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HomeMy WebLinkAbout5 - Joint Powers Agreement AGENDA NUMBER: PREPARED BY: SUBJECT: DATE: INTRODUCTION: BACKGROUND: HERITAGE 1891 COMMUNITY 1991 qtXJ.'5f)~1.~ 2Q91 5 KAY SCHMUDLACH, ASSISTANT CITY MANAGER PRESENT AMENDMENTS TO SCOTT COUNTY ECONOMIC DEVELOPMENT COALITION JOINT POWERS AGREEMENT OCTOBER 21, 1991 The City Council has been asked twice in the last year to take action on matters concerning the Scott County Economic Development Coalition. On September 4, 1990 the City Council approved the pursuit of the formation of the Scott County Economic Development Coalition (SCEDC), and approved a resolution endorsing the processing of SBA loans in Scott County by the Twin cities Certified Metropolitan Development Company. On March 18, 1991 the City Council approved the proposed Joint Powers Agreement and the Bylaws of the SCEDC. The Council did recommend modifications to the Joint Powers Agreement. This agenda item is a followup to recommendations made by the Council on March 18, 1991. The Scott Coalition has April of 1991. membership of entities and 7 County Economic Development been formally meeting since The Coalition currently has a 15 representin9 8 public private institut1ons. The Coalition has created an annual work plan and established subcommittees to pursue goals. One of the goals was to revise the Joint Powers Agreement in order to clarify the roles and responsibilities of the Coalition and its relationship to each public entity. In an effort to address everyone's concerns, a meetin9 was held on August 2, 1991 to review the J01nt Powers Agreement. A representative from the County Attorney's office, the City Attorney for Shakopee and Prior Lake City Attorney Glenn Kessel were in attendance along with Board Chairperson Barry Stock and myself. The amendments were drafted by the Shakopee 4629 Dakota 51. 5.E., Prior Lake, Minnesota 55372 I Ph. (612) 447-4230 I Fax (612) 447-4245 DISCUSSION: city Attorney and reviewed by Mr. Kessel. The Joint Powers Agreement was approved by the SCEDC Board on October 16, 1991. The Joint Powers Agreement approved ~y all participating governmental entities 1n the spring of 1991 had several deficiencies. The Prior Lake City Council specifically requested modifications, per our attorney's approval of sections 5, 6, 10, and 15. A brief explanation of each section's intent will be described. Attached please see the actual changes to the agreement. Please note, the underlined materials have been added as recommended by our legal counsel. The written material crossed out will be eliminated as a result of the proposed recommended changes. The City Council felt section 5 of the Joint Powers Agreement was unclear as to how many representatives would serve on the Coalition, and whether they would represent a financial institution or the governmental body. Language has been provided to clarify this. In section 6 the paragraph discusses the intent of using the Twin cities Metropolitan Development Company. The Joint Powers A9reement as amended broadens the language to 91ve the Coalition flexibilitr, and not limit 1t to contracts with a specif1c company. The Coalition addressed the concern the Council had regarding the use of staff provided for in section 10. The wording has been changed to indicate that services can be provided by a staff person with a clear understanding of the time commitment and compensation expected. section 11 was modified to clarify the authorization to expend funds. This section refers to Section 6 for clarification. As noted, in the event the Coalition may need additional funds, the Board may pursue the expenditure with approval of all the 90verning Boards (City councils) of the part1cipating members. In addition to the council requested amendments, Mr. Kessel recommended others. Specifically in Section 13, an understanding of what happens if a body decides to withdraw from the membership has been added. In RECOMMENDATION: ALTERNATIVES: ACTION REQUIRED: addition, in section 14 it was recommended that the termination of the Coalition be addressed up front to provide for a common understanding in the event that this happens. Finally, in Section 15 the liability issue was addressed. The Coalition researched the issue of insurance for Joint Powers Agreements. Althou9h the insurance industry recommends liabil1ty coverage for all Joint Powers organizations, it appears that the expenditure is not necessary. The risk for libelous action by this Coalition is minimal. The estimated cost for annual coverage is $1,200.00 or approximately 1/5 of our start up funds. In discussions among members of the Coalition Board, it was understood that all private representatives are indemnified by their employer. Realistically, the actions that all governmental employers will be taking are part and parcel to our positions. Therefore, the Joint Powers Agreement specifies that each participating body defend and indemnify their appointed members. In summary, the Scott County Economic Development Coalition was created to promote economic development in Scott County. The Coalition has taken a lead on marketing issues, and is effectively using the resources of pUblic/private participants. guides these clarify the of this The Joint Powers Agreement that activities has been modified to roles and responsibilities organization. The SCEDC approved the Joint Powers Agreement amendments on October 16, 1991. Staff recommends approval also. The City council can take one of the following alternatives. 1. Approve the SCEDC Joint Powers Agreement as attached. 2. Modify the SCEDC Joint Powers Agreement. 3. Table this item for further study. Motion to approve the Joint Powers Agreement as submitted is recommended. Approved 3/5/91 Amended SCOTT COUNTY ECONOMIC DEVELOPMENT COALITION JOINT POWERS AGREEMENT This agreement made this day of , 1991 between the County of Scott, the Scott County Housing and Redevelopment Authority, the Jordan Economic Development Authority, the Belle Plaine Economic Development Authority, the New Prague Economic Development Authority and the cities of Shakopee, Prior Lake, and Savage and shall hereinafter be referred to as the participating bodies. WHEREAS, the participating bodies are Minnesota municipal corporations or bona fide governmental entities duly organized and licensed under the laws of the state of Minnesota: and WHEREAS, each of the participating bodies desires to work together to effecti vely promote economic development in Scott County: and WHEREAS, certain financial institutions, developers, and others share these interests with the participating bodies: and WHEREAS, the participating bodies historically have had a long and positive working relationship: and WHEREAS, there are a limited number of tools available to attract commercial and industrial prospects to the Scott County area: and WHEREAS, each of the participating bodies and others recognize the significant role that businesses play in contributing to the economic well being of Scott County; and WHEREAS, each of the participating bodies and others recognize that economic activity throughout Scott County will have a positive spinoff impact on their respective community and or jurisdiction: and WHEREAS, each of the respective participating bodies and others individually lack sufficient financial resources to obtain in house staff to process and package small business administration loans for interested business; and . .jj::~t'L~' Lil~- o~~~.~ ~iLi~~...~I-=-:C: ~__.~~=:==:L IJ.~:illi'=-~l~.==: ha=.i~1=b__b.1_oo {3FLl BOll, 001 1__00 t'--":7--'''-' _00.1 ln~.......~:-..~~' .........h.........l.l1" " 1 Ll.1.. Ll.... .....1.: "ILl....... u"L..."" ..._y::l""1".......:~ 9 . ... .. In . H Jl.l.lH f_ _1 1___1:. 1__001::..1 ~__oo~.:.l! B_._I_t''''-'~~ .~~iiLl_.~ 1:._ ;__..._L_ ___00_...1_ a_._I~t'..._ooL _t't'__L_oo1L1_- ~ ,., .......... "'1 r r I It WHEREAS, Minnesota state statute Section 471.59 allows the participating bodies to jointly exercise any power common to the participating bodies or any similar powers. NOW THEREFORE, the participating parties hereby mutually agree to the following: Approved by motion at 4/25/91 SCEDC Board Mtg. 1. The participating parties are entering into this agreement and creating the Scott County Economic Development Coalition in order to promote economic development throughout Scott County. Since development in anyone of the communities and areas within Scott County affects the other, and since a coordinated effort by the participating bodies may have greater impact and yield more benefits, the participating bodies agree to form this Coalition. 2. The participating bodies hereby form the Scott County Economic Development Coalition. Each participating body shall appoint one representative to serve on the Board of Directors of the Scott County Economic Development Coalition. 3. The Scott County Economic Development Coalition shall be managed by a Board of Directors consisting of not less than 7 nor more than 15 17 Directors. 4. Scott County Economic Development Coalition memberships shall be open to additional interested parties committing to a one time $500.00 membership fee. 5. Scott County Economic Development Coalition Board of Director vacancies other than the position reserved to each participating body shall be filled by a maj ori ty vote of the Board. Each Director chosen by the Board of Directors to fill a vacancy shall hold office until the next election at the annual meeting and until his/her successor shall be duly elected and qualified. Each participating body may have two representatives. One representative shall be a representative from the Board or Council servinq as the 'Participating body. _oo.l Ll._ _Ll.__ --_____..L_Ll..! . 1 . Ll _ _ ,.._ ___u' l':' _ f_ __.. _ f':'u_.._':'_l __ 11-. _l__..._uL ':'u~L':'L....Ll_u ""....._.......L1..~ ..1~1.1.. Ll.... b" .' _] J,. JI '..L i l' I' ill 'II I' I__ul. _f I__LL _.._. -I:'"--':'..b. 1::..._ _______ooh_b..:..__ 1::._ ----- -- ...1..._ ...-----" ~.... t i.' f .:..~ - --- . l. 1-__ 1. The 3cott County Economic Dev"eloDment 6. Approved by motion at 5/15/91 Board Mtg. 10. 10. Coalition shall have one at larqe Board of Director position to be filled at the pleasure of the Board of Directors. 7. The Scott County Economic Development Coalition shall have the Dower and authority to contract with and use an orqanization 1... __1:.1__1:._ __1.._ _.1 l_ ~_..l__Ll___ ___L Ll..' I... ... "_._l_~ ___L I . to process and facilitate the approval of SBA quaranteed loans.-rr'r ~-- , '-- iV il \1.1 'i' . " . _ 1'- 1:._ - ... , I .L -. '11 __L':'___ ..':'11 Jr__l11L_L. II .... {[r'fi. il . L1l_L_d _If__Ll._ ___.._...1_ HI .llp.'~' 'RJT~' .L' The Coalition may engage in other related economic development activities as selected by its Board of Directors. Provided, however, that any activity which requires funds in excess of those within the collected funds of the Coalition shall require the approval of the governing bodies of the participating bodies. The Scott County Economic Development Coalition will serve as a vehicle to further economic development opportunities in Scott County, and to promote and assist the growth and development of business concerns in said area; including but not limited to the development of marketing materials which will promote economic development opportunities within Scott County as well as within the respective participating bodies jurisdiction. This Joint Powers Agreement shall not limit any of the participating bodies from pursuing other marketing efforts. 8. 9. The participating bodies agree to exchange all information, data, and reports which any participating body currently has, which would assist the Coalition in carrying out its work. Said information shall be furnished to the Coalition without charge. The participating bodies shall also cooperate with each other in every way possible in carrying out the scope of services. 'li'l I gllli\i __ ----oJ; ,1__.. -t'_OO Ll._ ~L~IL ....L Id._ I r ~ . r .... J '---" ~ -- +-- 1'__4>__ ~"'r ...---~~--r .._-1.. -nlLL!.. lL_ b_J":7_I::., I::.L_ 1__1':'1::.':'___ _l__ -"-oJ; l' '! . II __1::._ -- oo---~~~"'.l. The Coalition shall have the power to enter into contracts or a contract with individual particioatinq bodies for services as deemed aoorooriate bv the Board of Directors. 11. One participating body shall be designated as the deposi tory of Scott County Economic Development Coalition funds, by action of the Board of Directors at their first meeting. The depository may be changed on an annual basis, by a majority vote, or at any time if the participating body which was depository shall cease to be a participating body. The depository shall keep track of all funds available and all spent, and shall not allow expenditures in excess of the available funds. The Board may request an annual audit. In the event the Board of Directors shall desire to exceed the amount of available funds, the depository shall bring the limits to their attention. The Board shall then consult with the participating bodies and other members to determine whether or not they are prepared to provide additional funding. 12. The Scott County Economic Development Coalition will abide by and support the bylaws of the Scott County Economic Development Coalition as attached in Exhibit A. 13. This agreement shall remain in effect and shall govern the Scott County Economic Development Coalition, subject however to the right of each respective participating body and any other interested body to terminate their participation with at least a 90 day notic~ to the Board of Directors. 14. Gpen termination of this agreement, all finish9d or unfiniched doouments, data, studiec, surveys, ~wing., maps, mod91~, photographs and reports-Or othQr mat9rials prepared by or on behalf of the Coalition shall ba distibuted to the participating ~odies as determined by the Board. In the event ~hat the Board doec not distribute the property, ~ there in an unoettled dinpute as to distribution, then such undictributed property shall become the preperty of Scott County. 14. Upon termination of this agreement, all pro~erty, including finished or unfinished documents, surveys, reports or other materials and all then existing funds and any and all other assets shall be distributed to the then participatinq Qovernmenta1 bodies equallY after ~ayment of all then existinq debts. If at the date of termination any governmental body has ceased to exist, then its share shall pass to the political subdivision of the state of Minnesota which most direct1 v has succeeded to said qovernmental bodv. It is the intent of this 15. Approved by motion at 5/15/91 SCEDC Board Mtg. Drovision. contro11ina over all others. that UDon termination of this agreement. all surplus property shall Dass to one or more cOrDorations or governmental bodies or entities orqanized as a political subdivision or aqency of a qovernmental bodY or entity in the state of Minnesota and to be used exclusively for DUblic purDoses. In the event of any claims, suits, judgments and recoveries which may be asserted, made or may arise or be had, brought or recovered against the Scott County Economic Development Coalition in which adequate funds do not exist within the depository of the Scott County Economic Development Coalition to cover any of the foregoing claims, the participating bodies shall not be liable for any ~ _ L_ I:" .J: ., ~ ~ ..' ........ ~ 9f -said e-laims. Each participatinq bodY shall defend and indemnify acts of its appointed members. while actinq in qood faith within the scope of their position. IN WITNESS WHEREOF the parties hereto have executed this agreement on the day of , 1991. auscjoint