HomeMy WebLinkAbout[08b] Fire Contract
Council Agenda Item 8\[b\]
MEETING DATE: November 14, 2016
AGENDA ITEM: Fire Contract
.
SUBMITTED BY: Administration
BOARD/COMMISSION/COMMITTEE RECOMMENDATION: The Fire Board has
recommended the City Council approve the Fire Contract as approved by St. Joseph Township and St.
Wendel Township.
PREVIOUS COUNCIL ACTION: In 2006 the City entered into a revised Fire Contract to provide
fire services to St. Joseph Township and St. Wendel Township. The revised agreement provided St.
Wendel Township with voting rights and they remain without ownership. The ownership was amended
to provide ownership to St. Joseph Township equal to the apportionment paid for service. The contract
was executed for 10 years, expiring in 2016.
BACKGROUND INFORMATION: The Fire Board agreed to revise the Fire Contract to include all
provisions within one contract. The existing Fire Contract made references to the 1998 contract creating
some confusions. Therefore, all provision were combined to one stand-alone agreement. Modifications
were made to change meeting times to current practice and correct some errors. The major change in the
contract was include a provision that required a municipality losing property to annexation to phase out of
the lost contribution as the contribution is based on taxable market value. When a jurisdiction loses
property the first year they are still responsible for 100% of the contribution as if the annexation did not
occur. The contribution is then reduced by 20% for the next four years. In addition, the contract has a
length of five years rather than 10.
BUDGET/FISCAL IMPACT:
ATTACHMENTS: Request for Council Action
Fire Contract
REQUESTED COUNCIL ACTION: Authorize the Mayor and Administrator to execute the Joint Fire
Contract for a period of five years.
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F� corrrRaeT
CITY OF ST. JOSEPH/TOWN OF ST. JOSEPH
AND
THE TOWN OF ST. WENDEL
� THIS AGREEMENT,made and entered into this_day of ,by and
between the City of St. Joseph,a municipal corporation of the State of Minnesota,
hereinafter referred to as "St. Joseph",as contributing member,the Town of St.Joseph,a
political subdivision of the County of Stearns, State of Minnesota,herein after referred to
as"St.Joseph Town",as contributing member, and the Town of St. Wendel,a political
subdivision of the County of Stearns, State of Minnesota,hereinafter referred to as"St.
Wendel",as contributing member. It is agreed by and between the parties hereto that this
agreement sha11 be entered into pursuant to Minnesota Statutes,Section 471.59,lrnown as
the"Joint Powers Act".
WHEREAS,the City of St. Joseph and the St. Joseph Town presently own
emergency equipment and a fire hail which has been operated by the City and its
advisory board with an efficient staff of firefighters including a fire chief,an assistant
chief,and volunteer firefighters who have served on a voluntary basis for many yeazs,
and
WHEREAS,the Contributing Members find it to be necessary and advisable to
jointly purchase firefighring and emergency equipment for use in preventing and
extinguishing fires and emergency needs arising within the St. Joseph, St.Joseph Town
and those sections of St. Wendel Township southerly of County Road#4 and Quail Road
with the exception of a11 driveways off these roads including all of Section 16 as these
areas will be serviced by another fue department, and
WHEREAS,the parties to this agreement wish to provide far the joint funding of
the emergency service.
NOW, TI�REFORE,in consideration of the mutual covenants expressed herein,
IT IS HEREBY AGREED AS FOLLOWS:
1.0 AUTHORITY
This agreement has been authorized by the City Council of the City of St.Joseph,
and consented to by the Town Board for St.Joseph Town,and authorized and
agreed to by the Town Board of the Township of St. Wendel pwsuant to authority
of its electors.
2.0 FIRE PROTECTION&RESCUE SERVICE
St. Joseph agr�s to provide fire protection and rescue service to St. Joseph Town
an.d those sections of St. Wendel Township lying to the 5outh of County Road#4
and Quail Road,except for buildings or residences with driveway access off
either of the aforementioned roadways,and except for Section 16.Emergency
services will be provided in accordance with the terms of this agreement.
3.0 PROPERTY INTEREST
3.1 St. Joseph and St.Joseph Town, All equipment sha11 remain the property
of the City of St. Joseph and the St. Joseph Town. The ownership for St.
Joseph Town sha11 be proportionate to the estimated market value in the
fire service district as determined annually. For example,if at the end of a
calendar year,the estimated market value of St.Joseph Town is 29%of
the total estimated market value of the entire are covered by tlus
agreement,which will equal the ownership percentage for St. Joseph
Town.
3.2 St. Wendel. St. Wendel sha11 acquire no proprietary interest in any
property or equipment purchased.
4.� RESERVE FUND CONTRIBUTION
4.1 Annual Contribution. All Contributing Members agrees to pay an annual
contribution to a special fund,to be known as the"Equipment Reserve
Fund"wluch is included in the annual budget. The annual contributian
sha11 be based upon their proportionate share of the amount annually
allocated to the Reserve Fund.
4.2 The proportionate share shall be determined by the compazative estimated
market value of all areas served by the St. Joseph Community Fire
Department.
4.3 The Equipment Reserve Fund is to be used only for equipment purchas�l
by the St.Joseph Commwuty Fire Department. It is not a maintenance
fund.All payments to this fund sha11 be made to the City Treasurer of the
City of St. 3oseph and sha11 be paid quarterly with the fire apportionment. .
5.0 MAINTENANCE AND CONTROL
5.1 Apparatus.Equipment sha11 be stored and maintained at the location of the
City and the St. Joseph Town owned Fire Hall in the City of St. Joseph.
The control and ownership of the purchased equipment shall be retained
by the City of St. Joseph and the St.Joseph Town as identified in secrion
3.1 above. The cost of maintenance and insurance shall be paid from an
operating fund to be maintained as a separate fund hereinafter referred to
as the"Joint Operating Fire Fund".
5.2 Fire Ha11. The Fire Ha11 shall be heated,maintained,insured and
controlled by the City subject to recommendation made by the Advis�ry
Fire Board.
(a) Operational Costs. The cost of such heating,utilities,
maintenance,including debt xetirement and insurance sha11 be paid
from the"Joint Operating Fire Fund".
(h) The cost of the heat,maintenance,utilities and insurance for the
entire building sha11 be pro-rated on the basis of the usage of the
area occupied by the emergency equipment in the complex,as
compared to other non-related uses unless the rental fees collected
for the use of the facility are deposited in the Joint Operating Fire
Fund.
(c) Debt Retirement. Debt retirement shall be included annually in the
Joint Operating Fire Fund Budget in an amount to fully provide for
the annual debt requirements. 5t. Wendel shall not acquire any
proprietary interest in the Fire Hall.
6.0 JOINT OPERATING FIRE FUND CONTRIBUTION
6.1 Annual Budget. Prior to the commencement of each calendar year of this
contract, St. Joseph shall approve a budget of operating expenses for the
ensuing calendar year as may be recommended by the Advisory Fire
Board.
b.2 Joint Operatin�Fund. St. Joseph and St. Wendel sha11 deposit in advance,
quarterly contributions with the St.Joseph City Treasurer,who shall
maintain a special fund to be known as the"Joint Operating Fire Fund".
6.3 Joint Fire Fund Apportionment. The annual contriburion far each
jurisdiction sha11 be proportionate to the estimated market value of the
prior calendar year,as such figures become available from the County
Assessor's Office,which hereinafter is referred to as"apportionment.
(a) Ouazterl�Payments. As an example,for the year 2016 St. Wendel
sha11 contribute 21.19 per cent of the estimated quarterly cost,and
sha11 be applied to the annual budget to be paid quarterly.
(b) Market Value Determination. For purposes of this contract,the
estimated market value shall be determined by adding City and St.
Joseph Town and Township of St. Wendel estimated market values
as provided by the Stearns County Assessor's office. Tax-exempt
property sha11 be excluded from the total estimated market value.
(c) Chan�e Covera.gg Area. In the event that a contributing member
loses land mass as a result of aunexation,it shall be the
responsibility of that contributing member to notify the Fire Board
of the reduced coverage area.
i. If the contributing member loses land mass after the budget
is adopted,that member shall be responsible for the apportionment
based on the adopted budget,until such a time that the budget for
the following yeaz is set.
ii. The contributing member losing land mass sha11 continue to
pay apportionment for the lost land mass on a declining
contribution rate. For the first year following the loss of land,the
contributing member shall pay 80°l0 of an apportionment based on
the estimated market value of the land mass lost. For the next four
years the contributing member shall pay an apportionment an the
same lost estimated mazket value at a declining rate,decreasing
20%each until the reduced apportionment reaches 20%. See
E�ibit A for an example.
6.4 Fund Distribution. Funds sha11 be disbursed by the St. Joseph City
Clerk/Administrator/Treasurer only for the purposes defined in Section 5
of this Agreement. The Advisory Fire Board shall request a quarterly
accounting of this fund frorn the City Clerk/Administrator's office and
such accounting in report form sha11 show a record of receipts and
disbursements.
7,0 USE OF EQUIPMENT
7.1 Equipment. The equipment jointly purchased sha11 be used within the
designated area of St. Joseph City and St. Joseph Town,and 5t. Wendel
Township and not elsewhere except as follows:
(a) In adjacent areas where a fire or emergency may spread to any city or
town.
(b) To assist neighboring fire departments as may be mutually agreed
under a reciprocal agreement with such fire department.
(c) Any azea adjacent to the city and St.Joseph Town with which a
contract for protection exists at the time this agreement is executed.
7.2 Minimum Standards. It sha11 be the duty of the City Council of the City of
St. Joseph to provide volunteers in sufficient numbers to maintain a staff
of firefighters to answer emergency ca11s and to operate all available
equipment in such a manner so as not to fall below the mini.mum standards
set forth in the National Fire Protection Association(NFPA)Standards.
7,3 Membership._The St.3oseph City Council sha11 appoint or apgrove
persons residing in the Fire Service I7istrict for membership in the
volunteer fire department.
7.4 Responsible Pariy. The dispatching and operation of the emergency
equipment shall be in.charge of thE Chief of the Fire Depariment,ar in
his/her absence shall be in the hands of the assistant cluef.If neither is
available,the person previously appointed for this purpose sha11 be in
chazge.The voluntaers shall answer emergency calls in the order of their
priority without regard to the authority of the person giving the alarm.
S.0 FIREFIGHTERS'RELIEF FUND
All funds received by either St. 3oseph, St. Joseph Town or St. Wendel for the
Fire�ghters Relief Fund shall be set aside for that purpose only and shall not be used as a
part of the Joint Operating Fund.
9.0 LIABILITY—GOVERNMENTAL FUNCTIONS —PROTECTIVE CLAUSES
9.1 Governmental Functians. In all of the joint agreements defined in this
contract,the parties to the agreement shall be deemed to be exercising
their governmental functions so that each shall not be liable to the other
for any negligence of its officers, employees,fire�ghters or agents.
9.2 Liabili . Specifically,without limiting the effect of the foregoing
language in the preceding paragraph,the St. Joseph and St. Joseph Town,
and its officers,employees and firefighters sha11 not be liable for any of
the following acts or omissions: Failure to answer an emergency call or
failure to answer an emergency call promptly;for any trespass or damage
to persons or property whether necessary or unnecessary in connection
with going to,returning from any fire or rescue call,or in serving at any
fire or rescue pursuant to a ca11.
9.3 Protective Clauses. The volunteers under the direction of the Fire Chief or
his assistant,shall always leave part of the equipment and sufficient
firefighters to operate such equipment available for fighting fires in the
community which is nat being served by an emergency or emergency call.
As an illustratio�i,in the event of an emergency occurring in St. Wendel,
sufficient equipment and firefighters shall be left in the St. Joseph City
limits for the purpase of fighting any fire that may arise within the City or
St.Joseph Town limits during the time the emergency in St. Wendel is
being managed. The Fire Chief,or his assistant,sha11 aYso have full and
complete authority to withdraw any emergency equipment from an
emergency in progress in the event that a more serious emergency sha11
occur in an azea served by the fire department during the progress of the
emergency.
l0A LEVY REQUIREMENT AND DEFAULTS
10.4 Levy Requirement. The City Council shall annually raise a tax levy or
otherwise provide sufficient funds to pay all of its obligations under this
Agreement. The St. Joseph Town Board and St. Wendel Town Boazd
sha11 annually recammend a levy ta the voters of the Town at its annual
meeting to raise by tax levy or otherwise sufficien.t funds to pay all of its
obligations under this contract.
10.1 Default._In c,ase of defaults of aver sixty{6U)days in the makiug of auy
, payments due for the Joint Operating Fire Fund,it is agreed that a penalty
of an additional one and one half(1 %Z%)percent per month shall be added
to each payment which is more tb:an sixty(60)days in default. It is hereby
agreed that emergency service to the defaultit�g governmental unit may be
discontinued at the request of the Advisory Fire Board until the default is
removed.
1 i.0 ADVISORY FIRE BOARD
11.1 Authority._An Advisory Fire Board has previously been established by St.
Joseph. This Board will facilitate the perFormance of this contract through
its life. Said Boazd sha11 have powers specifically given in any other
artic�e c�f this cantract and shall have pawer ta make recommendations to .
the City Council and St. Joseph Town Boazd to improve cooperation and
efficiency in carrying out the intent of this contract and to make
recommendations for amendments and supplements to this contract.
11.2 Membershin. The memberslup of said hoard shall consist of one members
from St. Joseph, St.Joseph Town, St. Wendel and the Fire Chie£ The
City Administrator sha11 serve as the Administrator to the Board. Each
Cc3ntrihuting Memt�er sha11 be respansible for appvinting their
representative to the Board.
11.3 3oint Fire Saard Meetings._Said Boazd sha11 have no less than three(3)
regular meetings each yeaz. The first quarterly m�edng shall be held on
the first Wednesday in February of each year at a time to be determined by
the Board. The remaining quarterly meetings sha11 be held on the first
Wednesday of May,August,and November of each year,at a time to be
determined by the Bo�rd. Unless such bcc�rd fixes a different meeti�tg
place and date,the meeting shall be held at the St.Joseph Community Fire
Ha11 in the City of 5t.Joseph on said dates. The Board is not required to
meet if the Board does not have business to conduct. Each jwisdicrion
and the F�re Chief shall have one vote or�the Fire Advisory Bvard.
12.0 TERM OF THIS CONTRA.CT
12.1 Contract TermlTb.is contract sha11 expire July 1,2022 or at an earlier date
if either St.3oseph Town ar St. L�Vendel notify t�e c�her part in wniti�g�t
least one year in advance of its intended cancellation of this agreement.
Notice must be receiv�d prior to establisYung the budget for the yeaz
preceding the intent to cancel. This contract may be renewed for an equal
period af time at tlze optivn of the parties to the agte�ment.
12.2 ProRertv Ownerslu� On any termination of the contract,all of the
property acquired during the life of the agreement shall belong to the City
and the St. Joseph Town as idenrified by Se�tion 3 of this Agreement.
(a). Upon termination of this contract all of the property jointly
acquired sha11 belang to the remaining party and the party
requesting termination shall be compensated in money for its fair
share of the value of th�property at the time c>€termin�tio�in
prnportion to the estimated net tax capacity of the resp�tive
parties at the time termination is accomplished. •
(b) If the parties cannot arrive at a fair value between them within six
(6)months after termination is requested,the matter sha11 be
submitted to binding arbitration pursuant to the terms of Minnesota
Statutes Chapter 572.
12.3 Cancelation._If St. Wendel cancels the agreement, or if the agreement is
not renewed by either party,or if any one party refuses to renew the
contract,then and in those events, St. Wendel shall not be reimbwsed for
any co�tributions made to the fir�degartment for purc�tases,maintenat�ce
or otherwise.
IN TESTINIONY V�T�EREO�,the parties ha�e�ereun�o set th�ir hands and seals
this day of ,2016.
CITY OF ST.JOSEPH
By
Mayor
By
Clerk/Administrator
TOWN OF ST.WENDEL
By �� .
C13air o€Town Board
By
Town Clerk
ST.JOSEPH TOWN
By
air of Town B � rd
��__(,��J �l����
Town Clerk
EXHIBIT A
Note: For this Exhibit the following assumption is used.� The City of Waite Park annexes an area with a total
estimated market value of$33,839,000. In 2017 St.Joseph Town would be allocated using the estimated market
value as if the annexation did not occur.For the next four year,St.Joseph Town would pay a reducing
apporCionment based on the market value that was lost, reducing 20%each year. The assumption also assumes a
static budget.
Esti.ated�iarket Val�es
Baforisdrm+�ration �ftarAmiaxatron/S1T Loss of S 33,839,000/
City af St_Joseph $ 306,246,900 �i7.�9a C'ty S 306,246,900 50.07°0
St�JosephTowaship S 202.4$6.800 3137% St Ji S 168.647,800 27.57%
St Weodd Townshig S ]36,784,700 2119"b St P S 13b,789,700 223b'/.
Estimatad Impact of WP dnruexation-Cwrant Fira Contribution .
Bsfar Awxearabww Operation Contrib. Dabt Contrib. Total 2016 Cosrh�ih
CAy of St_Joseph $ 102,520.20 $ 44>764_40 S Id7,284.60
St.Joseph Towaship S 67,792.12 S 29,600.72 S 97,392.84
St Wrndd Township S 45,791.64 S 19,994_88 S 65,787.52
$ 216,101.96 S 9�4,360.00 S 310,46t.96
Afta'AMacrario�e
C�tty af St JosepL S 107,901.23 S 47,113.95 S 155,015.18 �I` S 7,�30.58
St 3oseph Township S 60,01236 S 2G,203.7� S 86,216.13 �i• S (11,176.71)
St Wmdd Township S 48,191.42 S 21,042.00 $ 69,233.42 T S 3.445.90
S 216,105.01 S 94,359.72 S 310,464.73
Yea l
cay�sc 1� s 3ob,�as.9oo.0o a�.aa� s ias,�oas�
St.JosephTow�6p S 168;641,8dQ.00 26_13% S 81.725.2i
100°/. St)oseph TawnshQ-Taa SLarieg S 33,839,000.00 5.2496 S 16,398.08 S 98,12333
St Wmdd Tow�ship S 136.789,700.08 21.19�s S 66,287•09
S 645,523,400.00
Tota!B�iEet S 312,815.00
Yea 2
Ciry of St.Jouph S 306,?A6>9W.d0 47.84Ri S 144,663.23
St JosepA Toa�ip S 169.986,800.00 26.56% S 83.072.75
80'K St Josc�pL To�wnsL�-T�� S 27,071,200.00 4.23'1+. S 13,229.73 S 96,302_48
St Wmdet To9vaship s 136,789,700.00 213�SG S 66,849.29
3 6+M,094,GU0_00
Yar 3
C,�y of Sc losep� S 306,246,900.00 48.36% S 151,Zb2.55
SL Jose�h Tow�hip S 169,95+6,800.00 26.84'K S 83,960.48
60'tf. St 3oaeph Tawnsbig-Tmc�acag S 20,303,�400.00 3_219'. S 10.02833 S 93,988.80
St Wmdd Towos6ip S 136,789,700.00 21.60Y. S 6?,Sb3.65
S 633,326,800.00
Yar 4
C.iy af St Joseph S 306.246,900.00 48.88X S 152,893.68
St-3oaep�h Toovnslip S 169,489,800.00 2713°•6 S &1,E68.4�
�8'K St Josep�Ta�was�p-Taa Si�amg = 13,535,6d0.0f1 2.18% S b,757.73 S 91,b26.20
SL WmddTow�hip S 136,789,7Q0.00 21_$3'1a� S 68.243.11
E 626.S62.00O.OQ
Yar S
Cay af St ioseph S 306,24b.900.00 49.41�. S 154,S65.Z2
St Joseph Towas�ip S 169,989.SOO.UO 27.h3`l� S 85.795.19
28Y. St Josep6 Towasbip-Tax S6uie� S 6,767,800_00 1_099ra S 3,415_76 S 89,21Q.95
St Wendd Towas6ig S 1'36,789,700.00 22.07°fe S 59A38.84
T 6151:79d,200.00