula upon which payment is sought. The Township shall pay the bill in two equal semi-annual installments due on or before the first day of January arid the first day of June. 5. TOWNSHIP AGREEMENT. The Township agrees: A. To engage the services of the City for fire suppression and emergency medical services within the township during the term of this Contract. B. It is further agreed that Said City shall not be held liable in any way to the township, or to any inhabitant or property owner thereof, or to any other person, firm or corporation for failure of Said City Fire Department to attend a fire or rescue call or to put out a fire, for damage to goods or property or for any other reason. C. As part of the consideration for providing said fire and rescue services, Said City is entitled to any and/or sums payable under th~ provisions of insurance policies of said residents for fire and/or rescue calls made by Said City Fire Department. The Township shall remit to the City insurance payments received for said services. D. The Township shall have enacted an ordinance authorizing a service charge to be imposed upon the owner, lessee or occupant of the property serviced by the City pursuant to this Contract for all or any part of the cost of the operation and maintenance of the fire protection and rescue system and services provided to the Township by the City of Prior Lake. 6. CITY AGREEMENT. The City agrees: A. To respond to all alarms for fire and medical emergencies itself or through its agents. It is understood and agreed, however, that at times weather and road conditions will interfere with the rendering of service, and that any given time the equipment may be engaged for services in the City or in another Page 2 township. In any of these events, failure to provide the service herein agreed upon, shall not be taken to be a breach of this Contract. B. The operation, management and control of the people and ~quipment provided by the City shall at all times be under the charge and direction of the City Fire Chief or the Chiefs duly authorized agent. C. To maintain mutual aid agreements in effect on the signed. 7. INSURANCE. The City and Township shall listed below and such other coverage as it deems appropriate: types A. Workers Compensation - statutory limits B. Comprehensive Liability - statutory limits 8. TERMINATION OF CONTRACT. This>Cpntract, fOllp\Ving expiration of its initial five (5) year term, may be terminated by either the Citypr the TOWnship by giving the other party at least one hundred eighty (180) days prior written notice of such cancellation. 9. AMENDMENT. This Contract. m;:lybe amended at any time by the mutual' consent of the parties. Any such amendment shall be in writing and will be attached to this Contract. IN WITNESS WHEREOF, thy.<parties have caused this instrument to be executed by the respective officers thereof and the respective se.als to be affixed heretb. TOWNSHIP OF CREDIT RIVER Dated BY Chair of Town Board (SEAL) BY Clerk of Town Board CITY OF PRIOR LAKE Dated BY Its Mayor BY Its City Manager Page 3 ..-;- AGREEMENT FOR FIRE AND RESCUE SERVICES THIS AGREEMENT, entered into by and between the TOWNSHIP OF SPRING LAKE, an organized township in Scott County, Minnesota, hereafter referred to as "Township" and the CITY OF PRIOR LAKE, a municipal corporation located in Scott County, Minnesota, hereafter referred to as the "City", RECITALS A. The Township is authorized by law to provide fire protection for all of the property in said Town; B. The City owns fire apparatus and equipment consistent with nationally recognized standards and employs fire fighters trained for the purpose of providing fire protection, rescue and emergency medical services (EMS) excluding ambulance transport. C. The Township deems it advisable to have available for the benefit of its residents the, services ofthe Prior Lake Fire Department of Said City, and NOW, THEREFORE, IN CONSIDERATION OF THEIR MUTUAL COVENANTS THE PARTIES AGREE AS FOLLOWS: 1. SERVICES PROVIDED. During the term of this Agreement the City agrees to provide to the Township fire protection for interior structural, wild land, vehicles, and miscellaneous fire suppression, rescue, and emergency medical services (EMS) at the Basic Life Support level excluding ambulance transport. 2. TERM. This agreement shall be for a term of five (5) years commencing January 1,1999 through December 31,2003. Following expiration of initial five (5) year term, this agreement shall be automatically renewed for successive one (1) year terms unless terminated by either party giving the other party at least 180 days advance notice of its decision not to renew the agreement. 3. PAYMENT. On or before the first day of August each year, the City shall notify the Township of their proposed amount for the following year detailing the formula upon which payment is sought. The final amount shall be based upon the actual budget adopted by the Prior Lake City Council for each year of this agreement period. The City shall invoice and the Township shall pay the bill in two equal semi-annual installments due on or before the first day of January and the first day of June. Payments shall be based upon the formula set forth in paragraph 4 below: 4. PAYMENT CALCULATION METHOD. The Township shall pay a percentage of the City's cost of operating the City's Fire Department as set forth below. The City's cost shall be calculated as follows: HlFlREIFIRESL.DOC + Annual Fire Operating Budget (excluding capital cost). + $169,960.00 (cost of existing Fire Hall amortized. over 20 years). + Cost of fire fighting equipment amortized over 15 years. + Renovation cost of existing equipment amortized over 15 years. - State fire aid. - Shakopee Mdewakanton Dakota Community contract revenue for fire servIces The Township shall pay a percentage of the City's cost determined as follows: Tax Capacity Valuation of Spring LakeTownship for Year Prior to Year Payment is Du~ (divided by) The Combined Tax Capacity Valuation of Prior Lake and those Participating Townships for Year Prior to Year Payment is Due. Spring Lake Cost % Spring LakeCost Percentage X Cost (see paragraph 3) = Annual Payment 5. CITY AGREEMENT. The City agrees: A. To respond to all alarms for fire, rescue and medical emergencies (excluding ambulance transport) itself or through its agents. It is understood and agreed, however, that at times weather and road conditions will interfere with the rendering of services, and that any given time the equipment may be engaged for services in the City or in another township. In any of these events, failure to provide the service herein agreed upon, shall not be taken to be a breach of this Contract. B. The operation, management and control of the people and equipment provided by the City shall at times be under the charge and direction of the City Fire Chief or the Chief s duly authorized agent. C. To maintain mutual aid agreements in effect on the date this Contract is signed. 6. INSURANCE. The City and Township shall each maintain insurance of the types listed below and such other coverage as it deems appropriate: A. Workers Compensation - statutory limits B. Comprehensive Liability - statutory limits 7. TERMINATION OF CONTRACT. This Contract, following expiration of its initial five (5) year term, may be terminated by either the City or the Township by giving the other party at least one hundred eighty (180) days prior written notice of such cancellation. H:lFlRElFlRESL,DOC 8. AMENDMENT. This Contract may be amended at any time by the mutual consent of the parties. Any such amendment shall be in writing and will be attached to this Contract. IN WITNESS WHEREOF, the parties have caused this instrument to be executed by the respective offices thereof and the respective seals to be affixed hereto. Dated 1~ 1 (" ( ~ p, I TOWNSHIP OF SPRING LAKIj:, \ ') BY .f?_J I ~j)j Chai:!JTOw:' Board BY i-J-~.-vw~~ Clet6~/~ Boa'fd (SEAL) CITY OF PRIOR LAKE Dated BY Its Mayor (SEAL) BY Its City Manager RIFlRElFlRESL.DOC