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Agenda 03/24/2020 Item #16E 3 (Fire Districts Interlocal Agreement)03/24/2020 EXECUTIVE SUMMARY Recommendation to execute an Interlocal Agreement between Collier County and the Greater Naples Fire Rescue District for management of the Ochopee Fire District until consolidation, terms of payment during the management period, and post consolidation support for up to ten years. OBJECTIVE: To ensure continuity of fire services in the area serviced by the Ochopee Fire District. CONSIDERATIONS: On September 13, 2016, the Board approved a management agreement with Greater Naples Fire Rescue District (Greater Naples) for provision of fire services to the Ochopee Fire District. This Agreement was established with an end date of September 30, 2019 with the intent that by that time, Greater Naples would consolidate the Ochopee Fire District into its boundaries. For reasons related primarily to challenges in securing a permanent funding source for Station 63 (located on Alligator Alley), this did not occur and on June 25, 2019 the Board approved an extension of the agreement until September 30, 2020 or a successor Agreement is executed. Since that time, the Florida Legislature passed legislation that provides funding for Station 63 from excess tolls through June 2027, up to $1.4 million with a ten percent local cash match and a new Interlocal Agreement was executed between Greater Naples and Florida Department of Transportation (FDOT). Staff has continued working with Greater Naples to negotiate an agreement that would be mutually beneficial and result in consolidation of the Ochopee Fire District into the Greater Naples District. The agreement presented for approval by the Board was approved by the Greater Naples Fire Commission on March 10, 2020 and includes the provisions that: • Greater Naples agrees to initiate consolidation legislation no later than the 2022 legislative session • Ownership of vehicles purchased through the FDOT Agreement for funding Station 63 will be transferred to Greater Naples upon execution of this Agreement in accordance with FDOT grant requirements • The County will be responsible for any Collier County EMS firefighter paramedic cost share required by the FDOT agreement and any Collier County firefighter paramedic line item expense overages. Additionally, this agreement provides for post-consolidation payments for up to ten years to ensure a smooth transition. Based on the current annual millage rate for the Ochopee Fire Control District at 4.0 mils, the District generated $1,202,543 in taxes in the current tax year. Collier County supplements this revenue in the sum of $565,100, so that Greater Naples received a total of $1,768,000 to operate the District. Upon consolidation, the County will make payment in the first quarter of each fiscal year for ten years to supplement the actual taxes generated by the District in an amount necessary to ensure that Greater Naples receives a total of $1,768,000 to operate the District. It is expected that over time the District will generate more revenue that it currently generates and the County's supplemental payment will proportionally go down. Should this revenue decrease, the County's supplemental payment will go up. However, in no event will the supplemental payment exceed $640,000. The County’s payment liability is capped at $640,000 for any given fiscal year during the 10-year term of these payments. FISCAL IMPACT: Until consolidation, the County will submit to Greater Naples approximately 95% of the ad valorem taxes collected, with the explicit understanding that the year ending cash balance will not drop below 110% of the amount needed to fund the next year’s initial payment 16.E.3 Packet Pg. 762 03/24/2020 installment which is due on or about October 1st. Additionally, upon successful enactment of state legislation allowing annexation, the County will pay Greater Naples an additional sum of $250,000 to offset the cost of capital replacements; and upon successful passage of a referendum in favor of annexation, the County will pay Greater Naples the sum of $250,000 to further offset the cost of capital replacements. Post consolidation, the County will make supplemental payments as described in the section above in an amount not to exceed $640,000 for up to ten years. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality, and requires majority vote for approval. -JAK GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this item. RECOMMENDATION: To authorize the Chairman to execute a successor Interlocal Agreement outlining the terms for Greater Naples to continue providing fire service to the Ochopee Fire District and ultimately consolidate the Ochopee Fire District into their boundaries, and the payment terms for such service as well as post consolidation support for ten years. Prepared by: Len Golden Price, Administrative Services Department Head ATTACHMENT(S) 1. Ochopee GNFD ILA 2016-2019 (PDF) 2. GNFD Mgmt Services Extension 1 (PDF) 3. Ochopee Interlocal Agreement 2020 - (PDF) 16.E.3 Packet Pg. 763 03/24/2020 COLLIER COUNTY Board of County Commissioners Item Number: 16.E.3 Doc ID: 12004 Item Summary: Recommendation to execute an Interlocal Agreement between Collier County and the Greater Naples Fire Rescue District for management of the Ochopee Fire District until consolidation, terms of payment during the management period, and post consolidation support for up to ten years. Meeting Date: 03/24/2020 Prepared by: Title: Department Head - Administrative Svc – Administrative Services Department Name: Len Price 03/17/2020 1:39 PM Submitted by: Title: Department Head - Administrative Svc – Administrative Services Department Name: Len Price 03/17/2020 1:39 PM Approved By: Review: Administrative Services Department Michael Cox Level 1 Division Reviewer Completed 03/17/2020 1:40 PM Administrative Services Department Len Price Level 2 Division Administrator Review Completed 03/17/2020 2:19 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 03/17/2020 3:16 PM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 03/17/2020 3:52 PM Office of Management and Budget Laura Wells Additional Reviewer Completed 03/18/2020 8:43 AM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 03/18/2020 10:07 AM Board of County Commissioners MaryJo Brock Meeting Pending 03/24/2020 9:00 AM 16.E.3 Packet Pg. 764 16.E.3.a Packet Pg. 765 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 766 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 767 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 768 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 769 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 770 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 771 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 772 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.a Packet Pg. 773 Attachment: Ochopee GNFD ILA 2016-2019 (12004 : Ochopee Fire ILA) 16.E.3.b Packet Pg. 774 Attachment: GNFD Mgmt Services Extension 1 (12004 : Ochopee Fire ILA) 16.E.3.b Packet Pg. 775 Attachment: GNFD Mgmt Services Extension 1 (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 776 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 777 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 778 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 779 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 780 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 781 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 782 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 783 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 784 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 785 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA) 16.E.3.c Packet Pg. 786 Attachment: Ochopee Interlocal Agreement 2020 - (12004 : Ochopee Fire ILA)