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HomeMy WebLinkAboutAgenda Report - July 15, 2015 C-16AGENDA ITEM Cwalb CITY OF LODI COUNCIL COMMUNICATION TM AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Joint Exercise of Power Agreement between City of Lodi, Lathrop -Manteca Fire District, City of Manteca, and City of Stockton Creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA) MEETING DATE: July 15, 2015 PREPARED BY: Fire Chief RECOMMENDED ACTION: Adopt resolution authorizing City Manager to execute Joint Exercise of Powers Agreement between the City of Lodi, Lathrop -Manteca Fire District, City of Manteca and City of Stockton creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA). BACKGROUND INFORMATION: The City of Stockton retained Management Partners Consulting in 2013 to review and provide recommendations for gaining possible efficiencies in Fire Department Dispatch Services. The December 2013 Management Partners "Stockton Regional Fire Threshold Analysis" (Attachment A) recommended that the City seek regional partnerships in providing fire and emergency dispatch services. Specifically, recommendation #6 of the report recommended the creation of a Joint Powers Authority (JPA) comprised of regional governmental agencies to govern and provide for fire and emergency dispatch services. The Stockton Fire Department was tasked to survey potential members of a regional fire dispatch joint powers authority (JPA) to determine cost sharing, performance objectives and governance structures that would need to be achieved to contract with the Stockton Emergency Communications Division (ECD) as the provider of fire dispatch operations. A JPA review and formation group was formed with the fire chiefs from the Lathrop -Manteca Fire District, City of Lodi, City of Manteca, City of Stockton and City of Tracy. The results of the work performed by the group culminated in the development of the Joint Exercise of Power Agreement between all of the above agencies except the City of Tracy. The City of Tracy is currently evaluating a later entry date into the JPA. If approved by all four governmental agencies, the JPA would be effective 30 days from adoption by all four agencies and after the documents have been filed with the California Secretary of State Office. It is currently contemplated, and the recommendation from the formation group that the City of Stockton provide contract services to the JPA for emergency and non -emergency dispatch services under an Operational Agreement between the JPA and the City of Stockton. As a part APPROVED Adopt Resolution Authorizing City Manager to Execute Joint Exercise of Power Agreement between City of Lodi, Lathrop -Manteca Fire District, City of Manteca, and City of Stockton Creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA) July 15, 2015 Page 2 of the Operational Agreement, the City of Stockton will also be the financial entity for JPA business management services. SUMMARY: In 2013, the City of Stockton retained Management Partners to review and provide recommendations for gaining possible efficiencies in the Fire Department Dispatch Services. The December 2013 Management Partners "Stockton Regional Fire Threshold Analysis" recommended that the City seek regional partnerships in providing fire and emergency dispatch services. A JPA review and formation group was formed with the fire chiefs from Lathrop -Manteca Fire District, City of Lodi, City of Manteca, City of Stockton and the City of Tracy. The group was facilitated by Management Partners, under contract with Lathrop -Manteca Fire District. The JPA review and formation group met over a 10 -month period to review the possible benefits of forming a JPA and then develop a governance structure that meets the needs of the regional communications dispatch partnership that conforms to the individual agency requirements for equal representation on the JPA Board of Directors. The City of Stockton ECD currently provides contract dispatch services to the Lathrop -Manteca Fire District, City of Lodi and City of Manteca. These agencies have been staunch advocates for a regional governance model that provides for the delivery of emergency and non- emergency dispatch services. These agencies desire fair representation in the matters of policy and fiscal decisions. Under the current contract terms, those decision elements are not available to these agencies. The proposed JPA formation under the provisions of Article 1, Chapter 5, Division 7, Title 1 (commencing with section 6500) of the Government Code of the State of California creates a separate governing authority to administer emergency and non -emergency dispatch services for member agencies. The JPA will be a legal public entity that is separate from the City of Stockton and all the member agencies. As a separate public entity, it will be responsible for its own debts, liabilities and obligations. The City of Lodi will be a party to the JPA for a minimum of a ten (10) year period. There are currently four agencies initiating the JPA. The JPA, under a future Operational Agreement with the City of Stockton, would contract to the City of Stockton ECD for dispatch services. The JPA governance structure provides for equal representation by each of the voting member agencies. The City of Lodi would appoint the Fire Chief as the City Representative to the JPA and Lathrop -Manteca Fire District, City of Lodi, City of Manteca, and City of Stockton would each appoint their fire chiefs as their representatives to the JPA Board. The JPA Board membership will be limited to the four original agencies and can include additional qualifying public agency members such as the City of Tracy, if they are a public agency and meet specific criteria that will be established by the JPA Board. The majority of the JPA Board members must approve any further expansion of the JPA Board. The JPA Board must conform to the Ralph M. Brown Act (Chapter 9 of Part 1 of Division 2 of Title 5 of the Government Code of the State of Adopt Resolution Authorizing City Manager to Execute Joint Exercise of Power Agreement between City of Lodi, Lathrop -Manteca Fire District, City of Manteca, and City of Stockton Creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA) July 15, 2015 Page 3 California (§§ 54950-54961) and all legal and financial requirements of a governmental agency in the State of California. The JPA would be responsible to provide emergency and non -emergency dispatch services to member agencies and any contracting entities. The JPA review and formation group will be recommending that the newly formed JPA contract with the City of Stockton to provide emergency and non -emergency dispatch services under an Operational Agreement between the JPA and the City of Stockton. The City of Lodi Fire Department would contract for emergency and non -emergency dispatch services through the JPA as a member agency. The members of the JPA are essentially reimbursing the City of Stockton for the cost of operating the ECD. The JPA Board could engage additional fire agencies for contract dispatch services. If other agencies become interested, the JPA Board would be responsible to confer with the member agencies to study any cost impacts to providing services to additional agencies. If the additional JPA contracting agencies cause an increase in costs to occur, the JPA would assess appropriate fees to the subsequent contract agencies to provide sufficient funding for those dispatch services. The City of Stockton retains ownership of the ECD building, communications equipment and employment of the employees working in ECD. The management of the ECD remains with the City of Stockton, under the Fire Department's Fire Chief. The services provided by the ECD to the JPA will be performance based in accordance to the national standards for fire and emergency medical services and standards of the Advanced Life Support Agreement with the San Joaquin County Emergency Medical Services Agency. The ECD Dispatch Center Manager will be the Chief Operating Officer (COO) for the JPA and provide performance reports and business information to the JPA Board. Once formed, the JPA Board of Directors will form a Transition team to work with the member agencies to develop the formal processes and agreements for an orderly transfer or sharing of any equipment, assets or funds as deemed necessary for the efficient operations of the JPA member organizations. FISCAL IMPACT: There are no major costs associated with the approval of the Joint Exercise of Powers Agreement (JPA) (Attachment B). Any initial costs associated with the development of the JPA and the Operations Agreement will be shared by the member agencies as determined and approved by the Board. The Joint Exercise of Power Agreement (JPA) will be effective thirty (30) days from adoption by all four governmental agencies and after the documents have been filed with the California Secretary of State Office. A San Joaquin County Regional Fire Dispatch Authority (Authority) preliminary budget for the initial fiscal year will be adopted within sixty (60) days after the first meeting of its Board. The budget will include projected revenues and general administrative expenses, operating expenses and necessary reserves of the Authority. Operating revenues Adopt Resolution Authorizing City Manager to Execute Joint Exercise of Power Agreement between City of Lodi, Lathrop -Manteca Fire District, City of Manteca, and City of Stockton Creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA) July 15, 2015 Page 4 and expenditures will be allocated among members of the Authority in the amounts necessary to cover the annual budget in accordance with a cost -allocation formula adopted by the Board. Under the proposed Operational Agreement, ECD's operating budget will be the basis of the Authority's annual budget. Additionally, administration and overhead, indirect costs, capital equipment and improvements, contingencies and reserves will be incorporated in ECD's annual budget. Each member and any outside entity's share of contribution to cover the Authority's annual budget will be determined and evaluated annually based on the following cost allocation formula associated with Dispatch Service Calls (DSC): Total # of DSC of Member or Ent _ % Share of Contribution Total # of DSC of all Members & Entities This cost allocation formula will allow full payment of costs associated with dispatch services provided to each member or outside entity including the new budget items such as capital equipment. As recommended in the Threshold Analysis Report, if the City of Stockton continues providing Dispatch Services for the SFD and other contracting agencies, significant investment in technology and equipment is necessary to replace and upgrade obsolete and deteriorating dispatch equipment. The FY2015-16 approved ECD budget includes an allocation of approximately $500,000 for necessary computer dispatch equipment/technology replacement and upgrades. Details of the Operational Agreement and the budget will be presented separately to the Stockton City Council for approval in fall, 2015. FUNDING AVAILABLE: Fiscal Year 2015/16 budget includes $225,000 for contracted dispatch services (10041000.72499). Jordan Ayers Deputy City Manager/Internal Services Director Attachment A - Stockton Regional Fire Threshold Analysis Report Attachment B -Joint Exercise of Power Agreement City of Stockton Stockton Regional Fire Dispatch Threshold Analysis Management Partners December 13, 2013 Mr. Jeff Piechura Fire Chief City of Stockton 425 N. El Dorado St Stockton, CA 95202 Dear Chief Piechura: Management Partners is pleased to transmit this threshold analysis of regional fire dispatch options as the City of Stockton considers next steps to reduce the General Fund contribution to its fire dispatch operation. The report describes, at a high level, existing options for fire dispatch operations in San Joaquin County. It suggests the major urbanized fire agencies may be interested in the development of an independent joint powers authority (JPA) that would either contract with the City of Stockton for regional fire dispatch services or would take over providing the services. Cost, governance and performance standards would be the most influential factors for moving forward in such an endeavor. The fire and emergency medical dispatch system in San Joaquin County is characterized by a relatively high level of regional service provision, which is a net benefit from the standpoint of obtaining economies of scale in the delivery of the service. The two major fire dispatch service providers are the City of Stockton, which provides services to the City of Stockton as well as the City of Manteca and four fire districts, and a consortium of users that contract with a dispatch service, LifeCom. LifeCom is owned by the County ambulance service provider, American Medical Response (AMR). The contract with LifeCom is administered by a JPA formed by 16 fire and emergency medical service providers. There is a fairly significant difference between the two regional providers. Stockton serves a primarily urbanized area with many more total calls for service, and it is a part of a public agency. LifeCom adapted fire dispatch functions from an emergency medical service environment and while it serves more entities than Stockton, they are primarily rural with low call volumes with one exception, the City of Tracy. LifeCom is a private business operating under contract with the County (for emergency medical dispatch) and the JPA for fire dispatch. The Stockton dispatch system services approximately 50,000 calls per year, while LifeCom handles approximately 23,000. There are other differences as well: the Stockton system has adopted and monitors performance standards while LifeCom has not. Costs also differ. Stockton's costs are considerably higher than reported for LifeCom, but LifeCom also benefits from revenue support derived from the AMR ambulance business. 1730 MADISON ROAD • CINCINNATI, OH 45206 • 513 8615400 • FAx 513 8613480 MANAGEMENTPARTNERS.COM 2107 NORTH FIRST STREET, SUITE 470 • SAN JOSE, CALIFORNIA 95131 • 408 437 5400 • FAx 408 453 6191 3152 RED HILL AVENUE, SUITE 210 0 COSTA MESA, CALIFORNIA 92626 • 949 222 1082 • FAx 408 453 6191 Mr. Jeff Piechura Page 2 The report concludes there is insufficient information to assess the capability of the current JPA (Joint Radio Users Group or JRUG) to meet the fire call handling dispatch performance requirements that would likely be required by the City of Stockton and the member agencies to whom it currently provides fire dispatch services, as well as relatively more urbanized areas such as Tracy. Based on this analysis Management Partners believes that more urbanized areas may find cooperation with the Stockton regional system to be beneficial. The report recommends that the City conduct further analysis regarding Stockton Fire Dispatch operational technology and capital equipment needs and funding options, as well as staffing costs that would be required for the Stockton Emergency Communications Division (ECD) to serve as a larger regional dispatch operation. Such a step would reduce the City General Fund support of fire dispatch operations between $400,000 and $600,000 annually. Implementation steps would include soliciting letters of interest from potential member agencies. Should sufficient interest be expressed, a working group should be established to confirm technology needs, develop capital and operational cost estimates, recommendations for administrative responsibilities in support of a JPA and an acceptable governance structure. Management Partners estimates that such a work program would require about 18 months for completion. Management Partners also recommends that the City of Stockton and other larger fire dispatch agencies within the county meet with San Joaquin County Emergency Medical Services (EMS) regarding the next EMS bid process. Regional systems providing both EMS and fire dispatch services are becoming more common as public agencies try to improve cost effectiveness. It is possible that a regional system larger than either JRUG or the Stockton system could emerge from this process, although it would require bridging the difference between dispatching standards, especially regarding fire calls. Participation would also serve to provide transparency regarding the relationship between fire dispatch costs (for 16 local agencies) and ambulance revenues (countywide). Sincerely, Gerald E. Newfarmer President and CEO 1 Threshold Analysis Table of Contents Management Partners Table of Contents ExecutiveSummary..................................................................................................................................1 Background................................................................................................................................................4 Overview of Fire Dispatch in San Joaquin County..................................................................... 4 StocktonFire Dispatch................................................................................................................5 ProjectApproach.......................................................................................................................................8 Interviews.......................................................................................................................................... 8 Documents........................................................................................................................................ 9 PeerAgency Comparisons............................................................................................................10 Governance...............................................................................................................................11 Fire Dispatch Performance Standards......................................................................................12 Peer Agency Budget, Call Volumes and Staffing.....................................................................14 Regional Fire Dispatch Options...........................................................................................................17 Stockton ECD Technology and Capital Needs..........................................................................17 Alternative Stockton Fire ECD Location..................................................................................19 Implications for Regional Fire Dispatch...................................................................................19 Alternative Fire Dispatch Options............................................................................................... 21 Option 1: Existing Stockton ECD Semi -Regional Dispatch with Full Cost Recovery from ContractAgencies..................................................................................................................... 21 Option 2: New Semi -Regional Fire Dispatch JPA (existing Stockton ECD contract agencies plus the cities of Tracy and Lodi) under contract with Stockton ECD for Fire Dispatch Services..................................................................................................................................... 25 Option 3: New Regional Fire Dispatch JPA (Stockton ECD and All County Fire Agencies) 30 Option 4: Fire Dispatch Services Provided Under Contract with JRUG.................................35 Conclusion................................................................................................................................................ 39 Attachment — Summary of Recommendations..................................................................................40 Threshold Analysis Table of Contents Management Partners Tables Table 1. Alternative Fire Dispatch Options Annual Revenue and Expenditure Projections.2 Table2. JRUG Member Agencies......................................................................................................4 Table 3. Stockton ECD Call Volume FY 2012-13.............................................................................6 Expected Annual Expenditures for Option 2.................................................................27 Table 4. Possible Stockton Staffing Structure Under a 12 -Hour Shift Schedule ...................... 7 Table 5. Regional Peers General Information...............................................................................11 Semi -Regional Fire Dispatch JPA Under Contract with Stockton ECD(with the Table 6. Regional Peers Governance Structures...........................................................................11 addition of the Cities of Tracy and Lodi)........................................................................27 Table 7. Dispatch Call Handling Standards..................................................................................12 Table 8. Fire Call Handling Standards and Actual Performance for FY 2012-13 ....................13 Table 9. Emergency Call Volumes and Expenditures..................................................................14 Table 10. AMR Emergency Ambulance Rates.................................................................................15 Table 11. Charges for Calls and Revenue for the Stockton ECD and Peer Agencies ..............16 Table12. Peer Staffing and Workload..............................................................................................16 Table 13. Additional Operating Costs Needed for Proper Replacement Schedule of Capital Itemsfor ECD.......................................................................................................................18 Table 14. One -Time Replacement Costs for Current Operations................................................18 Table 15. Capital Equipment Replacement Needs Prior to Expanding Dispatch Services ....20 Table 16. Current Operations Compared with Option 1 (Existing Stockton ECD Semi - Regional Dispatch with Full Cost Recovery from Contract Agencies) ..................... 23 Table 17. Changes in Cost for Each Participant Under Option 1 .................................................23 Table 18. Changes in Call Volumes between Current Operations and Option 2 .....................26 Table 19. Expected Annual Expenditures for Option 2.................................................................27 Table 20. Current Stockton ECD Operations Compared with Option 2 (New Expanded Semi -Regional Fire Dispatch JPA Under Contract with Stockton ECD(with the addition of the Cities of Tracy and Lodi)........................................................................27 Table 21. Changes in Estimated Participant Costs Under Option 2 ............................................28 Table 22. Changes in Call Volumes Between Current Operations and Option 3 ....................30 Table 23. Expected Annual Expenditures for Regional Fire Dispatch Services ........................31 Table 24. Current Operations Compared with Option 3 (Regional Fire Dispatch JPA - All CountyAgencies)................................................................................................................32 Table 25. Change in Estimated Participant Costs Under Option 3 ..............................................33 Table 26. Current Operations Compared with Option 4...............................................................36 ii Threshold Analysis Table of Contents Management Partners Figure Figure 1. Percent of Calls vs. Revenue Support for Stockton ECD.............................................22 iii Threshold Analysis Executive Summary Management Partners Management Partners was retained in FY 2011-12 to assist with the project management of the City of Stockton's pre -bankruptcy mediation proceedings. The contract was subsequently amended to include providing assistance in managing the City's bankruptcy proceedings. As part of this contract, we were also tasked with reviewing the City's operations to identify direct cost savings opportunities and streamlining and efficiency improvements which would result in savings or a reallocation of resources when implemented. In June 2013, the City Manager conveyed a range of recommendations to the Stockton City Council, which included the following recommendation as a possible path to reduce City fire dispatch costs: Authorize the initiation of discussions with San Joaquin fire agencies, the existing JPA (Joint Radio Users Group — JRUG), San Joaquin County and other local regional fire dispatching agencies to determine the feasibility, costs, parameters and efficiencies of participation in an existing or new entity to provide fire dispatch services to the City. The City Council approved the recommendation and Management Partners (in consultation with City fire staff) initiated a review and threshold analysis of regional dispatch options. This report presents the results of this analysis as well as four recommendations regarding next steps for the City of Stockton Fire Emergency Communications Division (Stockton ECD). During our review and analysis, we met with representatives of various fire agencies throughout San Joaquin County, County Emergency Management Systems (EMS), the Joint Radio Users Group (JRUG) Executive Board, LifeCom (the American Medical Response affiliate responsible for providing dispatch operations to JRUG) and City communications staff from both the Fire and Information Technology Departments. Important themes and issues emerged from these interviews which have informed this threshold analysis and our recommendations. While we did Threshold Analysis Executive Summary Management Partners not meet with every county fire agency or conduct a formal survey regarding fire dispatch performance, the following perspectives obtained through our interviews and discussion with the larger, more urban fire agencies will influence the eventual course to be pursued by the City of Stockton Fire Department. 1. There were varying opinions among fire agencies (DRUG members and non-members) regarding the performance of LifeCom (under contract with JRUG) as a fire dispatch operation. Neither JRUG nor LifeCom provided fire call handling performance information. Some believed the performance to be satisfactory to their needs, while others did not believe that LifeCom provided experienced fire dispatch personnel sufficient to meet the performance required of urban fire dispatch operations. 2. Some fire agencies expressed strong interest in pursuing an alternative regional fire dispatch option even if the costs were greater than those of JRUG, but only through an independent joint powers authority where they could participate equitably in operational and governance considerations. 3. The City of Stockton would need to invest significantly in technology and equipment upgrades to provide expanded regional fire dispatch operations beyond its current member agencies. However, a financial strategy for accomplishing this through potential assistance or reimbursements from an expanded semi -regional fire dispatch agency (JPA) under contract with Stockton ECD could likely be achieved. Table 1 summarizes the four options identified in this threshold analysis and compares them with current operations. Table 1. Alternative Fire Dispatch Options Annual Revenue and Expenditure Projections 2 Net Change from OperatingEstimated Total General Current 40 Fire Dispatch Options Budget Revenue Support2 Support Existing Semi -Regional Fire Dispatch by Stockton ECD $2,268,496 $371,3421 $1,897,154 N/A Option 1 Existing Semi -Regional Dispatch with Full Cost Recovery from Contract Agencies $2,333,778 $648,4403 $1,685,338 ($211,816) Option 2 New Semi -Regional Fire Dispatch JPA under contract with Stockton ECD (existing Stockton member agencies plus the Cities of Tracy and Lodi) $2,572,811 $1,074,3314 $1,498,480 ($398,674) 2 Threshold Analysis Executive Summary Management Partners 1Revenue for "existing operations" comes from charges per call and from an assessed value formula for services provided. z General Fund Support is the net cost to Stockton's General Fund. 3 Revenue for Option 1 is obtained by calculating the full cost of providing service to contract agencies per call and charging that amount. 4 Revenues for Options 2 and 3 are calculated by charging the full cost per call for all member agencies of a new JPA except for Stockton whose costs are captured in the General Fund Support column Each of these options is described in more detail in the section of this report entitled Alternative Fire Dispatch Options. This threshold analysis suggests that if the City of Stockton is not prepared to accept the fire call handling dispatch operational performance provided by LifeCom under contract with JRUG, then Management Partners recommends the following next steps: 1. Improve the current Stockton ECD operation by increasing the annual allocation to the internal service fund (ISF), which supports fire communications needs. 2. Ensure full cost recovery from existing Stockton ECD member agencies by increasing the costs per call to reflect the true cost of providing the service. 3. Complete an in-depth technology and equipment analysis to determine the financial investment that would be required for Stockton ECD to serve as regional dispatch provider under contract with an independent JPA. 4. Formally survey potential members of a regional fire dispatch joint powers authority (JPA) to determine cost and performance objectives that would need to be achieved in order to contract with Stockton ECD as the provider of fire dispatch operations. Total General angel Curren 7-ral Operating Fund FuGene Fire Dispatch Options et Revenue Suppor t2 Su 0 rt SUDDort Option 3 New Regional Fire Dispatch JPA under contract with Stockton ECD (Stockton ECD and All County Fire Agencies) $2,866,985 $1,567,3984 $1,299,587 ($597,567) Option 4 Fire Dispatch Services Provided Under Contract with JRUG $751,124 $78,221 $672,903 ($1,224,251) 1Revenue for "existing operations" comes from charges per call and from an assessed value formula for services provided. z General Fund Support is the net cost to Stockton's General Fund. 3 Revenue for Option 1 is obtained by calculating the full cost of providing service to contract agencies per call and charging that amount. 4 Revenues for Options 2 and 3 are calculated by charging the full cost per call for all member agencies of a new JPA except for Stockton whose costs are captured in the General Fund Support column Each of these options is described in more detail in the section of this report entitled Alternative Fire Dispatch Options. This threshold analysis suggests that if the City of Stockton is not prepared to accept the fire call handling dispatch operational performance provided by LifeCom under contract with JRUG, then Management Partners recommends the following next steps: 1. Improve the current Stockton ECD operation by increasing the annual allocation to the internal service fund (ISF), which supports fire communications needs. 2. Ensure full cost recovery from existing Stockton ECD member agencies by increasing the costs per call to reflect the true cost of providing the service. 3. Complete an in-depth technology and equipment analysis to determine the financial investment that would be required for Stockton ECD to serve as regional dispatch provider under contract with an independent JPA. 4. Formally survey potential members of a regional fire dispatch joint powers authority (JPA) to determine cost and performance objectives that would need to be achieved in order to contract with Stockton ECD as the provider of fire dispatch operations. Threshold Analysis Background Management Partners Overview of Fire Dispatch in San Joaquin County Prior to 2006, the City of Stockton provided fee-based dispatching services for all fire agencies and ambulance services in the San Joaquin County from their fire dispatch facility. As dispatching fees from the City continued to rise, a majority of the fire agencies in San Joaquin County migrated to the LifeCom operation for a much lower cost than they were paying the City of Stockton. The fire agencies formed JRUG, a JPA to handle dispatch billings to each agency and to make a single monthly payment to LifeCom on their behalf. JRUG also handles all radio infrastructure maintenance and purchasing via a $5.00 per emergency call assessment. LifeCom currently provides fire and EMS dispatching for the following 16 agencies. Table 2 provides an overview of each agency in JRUG. Table 2. JRUG Member Agencies RUG Member Agency Form of Government Staffing Ambulance Service Provider Municipal Fire City of Tracy Fire Department' Department Full-time Staff AMR Clements Rural Fire Protection District Fire Protection District Volunteer AMR Collegeville Rural Fire Protection District Fire Protection District Volunteer AMR Escalon Community Escalon Consolidated Fire Protection District Fire Protection District Combination Ambulance Escalon Community Farmington Fire Protection District Fire Protection District Volunteer Ambulance French Camp -McKinley Fire Protection District Fire Protection District Combination AMR Manteca District Lathrop -Manteca Fire Protection District Fire Protection District Combination Ambulance Service Liberty Rural County Fire Protection District Fire Protection District Combination AMR Linden -Peters Rural County Fire Protection Combination AMR Fire Protection District District 4 Threshold Analysis Background Management Partners RUG Member Agency Form of GovernmentT Staffing Ambulance Service Provider Volunteer Manteca District Manteca District Ambulance Service Non -Profit Ambulance Service Mokelumne Rural County Fire District Fire Protection District Combination AMR Montezuma Fire Protection District Fire Protection District Combination AMR Combination Ripon Consolidated Ripon Consolidated Fire Protection District Fire Protection District Fire Protection District Thornton Rural Fire Protection District Fire Protection District Combination AMR Waterloo-Morada Rural County Fire Full-time Staff AMR Fire Protection District Protection District Woodbridge Rural County Fire Protection Full-time Staff AMR Fire Protection District District Source: LAFCo 2011 MSR Rural Fire Protection Districts San Joaquin County report 1Tracy provides fire protection services to the community of Mountain House and the Tracy Rural Fire Protection District. Of the 16 JRUG member agencies, 14 are Fire Protection Districts, of which: • Two use full-time staff, Three use volunteer firefighters, and Nine use a combination staffing structure of both paid full-time employees and volunteer firefighters. Stockton Fire Dispatch Stockton's fire dispatch center was constructed in 1995 and was designed as a regional dispatch center, with seven workstations for call takers, dispatchers, and a supervisor. The center dispatches over 49,000 incidents per year and uses up to four workstations at a time. The Stockton ECD also performs afterhours dispatching for the City's Municipal Utilities Department. Stockton ECD provides fire dispatch services for the cities of Stockton and Manteca and the following four contract fire districts. • Boggs Tract Fire Protection District, • Eastside Rural County Fire Protection District, • Lincoln Rural County Fire Protection District, and • Tuxedo -Country Club Fire District. Each of the districts has a standing contract with the City of Stockton for fire protection and dispatch services. The contract has no end date and Threshold Analysis Background Management Partners can only be terminated with a five-year notice. The contract with the City of Manteca can be terminated with a 30 -day notice. The ECD is located at 110 W. Sonora Street (Fire Company No. 2). All of the other fire agencies in San Joaquin County, with the exception of Lodi, contract with JRUG. JRUG's operator, LifeCom is owned and operated by AMR, which also provides ambulance transport services for most, but not all of the County. The Lodi Police Department has provided fire dispatch services to the Lodi Fire Department since 2009 after transitioning from Stockton ECD. The Fire Department serves a population of approximately 63,000. LifeCom is required by the County Emergency Medical Services Agency (EMSA) to perform emergency medical dispatch (EMD). However, Stockton's ECD performs the dispatching of fire apparatus to fire and EMS calls (if required), but they do not dispatch ambulances (with rare exceptions). The breakdown of calls handled by Stockton's ECD for each entity is listed in Table 3. Table 3. Stockton ECD Call Volume FY 2012-13 Jurisdid"I.. Medical Non-Meclicalr� City of Stockton Fire Department I 28,929 I 6,883 I 35,812 72.2% Stockton Municipal Utilities Department 0 3,935 3,935 1 7.9% Boggs Tract Fire Protection District 63 14 77 0.2% Eastside Rural County Fire Protection District I 1,851 528 I 2,379 4.8% Lincoln Rural County Fire Protection District 635 184 819 1.7% City of Manteca 3,968 1,759 5,727 11.5% Tuxedo -Country Club Fire District 702 140 842 1.7% Total 36,148 13,443 49,591 100.0% 1 Medical calls are EMS -related calls to which fire paramedics and equipment are dispatched. 2 Non-medical calls are fire suppression or other non -EMS related calls. The data in Table 3 include calls that are related to fire and EMS incidents to which fire personnel and equipment are dispatched. The majority of these calls (72.2%) are attributable to the dispatch of the Stockton Fire Department. C -I Threshold Analysis Background Management Partners Stockton ECD Staffing To respond to 49,591 calls per year, Stockton currently has 14 authorized full-time equivalent (FTEs) employees in the ECD. The ECD currently operates on a 24-hour shift schedule, but is considering the benefits of migrating to a 12 -hour shift schedule. Stockton staff estimates that it may be possible to transition to a 12 -hour shift schedule with no change in service level or staffing levels. Table 4 provides a listing of a possible staffing structure under a 12 -hour shift schedule. Table 4. Possible Stockton Staffing Structure Under a 12 -Hour Shift Schedule The staffing level for 12 -hour shifts would allow for four shifts with: One supervisor per shift, Two fire telecommunicator positions per shift Two floater fire telecommunicator positions Current response times (performance levels) are discussed later in this report. Staff does not estimate that they would change as a result of a transition from a 24-hour to a 12 -hour shift schedule. 7 OperationsStaff Current Fire Telecommunications Supervisors 4 Fire Telecommunicator II 10 Total FTEs 14 The staffing level for 12 -hour shifts would allow for four shifts with: One supervisor per shift, Two fire telecommunicator positions per shift Two floater fire telecommunicator positions Current response times (performance levels) are discussed later in this report. Staff does not estimate that they would change as a result of a transition from a 24-hour to a 12 -hour shift schedule. 7 Threshold Analysis Project Approach Management Partners Interviews Two primary parameters, cost and performance, were considered when we analyzed fire dispatch options for the City of Stockton. While cost is a critical factor, another is the level of service Stockton might receive for the price it is willing to pay if it contracts with another entity for fire dispatch. This section describes our approach to gathering information, which informed our recommendation and analysis, as well as a brief comparison of Stockton's ECD and selected peers. The scope of this project did not provide for interviews or surveys of every stakeholder who may have an interest in fire dispatch in San Joaquin County. Rather, we focused on a select number of interviews in order to provide an overview of dispatch options and factors which will need to be considered by the City of Stockton. Interviews included the following: • General Manager, San Joaquin County Operations & LifeCom Communications (AMR) • Director of Communications — EMS & Fire Dispatch (AMR) • Ripon Fire District Fire Chief (DRUG Executive Board) • Montezuma Fire District Fire Chief (JRUG Executive Board) • Mokelumne Rural Fire District Fire Chief (JRUG Executive Board) • City of Tracy Fire Division Chief • City of Manteca Fire Chief and Battalion Chief • City of Lodi Fire Chief • San Joaquin County EMS Administrator • Director, Redwood Empire Dispatch Communications Authority (REDCOM) Fire & EMS Dispatch (AMR) • City of Stockton Fire Chief and ECD staff • City of Stockton Police Department and Information Technology Department staff H. Threshold Analysis Project Approach Management Partners General themes that emerged as a result of the interviews included: 1. Varying opinions about the performance of LifeCom as a fire dispatch operation. Some entities (typically smaller fire districts) expressed satisfaction with their fire dispatch performance, while larger entities with more active or complex fire dispatch needs believed LifeCom did not provide the depth of experience required to meet their performance standards. 2. General concerns about the training of LifeCom dispatching personnel in fire call handling and the lack of in-depth knowledge of San Joaquin County geography required to support fire dispatch. 3. Receptivity by the JRUG Executive Board and LifeCom to meeting with Stockton and discussing the provision of fire dispatch to the city. Specific terms and conditions were not discussed, although there was agreement that the current costs of service would be the same for Stockton through the end of the current contract with LifeCom in 2016. 4. A lingering, and in some cases, strong distrust of the City of Stockton based on the regional dispatch service provided by the City until 2006. The distrust was not based on service, but rather on cost, governance, and interagency communication. 5. Strong interest by some of the larger fire agencies in not joining JRUG for fire dispatch services based on unsatisfactory views of LifeCom performance, experience, and lack of responsiveness to improve operations, in spite of the lower cost. 6. Interest by some of the larger fire agencies in possibly contracting with Stockton Fire for fire dispatch services through a JPA, depending on cost and governance considerations. Documents Management Partners reviewed a range of documents as part of our analysis, including: • Fire dispatch standards, locally and nationally • City of Stockton ECD budget and fire call handling performance • San Joaquin County Local Agency Formation Commission (LAFCo) Municipal Services Review regarding rural fire protection districts • Grand Jury Reports regarding emergency dispatch protocol in San Joaquin County • San Joaquin County EMS policies Threshold Analysis Project Approach Management Partners • REDCOM FY 2013-14 Annual Budget and actual fire call handling performance measures • REDCOM JPA Agreement • REDCOM fire/EMS dispatch contract with AMR • JRUG Annual Budget • JRUG JPA Agreement • JRUG Contract and addendum for dispatch services with AMR/LifeCom • AMR/LifeCom contract with San Joaquin County for EMS dispatch Management Partners requested fire dispatch performance measures, staffing information, and budget information regarding the actual cost of providing dispatch services from LifeCom; however, none of the information was provided. Peer Agency Comparisons To help inform our analysis, Management Partners sent a survey to the following agencies to gather basic fire dispatch budget, performance and staffing information. • Joint Radio Users Group (JRUG) • Redwood Empire Dispatch Communications Authority (REDCOM) - A JPA located in Sonoma County under contract with AMR to provide fire and EMS dispatch services to 31 agencies including cities, fire protection districts, community service districts providing fire protection services, and public and private ambulance providers. • Sacramento Regional Fire EMS Communications Center (SRFECC) - A JPA providing EMS and Fire dispatch with public employees to nearly all of Sacramento County and parts of Placer County. • Stanislaus Regional 911 (RS911) - SR911 is a JPA between the City of Modesto and Stanislaus County which provides Fire and law enforcement dispatch services to 22 agencies within the County. SR911 is staffed by public Employees from Stanislaus County. • Santa Cruz Regional 911 • Alameda County Regional Emergency Communication Center. Santa Cruz Regional and Alameda County Regional declined to participate and JRUG provided only partial responses. Table 5 provides general peer information from the responding agencies. 10 Threshold Analysis Project Approach Management Partners Table 5. Regional Peers General Information IndicatorsKey Cost Recovery Methodology and Governance Structure Stockton • rates for EMS and non -EMS related calls. Some agencies pay for fire dispatch along with other services Service Population 407,383 220,189 480,000 1,366,444 404,716 Governance Model Municipal JPA JPA JPA JPA In-house or Contracted Operations In-house Contracted Contracted In-house In-house Private or Public Employees Public Private Private Public Public Service Calls Dispatched Fire Fire Fire, EMS Fire, EMS Fire, Police, Sheriff Fire Dispatch Performance Standards? Yes No Yes No No Two peer agencies (SRFECC and SR911) perform dispatch services in- house with public employees. The other two peer agencies (JRUG and REDCOM) provide dispatch services through a contract with AMR, who uses non-public employees to provide dispatch services. Of the four peers, only REDCOM has adopted and therefore reported performance standards for fire call handling. Governance Each peer agency analyzed is governed slightly differently in terms of cost recovery methodology and governance structure. Table 6 describes the differences among the peer agencies. Table 6. Regional Peers Governance Structures Agency Cost Recovery Methodology and Governance Structure Stockton Cost Recovery: ECD receives support from the City's General Fund and charges different cost per call rates for EMS and non -EMS related calls. Some agencies pay for fire dispatch along with other services provided by the City of Stockton through a calculation involving a portion of ad valorem revenue. Governance Structure: Stockton provides fire dispatch through a contract to other agencies. The City is responsible for operational decisions about fire dispatch. JRUG Cost Recovery: JRUG charges member agencies separate rates for fire dispatch and EMS calls in addition to a flat fee per call based on a contract negotiated with LifeCom (AMR). (AMR management acknowledges that ambulance revenues offset some portion of fire dispatch costs.) Governance Structure: JRUG is a JPA that contracts fire dispatch services through AMR/LifeCom. The Board consists of one representative (a director) from each member agency. Each director has one vote when determining policy decisions. REDCOM Cost Recovery: REDCOM charges the same cost per call rate for all calls dispatched to each member agency of the JPA. REDCOM also levies a tiered base fee determined by the annual call volume of each member agency. (REDCOM contracts with AMR for fire and EMS dispatch.) Governance Structure: REDCOM is governed by a seven member Board of Directors with a complex representation structure from member agencies. 11 Threshold Analysis Project Approach Management Partners Agency Cost Recovery Methodology and Governance Structure SRFECC Cost Recovery: SRFECC member agencies divide operating costs based upon each respective agency's Association (NFPA) percentage share of call volume. Governance Structure: SRFECC provides a weighted vote for member agencies in policy decisions equivalent to the percentage of overall call volume. SR911 Cost Recovery: The JPA between the City of Modesto and Stanislaus County splits dispatching costs based Number Association on population. The County made separate agreements with five contracting cities ("cost-sharing (NENA) members") to split their dispatching costs by charging them 25% based on population and 75% on incident count/call volume. The County discounts these five contracting cities 11.6% for their fire California 9-1-1 Emergency dispatch. Also, SR911 has separate contracts with Oakdale City Fire and the County's Probation Communications Division Department. Governance Structure: SR911 is administered and governed by a seven -member Commission composed of elected and appointed officials from Stanislaus County and the City of Modesto. The differences in cost recovery methodologies and governance structures within the peer group offer many alternatives. If Stockton were to become a regional fire dispatch operation through a JPA, new members would need to consider which of these options (or any combination thereof) would work best for them. Fire Dispatch Performance Standards Management Partners found several organizations that support emergency dispatch. However, there were only three that readily publish dispatch call handling standards. The organizations and some related standards are listed in Table 7. Table 7. Dispatch Call Handling Standards Note: NFPA has more detailed standards than those listed in this table; however they are not relevant to the scope of this project. 12 .. . National Fire Protection 0 95% of alarms received on emergency lines shall be answered within 15 seconds Association (NFPA) 0 99% of alarms received shall be answered within 40 seconds • 80% of emergency alarm processing shall be completed within 60 seconds • 95% of alarm processing shall be completed within 106 seconds National Emergency • 90% of all 911 calls arriving at the Public Safety Answering Point (PSAP) shall be Number Association answered within 10 seconds during the busiest hour (the hour each day with (NENA) the greatest call volume) • 95% of all 911 calls should be answered within 20 seconds California 9-1-1 Emergency . 100% of 911 calls shall be answered within 10 seconds during the busiest hour Communications Division of any shift Note: NFPA has more detailed standards than those listed in this table; however they are not relevant to the scope of this project. 12 Threshold Analysis Project Approach Management Partners Among the agencies included in this report, only Stockton and REDCOM provided standards and actual performance. SRFECC and SR911 reported that they do not track performance of fire dispatch call handling. JRUG indicated that fire dispatch standards are currently being considered; however, none were adopted at the time of our research. Table 8 lists the standards and measures for fire call handling for Stockton and REDCOM. Table 8. Fire Call Handling Standards and Actual Performance for FY 2012-13 Agency01 ... and Actual Performance mm Stockton ECD1 Goal: 90% of emergency alarms processed shall be within 60 seconds Actual: 93.9% of emergency alarms processed within 60 seconds Goal: 95% of emergency alarms processed shall be within 90 seconds Actual: 97.3% of emergency alarms processed within 90 seconds REDCOM Goal: 90% of emergency alarms processed shall be within 70 second S2 Actual: 93% of emergency alarms processed within 60 seconds Goal: 100% of 911 calls shall be answered within 10 seconds' Actual: 99.3% of 911calls are answered within 10 seconds 1 Stockton's performance standards are based on NFPA standard 1221, section 7.4.2. In 2013, NFPA updated their goals. While Stockton has not updated their goals to match this change, their percentage of meeting goals would increase due to the standard being less stringent. 2This standard is loosely based on NFPA 1221 3 This standard is based on California 911Emergency Communications Division In FY 2012-13 the Stockton ECD exceeded both the 60 and 90 -second thresholds for call processing performance standards. REDCOM exceeded its goal of processing alarms but barely fell short of answering all calls within its goal of 10 seconds. These data indicate that Stockton ECD is currently operating at or above nationally recognized standards for fire call handling and on par with at least one peer agency. As mentioned previously, JRUG has not adopted fire call handling standards nor has LifeCom published or provided actual performance. As a result, it is not possible to compare the standard of service that would be lost or gained if Stockton were to join JRUG and contract with AMR for fire dispatch services. The complexity of fire dispatching varies greatly between urban and rural areas. Fire dispatch in an urban environment is more likely to have higher call volumes, multiple and simultaneous responses, more complex responses often requiring coordinated action with law enforcement, specialized knowledge when dispatching in response to a hazardous materials spill, and multi-level structure fires. Rural fire dispatch, on the 13 Threshold Analysis Project Approach Management Partners other hand, typically experiences lower call volumes, fewer simultaneous apparatus responses, and less complexity regarding the type of structures requiring fire suppression. As a result, fire dispatchers in urban areas need additional training and more in-depth experience to provide and meet the performance expected by fire agencies in that type of environment. Peer Agency Budget, Call Volumes and Staffing Table 9 provides an overview of call volumes and expenditure data for the Stockton ECD and regional dispatch peer agencies. Call volumes listed below include calls related to fire and EMS incidents to which fire protection agencies were dispatched. SR 911 call volumes are much higher as they include law enforcement dispatch in addition to fire. Table 9. Emergency Call Volumes and Expenditures IndicatorsKey . Total Operating and Capital Budget $2,268,4961 $441,996' $3,297,344 $8,003,132 $8,276,476 Total Call Volume 49,5914 23,454 82,176 166,625 328,1625 Cost per Call Estimate $45.74 $18.85' $40.13 $48.03 $25.22 1Stockton ECD FY2013-14 adopted budget 2JRUG's operating and capital budget is reflective of the JPA's operating expenditures, but notAMR's actual operating costs. 3Call volumes include all calls handled by each dispatch center except forJRUG which include only fire related dispatch calls 4 Stockton's call volume includes dispatch calls (fire and non-medical) for the City of Manteca, four fire protection districts, and Stockton's Municipal Utilities Department. 5 SR911 dispatches fire and law enforcement but not EMS. 6Cost per call is an estimate calculated by dividing an agency's annual budget by the annual call volume. 7 JRUG does not charge $18.85 per call for all member agencies. This cost per call is an estimate calculated by dividing the total budget by the total call volume. The "cost per call" should not be considered equivalent to the actual "charge per call" by a particular agency. For illustrative purposes, the "cost per call" is the amount estimated to provide dispatch service by a regional agency for each phone call based on the total budget divided by the total call volume. The "charge per call" would be the actual amount an agency bills for each call. These amounts are not always the same due to a number of factors including not charging for full cost recovery and differing methods of determining reimbursement for services. For the purposes of this study, we divided total budgets by total call volume (as described above). Stockton's estimated cost per call of $45.74 is between REDCOM's and SRFECC's cost per call of $40 and $48, respectively. SR911's estimated cost per call ($25.22) is much lower mainly due to the significantly higher 14 Threshold Analysis Project Approach Management Partners call volume and a relatively small staff (for the volume of calls handled). See Table 12 for staffing detail. JRUG's cost per call estimate ($18.85, calculated by dividing the operating budget by total call volume) is the lowest of the peers but it does not reflect the actual LifeCom operational budget for providing fire dispatch services to JRUG. Their budget was not provided to Management Partners. Management Partners believes that the cost per call estimate obviously does not reflect the true cost of fire dispatch service as AMR likely supports and offsets fire dispatch operating costs through its San Joaquin County EMS contract. Table 10 lists the difference in ambulance transport rates between Sonoma and San Joaquin counties, both provided by AMR. It also provides the ambulance rates for the other two peer agency counties. Table 10. AMR Emergency Ambulance Rates Rates onoma County San JoaquinCounty Basic Life Support (BLS) Rate $1,239.62 $1,733.89 40% Advanced Life Support (ALS) Rate $1,600.59 $2,033.15 27% Mileage (per mile) $34.54 $43.14 25% Night Charge $107.20 $143.44 34% Emergency Charge $176.55 N/A N/A Oxygen Charge $149.98 $126.90 -15% Average Difference I 22% On average, AMR's San Joaquin County rates are 22% higher than in Sonoma County although there may be some regional cost differences that account for this. As noted in Table 6, these significantly higher rates, combined with the seemingly unsustainable, low cost for fire dispatch charged to JRUG by AMR (see charges listed in Table 11) indicate that ambulance revenue is offsetting fire dispatch costs for JRUG members. Stockton residents transported by AMR are therefore helping subsidize fire dispatch operations for JRUG members through their ambulance rates. The support of fire dispatch operations from ambulance transport fees is not unique however. For example, RECDOM staff indicated that AMR initially subsidized fire dispatch operations in Sonoma County in the amount of about $600,000 annually. However, that subsidy is no longer 15 Threshold Analysis Project Approach Management Partners in effect and the result is a charge for full cost recovery. The current charge per call for fire and EMS dispatch for REDCOM members is approximately $57. Charges for calls and associated revenue for the Stockton ECD and its peers are listed in Table 11. Table 11. Charges for Calls and Revenue for the Stockton ECD and Peer Agencies Key Indicators Stockton JRUG REDCOM Charge per Call to Member $10.75 Medical $10.95 EMS $571 N/A' N/A' Agencies $21.49 Non -Medical $21.90 Fire Annual Revenue $371,342 $448,215 $3,178,763 $8,003,132 $7,543,189 23,454 82,176 r EDCOM s charge per coli is coicuiarea using a jive- year average of caii volume ano rorai ouager suosiaizea wirn reserves. 2 SRFECC does not track or charge a cost per call to member agencies. Operating cost contributions are a pro -rata share of the total call volume and total operating costs. 3 SR911 does not track or charge a cost per call. SR911 uses a complex cost-sharing methodology for participating agencies to recoup operating costs. This cost per call calculation was based upon the FY 2012-13 operating budget and total call volume, including the influx of law enforcement calls. Table 12 identifies total call volume and staffing for the Stockton ECD and its peers. Table 12. Peer Staffing and Workload Volume/Staff StocktonCall . Total Call Volume 49,591 23,454 82,176 166,625 328,162 Call -Taker FTEs N/A - N/A 6 3 Dispatcher FTEs 10 - 20 30 36 Supervisor FTEs 3 - 5 7 4 Total FTEs processing calls' 142 - 25 43 43 Calls per staff per year 3542 - 3,287 3,875 7,632 Note: "N/A" = Not Applicable; Hyphen (-) = Information not available 1 Call takers, dispatchers and supervisors all process calls. z Stockton's FTE count is based on a possible change to a 12 -hour shift schedule instead of their current 24-hour shift schedule. Similar to the cost per call, workload for Stockton is on par with RECDOM and SRFECC. Workload for SR911 is much higher due to higher call volume and relatively small staff. JRUG did not provide staffing information and therefore their workload could not be determined. 16 Threshold Analysis Regional Fire Dispatch Options Management Partners As a follow-up to the City Council's direction to look at efficiencies to be gained from contracting with JRUG to reduce fire dispatch costs, Management Partners analyzed additional fire dispatch models with the goal of identifying those that would save operating costs and still provide a level of service acceptable to the City and the community. In conjunction with City fire staff, the following options were identified for further analysis: 1. Existing Stockton ECD semi -regional dispatch with full cost recovery from contract agencies, 2. New expanded semi -regional fire dispatch JPA under contract with Stockton ECD to provide services to existing contract agencies with the addition of the cities of Tracy and Lodi, 3. New regional fire dispatch JPA under contract with Stockton ECD to provide fire dispatch to all County fire agencies, and 4. Fire dispatch services provided by JRUG to Stockton ECD. Options 2 and 3 include costs to provide administrative and management support of a JPA by the City of Stockton. These costs were used because salary and benefit data were readily available; however, such support could be provided by any JPA member agency. Stockton ECD Technology and Capital Needs Should Stockton choose to retain its ECD, according to City and Police technology staff, technology and equipment needs must be addressed within the next two to three years. Not doing so will risk even higher costs or possibly equipment failure. The ECD operates with a variety of technical machinery and equipment ranging from computer-aided dispatch (CAD) equipment, radio systems, alerting systems and telephone systems. Internal service funds (ISF) primarily support these systems funded by annual allocations from the Stockton Fire Department. Of course, allocations have been insufficient over the last several years as a result of the City's financial issues and bankruptcy. 17 Threshold Analysis Regional Fire Dispatch Options Management Partners Management Partners worked with Stockton ECD and the Information Technology Department to determine which capital assets were not receiving enough annual funding to be replaced at the appropriate time. Table 13 lists those items and the additional resources needed to meet the proper replacement schedule to maintain fire dispatch equipment and technology. Table 13. Additional Operating Costs Needed for Proper Replacement Schedule of Capital Items for ECD TechnologyEquipment and CAD Workstations $2,100 Replace Motorola Gold Elite Radio System with IP -Based Radio System $36,364 Zetron Alerting System" $6,818 Telephone System $57,143 Logysis CAD Software and Server $20,000 Total (Net Telephone System) s $65,282 The Zetron Alerting System total cost for replacement is $150,000, but only 50% of the cost is the responsibility of the ECD. To maintain a proper replacement schedule for capital equipment, City staff estimates that the ISF requires additional funding of about $65,282 annually. Once the replacement schedule is back on track, this will ensure that equipment is replaced before the useful life has been exceeded. In addition to ensuring adequate funding on an ongoing basis, additional one-time funds will be needed by 2016 to replace the Motorola Gold Elite Radio System with an IP (Internet Protocol) -based radio system. The current system is over 10 years old and in 2016 it will no longer be supported by the vendor. In addition, the Sheriff has already upgraded to an IP system and can only communicate with Stockton on one older system it left in place for that purpose. Eventually however that system will be eliminated. The City will also need to replace the CAD workstations and telephone system in the next few years; however since the ISF is not sufficient for the replacement when these systems reach end of life status, additional one-time amounts will be needed to purchase these systems. The estimated amounts to replace these systems are listed below in Table 14. Table 14. One -Time Replacement Costs for Current Operations Technology.Equipment and .. 5 CAD Workstations $16,665 Replacement of the Motorola Gold Elite Radio System" $350,000 Telephone System $200,000 to $400,000 Total $566,665 to $766,665 18 Threshold Analysis Regional Fire Dispatch Options Management Partners 1 The replacement of the Motorola Radio system is estimated to be $50,000 per system and $100,000 for the "switch" that allows them to communicate. The equipment detailed above would allow Stockton to continue current operations without adding capacity. Recommendation 1. Confirm technology replacement schedule needs and funding requirements and increase the annual allocation to the internal service fund. Alternative Stockton Fire ECD Location As part of our analysis, Management Partners had an opportunity to tour the new Police Dispatch Center located at the Stuart Eberhardt Building (SEB). This modern facility was in stark contrast to the existing Fire ECD in terms of ambience, layout, and functionality. While outside the scope of this analysis, there appeared to be space available to house the Fire ECD in an alternative location which would provide a much better environment for fire dispatch employees as well as opportunities for cross -training, and efficiencies regarding initial call -taking and supervisory oversight. If the Police Department agreed that space was indeed available and there were efficiencies to be achieved, the capital costs for moving the Stockton ECD to this facility would need to be analyzed and estimated. This would likely also have to include the cost of maintaining a secondary emergency operations back-up center at Fire Station 1. Recommendation 2. Analyze the costs and benefits of moving the Fire ECD to the Police Dispatch Center in conjunction with any steps to implement a regional fire dispatch operation. Implications for Regional Fire Dispatch While the ECD must invest an additional $65,282 annually (Table 13) to keep up with the replacement schedule, any plans for further regionalization will require an investment of $670,000 to $870,000 to purchase the necessary equipment needed to handle the increased call volume and service area. Table 15 lists the immediate capital needs and associated costs necessary to support regional fire dispatch services, as provided by Stockton staff. 19 Threshold Analysis Regional Fire Dispatch Options Management Partners Table 15. Capital Equipment Replacement Needs Prior to Expanding Dispatch Services i ne repiacemenr of me iwororoia naaio sysrem is esumarea ro oe >Su,uuu per sysrem ona >iuu,uuuror me swrcn that allows them to communicate. This amount of up -front funding will be hard to find within the current Stockton budget environment and may present a significant obstacle to pursuing a regional fire dispatch JPA with services provided by the Stockton ECD. However, if funding can be obtained, the agencies joining the JPA should share in the cost based on their respected workload (call volume). This would reduce the overall burden on Stockton's General Fund to meet these needs. Recommendation 3. Develop a detailed regional fire dispatch technology needs assessment and funding plan prior to entering into discussions with potential JPA member agencies. Radios and Connectivity Another challenge to establishing Stockton ECD as a regional fire dispatch operator involves radios and information connectivity. While Lodi's Fire Department has their own radios, Tracy would need to return their radios to JRUG as JRUG owns this equipment. The number of radios needed and the cost of each radio is unknown as it was beyond the scope of this analysis. In addition to radios, direct internet connectivity between Stockton's ECD and additional fire stations would need to be established. These connections allow the secure transmission of CAD and reporting data between the dispatch center and each fire station. This additional cost would also need to be analyzed and verified for each station before offering services beyond Stockton's current ECD members. Recommendation 4. Conduct an inventory of radio and connectivity requirements to enable Stockton ECD to service as a regional dispatch center. Assistance from potential JPA member agencies will be required to do so. 20 Threshold Analysis Regional Fire Dispatch Options Management Partners Recommendations two and three would only be initiated if the City of Stockton receives sufficient interest and support for leading a regional dispatch model governed by a JPA in which Stockton ECD would provide fire dispatch services. Alternative Fire Dispatch Options The following describes the staffing implications and operating costs for each alternative fire dispatch option. Each option where the Stockton ECD provides the fire dispatch assumes the additional operating cost required to sustain an appropriate capital replacement plan. However, capital equipment replacement costs of between $620,000 and $820,000 are not included and would need to be addressed for any expanded regional fire dispatch operation to be provided by Stockton ECD. Option 1: Existing Stockton ECD Semi -Regional Dispatch with Full Cost Recovery from Contract Agencies Stockton charges $10.75 for medical related fire calls and $21.49 for non- medical related fire calls. However, because Stockton's estimated cost per call is much higher than it charges its contract agencies, the Stockton ECD is not capturing the full cost of providing dispatch services. Therefore the balance of the cost is borne by Stockton's General Fund. Figure 1 illustrates this trend. 21 Threshold Analysis Regional Fire Dispatch Options Management Partners Figure 1. Percent of Calls vs. Revenue Support for Stockton ECD 100% 75% 50% 25% 0% 72.2% Calls $371,342 13,779 $1,897,154 (General 35,812 Fund Support) ■ Stockton ■ Other Agencies Revenue Support The City of Stockton's 35,812 calls account for 72.2% of the ECD's workload but the General Fund supports 83.6% of its operations. Conversely, contract districts make up almost 28% of the call workload but as a whole only contribute $371,342, or approximately 16% of expenditures. Option 1 assumes that Stockton's ECD continues to provide dispatch services to the City of Stockton, the Stockton Municipal Utilities Department, the City of Manteca, Boggs Tract Fire Protection District, Eastside Rural County Fire Protection District, Lincoln Fire Protection District, and Tuxedo -Country Club Fire District. However, it includes increased revenue as a result of increasing contract costs to contract agencies for their fair share of providing fire dispatch services, based on call volume. Table 16 provides the improved operational cost recovery that Stockton might expect from this strategy. 22 Threshold Analysis Regional Fire Dispatch Options Management Partners Table 16. Current Operations Compared with Option 1 (Existing Stockton ECD Semi -Regional Dispatch with Full Cost Recovery from Contract Agencies) 1 This is the difference between the average of the current medical and non-medical charges ($16.12) and the new rate of $47.06. 2 The revenue is calculated by multiplying the contract agencies call volume (excluding Stockton) by the cost per call. Stockton's contribution is captured by General Fund support. If Stockton were to charge one flat rate per call and increase charges to cover the full cost of providing Fire dispatch services to its current contract agencies, the cost for most participants would increase. Table 17 illustrates the differences in costs for each participant under Option 1. Table 17. Changes in Cost for Each Participant Under Option 1 Current Operations Option Estimated Net Change from Current General Fund Support Operating Budget $2,268,496 $2,333,778 $65,282 Call Volume 49,591 49,591 0 Cost per Call $45.74 $47.06 $1.32 FTEs 14 14 0 Charge per Call $10.75 Medical $21.49 Non -Medical $47.06 $30.941 Revenue $371,342 $648,4402 $277,098 General Fund Support $1,897,154 $1,685,338 ($211,816) Performance 93.9% of emergency alarms processed within 60 seconds 97.3% of emergency alarms processed within 90 seconds No Change No Change 1 This is the difference between the average of the current medical and non-medical charges ($16.12) and the new rate of $47.06. 2 The revenue is calculated by multiplying the contract agencies call volume (excluding Stockton) by the cost per call. Stockton's contribution is captured by General Fund support. If Stockton were to charge one flat rate per call and increase charges to cover the full cost of providing Fire dispatch services to its current contract agencies, the cost for most participants would increase. Table 17 illustrates the differences in costs for each participant under Option 1. Table 17. Changes in Cost for Each Participant Under Option 1 1 Current costs are based on the FY 2012-13 City of Stockton General Fund support for the Stockton ECD and unaudited revenues from the contract agencies. 2 Option 1 Costs are based on a charge of $47.06 per call. 23 Option 1 Annual Cost Annual Call Volumes FY 2012-13 Fire DispatchAgency City of Stockton 35,812 $1,897,154 $1,685,338 ($211,816) -11% City of Manteca 5,727 $80,622 $269,513 $188,891 234% Stockton Municipal Utilities Department (MUD) 3,935 $84,715 $185,181 $100,466 119% Eastside Rural County Fire Protection District 2,379 $88,279 $111,956 $23,677 27% Tuxedo -Country Club Fire District 842 $46,235 $39,625 ($6,610) -14% Lincoln Fire Protection District 819 $69,583 $38,542 ($31,041) -45% Boggs Tract Fire Protection District 77 $1,907 $3,624 $1,717 90% 1 Current costs are based on the FY 2012-13 City of Stockton General Fund support for the Stockton ECD and unaudited revenues from the contract agencies. 2 Option 1 Costs are based on a charge of $47.06 per call. 23 Threshold Analysis Regional Fire Dispatch Options Management Partners Costs for most participants would increase as a result of a change in the formula for assessing the service or a transition to a cost per call formula. The City of Stockton would see a decrease in operational costs because the cost for providing the service to other contract agencies would be based on full cost recovery. The changes for the four fire protection districts currently under contract with the City of Stockton (Eastside, Tuxedo -Country Club, Lincoln and Boggs Tract) vary widely. This is because their current service costs are based on a formula that includes gross taxable property value and does not take into account actual service levels. Changing to a cost formula that only accounts for service level and not property values will affect each district differently (as seen above in Table 17). The costs for the City of Manteca and the Municipal Utilities District vary greatly. Stockton currently charges two different rates for medical and non-medical calls and the mix of medical and non-medical calls for these agencies is significantly different. Benefits of Option 1 Retains local control over fire dispatch service and performance standards within the City of Stockton. Increases operational revenue to offset ongoing costs. Challenges of Option 1 • Does not reduce Stockton ECD operating costs significantly. • Contract agencies may not agree to increase costs. • Does not support a complete regional governance model for fire dispatch services in San Joaquin County which likely leads to innovation, efficiencies and cost avoidance over the long term. • To increase current member fire protection districts' cost per call would require an evaluation of current contract parameters and a renegotiation of the fee. Each agreement currently stipulates that fire protection services will be rendered indefinitely until either party, with or without cause, terminates the contract by providing a five-year notice. Without negotiating a new fee for fire dispatch, Stockton ECD will not be able to recover full cost recovery from these fire protection districts for another five years, pending official notice. Recommendation 5. Meet with current Stockton ECD contract agencies to develop a plan for increasing call rates to ensure full cost recovery for the services 24 Threshold Analysis Regional Fire Dispatch Options Management Partners provided. Prior to meeting, call volume numbers should be confirmed. Option 2: New Semi -Regional Fire Dispatch JPA (existing Stockton ECD contract agencies plus the cities of Tracy and Lodi) under contract with Stockton ECD for Fire Dispatch Services Option 2 provides a scenario where Stockton ECD would provide fire dispatch services through a JPA to its existing contract agencies as well as the cities of Tracy and Lodi. If a change in fire dispatch operations were to be pursued, both the cities of Tracy and Lodi indicated a preference to contract with a JPA where Stockton ECD provided fire dispatch services over contracting with JRUG, even at an increased cost. Both cities indicated that the governance and cost structure (including operations and capital), as well as performance standards would have to be acceptable before considering such an option. The City of Tracy currently is a member of JRUG and receives EMS and fire dispatch services through its private operator, AMR/LifeCom. While AMR maintains a contract with JRUG until May 1, 2015 to provide fire and EMS dispatching for its member agencies, the City of Tracy retains the right to withdraw membership from JRUG at the end of any fiscal year so long as it provides written notice of its intentions to terminate to the JRUG Board no later than December 31 prior to the termination of the fiscal year in which the City intends to withdraw. The City of Lodi is the only municipality in which fire calls are dispatched by its police department. Due to a settlement agreement between the cities of Stockton, Lodi and the County Emergency Medical Services Agency (EMS), the City of Lodi is not permitted to directly contract with Stockton for fire dispatch services; however, Lodi indicated it would be open, and permissible for them to consider joining a regional JPA for fire dispatch provided by Stockton. Based on the current cost structure provided by LifeCom and relative satisfaction of the smaller fire districts with the service provided (although no survey was conducted of all the member agencies), it is unlikely that any of the other agencies would consider a change in fire call handling before a new contract for EMS and fire dispatch services is bid by San Joaquin County in 2015 for the current contract (which expires in 2016). 25 Threshold Analysis Regional Fire Dispatch Options Management Partners Call Volumes, Staffing and Budget Should a JPA be created and Lodi and Tracy join, call volume will increase. In order to handle this increase, ECD's staffing and expenditures are expected to increase as well. Expected call volumes are listed in Table 18. Table 18. Changes in Call Volumes between Current Operations and Option 2 Agency Stockton ECD Stockton Fire 35,812 Current Contract Agencies 13,779 Total Current Stockton ECD 49,591 Semi -Regional Fire Dispatch Stockton Fire 35,812 Current Contract Agencies 13,779 Tra cy 5,946 Lodi I 5,946 Option 2 Total Call Volume 61,483 % increase from Current Operations 24% 1 Call volumes for Stockton, current contract agencies and Lodi are based on FY 2012-13 actual call volumes. Tracy's call volume is based on the average used by JRUG to determine costs. To handle the increased call volume, Management Partners estimates an increase of three Telecommunicator I position will be needed (from 14 to 17). This is a 21% increase, corresponding to a 24% increase in workload. Adding staff is needed to remain at current performance levels while handling the increased volume of work. In addition to increased staffing to handle fire call taking, Management Partners believes that additional Fire Department staff time would need to be allocated to the administration of a new regional fire dispatch JPA. For estimating purposes, we have added additional personnel costs for a half-time administrative analyst and 20% of a deputy chief. The breakdown in expected increased costs is provided in Table 19. 26 Threshold Analysis Regional Fire Dispatch Options Management Partners Table 19. Expected Annual Expenditures for Option 2 1 Personnel costs include salaries and benefits at the entry level for new employees Option 2 Estimated Costs and Revenues If Stockton were to provide semi -regional fire dispatch through a JPA, the JPA should charge members the full cost of providing the service. This would reduce the Stockton General Fund burden for fire dispatch by having members pay for full cost recovery and by increasing the economies of scale. The differences between Stockton's current ECD operations and Option 2 are listed in Table 20. Table 20. Current Stockton ECD Operations Compared with Option 2 (New Expanded Semi -Regional Fire Dispatch JPA Under Contract with Stockton ECD(with the addition of the Cities of Tracy and Lodi) AmountItem Current Operating Budget $2,268,496 Increase for Capital Replacement Program $65,282 Part Time Administrative Analyst' $31,955 20% of Deputy Fire Chief' $30,573 3 Telecommunicator 1' $176,505 Total $2,572,811 1 Personnel costs include salaries and benefits at the entry level for new employees Option 2 Estimated Costs and Revenues If Stockton were to provide semi -regional fire dispatch through a JPA, the JPA should charge members the full cost of providing the service. This would reduce the Stockton General Fund burden for fire dispatch by having members pay for full cost recovery and by increasing the economies of scale. The differences between Stockton's current ECD operations and Option 2 are listed in Table 20. Table 20. Current Stockton ECD Operations Compared with Option 2 (New Expanded Semi -Regional Fire Dispatch JPA Under Contract with Stockton ECD(with the addition of the Cities of Tracy and Lodi) 1The difference in charge per call is calculated by subtracting the average cost per call for current operations ($16.12) from the Option 2 cost per call. 2 Revenue is calculated by multiplying contract agencies call volume (excluding Stockton) by the cost per call. Stockton's costs are captured through General Fund support 27 StocktonEstimated Current Operations $2,268,496 Option 2 $2,572,811 Net Change from Current General Fund Support $304,315 Stockton ECD Operating Budget Call Volume 49,591 61,483 11,892 Cost per Call $45.74 $41.85 ($3.89) FTEs 14 17 3 Charge per call $10.75 Medical $21.49 Non -Medical $41.85 $25.73' Revenue $371,342 $1,074,3312 $702,989 General Fund Support $1,897,154 $1,498,480 ($398,674) Performance 93.9% of emergency alarms processed within 60 seconds 97.3% of emergency alarms processed within 90 seconds No Change No Change 1The difference in charge per call is calculated by subtracting the average cost per call for current operations ($16.12) from the Option 2 cost per call. 2 Revenue is calculated by multiplying contract agencies call volume (excluding Stockton) by the cost per call. Stockton's costs are captured through General Fund support 27 Threshold Analysis Regional Fire Dispatch Options Management Partners By creating a semi -regional JPA and providing additional fire dispatch services to Lodi and Tracy, Stockton can expect to lower general fund support by $398,674. This assumes that all jurisdictions in the JPA (including Stockton) pay the full cost of services (estimated to be $41.85 per call). The cost of service and call volume should be recalculated every year to ensure equitable contributions by all members. Increasing the charge per call to cover all expenditures for a new JPA would increase costs for most participants. Table 21 illustrates the changes between current costs and expected costs for Option 2. Table 21. Changes in Estimated Participant Costs Under Option 2 Agency Call Volumes urrent Cost for Dispatch'k- Fire Option City of Stockton I 35,812 I $1,897,154 I $1,498,480 ($398,674) -21% Lodi 5,946 N/A I $248,840 N/A N/A Tracy 5,946 $115,512 $248,840 $133,328 115% City of Manteca 5,727 $80,622 $239,675 $159,053 197% Stockton Municipal Utilities Department 3,935 $84,715 $164,680 $79,965 94% Eastside Rural County Fire Protection District 2,379 $88,279 $99,561 $11,282 13% Tuxedo -Country Club Fire District 842 $46,235 $35,238 ($10,997) -24% Lincoln Fire Protection District 819 $69,583 $34,275 ($35,308) -51% Boggs Tract Fire Protection District 77 $1,907 $3,222 $1,315 69% 1 Current Costs are based on the following. For City of Stockton: the General Fund Support. For the City of Lodi: current costs were not vetted. For the City if Tracy: FY12-13 budget information from JRUG. For all other agencies: FY 12-13 unaudited revenue for Stockton ECD. 1 Option 2 Costs are based on a charge of $41.85 per call. Again, as in Option 1, costs for most participants would increase as a result of a change in the formula for assessing the service or a transition to a cost per call formula. The City of Stockton would see a decrease in operational costs because the cost for providing the service to other contract agencies would be based on full cost recovery. The changes for the four fire protection districts currently under contract with the City of Stockton (Eastside, Tuxedo -Country Club, Lincoln and Boggs Tract) vary widely. This is because their current service costs are based on a formula that includes gross taxable property value and does not take into account actual service levels. Changing to a cost formula that only accounts for service level and not property values will affect each district differently (as seen in Table 17). 28 Threshold Analysis Regional Fire Dispatch Options Management Partners The costs for the City of Manteca and the Municipal Utilities District vary greatly. Stockton currently charges two different rates for medical and non-medical calls and the mix of medical and non-medical calls for these agencies is significantly different. There is some indication that the Lathrop -Manteca Fire Protection District may be interested in joining a new regional fire dispatch JPA; however this was not confirmed during our analysis. If this district were to join in Option 2, the estimated net reduction in current General Fund support would be $411,511 (rather than the $398,674 indicated in Table 20). This is due to additional economies of scale. Benefits of Option 2: • Supports a regional fire dispatch approach in San Joaquin County. • Measurable performance fire call handling standards would encourage accountability to member agencies. • Greater transparency regarding operating costs for providing fire dispatch services. • Opportunities for existing and new member agencies to ensure performance and cost transparency through an appropriate JPA governance structure. • Reduces Stockton General Fund allocation to Stockton ECD. Challenges of Option 2: • Stockton General Fund offset is good, but not great. • Stockton would have to make an investment in technology and capital equipment improvements of about $720,000. • Does not achieve the economies of scale that might be available with a full regional fire dispatch operation within San Joaquin County. • Existing and prospective member agencies would have to agree to a fairly significant cost increase in fire dispatch service costs. • New JPA member costs will still likely be higher than those provided by LifeCom should they win the bid for a new contract in 2016. • Unknown costs for radios and information connectivity (see discussion above). 29 Threshold Analysis Regional Fire Dispatch Options Management Partners Option 3: New Regional Fire Dispatch JPA (Stockton ECD and All County Fire Agencies) During interviews with stakeholders it became clear that while some agencies would be open to new options for fire dispatch, others may be happy with the service provided by LifeCom (through JRUG) and may not consider moving to another JPA. Nonetheless, Management Partners also recognizes the potential for all public agencies to collaborate on behalf of good governance and efficiency and thought it important to provide a threshold analysis of an option which has Stockton ECD providing fire call handling services to all fire agencies in the County. Option 3 seeks to achieve the costs of including all fire agencies in the county in a JPA that would contract with the City of Stockton ECD for fire call handling dispatch services. LifeCom (AMR) currently holds a contract to provide fire and EMS dispatch services for JRUG until May 1, 2015, with the option of two one- year renewals. If all fire agencies in the county were to form a regional JPA for fire call handling dispatch, it would require JRUG not renew its contract with LifeCom in 2015, dissolve the JRUG JPA, and then join the new regional fire dispatch JPA under contract with Stockton ECD for fire dispatch services. Call Volumes, Staffing and Budget Should a new JPA be created and all fire agencies in San Joaquin County join, call volume, staffing, and costs will increase. Capital costs would also increase; however, these are the same as in Option 2 and are not detailed again here. Expected call volumes for Option 3 are shown in Table 22. Table 22. Changes in Call Volumes Between Current Operations and Option 3 �gency Current Operations Total Call Volume" Stockton Fire 35,812 Current Contract AgenciesZ 13,779 Total Current Operations 49,591 Option 3 Stockton Fire 35,812 Current Contract AgenciesZ 13,779 Tracy 5,946 Lodi 5,946 30 Threshold Analysis Regional Fire Dispatch Options Management Partners PP AL Total Call Volume All Other JRUG Agencies 17,508 Option 3 Total Call Volume 78,991 Percent increase from Current Operations 59% ` Call volumes for Stockton, Current Contract Agencies and Lodi are based on FV 2012-13 actual call volumes. Tracy's and All Other JRUGAgencies'call volumes are based on the average used byJRUG to determine costs. 2 Current Contract Agencies include calls for Manteca, Stockton Municipal Utilities District Boggs Tract Fire Protection District, Eastside Rural County Fire Protection District Lincoln Fire Protection District and Tuxedo - Country Club Fire Districts. In order to handle the increased call volume, Management Partners estimates a needed increase of eight Telecommunicator I positions from 14 to 22. This is a 57% increase, corresponding to a 59% increase in workload. Adding staff is needed to remain at current performance levels while handling the increased volume of work. In addition to increased staffing needed to handle call taking, Management Partners also added an increase in annual expenditures for administrative support of a JPA similar to Option 2. The breakdown in expected increased funding is provided in Table 23. Table 23. Expected Annual Expenditures for Regional Fire Dispatch Services Item Amount Current Operating Budget $2,268,496 Increase for Capital Replacement Program I $65,282 Part Time Administrative Analyst' $31,955 20% of Deputy Fire Chief' $30,573 Eight Telecommunicator 1' I $470,679 Total $2,866,985 Personnel costs include salaries and benefits at the entry level for new employees Option 3 Revenues and Expenditures If Stockton were to provide regional fire dispatch under contract with a JPA, the JPA should charge members the full cost of providing the service. This has the effect of reducing the General Fund burden for fire dispatch by having members pay for full cost recovery and by increasing the economies of scale. The differences between Stockton's current operations and Option 3 are listed in Table 24. 31 Threshold Analysis Regional Fire Dispatch Options Management Partners Table 24. Current Operations Compared with Option 3 (Regional Fire Dispatch JPA — All County b&MAL Estimated Net Change fr Current General Current Operations 4MLnpti0A—A... m Operating Budget $2,268,496 $2,866,985 $598,489 Call Volume 49,591 78,991 29,400 Cost per Call I $45.74 $36.30 ($9.44) FTEs I 14 22 8 Charge per Call $10.75 Medical $36.30 $20.18 $21.49 Non -Medical Revenue I $371,342 $1,567,3982 $1,196,056 General Fund Support $1,897,154 $1,299,587 ($597,567) Performance 93.9% of emergency alarms processed within 60 seconds No Change No Change 97.3% of emergency alarms processed within 90 seconds The difference in charge per call is calculated by subtracting the average cost per call for current operations ($16.12) from the Option 3 cost per call. 2 Revenue is calculated by multiplying contract agencies call volume (excluding Stockton) by the cost per call. Stockton's costs are captured through General Fund support. By creating a regional JPA and providing fire dispatch services to all San Joaquin County fire agencies, Stockton can expect to reduce General Fund support by almost $600,000. This assumes that all the member JPA agencies (including Stockton) would pay the full cost of services estimated to be $36.30 per call. The cost of service and call volume should be recalculated every year to ensure equitable contributions by all members. Increasing the charge per call to cover all expenditures for a new regional JPA would increase costs for most participants, albeit to a lesser extent than in options one and two. Table 25 illustrates the changes between current costs and expected costs for Option 3 for all participants. 32 Threshold Analysis Regional Fire Dispatch Options Management Partners Table 25. Change in Estimated Participant Costs Under Option 3 Agency Call Volumes Cost for Fire Dispatch' OptionCurrent City of Stockton 35,812 $1,897,154 $1,299,587 ($597,567) -31% City of Lodi 5,946 N/A $215,840 N/A N/A City of Tracy 5,946 $115,512 $215,840 $100,328 87% Manteca Ambulance 5,855 $93,387 $212,537 $119,149 128% City of Manteca 5,727 $80,622 $207,890 $127,268 158% Stockton Municipal Utilities Department 3,935 $84,715 $142,841 $58,126 69% Eastside Rural County Fire Protection District 2,379 $88,279 $86,358 $(1,921) -2% Ripon Consolidated Fire Protection District 2,156 $42,217 $78,263 $36,046 85% Lathrop -Manteca Fire Protection District 1,957 $37,489 $71,039 $33,551 89% Waterloo-Morada Rural County Fire Protection District 1,568 $29,017 $56,918 $27,901 96% Woodbridge Rural County Fire Protection District 1,288 $25,044 $46,754 $21,710 87% Escalon Consolidated Fire Protection District 1,016 $18,735 $36,881 $18,146 97% French Camp -McKinley Fire Protection District 962 $17,742 $34,921 $17,179 97% Tuxedo -Country Club Fire District 842 $46,235 $30,565 ($15,670) -34% Lincoln Fire Protection District 819 $69,583 $29,730 ($39,853) -57% Montezuma Fire Protection District 638 $12,081 $23,159 $11,078 92% Linden -Peters Rural County Fire Protection District 531 $10,364 $19,275 $8,912 86% Mokelumne Rural County Fire District 495 $9,275 $17,969 $8,694 94% Thornton Rural Fire Protection District 347 $6,805 $12,596 $5,791 85% Liberty Rural County Fire Protection District 229 $4,310 $8,313 $4,003 93% Farmington Fire Protection District 198 $3,848 $7,187 $3,339 87% Clements Rural Fire Protection District 185 $3,476 $6,716 $3,239 93% Collegeville Rural Fire Protection District 83 $1,663 $3,013 $1,350 81% Boggs Tract Fire Protection District 77 $1,907 $2,795 $888 47% 1 Current Costs are based on the following. For City of Stockton: the General Fund Support. For agencies to whom Stockton provides fire dispatch: FY 12-13 unaudited revenue for Stockton ECD. For the City of Lodi: current costs were not vetted. For agencies in DRUG: FY12-13 budget information from JRUG. 2 Option 2 Costs are based on a charge of $36.30 per call. Again, as in Options 1 and 2, costs for most participants would increase as a result of a change in the formula for assessing the service or a transition to an actual cost per call formula. For current JRUG members, the cost per call would increase substantially because the costs of fire dispatch would no longer be offset by EMS calls as it is under the current 33 Threshold Analysis Regional Fire Dispatch Options Management Partners LifeCom contract. The City of Stockton would see a decrease in operational costs because the cost for providing the service to other contract agencies would be based on full cost recovery. The changes for the four fire protection districts currently under contract with the City of Stockton (Eastside, Tuxedo -Country Club, Lincoln and Boggs Tract) vary widely. This is because their current service costs are based on a formula that includes gross taxable property value and does not take into account actual service levels. Changing to a cost formula that only accounts for service level and not property values will affect each district differently (as seen above in Table 17). The costs for the City of Manteca and the Municipal Utilities District vary greatly. Stockton currently charges two different rates for medical and non-medical calls and the mix of medical and non-medical calls for these agencies is significantly different. Benefits of Options 3: • Supports a full regional fire dispatch approach in San Joaquin County. • Stockton General Fund offset to fire dispatch is significant. • Measurable performance fire call handling standards would encourage accountability to member agencies. • Greater transparency regarding operating costs for providing fire dispatch services. • Opportunities for existing and new member agencies to ensure performance and cost transparency through an appropriate JPA governance structure. • Reduces Stockton General Fund support to Stockton ECD. Challenges of Option 3: • Stockton would have to make an investment in technology and capital equipment improvements of about $720,000. • Does not achieve the economies of scale that might be available with a full regional fire dispatch operation within San Joaquin County. • Existing and prospective member agencies would have to agree to a significant cost increase in fire dispatch service costs. • New JPA member costs will still likely be higher than those provided by LifeCom should they win the bid for a new contract in 2016. 34 Threshold Analysis Regional Fire Dispatch Options Management Partners Unknown costs regarding radios and information connectivity (see discussion above). Recommendation 6. Survey potential members of a regional fire dispatch joint powers authority (JPA) to determine cost and performance objectives that would need to be achieved to contract with Stockton ECD as the provider of fire dispatch operations. Option 4: Fire Dispatch Services Provided Under Contract with JRUG Options 1 through 3 focused on Stockton maintaining the ECD either at current service levels or with opportunities for expansion throughout the county to achieve greater efficiencies. Option 4 assumes that Stockton eliminates its dispatch center, joins JRUG and contracts for fire dispatch services through LifeCom. JRUG may accept new member agencies at any time with the approval of a majority vote from the Board. Should Stockton join JRUG it will no longer provide dispatch services to its current contract agencies. Under this scenario, the City of Manteca may have to join JRUG as well and pay them directly for fire dispatch services. However, the fire districts that have a contract with Stockton to provide fire dispatch services would likely continue to pay Stockton for these services as a pass-through to JRUG. MUD dispatch would likely transition to the Stockton Police Dispatch center for service. With Option 4, all operating expenditures could be eliminated and costs would be based on the number of calls and the cost per call negotiated by JRUG. While most capital costs will also be eliminated, a one-time expenditure of approximately $40,000 (estimated by AMR) would be needed to connect Stockton with AMR's dispatch center in Modesto. A summary of changes between Stockton's current operations and Option 4 are listed in Table 26. 35 Threshold Analysis Regional Fire Dispatch Options Management Partners Table 26. Current Operations Compared with Option 4 'The operating budget includes per call expenditures for calls related to Stockton and the four remaining fire districts contracted with Stockton for Fire Dispatch. z The revenue is the amount the four Stockton ECD contract agencies should pay Stockton to pass through to JRUG although this may not be possible under the current contract terms By joining JRUG, Stockton would save an estimated $1,517,372 in operating costs. However, the net change to the General Fund would only be $1,224,251 due to the loss in revenue of $293,121 because the Stockton ECD would no longer provide fire dispatch services to MUD and the City of Manteca. As described above, while Manteca may be required to join JRUG if Stockton ECD no longer provided fire dispatch services, the remaining contract agencies would likely pay Stockton as a pass-through to JRUG for this service. These fire districts (Eastside, Tuxedo -Country Club, Lincoln and Boggs Tract) have a contract for fire protection services with Stockton that requires a five-year notification for termination. Therefore, unless both parties agree to terminate or change the agreement voluntarily, the pass- through arrangement for dispatch services is likely to continue under this scenario in the near term. The operating costs in Table 26 are based on the current charges per call but could increase before the current contract expires. As stated in JRUG's contract with AMR, "the above rates may be increased annually by the 36 timated Net Change Current.. _Ad Option Fund Support Operating Budget $2,268,496 $751,1241 ($1,517,372) Call Volume 49,591 EMS — 28,929 (9,662) Non -EMS — 6,883 Total — 35,812 Cost per Call $45.74 N/A N/A FTEs 14 0 (14) Charge per Call $10.75 - Medical EMS: $11.57 EMS: $0.82 $21.49 - Non -Medical Fire: $23.12 Fire: $1.63 Flat Fee: $0 Flat Fee: $5.00 Flat Fee: $5.00 Revenue I $371,342 $78,2212 ($293,121 General Fund Support $1,897,154 $672,903 ($1,224,251) Performance 93.9% of emergency alarms processed within 60 seconds Unknown Unknown 97.3% of emergency alarms processed within 90 seconds 'The operating budget includes per call expenditures for calls related to Stockton and the four remaining fire districts contracted with Stockton for Fire Dispatch. z The revenue is the amount the four Stockton ECD contract agencies should pay Stockton to pass through to JRUG although this may not be possible under the current contract terms By joining JRUG, Stockton would save an estimated $1,517,372 in operating costs. However, the net change to the General Fund would only be $1,224,251 due to the loss in revenue of $293,121 because the Stockton ECD would no longer provide fire dispatch services to MUD and the City of Manteca. As described above, while Manteca may be required to join JRUG if Stockton ECD no longer provided fire dispatch services, the remaining contract agencies would likely pay Stockton as a pass-through to JRUG for this service. These fire districts (Eastside, Tuxedo -Country Club, Lincoln and Boggs Tract) have a contract for fire protection services with Stockton that requires a five-year notification for termination. Therefore, unless both parties agree to terminate or change the agreement voluntarily, the pass- through arrangement for dispatch services is likely to continue under this scenario in the near term. The operating costs in Table 26 are based on the current charges per call but could increase before the current contract expires. As stated in JRUG's contract with AMR, "the above rates may be increased annually by the 36 Threshold Analysis Regional Fire Dispatch Options Management Partners amount of a 50-50 weighting of the most current U.S. Bureau of Labor Statistics' San Francisco -Oakland -San Jose, CA medical care and transportation indices, but not to exceed 4.9%." The JRUG Executive Board has indicated a strong interest in establishing and improving fire call handling performance standards. County EMS has also expressed receptivity to including appropriate standards in any future contract. JRUG has also taken some action in the past to improve fire dispatch training and oversight. According to some member agencies, focused improvement in this area has been resisted by AMR. It is possible that a new bid in 2015 (to become effective in 2016) by the County which again combines EMS and fire dispatch services will provide strengthened parameters in this area for any successful bidder to meet in order to win the award. If so, costs would likely and appropriately increase. Regardless, no formal standards have been established and while Management Partners recognizes that fire call handling response times are complex to measure, performance goes beyond response times. Performance also includes ongoing fire dispatch training and experience sufficient to meet the fire dispatching needs of all member agencies, including those in more urban environments. JRUG currently stipulates in its joint powers agreement that the Board of Directors shall consist of one representative from each member agency, with each director possessing one vote. Management Partners understands this governance structure may not be desirable to Stockton as their call volume and subsequent contribution to the budget would far exceed that of any current JRUG member agency, yet the City would have no more influence in ensuring performance standards than any other member agency. Benefits of Option 4: • Significant operating cost reduction to the City of Stockton General Fund. • The potential for a true regional fire dispatch model, should Stockton ECD member agencies follow and join JRUG. • Significant one-time and ongoing cost avoidance by no longer having to purchase $620,000 to $820,000 worth of capital equipment to continue or enhance operations. Challenges of Option 4: Potentially significant dissatisfaction from current Stockton ECD member agencies. 37 Threshold Analysis Regional Fire Dispatch Options Management Partners • Fire call handling response performance standards and costs which may or may not be able to be provided or met under existing contracts with Stockton ECD members. • Loss of local control over fire call handling performance standards and dispatch, depending on the governance structure agreed upon. • Resistance from current JRUG members to change the governance structure. • Uncertainty regarding costs and reliability of sustaining the LifeCom facility, which is highly dependent on ambulance service and rates. Recommendation 7. Require documentation of specific fire dispatch performance and training standards, as well as transparency and accountability regarding the role of ambulance service in offsetting fire dispatch costs prior to pursuing any membership in JRUG. 38 Threshold Analysis Conclusion Management Partners Until and unless there are adequate fire dispatch performance and training standards enacted by JRUG and accountable to the JRUG Board and acceptable to the urban fire dispatch community, it is unlikely that the major fire agencies in the county will transition to the current JPA. There is interest by the urban fire agencies in pursuing a regional fire dispatch operation through a JPA even at an increased cost over their current operations, perhaps under contract with Stockton ECD to provide the service. As a result of past history with the City regarding fire dispatch operations, the potential member agencies, though, would require a complete business plan that addresses cost, accountability, governance and performance before proceeding. 39 Threshold Analysis Attachment — Summary of Recommendations Management Partners Recommendation 1 ................... Confirm technology replacement schedule needs and funding requirements and increase the annual allocation to the internal service fund. Recommendation 2......... Analyze the costs and benefits of moving the Fire ECD to the Police Dispatch Center in conjunction with any steps to implement a regional fire dispatch operation. Recommendation 3.... Develop a detailed regional fire dispatch technology needs assessment and funding plan prior to entering into discussions with potential JPA member agencies. Recommendation 4... Conduct an inventory of radio and connectivity requirements to enable Stockton ECD to service as a regional dispatch center. Recommendation 5. ..Meet with current Stockton ECD contract agencies to develop a plan for increasing call rates to ensure full cost recovery for the services provided. Recommendation 6............ Survey potential members of a regional fire dispatch joint powers authority (JPA) to determine cost and performance objectives that would need to be achieved to contract with Stockton ECD as the provider of fire dispatch operations. Recommendation 7 ............. Require documentation of specific fire dispatch performance and training standards, as well as transparency and accountability regarding the role of ambulance service in offsetting fire dispatch costs prior to pursuing any membership in JRuc. 40 ATTACHMENT B JOINT EXERCISE OF POWER AGREEMENT BETWEEN THE LATHROP-MANTECA FIRE DISTRICT, THE CITY OF LODI, THE CITY OF MANTECA, AND THE CITY OF STOCKTON CREATING THE SAN JOAQUIN COUNTY REGIONAL FIRE DISPATCH AUTHORITY Revised 6/03/15 C:\USERS\AARMENDA\APPDATA\LOCAL\TEMP\XPGRPWISE\SAW FIRE DISPATCH JPA (6-3-15)_1.DOCX ATTACHMENT B JOINT EXERCISE OF POWERS AGREEMENT This Agreement dated July , 2015, is made and entered into by and among the LATHROP-MANTECA FIRE PROTECTION DISTRICT, a duly organized fire protection district under the Fire Protection District Law of 1987 ("LATHROP-MANTECA"), the CITY OF LODI, a general law City and municipal corporation in the State of California ("LODI"), the CITY OF MANTECA, a general law City and municipal corporation in the State of California ("MANTECA"), and the CITY OF STOCKTON, a charter City and municipal corporation in the State of California ("STOCKTON") (collectively referred to as "MEMBERS"), to be effective as of July 1, 2015. RECITALS 1. LATHROP-MANTECA, LODI, MANTECA, and STOCKTON are each authorized by state law or charter to create and maintain a fire department that includes emergency and non -emergency dispatch services. 2. The MEMBERS have determined that creation of a joint power entity to administer emergency and non -emergency dispatch services, including related operations, achieves the needs of each entity for policy input and cost control. 3. The MEMBERS are each a public agency as defined by Government Code section 6500 et seq. and are each authorized and empowered to contract for the joint exercise of powers common to each agency. 4. By this Agreement, the MEMBERS now wish to jointly exercise their powers to provide for regional emergency and non -emergency dispatch services and related services, including but not limited to creation, development, ownership and operation of programs, facilities, and funds therefore through the establishment of the SAN JOAQUIN COUNTY REGIONAL FIRE DISPATCH JOINT POWERS AUTHORITY (the "AUTHORITY'). NOW, THEREFORE, in consideration of the mutual promises and agreements herein contained, the MEMBERS agree as follows: 1 ATTACHMENT B SECTION 1. POWERS AND PURPOSES 1.1 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 "Act"). The AUTHORITY shall be a public entity separate from the parties hereto and its debts, liabilities, and obligations shall not be the debts, liabilities, and obligations of its MEMBERS. The AUTHORITY shall, within 30 days after the Effective Date, cause a notice of this Agreement, and amended notices as necessary, to be prepared and filed with the Office of the Secretary of State, as required by Government Code section 6503.5. 1.2 Purpose of the Agreement; Common Powers to be Exercised. Each agency that is a party to this Agreement individually has the statutory authority to provide emergency and non- emergency dispatch and related services, as well as provide facilities and personnel for such services. In accordance with the Act, the purpose of this Agreement is to jointly exercise the foregoing common powers in the manner set forth in this Agreement. 1.3 Powers. Pursuant to and to the extent required by the Act, the AUTHORITY shall be restricted in the exercise of its powers in the same manner as is each of its MEMBERS. The AUTHORITY shall have the common powers of the MEMBERS, and is authorized, in its own name, to do all acts necessary or convenient for the exercise of such powers, and all other acts authorized by statute, including, but not limited to any or all of the following: (a) To exercise the common powers of its MEMBERS in providing emergency and non -emergency dispatch services, including related operational services, and any service to contracting entities and those powers that may be conferred upon it by subsequently enacted legislation. (b) To make and enter into contracts, including contracts with its MEMBERS; provided, however, the AUTHORITY may not enter into real property development agreements pursuant to Government Code section 65865. 0 ATTACHMENT B (c) To assume any existing applicable contracts of its MEMBERS relating to the provision of emergency and non -emergency dispatch services, including related operational services. (d) To determine compensation and working conditions and negotiate contracts with employees and employee organizations of the AUTHORITY, if any. (e) To employ such agents, employees, and other persons as it deems necessary to accomplish its purpose and to receive, accept, and utilize the services of personnel offered by any of the MEMBERS, or their representatives or agents. (f) To lease, acquire, hold, and dispose of real and personal property. (g) To invest AUTHORITY reserve funds. (h) To incur debt, liabilities, or obligations, provided that all long-term bonded indebtedness, Certificates of Participation, or other long-term debt financing require the prior consent of the MEMBERS as set out in Section 6.8 hereof. (i) To sue and be sued in its own name. (j) To apply for grants, loans, or other assistance from persons, firms, corporations, or governmental entities. (k) To use any and all financing mechanisms available to the AUTHORITY, subject to the provisions of Section 6 of this Agreement. (1) To prepare and support legislation related to the purposes of the Agreement. (m) To lease, acquire, construct, operate, maintain, repair, and manage new or existing facilities as well as to close or discontinue the use of such facilities. (n) To levy and collect payments and fees for services. 3 ATTACHMENT B (o) To impose new special taxes or assessments as authorized by law and in coordination with the underlying jurisdiction. (p) To provide related services as authorized by law. (q) To contract for the services of attorneys, consultants, and other services as needed. (r) To purchase insurance or to self -insure and to contract for risk management services. (s) To adopt rules, regulations, policies, bylaws, and procedures governing operation of the AUTHORITY, including the determination of compensation of any Directors and employees of the AUTHORITY. (t) To exercise the power of eminent domain. (u) To receive, accept, expend, or disburse monies (by contract or otherwise) for purposes consistent with the provisions and purposes specified herein, and maintain at all times a complete and accurate system of accounting for said monies. (v) To contract with outside parties, the operating and administrative services of the AUTHORITY. (w) Notwithstanding the foregoing, the AUTHORITY shall have any additional powers conferred under the Act or under applicable law, insofar as such additional powers may be necessary to accomplish the purposes set forth herein. SECTION 2. TERM AND TERMINATION 2.1 Effective Date. This Agreement shall become effective as of July 1, 2015, or such later date agreed to in writing by MEMBERS. 2.2 Term. This Agreement shall continue in full force and effect without a specific term until it is terminated or rescinded upon the mutual written agreement of the original MEMBERS to this Agreement. The AUTHORITY may by a majority vote of the MEMBERS to 2 ATTACHMENT B terminate this Agreement, or termination will occur automatically if only one member agency is left in the AUTHORITY. 2.3 Membership Term; Notice of Withdrawal. Original MEMBERS specifically agree to remain members of AUTHORITY for a minimum of ten (10) years after the effective date of the AUTHORITY. Subsequent members approved by the BOARD must specifically agree to remain members of AUTHORITY for a minimum of ten (10) years after joining the AUTHORITY. Any individual member agency can terminate membership in this Agreement after completing the 10th year of membership by providing notice to all other member agencies by resolution of intent to withdraw adopted by the governing board of the withdrawing parry. The notice of intent to withdraw shall be given at least one (1) year before the start of the fiscal year in which it shall be effective, but in no circumstance will termination be effective until 10 years after becoming a member of AUTHORITY. The advance notice is intended to give MEMBERS sufficient time to make appropriate arrangements to provide emergency and non- emergency dispatch services. Upon the effective date of withdrawal, the withdrawing agency shall cease to be bound by this Agreement, except for any long-term financing obligations placed upon the withdrawing parry under this Agreement. 2.4 Authority Approval. This Agreement may be terminated upon the consent of the AUTHORITY and the consent of each of the governing bodies of the original member agencies to terminate this Agreement. Any such termination shall provide that the effective termination date shall not occur unless MEMBERS have sufficient time to make appropriate arrangements to independently provide emergency and non -emergency dispatch services, but in no case more than 10 years after approval of termination by the governing bodies of the original member agencies. 2.5 Satisfaction of Obligations. Notwithstanding any other provision in this Agreement, in no event shall the exercise of the powers herein granted be terminated until all indebtedness, claims and liabilities incurred, including liability on Certificates of Participation or bonds, are fully and completely satisfied, or provision for the complete satisfaction of such obligations are made and approved by the AUTHORITY and MEMBERS. 5 ATTACHMENT B 2.6 Distribution of Surplus PropgAL. Pursuant to the Act, upon termination of this Agreement, any surplus property owned or held by the AUTHORITY shall be distributed pro rata to the Federal, State, local agency, or member agency that provided the property. The parties shall use good faith efforts and fair dealing in processing and dividing any surplus property that cannot be attributed to any single member agency. 2.7 Distribution of Surplus Funds. Pursuant to the Act, any surplus money on hand after termination of the Agreement shall be returned to the funding source from which funds were furnished, or to the member agency making the contribution. The parties shall use good faith efforts and fair dealing in processing and dividing any surplus funds that cannot be attributed to any single member agency, keeping in mind the position of the parties before they entered into this Agreement. SECTION 3. ORGANIZATION 3.1 Membership. The MEMBERS of AUTHORITY shall be the original parties to this Agreement that have not withdrawn from the AUTHORITY and those Public Agency Members who have met the minimum criteria as established by the Board and are approved to be added as MEMBERS of AUTHORITY by a majority vote of the MEMBERS (the "Original Member Agency"). In addition, any city or public entity may join the AUTHORITY as non- voting members after execution of this Agreement on terms and conditions approved by the AUTHORITY. 3.2 Board Structure. The AUTHORITY shall be governed by a Board of Directors ("BOARD") consisting of not more than one representative from each Original Member Agency or as set forth in the bylaws adopted by the BOARD. Each Director shall have one vote. 3.3 Appointment of Directors by Member Agencies. The BOARD members shall be appointed as follows: (a) Each Original Member Agency, by resolution of its governing body, shall appoint the Fire Chief or designated Fire Department alternate Director to serve on the AUTHORITY's BOARD. Each Original Member Agency shall also appoint by resolution of its governing body an alternate to act in 2 ATTACHMENT B each Director's absence. Each Director and alternate shall serve at the 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/or alternate. (b) The term of office for Directors shall be July 1 of each year from the Effective Date of the AUTHORITY in the year of its formation, to and including the following June 30 of the following year and from July 1 to and including the following June 30 for every year thereafter. A Director can serve multiple terms at the discretion of the appointing body pursuant to their respective adopted policies. (c) The Directors and their alternates shall not receive any compensation for serving as such. However, with approval of the BOARD, a Director or alternate may be reimbursed for reasonable expenses incurred in the conduct of the business of the AUTHORITY. (d) Pursuant to Government Code section 6505, the BOARD is designated as the administrator of this Agreement and the AUTHORITY's affairs, and shall perform its duties and responsibilities in accordance with all provisions of this Agreement. 3.4 Principal Office. The principal office of the AUTHORITY shall be the Fire Department Headquarters of the City of Stockton or as may be otherwise designated by the AUTHORITY from time to time. 3.5 Regular Meetings. The BOARD shall hold at least one meeting annually and may hold additional meetings as determined by the BOARD and as may be established by its bylaws. All meetings of the BOARD shall be called, noticed, held, and conducted subject to the provisions of the Ralph M. Brown Act (Chapter 9 of Part 1 of Division 2 of Title 5 of the Government Code of the State of California (§§ 54950-54961)) or any successor legislation hereinafter enacted. 7 ATTACHMENT B 3.6 Minutes. The appointed clerk of the AUTHORITY shall cause minutes of all meetings of the BOARD to be kept and shall, as soon as possible after each meeting, cause a copy of the minutes to be forwarded to each Director of the BOARD and to the respective governing bodies of each of the member agencies. 3.7 Quorum. A majority of the Directors of the BOARD shall constitute a quorum for the transaction of business, except that less than a quorum may adjourn meetings from time to time. 3.8 Officers. The BOARD shall elect from among its Directors a chair and vice - chair and thereafter at the first meeting in each 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 at the next regular meeting of the BOARD held after such vacancy occurs. In the absence or inability of the chair to act, the vice -chair shall act as chair. The BOARD may also appoint a clerk of the AUTHORITY and such other officers as it deems necessary pursuant to Section 3.12 below. 3.9 Rules. The BOARD may adopt from time to time such bylaws, rules, and regulations for the conduct of its affairs that are not in conflict with this Agreement, as it may deem necessary. 3.10 Committees. The BOARD may establish standing or ad hoc committees or subcommittees composed of BOARD members, staff, and/or the public to make recommendations on specific matters. 3.11 Emplo, employee Relations. The BOARD shall as necessary adopt by majority vote Employer -Employee Relations Procedures and Personnel Rules and Regulations applicable to the AUTHORITY for any employees of the AUTHORITY. 3.12 Officers; Duties; Bonds. As determined by the BOARD, the Officers of the AUTHORITY shall be the Executive Director, General Counsel, Clerk, and Finance Director- Treasurer/Controller. N. ATTACHMENT B (a) An Executive Director may be appointed by the BOARD and shall be an at -will employee that serves at the pleasure of the BOARD. If appointed, the Executive Director shall: (1) Direct all subordinate officers and employees; (2) Appoint and remove all employees of AUTHORITY, if any; (3) Attend all meetings of the BOARD unless excused therefrom; (4) Prepare and submit to the BOARD the annual budget for the AUTHORITY; (5) Promulgate administrative and personnel rules and regulations as necessary for the conduct of the operations of AUTHORITY; and (6) Perform such other duties and exercise such other powers as directed by the BOARD. (b) The AUTHORITY shall appoint a Clerk of the BOARD. (c) AUTHORITY shall appoint a Finance Director - Treasurer/Controller who shall serve as the depositary of the AUTHORITY to have custody of all the money of the AUTHORITY, from whatever source, and, as such, shall have the powers, duties, and responsibilities specified in the Act, and shall be designated as the public officer or person who has charge of, handles, or has access to any property of the AUTHORITY, and such officer shall file an official bond in the amount of $25,000 as required by the Act; provided, that such bond shall not be required if the AUTHORITY does not possess or own property or funds with an aggregate value of greater than $500. (d) The AUTHORITY shall appoint a General Counsel to serve as primary General Counsel to the AUTHORITY. (e) The BOARD may contract with any member agency of MEMBERS to provide necessary administrative and support services to the AUTHORITY as appropriate. Any administrative duties also may rotate I ATTACHMENT B from year to year. The AUTHORITY shall reimburse MEMBERS, or its Officers, for services provided under this section in accordance with the normal and usual rates and/or contractual provisions used by that member agency or its Officers. (f) Unless and until changed by resolution of the BOARD, the fiscal year of the AUTHORITY shall be the period from July 1 of each year to and including the following June 30, except for the first fiscal year which shall be the period from the effective date of this Agreement up to and including June 30, 2016. SECTION 4. TRANSFER OF DISPATCH OPERATIONS; CONTRIBUTIONS AND ADVANCES; CONTRACTING SERVICES 4.1 Transition Team; List of Assets and Liabilities. The MEMBERS shall designate a transition team to plan for and implement the transfer of emergency and non -emergency dispatch services to AUTHORITY. The transition team shall also plan for and implement the transfer of assets and liabilities from the MEMBERS to the AUTHORITY which is necessary to achieve the purposes of this Agreement. An up-to-date list of all personnel, employment agreements, assets (including but not limited to real property, equipment, reserves, contracts, and deposits), and all known liabilities shall be prepared by the transition team and submitted to the BOARD. 4.2 Transfer of Assets and Liabilities. The transition team will prepare a plan for transition of assets, liabilities, and services for approval by the BOARD. Before the transfer of any assets, the AUTHORITY and the MEMBER shall come to an agreement concerning the transfer, use, maintenance, and return of any assets, including transition to a joint asset. 4.3 Personnel. The MEMBERS agree that human resources, administrative, and operational services may be provided through an Operating Agreement with the understanding that the AUTHORITY may provide its own such service at a future date. Pursuant to Government Code section 53291, the AUTHORITY may prescribe the qualifications and conditions under which employees of MEMBERS will become employees of the AUTHORITY. The AUTHORITY shall comply with the provisions of Government Code section 53292 to the extent applicable to the AUTHORITY. 10 ATTACHMENT B 4.4 Public Funds, Personnel, Equipment, or Property. Contributions or advances of public funds and of personnel, equipment, or property may be made to the AUTHORITY by any MEMBERS for any of the purposes of this Agreement. Payment of public funds may be made to defray the cost of any such contribution. Any such advances shall be made subject to repayment, and shall be repaid, in the manner agreed upon by MEMBERS and the AUTHORITY at the time of making such advance. 4.5 Assets, Transition Plan; FCC License. All MEMBERS' assets included in the Transition Plan for transfer to AUTHORITY, including but not limited to real property and personal property and equipment and apparatus, shall transfer to the AUTHORITY in their "as is" condition as of the date specified in the Transition Plan. MEMBERS agree to execute any and all documents necessary to affect the transfer of assets and liabilities to the AUTHORITY in accordance with the approved Transition Plan. The Transition Plan shall also address the use/ownership of FCC Radio frequency licenses until such time as the AUTHORITY and Member Agencies, and any contracting entities as applicable, agree to transfer said frequencies to the AUTHORITY. Once transferred, the frequencies are not eligible to be severed from the AUTHORITY. 4.6 Contracts. All existing agreements and contracts involving emergency and non -emergency dispatch services by MEMBERS or its personnel shall be assigned to the AUTHORITY as of the date specified in the approved Transition Plan, with any service or obligation to be provided or performed thereafter by the AUTHORITY as identified in the Transition Plan. A list of all such contracts shall be developed during the transition period. The AUTHORITY agrees to assume all of the obligations, duties, and liabilities of the MEMBERS under said agreements and contracts. 4.7 Capital Expenditures; Equipment; Facilities. Capital improvements shall be funded and insured as provided in the cost-sharing formula adopted by the BOARD and the MEMBERS. 4.8 Contracting With Outside Entities. As part of its operation, outside entities may contract with the AUTHORITY for the provision of emergency and non -emergency services. As 11 ATTACHMENT B part of its annual budget process, the AUTHORITY shall determine the service charge amounts owing from contracting entities. This amount shall be referred to as the "Service Charge." The Service Charge shall consist of the annual cost for operational services consistent with the cost calculation methodology in place on the Effective Date of the Operating Agreement, or such later date as a contracting entity contracts with the AUTHORITY for service and will include the annual percentage charge in the cost of emergency and non -emergency dispatch system operations. The cost calculation methodology shall include the cost of any proportional share of any long-term debt repayment obligations, maintenance and repairs, and other costs as determined by the BOARD. SECTION 5. LIABILITY The AUTHORITY shall assume responsibility for any and all loss, litigation, liability, injury, damage, claim, demand, and tort or workers compensation incidents that occur on or after the date personnel or contracts are transferred to the AUTHORITY. The MEMBERS shall retain responsibility and liability for any and all such incidents that occur prior to the transfer and shall retain all risk management reserves that have been set aside for such prior incidents. The AUTHORITY may contract with an individual Member Agency of MEMBERS to receive risk management services on such terms as agreed to by the AUTHORITY and the Member Agency. SECTION 6. FUNDING OF OPERATIONS 6.1 Fiscal Year. For financial recordkeeping and operations, the fiscal year of the AUTHORITY shall begin each July 1, and complete the following June 30. 6.2 General Budget. Within sixty (60) days after the first meeting of the BOARD, a preliminary general budget for the initial fiscal year shall be adopted by majority vote of the BOARD. The initial budget and each succeeding budget shall include, but not be limited to, the following: (1) The general administrative expenses, operating expenses, and necessary reserves of the AUTHORITY to be incurred during the period covered by the budget. (2) The allocation of costs to the MEMBERS in the amounts necessary to cover the budget adopted by the BOARD. 12 ATTACHMENT B (3) Thereafter, at or prior to the last meeting of the BOARD for each fiscal year, a general budget shall be adopted for the ensuing fiscal year or years by a vote of at least a majority of the BOARD. (4) All expenditures within the designations and limitations of the approved general budget shall be made on the authorization of a majority vote of the BOARD. 6.3 Operation Costs. Operation costs of the AUTHORITY shall be allocated between MEMBERS and any outside entities in accordance with a cost-sharing formula adopted by the BOARD. The cost- sharing formula shall be set forth annually as part of the approved annual budget. 6.4 Cost Allocation Formula. Contributions by MEMBERS to the AUTHORITY will be evaluated annually as part of the budget cycle to provide the ability to adjust service levels as determined by a majority vote of the BOARD. MEMBERS shall pay a portion of the costs incurred by the AUTHORITY in providing the services described in this Agreement. The BOARD, in adopting a budget, shall determine each MEMBER's contribution for the fiscal year. The contribution of each MEMBER agency shall be determined by the percentage of number of annual dispatch service calls attributable to each MEMBER agency, divided by the total annual dispatch services calls to all MEMBER agencies during the calendar year preceding the Fiscal Year for which the MEMBER' fair share percentage is being calculated, offset by any applicable revenue received from any contracting entities. Once determined for any budget cycle year, MEMBER contributions shall remain unchanged until the next budget cycle. The use of an alternative method for determining MEMBER contributions requires a two-thirds (2/3) vote of the BOARD. 6.5 Revenue and Tax Sharing_ Agreements. Any agreements related to funding of emergency and non -emergency dispatch services and related operations existing prior to the Effective Date shall, to the greatest extent practicable, be transferred to the AUTHORITY or integrated into this Agreement, if applicable. 6.6 Alternative Funding Sources. Each MEMBER shall support opportunities for development of alternate funding sources. 13 ATTACHMENT B 6.7 Determination of Level of Technology Funding. The governing body of each MEMBER shall determine the kind and level of technology to enable that MEMBER to receive emergency and non -emergency dispatch services from the AUTHORITY and shall provide funding for the AUTHORITY to provide that service. 6.8 Approval of Bonded Indebtedness. By a two-thirds (2/3) vote of the BOARD, the AUTHORITY may authorize the issuance of any long-term bonded indebtedness. Any MEMBER that withdraws from the AUTHORITY pursuant to Section 2 above shall, after ceasing to be a MEMBER, be responsible for payment of its proportional share of any bonded indebtedness approved by the AUTHORITY while it was a Member. SECTION 7. ACCOUNTING AND AUDITS 7.1 Maintenance of Books. Full books and accounts shall be maintained for the 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 AUTHORITY's Finance Director - Treasurer/Controller shall comply strictly with requirements governing joint powers agencies pursuant to the Act. 7.2 Audit. The records and accounts of the AUTHORITY shall be audited annually by an independent certified public accountant and copies of the audited financial reports, with the opinion of the independent certified public accountant, shall be filed with the County Auditor, the State Controller, and each MEMBER within six (6) months of the end of the fiscal year under examination. SECTION 8. INDEMNIFICATION AND INSURANCE 8.1 No Vicarious Liability. Pursuant to Government Code section 820.9, as may be amended, members of the Board of Directors for the AUTHORITY are not vicariously liable for injuries caused by the act or omission of the AUTHORITY or any of its MEMBERS. Nothing in this section exonerates an official from liability for injury caused by that individual's own wrongful conduct. Nothing in this section affects the immunity of any other public official. 8.2 Indemnification of MEMBERS. Except as provided in Section 8.7 below, from and after the Effective Date, the AUTHORITY shall defend, indemnify, and hold harmless the 14 ATTACHMENT B MEMBERS and its officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of or in any way related to the performance of services pursuant to this Agreement. 8.3 Indemnification for Services Transferred. Except as provided in Section 8.7 below, from and after the Effective Date, the AUTHORITY shall defend, indemnify, and hold harmless the MEMBERS and its officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of or in any way related to any contract or agreement assumed by or otherwise transferred to AUTHORITY. 8.4 Indemnification for Transfer of Assets. Except as provided in Section 8.7 below, from and after the date of transfer, the AUTHORITY shall defend, indemnify, and hold harmless the MEMBERS and its officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of or in any way related to any MEMBER asset transferred to the AUTHORITY, including but not limited to real property, personal property, equipment, and apparatus. 8.5 Worker's Compensation. As to any employees of the AUTHORITY, including any employees transferred to the AUTHORITY, AUTHORITY shall maintain during the term of this Agreement workers compensation insurance as required by law. 8.6 General Liability Insurance. AUTHORITY shall maintain general comprehensive liability insurance in the minimum limit of $5,000,000 combined single limit per occurrence and annual aggregate. MEMBERS shall be named as an additional insured on the general comprehensive liability policy. Alternatively, the AUTHORITY may self -insure in a minimum amount of $5,000,000. 8.7 Indemnification by MEMBERS to AUTHORITY. From and after the Effective Date, MEMBERS shall defend, indemnify, and hold harmless the AUTHORITY, the AUTHORITY Directors, officers, employees, agents, and representatives, each individual 15 ATTACHMENT B MEMBER, and its respective officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of the MEMBER's actions or omissions prior to the Effective Date of this Agreement that related to the provision of emergency and non- emergency dispatch services and related operations. The MEMBERS agree, pursuant to Government Code sections 895.4 and 6508. 1, that MEMBERS shall indemnify and contribute to satisfaction of such judgment against AUTHORITY, the AUTHORITY Directors, officers, employees, agents, and representatives upon any liability arising out of the performance of this Agreement in proportion to that MEMBER's contribution to the AUTHORITY budget in the fiscal year in which an incident causing such liability occurs. The MEMBERS further agree that the provisions of Article 4 (commencing with section 825), Chapter 4, Part 2, Division 3.6, Title 1 of the Government Code shall apply to issues related to indemnification of MEMBERS or AUTHORITY Directors, officers, employees, agents, and representatives. 8.8 No Waiver of Defenses. Notwithstanding Section 8.7 above, the MEMBERS agree that no immunity or defense available to the MEMBERS under State or Federal law or regulation shall be waived with respect to any third party claim. SECTION 9. CONFLICT OF INTEREST CODE The AUTHORITY, to the extent required by law, shall adopt a Conflict of Interest Code. SECTION 10. BREACH If default shall be made by any MEMBER or the AUTHORITY in any covenant contained in this Agreement or the Operating Agreement, such default shall not excuse the MEMBER or the AUTHORITY from fulfilling its obligations under this Agreement and all MEMBERS shall continue to be liable for the payment of contributions and the performance of all conditions herein contained. MEMBERS hereby declare that this Agreement is entered into for the benefit of the AUTHORITY created hereby and grant to the AUTHORITY the right to enforce by whatever lawful means the AUTHORITY deems appropriate all of the obligations of each of the parties hereunder. Each and all of the remedies given to the AUTHORITY hereunder 16 ATTACHMENT B or by any law now or hereafter enacted are cumulative and exercise of one right or remedy shall not impair the right of the AUTHORITY to any or all other remedies. SECTION 11. MISCELLANEOUS PROVISIONS 11.1 Agreement Not Exclusive. This Agreement shall not be exclusive and shall not be deemed to amend or alter the terms of other agreements between MEMBERS, except as the terms of this Agreement shall conflict therewith, in which case the terms of this Agreement shall prevail. 11.2 Severability. Should any part, term, or provision of this Agreement be decided by the courts to be illegal or in conflict with any law of the State of California, or otherwise be rendered unenforceable or ineffectual, the validity of the remaining parts, terms, or provisions hereof shall not be affected thereby. 11.3 Successors and Assi ng ment. This Agreement shall be binding upon and shall inure to the benefit of the successors of the MEMBERS. Except to the extent expressly provided herein, MEMBERS may not assign any right or obligation hereunder without the prior written consent of the BOARD. 11.4 Amendment of Agreement. This Agreement may be amended and the AUTHORITY may be terminated or its powers may be changed, restricted, or eliminated by supplemental agreement executed by MEMBERS at any time. 11.5 Form of Approvals. Whenever an approval is required in this Agreement, unless the context specifies otherwise, it shall be given by resolution duly adopted by the respective governing body of each member agency and in the case of the AUTHORITY, by resolution duly adopted by the BOARD. Whenever in this Agreement any consent or approval is required, the same shall not be unreasonably withheld. 11.6 Notices. Notices to MEMBERS shall be sufficient if delivered to the City Clerk of each MEMBER. HI 17 11.7 Section Headings. All section headings contained herein are for convenience of reference only and are not intended to define or limit the scope of any provision of this Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their proper officers thereunto duly authorized, and their official seals to be hereto affixed, as of the day and year first above written. ATTEST: At Clerk of the Board APPROVED AS TO FORM: General Counsel ATTEST: By: Jennifer M. Ferraiolo, City Clerk APPROVED AS TO FORM: Janice Magdich City Attorney, City of Lodi A'T'TEST: City Clerk APPROVED AS TO FORM: City Attorney, City of Manteca ATTEST: By: Bonnie Paige, City Clerk APPROVED AS TO FORM: Susana Alcala Wood Assistant City Attorney LATHROP-MANTECA FIRE DISTRICT A Fire Protection District By: Fire Chief CITY OF LODI A Municipal Corporation By: Steve Schwabauer City Manager CITY OF MANTECA A Municipal Corporation City Manager CITY OF STOCKTON A Municipal Corporation By: Kurt Wilson City Manager 18 RESOLUTION NO. 2015-115 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY OF LODI'S PARTICIPATION IN THE JOINT EXERCISE OF POWERS AGREEMENT CREATING THE SAN JOAQUIN COUNTY REGIONAL FIRE DISPATCH AUTHORITY AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT WHEREAS, the City of Lodi Fire Department is a public agency located in the County of San Joaquin, State of California; and WHEREAS, as a public agency defined under Government Code section 6500, et seq., is authorized and empowered to contract with other public agencies for the joint exercise of powers common to each agency; and WHEREAS, the City of Lodi operates and maintains a Fire Department that includes emergency and non -emergency dispatch services; and WHEREAS, the City has considered the Joint Exercise of Powers Agreement creating the San Joaquin County Regional Fire Dispatch Authority ("SJCRFDA"), a copy of which is attached hereto as Exhibit A and made a part of this Resolution; and WHEREAS, the City of Lodi finds it is in the best interest of the City to participate in said Agreement creating the SJCRFDA and become a member thereto. NOW, THEREFORE, BE IT RESOLVED by the Lodi City Council that: It is in the best interest of the City of Lodi to become a party to the Joint Exercise of Powers Agreement creating the San Joaquin County Regional Fire Dispatch Authority. 2. The Joint Powers Agreement creating SJCRFDA is hereby approved. 3. The City Manager is hereby authorized and directed to sign the Joint Powers Agreement creating SJCRFDA. 4. The City Manager is hereby authorized to take such other actions as is necessary and appropriate to carry out the purpose and intent of this Resolution. Dated: July 15, 2015 I hereby certify that Resolution No. 2015-115 was passed and adopted by the Lodi City Council in a regular meeting held July 15, 2015, by the following vote: AYES: COUNCIL MEMBERS — Chandler, Kuehne, Mounce, Nakanishi, and Mayor Johnson NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None J6NIFER4. FERRAIOLO City Clerk 2015-115 Exhibit A JOINT EXERCISE OF POWER AGREEMENT BETWEEN THE LATHROP-MANTECA FIRE DISTRICT, THE CITY OF LODI, THE CITY OF MANTECA, AND THE CITY OF STOCKTON CREATING THE SAN JOAQUIN COUNTY REGIONAL FIRE DISPATCH AUTHORITY Revised 6/03/15 C:\USERS\AARMENDA\APPDATA\LOCAL\TEMP\XPGRPWISE\SAW FIRE DISPATCH JPA (6-3-15)_1.DOCX JOINT EXERCISE OF POWERS AGREEMENT This Agreement dated July , 2015, is made and entered into by and among the LATHROP-MANTECA FIRE PROTECTION DISTRICT, a duly organized fire protection district under the Fire Protection District Law of 1987 ("LATHROP-MANTECA"), the CITY OF LODI, a general law City and municipal corporation in the State of California ("LODI"), the CITY OF MANTECA, a general law City and municipal corporation in the State of California ("MANTECA"), and the CITY OF STOCKTON, a charter City and municipal corporation in the State of California ("STOCKTON") (collectively referred to as "MEMBERS"), to be effective as of July 1, 2015. RECITALS 1. LATHROP-MANTECA, LODI, MANTECA, and STOCKTON are each authorized by state law or charter to create and maintain a fire department that includes emergency and non -emergency dispatch services. 2. The MEMBERS have determined that creation of a joint power entity to administer emergency and non -emergency dispatch services, including related operations, achieves the needs of each entity for policy input and cost control. 3. The MEMBERS are each a public agency as defined by Government Code section 6500 et seq. and are each authorized and empowered to contract for the joint exercise of powers common to each agency. 4. By this Agreement, the MEMBERS now wish to jointly exercise their powers to provide for regional emergency and non -emergency dispatch services and related services, including but not limited to creation, development, ownership and operation of programs, facilities, and funds therefore through the establishment of the SAN JOAQUIN COUNTY REGIONAL FIRE DISPATCH JOINT POWERS AUTHORITY (the "AUTHORITY'). NOW, THEREFORE, in consideration of the mutual promises and agreements herein contained, the MEMBERS agree as follows: 1 SECTION 1. POWERS AND PURPOSES 1.1 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 "Act"). The AUTHORITY shall be a public entity separate from the parties hereto and its debts, liabilities, and obligations shall not be the debts, liabilities, and obligations of its MEMBERS. The AUTHORITY shall, within 30 days after the Effective Date, cause a notice of this Agreement, and amended notices as necessary, to be prepared and filed with the Office of the Secretary of State, as required by Government Code section 6503.5. 1.2 Purpose of the Agreement; Common Powers to be Exercised. Each agency that is a party to this Agreement individually has the statutory authority to provide emergency and non- emergency dispatch and related services, as well as provide facilities and personnel for such services. In accordance with the Act, the purpose of this Agreement is to jointly exercise the foregoing common powers in the manner set forth in this Agreement. 1.3 Powers. Pursuant to and to the extent required by the Act, the AUTHORITY shall be restricted in the exercise of its powers in the same manner as is each of its MEMBERS. The AUTHORITY shall have the common powers of the MEMBERS, and is authorized, in its own name, to do all acts necessary or convenient for the exercise of such powers, and all other acts authorized by statute, including, but not limited to any or all of the following: (a) To exercise the common powers of its MEMBERS in providing emergency and non -emergency dispatch services, including related operational services, and any service to contracting entities and those powers that may be conferred upon it by subsequently enacted legislation. (b) To make and enter into contracts, including contracts with its MEMBERS; provided, however, the AUTHORITY may not enter into real property development agreements pursuant to Government Code section 65865. 0 (c) To assume any existing applicable contracts of its MEMBERS relating to the provision of emergency and non -emergency dispatch services, including related operational services. (d) To determine compensation and working conditions and negotiate contracts with employees and employee organizations of the AUTHORITY, if any. (e) To employ such agents, employees, and other persons as it deems necessary to accomplish its purpose and to receive, accept, and utilize the services of personnel offered by any of the MEMBERS, or their representatives or agents. (f) To lease, acquire, hold, and dispose of real and personal property. (g) To invest AUTHORITY reserve funds. (h) To incur debt, liabilities, or obligations, provided that all long-term bonded indebtedness, Certificates of Participation, or other long-term debt financing require the prior consent of the MEMBERS as set out in Section 6.8 hereof. (i) To sue and be sued in its own name. (j) To apply for grants, loans, or other assistance from persons, firms, corporations, or governmental entities. (k) To use any and all financing mechanisms available to the AUTHORITY, subject to the provisions of Section 6 of this Agreement. (1) To prepare and support legislation related to the purposes of the Agreement. (m) To lease, acquire, construct, operate, maintain, repair, and manage new or existing facilities as well as to close or discontinue the use of such facilities. (n) To levy and collect payments and fees for services. 3 (o) To impose new special taxes or assessments as authorized by law and in coordination with the underlying jurisdiction. (p) To provide related services as authorized by law. (q) To contract for the services of attorneys, consultants, and other services as needed. (r) To purchase insurance or to self -insure and to contract for risk management services. (s) To adopt rules, regulations, policies, bylaws, and procedures governing operation of the AUTHORITY, including the determination of compensation of any Directors and employees of the AUTHORITY. (t) To exercise the power of eminent domain. (u) To receive, accept, expend, or disburse monies (by contract or otherwise) for purposes consistent with the provisions and purposes specified herein, and maintain at all times a complete and accurate system of accounting for said monies. (v) To contract with outside parties, the operating and administrative services of the AUTHORITY. (w) Notwithstanding the foregoing, the AUTHORITY shall have any additional powers conferred under the Act or under applicable law, insofar as such additional powers may be necessary to accomplish the purposes set forth herein. SECTION 2. TERM AND TERMINATION 2.1 Effective Date. This Agreement shall become effective as of July 1, 2015, or such later date agreed to in writing by MEMBERS. 2.2 Term. This Agreement shall continue in full force and effect without a specific term until it is terminated or rescinded upon the mutual written agreement of the original MEMBERS to this Agreement. The AUTHORITY may by a majority vote of the MEMBERS to 2 terminate this Agreement, or termination will occur automatically if only one member agency is left in the AUTHORITY. 2.3 Membership Term; Notice of Withdrawal. Original MEMBERS specifically agree to remain members of AUTHORITY for a minimum of ten (10) years after the effective date of the AUTHORITY. Subsequent members approved by the BOARD must specifically agree to remain members of AUTHORITY for a minimum of ten (10) years after joining the AUTHORITY. Any individual member agency can terminate membership in this Agreement after completing the 10th year of membership by providing notice to all other member agencies by resolution of intent to withdraw adopted by the governing board of the withdrawing parry. The notice of intent to withdraw shall be given at least one (1) year before the start of the fiscal year in which it shall be effective, but in no circumstance will termination be effective until 10 years after becoming a member of AUTHORITY. The advance notice is intended to give MEMBERS sufficient time to make appropriate arrangements to provide emergency and non- emergency dispatch services. Upon the effective date of withdrawal, the withdrawing agency shall cease to be bound by this Agreement, except for any long-term financing obligations placed upon the withdrawing parry under this Agreement. 2.4 Authority Approval. This Agreement may be terminated upon the consent of the AUTHORITY and the consent of each of the governing bodies of the original member agencies to terminate this Agreement. Any such termination shall provide that the effective termination date shall not occur unless MEMBERS have sufficient time to make appropriate arrangements to independently provide emergency and non -emergency dispatch services, but in no case more than 10 years after approval of termination by the governing bodies of the original member agencies. 2.5 Satisfaction of Obligations. Notwithstanding any other provision in this Agreement, in no event shall the exercise of the powers herein granted be terminated until all indebtedness, claims and liabilities incurred, including liability on Certificates of Participation or bonds, are fully and completely satisfied, or provision for the complete satisfaction of such obligations are made and approved by the AUTHORITY and MEMBERS. 5 2.6 Distribution of Surplus PropgAL. Pursuant to the Act, upon termination of this Agreement, any surplus property owned or held by the AUTHORITY shall be distributed pro rata to the Federal, State, local agency, or member agency that provided the property. The parties shall use good faith efforts and fair dealing in processing and dividing any surplus property that cannot be attributed to any single member agency. 2.7 Distribution of Surplus Funds. Pursuant to the Act, any surplus money on hand after termination of the Agreement shall be returned to the funding source from which funds were furnished, or to the member agency making the contribution. The parties shall use good faith efforts and fair dealing in processing and dividing any surplus funds that cannot be attributed to any single member agency, keeping in mind the position of the parties before they entered into this Agreement. SECTION 3. ORGANIZATION 3.1 Membership. The MEMBERS of AUTHORITY shall be the original parties to this Agreement that have not withdrawn from the AUTHORITY and those Public Agency Members who have met the minimum criteria as established by the Board and are approved to be added as MEMBERS of AUTHORITY by a majority vote of the MEMBERS (the "Original Member Agency"). In addition, any city or public entity may join the AUTHORITY as non- voting members after execution of this Agreement on terms and conditions approved by the AUTHORITY. 3.2 Board Structure. The AUTHORITY shall be governed by a Board of Directors ("BOARD") consisting of not more than one representative from each Original Member Agency or as set forth in the bylaws adopted by the BOARD. Each Director shall have one vote. 3.3 Appointment of Directors by Member Agencies. The BOARD members shall be appointed as follows: (a) Each Original Member Agency, by resolution of its governing body, shall appoint the Fire Chief or designated Fire Department alternate Director to serve on the AUTHORITY's BOARD. Each Original Member Agency shall also appoint by resolution of its governing body an alternate to act in 2 each Director's absence. Each Director and alternate shall serve at the 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/or alternate. (b) The term of office for Directors shall be July 1 of each year from the Effective Date of the AUTHORITY in the year of its formation, to and including the following June 30 of the following year and from July 1 to and including the following June 30 for every year thereafter. A Director can serve multiple terms at the discretion of the appointing body pursuant to their respective adopted policies. (c) The Directors and their alternates shall not receive any compensation for serving as such. However, with approval of the BOARD, a Director or alternate may be reimbursed for reasonable expenses incurred in the conduct of the business of the AUTHORITY. (d) Pursuant to Government Code section 6505, the BOARD is designated as the administrator of this Agreement and the AUTHORITY's affairs, and shall perform its duties and responsibilities in accordance with all provisions of this Agreement. 3.4 Principal Office. The principal office of the AUTHORITY shall be the Fire Department Headquarters of the City of Stockton or as may be otherwise designated by the AUTHORITY from time to time. 3.5 Regular Meetings. The BOARD shall hold at least one meeting annually and may hold additional meetings as determined by the BOARD and as may be established by its bylaws. All meetings of the BOARD shall be called, noticed, held, and conducted subject to the provisions of the Ralph M. Brown Act (Chapter 9 of Part 1 of Division 2 of Title 5 of the Government Code of the State of California (§§ 54950-54961)) or any successor legislation hereinafter enacted. 7 3.6 Minutes. The appointed clerk of the AUTHORITY shall cause minutes of all meetings of the BOARD to be kept and shall, as soon as possible after each meeting, cause a copy of the minutes to be forwarded to each Director of the BOARD and to the respective governing bodies of each of the member agencies. 3.7 Quorum. A majority of the Directors of the BOARD shall constitute a quorum for the transaction of business, except that less than a quorum may adjourn meetings from time to time. 3.8 Officers. The BOARD shall elect from among its Directors a chair and vice - chair and thereafter at the first meeting in each 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 at the next regular meeting of the BOARD held after such vacancy occurs. In the absence or inability of the chair to act, the vice -chair shall act as chair. The BOARD may also appoint a clerk of the AUTHORITY and such other officers as it deems necessary pursuant to Section 3.12 below. 3.9 Rules. The BOARD may adopt from time to time such bylaws, rules, and regulations for the conduct of its affairs that are not in conflict with this Agreement, as it may deem necessary. 3.10 Committees. The BOARD may establish standing or ad hoc committees or subcommittees composed of BOARD members, staff, and/or the public to make recommendations on specific matters. 3.11 Emplo, employee Relations. The BOARD shall as necessary adopt by majority vote Employer -Employee Relations Procedures and Personnel Rules and Regulations applicable to the AUTHORITY for any employees of the AUTHORITY. 3.12 Officers; Duties; Bonds. As determined by the BOARD, the Officers of the AUTHORITY shall be the Executive Director, General Counsel, Clerk, and Finance Director- Treasurer/Controller. N. (a) An Executive Director may be appointed by the BOARD and shall be an at -will employee that serves at the pleasure of the BOARD. If appointed, the Executive Director shall: (1) Direct all subordinate officers and employees; (2) Appoint and remove all employees of AUTHORITY, if any; (3) Attend all meetings of the BOARD unless excused therefrom; (4) Prepare and submit to the BOARD the annual budget for the AUTHORITY; (5) Promulgate administrative and personnel rules and regulations as necessary for the conduct of the operations of AUTHORITY; and (6) Perform such other duties and exercise such other powers as directed by the BOARD. (b) The AUTHORITY shall appoint a Clerk of the BOARD. (c) AUTHORITY shall appoint a Finance Director - Treasurer/Controller who shall serve as the depositary of the AUTHORITY to have custody of all the money of the AUTHORITY, from whatever source, and, as such, shall have the powers, duties, and responsibilities specified in the Act, and shall be designated as the public officer or person who has charge of, handles, or has access to any property of the AUTHORITY, and such officer shall file an official bond in the amount of $25,000 as required by the Act; provided, that such bond shall not be required if the AUTHORITY does not possess or own property or funds with an aggregate value of greater than $500. (d) The AUTHORITY shall appoint a General Counsel to serve as primary General Counsel to the AUTHORITY. (e) The BOARD may contract with any member agency of MEMBERS to provide necessary administrative and support services to the AUTHORITY as appropriate. Any administrative duties also may rotate I from year to year. The AUTHORITY shall reimburse MEMBERS, or its Officers, for services provided under this section in accordance with the normal and usual rates and/or contractual provisions used by that member agency or its Officers. (f) Unless and until changed by resolution of the BOARD, the fiscal year of the AUTHORITY shall be the period from July 1 of each year to and including the following June 30, except for the first fiscal year which shall be the period from the effective date of this Agreement up to and including June 30, 2016. SECTION 4. TRANSFER OF DISPATCH OPERATIONS; CONTRIBUTIONS AND ADVANCES; CONTRACTING SERVICES 4.1 Transition Team; List of Assets and Liabilities. The MEMBERS shall designate a transition team to plan for and implement the transfer of emergency and non -emergency dispatch services to AUTHORITY. The transition team shall also plan for and implement the transfer of assets and liabilities from the MEMBERS to the AUTHORITY which is necessary to achieve the purposes of this Agreement. An up-to-date list of all personnel, employment agreements, assets (including but not limited to real property, equipment, reserves, contracts, and deposits), and all known liabilities shall be prepared by the transition team and submitted to the BOARD. 4.2 Transfer of Assets and Liabilities. The transition team will prepare a plan for transition of assets, liabilities, and services for approval by the BOARD. Before the transfer of any assets, the AUTHORITY and the MEMBER shall come to an agreement concerning the transfer, use, maintenance, and return of any assets, including transition to a joint asset. 4.3 Personnel. The MEMBERS agree that human resources, administrative, and operational services may be provided through an Operating Agreement with the understanding that the AUTHORITY may provide its own such service at a future date. Pursuant to Government Code section 53291, the AUTHORITY may prescribe the qualifications and conditions under which employees of MEMBERS will become employees of the AUTHORITY. The AUTHORITY shall comply with the provisions of Government Code section 53292 to the extent applicable to the AUTHORITY. 10 4.4 Public Funds, Personnel, Equipment, or Property. Contributions or advances of public funds and of personnel, equipment, or property may be made to the AUTHORITY by any MEMBERS for any of the purposes of this Agreement. Payment of public funds may be made to defray the cost of any such contribution. Any such advances shall be made subject to repayment, and shall be repaid, in the manner agreed upon by MEMBERS and the AUTHORITY at the time of making such advance. 4.5 Assets, Transition Plan; FCC License. All MEMBERS' assets included in the Transition Plan for transfer to AUTHORITY, including but not limited to real property and personal property and equipment and apparatus, shall transfer to the AUTHORITY in their "as is" condition as of the date specified in the Transition Plan. MEMBERS agree to execute any and all documents necessary to affect the transfer of assets and liabilities to the AUTHORITY in accordance with the approved Transition Plan. The Transition Plan shall also address the use/ownership of FCC Radio frequency licenses until such time as the AUTHORITY and Member Agencies, and any contracting entities as applicable, agree to transfer said frequencies to the AUTHORITY. Once transferred, the frequencies are not eligible to be severed from the AUTHORITY. 4.6 Contracts. All existing agreements and contracts involving emergency and non -emergency dispatch services by MEMBERS or its personnel shall be assigned to the AUTHORITY as of the date specified in the approved Transition Plan, with any service or obligation to be provided or performed thereafter by the AUTHORITY as identified in the Transition Plan. A list of all such contracts shall be developed during the transition period. The AUTHORITY agrees to assume all of the obligations, duties, and liabilities of the MEMBERS under said agreements and contracts. 4.7 Capital Expenditures; Equipment; Facilities. Capital improvements shall be funded and insured as provided in the cost-sharing formula adopted by the BOARD and the MEMBERS. 4.8 Contracting With Outside Entities. As part of its operation, outside entities may contract with the AUTHORITY for the provision of emergency and non -emergency services. As 11 part of its annual budget process, the AUTHORITY shall determine the service charge amounts owing from contracting entities. This amount shall be referred to as the "Service Charge." The Service Charge shall consist of the annual cost for operational services consistent with the cost calculation methodology in place on the Effective Date of the Operating Agreement, or such later date as a contracting entity contracts with the AUTHORITY for service and will include the annual percentage charge in the cost of emergency and non -emergency dispatch system operations. The cost calculation methodology shall include the cost of any proportional share of any long-term debt repayment obligations, maintenance and repairs, and other costs as determined by the BOARD. SECTION 5. LIABILITY The AUTHORITY shall assume responsibility for any and all loss, litigation, liability, injury, damage, claim, demand, and tort or workers compensation incidents that occur on or after the date personnel or contracts are transferred to the AUTHORITY. The MEMBERS shall retain responsibility and liability for any and all such incidents that occur prior to the transfer and shall retain all risk management reserves that have been set aside for such prior incidents. The AUTHORITY may contract with an individual Member Agency of MEMBERS to receive risk management services on such terms as agreed to by the AUTHORITY and the Member Agency. SECTION 6. FUNDING OF OPERATIONS 6.1 Fiscal Year. For financial recordkeeping and operations, the fiscal year of the AUTHORITY shall begin each July 1, and complete the following June 30. 6.2 General Budget. Within sixty (60) days after the first meeting of the BOARD, a preliminary general budget for the initial fiscal year shall be adopted by majority vote of the BOARD. The initial budget and each succeeding budget shall include, but not be limited to, the following: (1) The general administrative expenses, operating expenses, and necessary reserves of the AUTHORITY to be incurred during the period covered by the budget. (2) The allocation of costs to the MEMBERS in the amounts necessary to cover the budget adopted by the BOARD. 12 (3) Thereafter, at or prior to the last meeting of the BOARD for each fiscal year, a general budget shall be adopted for the ensuing fiscal year or years by a vote of at least a majority of the BOARD. (4) All expenditures within the designations and limitations of the approved general budget shall be made on the authorization of a majority vote of the BOARD. 6.3 Operation Costs. Operation costs of the AUTHORITY shall be allocated between MEMBERS and any outside entities in accordance with a cost-sharing formula adopted by the BOARD. The cost- sharing formula shall be set forth annually as part of the approved annual budget. 6.4 Cost Allocation Formula. Contributions by MEMBERS to the AUTHORITY will be evaluated annually as part of the budget cycle to provide the ability to adjust service levels as determined by a majority vote of the BOARD. MEMBERS shall pay a portion of the costs incurred by the AUTHORITY in providing the services described in this Agreement. The BOARD, in adopting a budget, shall determine each MEMBER's contribution for the fiscal year. The contribution of each MEMBER agency shall be determined by the percentage of number of annual dispatch service calls attributable to each MEMBER agency, divided by the total annual dispatch services calls to all MEMBER agencies during the calendar year preceding the Fiscal Year for which the MEMBER' fair share percentage is being calculated, offset by any applicable revenue received from any contracting entities. Once determined for any budget cycle year, MEMBER contributions shall remain unchanged until the next budget cycle. The use of an alternative method for determining MEMBER contributions requires a two-thirds (2/3) vote of the BOARD. 6.5 Revenue and Tax Sharing_ Agreements. Any agreements related to funding of emergency and non -emergency dispatch services and related operations existing prior to the Effective Date shall, to the greatest extent practicable, be transferred to the AUTHORITY or integrated into this Agreement, if applicable. 6.6 Alternative Funding Sources. Each MEMBER shall support opportunities for development of alternate funding sources. 13 6.7 Determination of Level of Technology Funding. The governing body of each MEMBER shall determine the kind and level of technology to enable that MEMBER to receive emergency and non -emergency dispatch services from the AUTHORITY and shall provide funding for the AUTHORITY to provide that service. 6.8 Approval of Bonded Indebtedness. By a two-thirds (2/3) vote of the BOARD, the AUTHORITY may authorize the issuance of any long-term bonded indebtedness. Any MEMBER that withdraws from the AUTHORITY pursuant to Section 2 above shall, after ceasing to be a MEMBER, be responsible for payment of its proportional share of any bonded indebtedness approved by the AUTHORITY while it was a Member. SECTION 7. ACCOUNTING AND AUDITS 7.1 Maintenance of Books. Full books and accounts shall be maintained for the 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 AUTHORITY's Finance Director - Treasurer/Controller shall comply strictly with requirements governing joint powers agencies pursuant to the Act. 7.2 Audit. The records and accounts of the AUTHORITY shall be audited annually by an independent certified public accountant and copies of the audited financial reports, with the opinion of the independent certified public accountant, shall be filed with the County Auditor, the State Controller, and each MEMBER within six (6) months of the end of the fiscal year under examination. SECTION 8. INDEMNIFICATION AND INSURANCE 8.1 No Vicarious Liability. Pursuant to Government Code section 820.9, as may be amended, members of the Board of Directors for the AUTHORITY are not vicariously liable for injuries caused by the act or omission of the AUTHORITY or any of its MEMBERS. Nothing in this section exonerates an official from liability for injury caused by that individual's own wrongful conduct. Nothing in this section affects the immunity of any other public official. 8.2 Indemnification of MEMBERS. Except as provided in Section 8.7 below, from and after the Effective Date, the AUTHORITY shall defend, indemnify, and hold harmless the 14 MEMBERS and its officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of or in any way related to the performance of services pursuant to this Agreement. 8.3 Indemnification for Services Transferred. Except as provided in Section 8.7 below, from and after the Effective Date, the AUTHORITY shall defend, indemnify, and hold harmless the MEMBERS and its officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of or in any way related to any contract or agreement assumed by or otherwise transferred to AUTHORITY. 8.4 Indemnification for Transfer of Assets. Except as provided in Section 8.7 below, from and after the date of transfer, the AUTHORITY shall defend, indemnify, and hold harmless the MEMBERS and its officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of or in any way related to any MEMBER asset transferred to the AUTHORITY, including but not limited to real property, personal property, equipment, and apparatus. 8.5 Worker's Compensation. As to any employees of the AUTHORITY, including any employees transferred to the AUTHORITY, AUTHORITY shall maintain during the term of this Agreement workers compensation insurance as required by law. 8.6 General Liability Insurance. AUTHORITY shall maintain general comprehensive liability insurance in the minimum limit of $5,000,000 combined single limit per occurrence and annual aggregate. MEMBERS shall be named as an additional insured on the general comprehensive liability policy. Alternatively, the AUTHORITY may self -insure in a minimum amount of $5,000,000. 8.7 Indemnification by MEMBERS to AUTHORITY. From and after the Effective Date, MEMBERS shall defend, indemnify, and hold harmless the AUTHORITY, the AUTHORITY Directors, officers, employees, agents, and representatives, each individual 15 MEMBER, and its respective officers, employees, agents, and representatives with respect to any loss, damage, injury, claim, demand, litigation, or liability and all expenses and costs relating thereto (including attorneys' fees) arising out of the MEMBER's actions or omissions prior to the Effective Date of this Agreement that related to the provision of emergency and non- emergency dispatch services and related operations. The MEMBERS agree, pursuant to Government Code sections 895.4 and 6508. 1, that MEMBERS shall indemnify and contribute to satisfaction of such judgment against AUTHORITY, the AUTHORITY Directors, officers, employees, agents, and representatives upon any liability arising out of the performance of this Agreement in proportion to that MEMBER's contribution to the AUTHORITY budget in the fiscal year in which an incident causing such liability occurs. The MEMBERS further agree that the provisions of Article 4 (commencing with section 825), Chapter 4, Part 2, Division 3.6, Title 1 of the Government Code shall apply to issues related to indemnification of MEMBERS or AUTHORITY Directors, officers, employees, agents, and representatives. 8.8 No Waiver of Defenses. Notwithstanding Section 8.7 above, the MEMBERS agree that no immunity or defense available to the MEMBERS under State or Federal law or regulation shall be waived with respect to any third party claim. SECTION 9. CONFLICT OF INTEREST CODE The AUTHORITY, to the extent required by law, shall adopt a Conflict of Interest Code. SECTION 10. BREACH If default shall be made by any MEMBER or the AUTHORITY in any covenant contained in this Agreement or the Operating Agreement, such default shall not excuse the MEMBER or the AUTHORITY from fulfilling its obligations under this Agreement and all MEMBERS shall continue to be liable for the payment of contributions and the performance of all conditions herein contained. MEMBERS hereby declare that this Agreement is entered into for the benefit of the AUTHORITY created hereby and grant to the AUTHORITY the right to enforce by whatever lawful means the AUTHORITY deems appropriate all of the obligations of each of the parties hereunder. Each and all of the remedies given to the AUTHORITY hereunder 16 or by any law now or hereafter enacted are cumulative and exercise of one right or remedy shall not impair the right of the AUTHORITY to any or all other remedies. SECTION 11. MISCELLANEOUS PROVISIONS 11.1 Agreement Not Exclusive. This Agreement shall not be exclusive and shall not be deemed to amend or alter the terms of other agreements between MEMBERS, except as the terms of this Agreement shall conflict therewith, in which case the terms of this Agreement shall prevail. 11.2 Severability. Should any part, term, or provision of this Agreement be decided by the courts to be illegal or in conflict with any law of the State of California, or otherwise be rendered unenforceable or ineffectual, the validity of the remaining parts, terms, or provisions hereof shall not be affected thereby. 11.3 Successors and Assi ng ment. This Agreement shall be binding upon and shall inure to the benefit of the successors of the MEMBERS. Except to the extent expressly provided herein, MEMBERS may not assign any right or obligation hereunder without the prior written consent of the BOARD. 11.4 Amendment of Agreement. This Agreement may be amended and the AUTHORITY may be terminated or its powers may be changed, restricted, or eliminated by supplemental agreement executed by MEMBERS at any time. 11.5 Form of Approvals. Whenever an approval is required in this Agreement, unless the context specifies otherwise, it shall be given by resolution duly adopted by the respective governing body of each member agency and in the case of the AUTHORITY, by resolution duly adopted by the BOARD. Whenever in this Agreement any consent or approval is required, the same shall not be unreasonably withheld. 11.6 Notices. Notices to MEMBERS shall be sufficient if delivered to the City Clerk of each MEMBER. HI 17 11.7 Section Headings. All section headings contained herein are for convenience of reference only and are not intended to define or limit the scope of any provision of this Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and attested by their proper officers thereunto duly authorized, and their official seals to be hereto affixed, as of the day and year first above written. ATTEST: BY: Clerk of the Board APPROVED AS TO FORM: General Counsel ATTEST: By: Jennifer M. Ferraiolo, City Clerk APPROVED AS TO FORM: Janice Magdich City Attorney, City of Lodi ATTEST: By: City Clerk APPROVED AS TO FORM: City Attorney, City of Manteca ATTEST: Bv: Bonnie Paige, City Clerk APPROVED AS TO FORM: Susana Alcala Wood Assistant City Attorney LATHROP-MANTECA FIRE DISTRICT A Fire Protection District By: Fire Chief CITY OF LODI A Municipal Corporation By: Steve Schwabauer City Manager CITY OF MANTECA A Municipal Corporation By: City Manager CITY OF STOCKTON A Municipal Corporation Bv: Kurt Wilson City Manager Adopt a Resolution Authorizing City Manager to Execute Joint Exercise of Power Agreement between City of Lodi, City of Manteca, and City of Stockton Creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA) Service -Orr Bac rou nd� RT ❖ The City of Stockton retained Management Partners Consulting in 2013 to review and pprovide recommendations for gaining possible efficiencies in Fire p Department Dispatch Services. ❖ A JPA review and formation group was formed with the fire chiefs from the Lathrop -Manteca Fire District City of Lodi City of Manteca, City of Stockton and City of Tracy. ❖ The results of the work performed by the group culminated in the development of the Joint Exercise of Power Agreement between all of the above agencies with the exception o�Cit of Trac at this g p Y Y time. ❖ It is currently recommending the formation group that the City of Stockton provide contract services to the JPA for emer ency and non-emergencyenc dispatch services under an Operationalerational Agreement betweenthe JPA and the City. :) Benefits Benefits of forming a JPA and then develop a governance structure that meets the needs of the regional communications dispatch partnership Each of these individual agency will be afforded equal representation on the JPA Board of Directors. These agencies desire fair representation in the matters of policy and fiscal decisions. The JPA will be a legal separate from the City member agencies. public entity that is of Stockton and all the d� Benefits ❖ The Fire Chief would be appointed as the City Representative to the JPA Board. ❖ The all parties will be a committed to the JPA for a minimum of a ten (10) year period. ❖ The JPA Board membership will be limited to the four original agencies, with the option of Tracy joining at a later date. d� Be n ef its ❖ The JPA, once formed would not be limited to dispatch services alone, it could expand to cover fire training and equipment purchases. ❖ The JPA would be more likely to receive State and Federal grant funding. ❖ The JPA Board could engage additional fire agencies for contract dispatch services. •:• There are no additional costs associated with the approval of the Joint Exercise of Powers Agreement (JPA). All Cost per calls are currently contracted. ❖ Any initial costs associated with the development of the JPA and the Operations Agreement will be shared by the member agencies as determined and approved by the Board. ❖ All of Lodi cost are already incorporated in our 2015/16 Fiscal Budget. d� Recommendation •:• It is recommended that the City Council move to approve and adopt a resolution authorizing the City Manager to enter into a Joint Exercise of Powers Agreement between the City of Lodi, City of Manteca and City of Stockton creating the San Joaquin County Regional Fire Dispatch Authority (SJCRFDA). rt .ti City of Lodi Fire Department Questions or Comments PJ L