HomeMy WebLinkAboutAgenda Report - July 19, 2000 E-09,
• •� OUNCIL COMMUNICATION
AGENDA TITLE: Authorize the City Manager to enter into an agreement with the Mokelumne Rural
Fire District pertaining to the Mondavi Annexation area
MEETING DATE: July 19, 2000
PREPARED BY: Community Development Director
RECOMMENDED ACTION: That the City Council adopt the attached resolution authorizing
the City Manager to execute an agreement with the Mokelumne
Rural Fire District for a ten-year period to reimburse them for lost
revenue due to the City's annexation and detachment from the
district of approximately 134 acres.
BACKGROUND INFORMATION: As the City Council is aware, Mondavi Winery is in the process
of purchasing approximately 40 acres along Guild Avenue. This
property is currently in County jurisdiction and under the
protection of the Mokelumne Rural Fire District. In order for
development of this and adjacent property to proceed, the Council has approved a request to annex
approximately 134 acres into the City. A typical associated action is the detachment of territory from an
appropriate fire district.
In this case, the Mokelumne District is financially strapped. The district relies on revenue generated from
this area to serve the minimum protection needs of their service area. As a result of this fact, the City
Council directed me to negotiate a limited term agreement that would backfill the revenue loss to the
district. Before you, for action, is the attached agreement, which provides for three specific deal points.
A) An annual payment not to exceed $27,917.96, which is equal to the current revenue generated from
this territory. It should be noted that no escalation in this amount is contemplated. B) The term of the
agreement is 10 years, and C) That the Mokelumne District provide one engine with a minimum of two
personnel on the initial response for any structure fire call in the area to be annexed.
It is staff's opinion that this agreement is necessary in order for the annexation to proceed and ultimately
the development of the properties in question. Further, it is our belief that future revenues that the City
will gain from this territory more than adequately covers our expense over the term of the agreement.
FUNDING: General Fund $27,917.96 annually
for 10 years
Cc: City Attorney
Fire Chief
Attachment
Funding Available: 1[I
Vicky McAthie
Finance Director
4nradt Bartam
Community Development Director
APPROVED:
H. Dixon Flynn -- City Manager
cc0014.doc 07/11/00
AGREEMENT BETWEEN THE CITY OF LODI AND THE
MOKELUMNE RURAL FIRE DISTRICT REGARDING
WITHDRAWAL OF AREA FROM THE DISTRICT PURSUANT TO
ANNEXATION OF PROPERTY TO CITY OF LODI
THIS AGREEMENT is made and entered into this day of , 2000,
by and between the CITY OF LODI, a municipal corporation of the State of California
("City"), and the Mokelumne Rural Fire District, a rural fire district organized under the laws
of the State of California ("District').
WITNESSETH:
WHEREAS, City has been asked by certain property owners to annex property to
City; and
WHEREAS, City is willing to have the property designated as the Mondavi Annexation
Area annexed to City; and
WHEREAS, as a condition of annexation City will require that the property be
withdrawn from the District; and
WHEREAS, such withdrawal will result in a loss of property tax revenue which District
uses to fund fire suppression services within its boundaries; and
WHEREAS, City believes that it is in the best interest of City to compensation District
for its lost revenues.
NOW, THEREFORE, it is mutually agreed by and between the City and District as
follows:
1. Compensation — City shall pay to District an amount not to exceed $27,917.96 to
compensate for lost property tax revenue due to detachment of the Mondavi Annexation
Area.
2. Payments — City shall make ten (10) annual payments of the amount stated in
paragraph 1. Upon making the 10`h payment, City shall be relieved of any further obligation
to make payments of any type to District. City shall make the annual payment on or before
December 31st of each calendar year beginning December 2001.
3. District — District shall remain the initial responder to any structure fire call within
the detached area. Responses shall be made by District dispatching, in a timely manner,
one engine with a minimum crew of two.
4. Term — The term of this Agreement is 10 years from the day and year first above
written.
IN WITNESS WHEREOF, this Agreement has been executed by the respective
parties hereto through their authorized representatives, the day and year first above written.
CITY OF LODI, a municipal corporation
hereinabove called "City"
By.
H. DIXON FLYNN, City Manager
Attest:
SUSAN J. BLACKSTON, City Clerk
Approved as to Form:
A
RA ALL A. HAYS, City ttorney
MOKELUMNE RURAL FIRE DISTRICT
hereinabove called "District"
20
DAN LEARY, Chief
RESOLUTION NO. 2000-122
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
THE CITY MANAGER TO EXECUTE AGREEMENT BETWEEN
MOKELUMNE RURAL FIRE DISTRICT AND THE CITY OF LODI IN
RELATION TO THE MONDAVI ANNEXATION AREA
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WHEREAS, the Mondavi Winery is in the process of purchasing approximately 40
acres along Guild Avenue; and
WHEREAS, the property is currently in County jurisdiction and under the
protection of the Mokelumne Rural Fire District; and
WHEREAS, in order for the development of this and adjacent property to proceed,
the City Council has approved a request to annex approximately 134 acres into the City of
Lodi, which would require that the territory be detached from the fire district; and
WHEREAS, due to the financial hardship that this detachment from the
Mokelumne River Fire District would cause, the City Council directed staff to negotiate a
limited term agreement that would implement an annual payment to the Fire District for a
ten year period in the amount not to exceed $27,917.96, which is equal to the current
revenue generated from this territory; and
WHEREAS, the Mokelumne River Fire District would also provide one engine with
a minimum of two personnel on the initial response for any structure fire call in the area to
be annexed; and
WHEREAS, it is staff's opinion that this agreement is necessary in order for the
annexation to proceed and ultimately the development of the properties in question, and is
their further belief that future revenues that the City will gain from this territory more than
adequately covers our expense over the term of the Agreement.
NOW, THEREFORE, BE IT RESOLVED, that the Lodi City Council does hereby
authorize the City Manager to execute an Agreement between the Mokelumne Rural Fire
District and the City of Lodi.
Dated: July 19, 2000
I hereby certify that Resolution No. 2000-122 was passed and adopted by the Lodi
City Council in a regular meeting held July 19, 2000 by the following vote:
AYES: COUNCIL MEMBERS — Hitchcock, Land, Nakanishi, Pennino and
Mann (Mayor)
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLACKSTON
City Clerk
2000-122