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HomeMy WebLinkAbout14 OCFA JT PWRS AG 07-05-94AGENDA___ Inter-Com DATE: TO: O-ONE 29, 1994 HONORABLE FJ~YOR AND MEMBERS OF THE CITY COUNCIL WILLIAM A. HUSTON, CITY MANAGER JOINT POWERS AGREEMENT - ORANGE COUNTY ~IRE AUTHORITY R~COMMENDATION: That the City Council adopt Resolution No. 94-83 approving a Joint Exercise of Powers Agreement (JPA) to form the Orange County Fire Authority. ~ISCAL IMPACT: The city's draft 1994-95 General Fund budget includes $3,312,673 for contract fire suppression, prevention and paramedic services. The JPA includes a provision that for the first '~hree years following formation of the Fire Authority, any increases in the contract amount shall be limited to the annual change in the cost of fire operations. After the three year period, any adjustments in the contract amount would be based on factors and considerations applicable to all members of the Fire Authority. BACKGROUND: For the past two years, the sixteen cities served by the Orange County Fire Department and County staff have been studying and negotiating alternative means of governing and administering the Fire Department. The issue has not been quality of fire suppression and paramedic services. There is general agreement that the Fire Department provides a high level of service. The issue has been that cities comprise 85% of the Fire Department's se%-vice area but have little substantive say in · the governance of its operations. The Fire Department's annual operating budget exceeds one hundred million dollars. Its service responsibilities are increasing as growth occurs which raises policy issues concerning future costs and levels of service. Because of the financial significance and importance of fire services to each city, the sixteen cities feel they need to exercise greater control over the financial and policy direction of the Fire Department. Joint Powers Agreement June 29, 1994 Page two The feasibility and legal studies conducted jointly by the sixteen cities clearly show that the JPA approach is feasible. Until this fiscal year, State law created some potentially significant problems for the financial viability of creating a Fire Authority. This year the State enacted legislation which guarantees that property tax revenue now allocated to the Fire Department can, in the future, only be used for Fire Department operations. Until this change in State law, the Board of Supervisors had the authority to allocate fire fund property tax revenue to other County programs. Twelve of the sixteen cities have a portion of their respective property tax rates collected by the County and dedicated to fire services (similar to the property tax rate collected within Tustin that is dedicated to County library services). Those funds would be allocated to the Fire Authority under a provision of the JPA where the County is obligated to contribute all fire fund property tax revenue to the Fire Authority. The City of Tustin and three other cities do not have a property tax rate for fire services but instead obtain fire services through a cash contract arrangement. Over the years, Tustin has opted to be a cash contract city in order to preserve its flexibility on how to provide fire services. The proposed JPA reflects a consensus among the sixteen cities on how to assume responsibility for fire services and provides an organizational structure for joint administration of the fire department. At this point, no changes are contemplated which would affect ~he day-to-day operations of the fire department or levels of service. As the Fire Authority progresses, it might consider options such as allowing cities to contract for various levels of fire suppression or paramedic services. Any changes would have to be agreed upon by the majcrity of the seventeen members (sixteen cities and the County each having one vote). It is envisioned that over the next three years, the cities and county would jointly discuss and decide issues such as how ~o structure contracts for services and an equitable method for pricing contract services. Under the present system, the cities have little say in critical issues concerning the future expansion of the fire department and i~s financial viability. The JPA establishes a formal entity, the Fire Authority, where the cities are in ~ position to have direct oversight and the ability to set policy direction. It would be in Tustin's best interests to become a me~er of the Fire Authority for the following reasons: 1. By sharing responsibility for fire service with o~her cities, the City ~it! be in a better position to influence decisions regarding future costs and levels of se_~vice. 2. The JPA provides a mechanism where the mer~er ci~ies can create new mechanisms for pricing services and variable leve~s of fire suppressions and paramedic services. Joint Powers Agreement June 29, 1994 Page three The City will have full membership and voting privileges as a member of the Fire Authority. Being a member of the Fire Authority ensures that the City can continue to provide a high level of fire suppression and paramedic services to the community. The City cannot provide as cost-effective service on its own due to economies of scale. Ail members of the Fire Authority will share a common goal of providing cost-effective fire services. The interests of all Fire Authority members will be best served by seeking solutions to issues that are equitable and uniform to all members. The City of Tustin owns fire Stations 37 (Red Hill Avenue) and 43 (Tustin Ranch). The present arrangement of leasing the fire stations to the County would continue with the Fire Authority. The JPA provides that all County Fire Department assets, liabilities, and agreements would transfer to the Fire Authority upon its formation. In the future, the City and Fire Authority can make joint decisions about the status of the fire station lease agreements and how they fit into the equation for setting the price of fire contracts between the city and Fire Authority. As a member of the team of five city Managers who have provided oversight of the feasibility studies and negotiated the JPA, I feel the City's interests are best served by becoming a member of the Fire Authority. The City has limited other options, none of which would provide as cost effective services to the community. If for any reason the Fire Authority does not meet the City's expectations, because it is a cash contract city, it would have the flexibility to pursue other options. It is anticipated that all sixteen cities will approve the JPA this month. The next step will be obtaining Board of Supervisors' approval, following which the Fire Authority would be formed by September 1, 1994. jpeocfa.wah RESOLUTION NO. 94-83 A RESOLUTION OF THE CITY OF TUSTIN APPROVING A JOINT EXERCISE OF POWERS AGREEMENT TO FORM THE ORANGE COUNTY FIRE AUTHORITY AND AGREE TO PARTICIPATE IN ACTIVITIES THAT SUPPORT AUTHORITY FORMATION Whereas, the City of Tustin has continued to support efforts to achieve direct participation by city elected officials in governing fire services that are now provided by Orange County to the City of Tustin and other Orange County cities; and Whereas, it is now the intent of the participating cities and the county that a fire authority be formed pursuant to Article 1, Chapter 5, Title 1 of the Government Code of the State of California to assume all of the services that are now performed by the Orange County Fire Department; and Whereas, a primary purpose in forming the authority is to provide a means for cities, which comprise approximately 85% of the population served by the fire department, and the county to formally share governance and financial responsibility for the fire service program; and Whereas, one year ago the cities reached a preliminary written understanding with the county on matters related to the transfer of tax funds and the transition of service responsibilities to form an independent fire protection district and those provisions of the original understanding that are applicable to a fire authority have been included in the attached document titled Joint Exercise of Power~ Aqreement Creatinq The Oranqe County Fire Authori=y; and Whereas, formation of the fire authority in combination with changes that have been made in state tax policy during the past year will permit the cities and the county to substantially achieve their original objectives which are: (1) city participation in governing municipal fire services that are provided by the county predominantly within cities, (2) equity in the distribution of the cost of fire service; and (3) assurance that existing taxes that are now dedicated to the fire service will continue to be available for the fire service and not diverted to other county purposes; and Whereas, the authority is formed upon adoption by the cities and the county of a resolution approving the joint exercise of powers agreement. Now, Therefore, the City Council of the City of Tustin, does by this resolution hereby: Approve and adopt Attachment A; Joint.Exercise of Powers Aqreement Creatinq The Oranqe County Firo Authority, and Request that Orange County Board of Supervisors approve the agreement at their earliest opportunity following its consideration by the cities, and Request the City of Irvine Continue to serve as the lead agency in proceedings to form the authority, and Authorize the Orange County City Manager's Association, through its Negotiating Committee, to assume primary responsibility for administrative activities required to form the authority and transfer service responsibilities from the county to the authority. Agree to pay a proportionate share of the expenses associated with formation of the authority, subject to separate action and approval of the specific proportionate share amount(s) by this City Council from time to time. THOMAS R. SALTARELLI, Mayor Ayes: Noes: Abstain: Absent: City of Tustin ) County of Orange ) State of California ) I, Mary Wynn, Clerk of the City of Tustin, hereby certify that the above resolution wad duly and regularly adopted by the City Council at a regular meeting held on the day of , 1994, and passed by a vote of the members present. In WITNESS WHEREOF, I have hereunto set my hand and seal this day of , 1994. Mary Wynn Clerk of the City of Tustin ,SEX~ BY: 5- 5-~4 : ~:01i%t : RLT.k' 'L'CKER- 714 72t ~045;# 2/1~ ,- JOINT PO%VERS AG]~F~[~T C~.~TING THE ORANGE COUNI~ ~ AUTHORITY This Agreement is made this day of 1994 by and between the following public entities (collectively called the "members"), CYPRESS, DANA POINT, IRVINE, LAGUNA MT~.T.S, LAGUNA NIGUEL, LAK~ FOREST, LA PALMA, LOS ALAMITOS, MISSION VIEJO, PLAC~NTIA, SAN JUAN CAPISTRANO, SEAL BEACH, STANTON, TUSTIN, VILLA PARK AND YORBA LINDA (the "Cities") and the COUNTY OF ORANGE (the "County"). A. County operates the Orange County Fire Department, which presently provides fire protection and suppression services ~o cities as well as a smaller unincorporated area. B. Cities and County agree that the level and quality of services is excellent and do not seek to change day-to-day control which remains with the Director of Fir~ Service. C. County agrees that Cities require additional policy input ~nto and greater control over =he costs of such services and use of structural fire fund taxes levied therefor. and D. cities and County have studied and discussed policy input cost control for over three years and have determined that BY: 6- 9-91 : 9:01.k%{ : ~L7A, TUCKE~- 714 724 60~5:# creation of a joint power entity to administer fire service operations and delivery serves their needs for policy input and cost control. E. Each member is a public agency as definmd by Government Code ~ 6500 et seq. and is authorized and empowered to contract for the Joint exercise of powers common to each member. F. The m-~hers wish to jointly exercise their powers to provide for mutual protection, prevention and suppression servioes and related and incidental services, including but not limited to, creation, development ownership and operation of programs, facilities, and funds therefor through the establishment of the "Orange County Fire Authority" or "Authority." NOW THEREFORE, in consideration of the mutual promises set out, the parties agree as follows: AGREEMENT I., POWERS AND PURPOSF. !. Authority Created. The Authority is formed by this Agreement pursuant to the provisions of Article 1, Chapter 5, Division 7, Title 1 {commencing with Section 6500) of the Government Code of the State of California. The Authority shall be a public entity separate from the parties hereto and its debts shall not be debts of its mombers. 2. ~"mose o5 the A=reement: ¢O~mmn Power to be Exereisg~. TAe purpose o£ this Agreement is to jointly exercise the foregoing common powers in the manner set forth here. Each m-tuber individually has the statutory ability to provide fire euppression, prevention and related services including but not limited to emergency medical and transport services, as well as providing facilities an~ personnel for such services. 3. Effective Da~e o~ Yo~ation. The Authority formed as of its first meeting on September 1, 1994. shall be Pursuant to and to =he extent required by Government Code Section 6509, the Authority shall be restricted in the exercises of it= powers in =h~ same manner as is a general law city. 4. Powers. The Authority shall have the power to do any of the following in its own name: (a) To exercise the common powers of its members in providing fire suppression, protection and related ser%~ces. (b) To make and enter into contracts, notwithstanding, the JPA may not enter into development agreements. (c) To negotiate contracts with represented and unrepresented employees. BY: ~- 9-S4 : ~:02.k~f : ~TA TUCKER- 714 72~ 6045:= (d) To employ much other persons as it deems necessary. (e) To acquire, hold and dispose of property. (f) To invest surplus funds. (g) To incur debts, liabilities, or obligations. provided that all bonded indebtedness, certificates of participation or other long-term debt financing requ_ ires r~he prior consen~ of the members as set out in Article IV hereof. (h) To sue and be sued in its own name. (i) To apply for grants, loans, or other aee±~tance from persons, firms, corporations, or governmental entitles. (j) To use any and all financing mechanisms available to the JPA subject to the provisions of Artiole IV hereof. (k) To prepare and support legislation related to the purposes of the Agreement. (1) To install, construct, operate, maintain, repair and manage new or existing facilities as well as to (m) close or discontinue the use of existing fa=ilities. To le~y fees and collect payments therefor, provided that paramedic or ambulance user fees shall be approved by the member cities affected. (n) To provide related services as authorized by law. (o) To levy. and collect developer fees and exactions. BY: 5- ~-~ ; 9:02.~t : ~L7A~' :L'CKF~- 714 724:545:: 6.'1~ (p) To contract consultants. for the services of attorney~ and 1. -~~R.- The members of the Authority shall be the original parties hereto and such other cities as may join the Authority after execution of this Agreement. New members may on the terms and conditions set out in Article VIII hereof. 2. De$i~netion of Directors. Before the effective date cf Authority formation, each member by resolution of its governing body shall designate and appoint it~ representative and an alternate to act as its director on the Authority Board. Each representative shall be a current elected member of the governing body. Each director and alternate shall hold office from the fir~= meeting of the Board after appointment by the mmmher,s governing body for a term of four (4) years or as determined under 4(a) of Article II, or until the selection of a successor by the appointin~ body. Each director and alternate shall serve at ~he pleasure of his or her appointing body and may be removed at any time, with or without cause, at the'sole discretion of that appointing body. Any vacancy shall be filled in the same manner as the original appointment of a director and alternate. No director or alternate will receive compensation from the Authority for his or her services, with approval of the Board, a director or alternate may $5'V1' BY: 6- 9-9-J : 9:03k',i : RL'T.-N. .~ TUCK-ER- 714 724 6.045:=- 7/19 be reimbursed for reasonable expen=e~ incurred in the conduct of =he business of the Authority. 3. ~k~-~. As provided by law, the principal office of the Authority shall be the Fire Department's Water Street headquarters or as otherwise desi~ated by the Authority. (a) First meeting: The first and organizational meeting of the Authority shall be held at it= principal office on Thursday, September 1, 1994. At that meeting, the directors may determine whether to adopt a rotation system of two (2) and four (4) year terms to provide for increased continuity on the Board and shall classify themselves into any groups selected. (b) The Board shall meet at the principal office of the Authority or at such other place as may be designated by the board. The time and place of the regular meetings of determined by resolution adopted by the Board, resolution shall be furnished to each party hereto. All meetings, including regular, adjourned and special meetings, be caused, noticed and held in accord with the Bro~ Act as be amended from time to time. the board shall be and a copy of such Board shall it may 5. uorum- V ' . A majority of the directors shall constitute a quorum for the purpose of the transaction of business relating to =he Authority. Each director shall be entitled to one vote. Unless otherwise provided herein, a vote of the majority of .$DJ BY: 6-9-9J, : ~' '~ ' ~ 0..,k',t : RL'I'A" ?L'CKER- ?l-~ ?24 6045:~ 8/19 =hose present and qualified =o vote shall bs sufficient for the adoption of any motion, resolution or ordsr and to take any other action deemed appropriate, to carry forward the objectives of the Authority. 6. ~J~F~. At its first meeting the Board shall elect from among its members a chair and vice-~air and thereafter at.the first meeting in each succeed/rig fiscal year the Board shall elect or re-elect a chair and vice-chair. In the event that the chair or vice-chair ceases to be a director, the resulting vacancy shall be filled in the same manner a= =ha nsx~ regular meeting of the board held after such vacancy occurs. In the absence or inability of the c~a~r to act, the vice-chair shall act as chair. The chair, or in his or her absence =~e vice-c~air, shall 9reside at and conduct all meetings of the Board. 7. ~inutes. The Board shall provide for the appointment of a secretary to the Authority. The secretary of the Authority shall cause to be kept minutes of regular, adjourned regular, and special meetings of the board, and shall cause a copy of the minutes to be forwarded to sac~ director. 8. Rules. The Board may adopt from time to time such bylaws, rules and regulations for the conduct of its affairs as it may deem necessary. SENT BY: 6- 9-~4 : ~:08~t : RL~X . TUCKER- 714 724 604~:~ 5~1~ 9. Fissal Year. The Authority's fiscal year shall be July 1 of each year to and including the following June 30. 10. AsseD~ of Members. any matter requiring the approval of the member shall be evidenced by a copy of governing body filed with the Authority. The assent or approval of a member governing body of the the resolution of the 11. Committees, The Board may establish standing or ad hoc committees or subcommittees composed of Board members, staff and/or the public to make recommendationm on specific matters. 12. A~di$ional Officers and EmDlo~eee; contra~ services. (a) As required by state law, Authority shall appoint the County Auditor or a certified public accountant or treasurer to perform the duties set out in Government Code Section 6505.5, and shall appoint an auditor as required by that Section 6505 and Section 6506. Pursuant to Government Code Section 6505.1, the secretary and the controller and treasurer shall have charge of the property of the Authority. The s~cre=ary shall file an honesty bond in the su~ of Ten Thousand Dollars ($10,000), and the controller and treasurer in the sum of Five Hundred Thousand Dollars ($500,000) which fee shall be paid by the Authority. These bonds nay be waived for independent contractors with equivalent insurance. ,S~',% BY: 6- 8-9% : ~:O~k%t : gL%.tX '[CKE!R- 71% 72~ 60~5:=10/19 (b) The Board shall appoint general counsel and special counsel to the Authority to serve as necessary. (¢) The Board may contract with a member to provide necessary administrative services to the Authority as appropriate. Any such city member may be a charter or general law city. Any administrative duties also may rotate from year to year. III_ TRANSI T,R OF FIRE OPEIIATIONS 1. Transfer o~ County ~ssets and Li~billties. Upon the effective date of Authority formation, County shall transfer to Authority the assets and liabilities of the Orange county Fire Department, exclusive of the Weed Abatement, Emergency Management Division and Hazardous Materials Program office, as set out below: (a) Personnel. On the effective date of Authority formation, all employees of the Orange County Fire Department will become employees of the Authority on exactly the same terms and conditions as they presently are employed, and at its organizational meeting, the Board shall adopt and ratify existing Memorandums of Understanding, employment agreements and personnel rules. (b) Assets. Ail Fire Department assets, including and not limited to real property such Fire Headquarters on Water Street in Orange (but excepting the four deactivated fire stations) and personal property and ec~/ipment and apparatus, whether or not located at fire stations, Headquarters, on equipment or otherwise BY: 6- 9-9t : !:04A.',t : .RL'rk TUCKER- 714 72-I 6045:~1i/19 shall be transferred to the Authority on its effective date of formation. (c) Reserves. Ail reserves in the Fire Department budget existing as of the date of execution of this Agreement ars to be transferred unincn~hered to the new Authority. (d) ~. Existing contracts with Structural FAre FUnd and cash contrac: cities will be transferred to the Authority as of July 1, 1994, with service to be provided thereafter by Authority. (e) Records. Any and all business records and files, whether computer records, hard copy, microfilm or fiche, historical data; rosters; personnel records, organizational c-harts, job descriptions, deeds, easements, equipment logs, warranties, manuals and so forth, necessary or helplul to provide services. 2. Authority Assumption of LiabilitY. In consideration for such transfer, Authority shall assume responsibility for any and all tort and workers compensation incidents that occur on or after the effective date of Authority formation. The County shall retain responsibility and liability for any and all incidents that occur prior to that date and shall retain all risk management reserves that have been set aside for prior incidents. Notwithstanding, the' Authority may continue to be a part of County's self-insured risk management system and shall be responsible for its contributions thereto. 3. County Provision of Information. Prior to the effective date of the transfer, CounTy shall provide to Cities or their .5L\7 BY: 6- ~-~4 : ~:0;~ : RLT.~N ZCKER- 714 724 6045:;12/1~ representative up-to-date lists of all assets including but not limited to real property, equipment, reserves and so forth) and all known liabilities [including but not limited to tort and workers compensation cases and claim~) and any and all developer agreements and deposits. IV. FUNDING OF FIRE OPERATIONS 1. ~. within sixty (60) days after the first meeting of the Board, a general budget for the first fiscal year shall be adopted by the vote of a majority of all of the directors. The initial budget and each succeeding budget shall include, but not be limited to, the following: (a) the general administrative ewpenses of the Authority to be incurred during the period covered by the budget; and (b) the allocation of costs among the members of the amounts necessary to cover the general budget expenditures and fund reserves. Thereafter, at or prior to the last meeting of the Board for each fisoal year, a general budget shell be adopted for the ensuing fiscal year or years by a vote of at least a majority of all of the directors. A written monthly budget performance report shall be presented to the Board at its second meeting of the following month. 2. ExPenditures for the ADDroved Budget. Ail expenditures within the designations and limitations of the approved general budget shall be made on the authorization of the board for general budget expenditures without further action. No expenditures in SEN7 BY: 6- 9-9~ : ~:05kXt : RLTA\ £UCKF. R- 714 724 6048:=I~/I~ excess of those budgeted shall be made without the approval of a majority of all of the directors. 3. Contributions for Budgeted Amounts. (a) Structural Fire l~un~ Citiee. County receives structural Fire Fund (SFF) from the unincorDorated area and all cities except Stanton, Tustin, Placentia and Seal Beach. On behalf of such cities, and the unincorporated area, County shall pay all SFF to Authority to meet budget exDensee and fu/~d reservee. (b) Cash contra~ ci%ies. As part Of the budget process, Authority shall determine amounts owing from Stanton, Tustin, Placentia, Seal Beach, and cities otherwise receiving SFF and any future members. Such amounts are due and payable within sixty (60) days of receipt of a billing therefor. For the first three (3) fiscal years of Authority's existing, Authority shall limit annual cost of service increases to cash contract cities to the annual change in the cost of fire operations as those were calculated in the fiscal year prior to the effective date of formation of the Authority. (c) Failure to make payments due constitutes grounds for termination of service and expulsion from the Authority. In the event of non-payment, the Authority shall give sixty (60) days written notice of such termination and expulsion. 4. Equity. The County and each member City shall be member agencies in equal standing in the Authority. It is understood that the cost of service shall not be adjusted by reason of equity for BY: 6- ~-~ : B:05AN : RUT~ TUCKER- 714 724 6045::14/1~ any member agency for a period of three (3) fiscal years from ~he effective date of Authority formation. Equity issues shall be resolved only by a vote of at least a majority of all of the directors. Any adjustments in future cost to any member agency shall be based on considerations and factors that are e~uitable to all members. 5. Special Assess~eR%$.. (a) During the Authority'e first 3 fisoal years, any imposition of new, special taxes, fees or assessments shall apply to all members and must be approved by a majority of all directors. (b) After that 3 year period, special taxes, fees or assessments shall be approved by a majority of all directors. 6. Approval of Bonded Indebtedness. Prior to any Authority resolution authorizing the issuance of any bonded indebtedness, each member shall approve any bonded indebtedness to be incurred by the Authority. Any withdrawing member shall remain responsible for bonded indebtedness which it has approved. As used herein, "bonded indebtedness" does not include short-term tax a~tioipation notes with a one-year (or shorter) term which requires a magority vote of all directors. BY: 6- 9-9t : 9:06.-%',! : ~Lq'.-t, TUCKER- 714 72.t 601,5:~15/19 V. ACCO G AND AUDITS 1. Accountinq Procedures. Full books and accounts shall be maintained for ~he Authority in accordance with practices established by, or consistent with, those utilized by the controller of the State of California for like public entities. In particular, the Au~hority's controller and treasurer shall comply strictly wi~h r~quirements of the statute governing joint powers agencies, Arl:lole 1, Chap=er 5, Division 7, Title I of the Govermm~nt Code oft he State of California (commencing with Section 6500). Any transition in accounting systems will occur no sooner than July 1, 1995. 2. Audit. The records and accounts of the Authority shall be audited annually by an independent certified public accountant and copies of the audit reports shall be filed with Auditor, the State Controller and each member within six of the end of the fiscal year under examination. the county (6) months VI. PROPERTY RIGI FS 1. Project Faoilitles and Property. On and effective date of the Authority, all real and personal including but not limited to, facilities constructed, after the property, installed, acquired or leased by the Authority, apparatus and equipment, personnel and ouher records and any and all reserve funds shall be 714 724 6045:~-16/19 held in the name of the Authority for the benefit of the ~hers of ~he Authority in accordance with t-he ter~s of this Agreement. 2. Disposition of Assets UDon Termination. The Authority may vote to terminate this Agreement, or terminaUion will occur if only one member is left in the Authority. If terlnination occurs, all surplus money and property of ~/%e Authority shall be conveyed or distributed to each member in proportion to the funds provided to the Authority by the m-~her, whether SFF or cash contract amounts. Each member shall execute any instruments of conveyance neceesaryto effectuate such distribution or transfer. In any such distribution, the amount of SFF derived from each incorporated or unincorporated city areas shell be considered as received from that member in the same manner as cash contract payments have contributed to surplus assets. 3. akiab~lities. Except as otherwise provided here, the debts, liabilities and obligations of the Authority shall be the debts, liabilities or obligations of the Authority alone and not of the parties of this Agreement. VII. WITHDRAWAL A_ND ADDITION OF NEW MEMBERS 1. City Member Withdrawal. No City member may withdraw its participation in the Authority for three (3) years from September !, 1994, or three (3) years from the date on which it initially becomes a member. After that three (3) year period any SE',-[ BY: 6- ~-~4 : ~:06.~.~I : ,~L'r.~-,-4 TUS.~R- 714 724 6045:~I'7/II withdrawing c~ty member must give notice by January 15, of any year of its intent to withdraw as of July 1 of '.hat year. However, withdrawal shall not reduce a City me~ber's du~y to pay for bonded indebtedness of the Authority attributable to that City incurred prior to withdrawal. 2. A~ttion of New M--her~. A city presently providing it~ own fire services may join the Authority upon consent of a majority of all directors of the Authority and agreement to terms and conditions determined by the Board. A new City member may be required to transfer to the Authority its fire facilities and assets or to reimburse the Authority for a proportionate share of facilities which the new City will utilize. The new member also will be responsible for a proportion of the debts, obligations, and liabilities of the Authority from these facilities, to the extent agreed upon by the Authority and the new member at the time of membership. The Authority Board may determine to waive all or part of such contribution requirements in return for a offsetting transfer of the new member's fire fa=ilities and assets to Authority. 3. Withdrawal Qf County. (a) County may not withdraT from the Authority for three (3) years from September 1, 1994, and thereafter may withdraw from Authorluy only upon notice to Authority by January i of any year to allow Cities to give notice of withdrawal under Government Code Section 25643 by March 1, both effective July i of that year. In o55\T B~: ~- ~-84 : 3:07A.~1 : P~LTk' TCKER- 714 the tax transfer resulting from such withdrawal, this agreement also shall serve as the County and Cities' agreement to transfer 100% of SFF to cities from which it is derived in exchange for ongoing Authority fire service to any remaining County unincorporated area, on the specific terms and condi~ion~ determined by the parties. (b) In any event, County shall cease to be an Authority member at such time as no County area remains within the Authority,s boundaries and the tax transfer provisions of Subsection (a) hereof. IX. NOlqCE OF AGRR .MENT !. I~tial Notice. Within thirty (30) days of the effective date of this Agreement the Authority shall cause a notice of the Agreemen~ to be prepared in the manner set forth in Section 6503.5 of the Government Code and filed with the Office of the Secretary of State. 2. A~itional ~otic~. Within thirty (30) days of the effective date of any amendments to this Ag-reement, the Authority shall prepare and file with the Office of the Secretary of State the notice required by said Section 6503.5. BY: ~- 9-94 : $:07k'~t : Rb'TAN ~ TUCKER- 714 72-~ 6045:~1'9~{19 3. Not,ce to Members. No=ice =c members shall be deemed given when mailed to them, first class, postage prepaid, or faxed to the address/or fax no. se= out by their signatures. 4. ~endment. This Agreement may not be amended or modified except by a written agreement signed by all of the members. 5. Headiaas. The headings in this Agreement are for convenience only and are not to be construed as modifying or explaining the language in the section referred 6. Severabilit¥. Should any par~, term, or provision of this A~reement be determined by a court to be illegal or unenforceable, the remaining portions or provisions of this Agreement shall nevertheless be carried into effect. 7. No continuing Weiver. No waiver of any term of condition of this Agreement shall be considered a continuing waiver thereof. IN WITNESS THEREOF, the parties hereto have Agreemen~ =o be executed and attested by their duty officers as of ~he date first above written. caused this authorized [SIGNATURE BLOCK FOR MEMBERS] To include address, phone and fax numbers.