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Resolution No. 2019-029RESOLUTION NO. 2019-29 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND THE CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY FOR FIRE PROTECTION, PARAMEDIC AND INCIDENTAL SERVICES IN THE CITY OF VERNON WHEREAS, the City of Vernon ("City") is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, effective January 22, 2018, the City entered into a services agreement with the Matrix Consulting Group ("Matrix") for the purpose of conducting a Vernon Fire Department Standards of Cover assessment; and WHEREAS, the Matrix study was comprehensive and accounted for all key factors, including the industrial composition of the City, the Class 1 Fire Department rating, minimum staffing levels, call volume, effective response, city size, and the existing number of fire stations and equipment; and WHEREAS, in addition to the Matrix study, the City analyzed a variety of options for cost-effective provision of fire service, and right -sizing the City's fire service model continued to be the ultimate goal; and WHERAS, on September 19, 2018, the City Council authorized the City Administrator to enter into negotiations with Los Angeles County for the provision of fire protection and related services to the City; and WHEREAS, by memorandum dated August 6, 2019, the City Administrator has recommended the approval of an agreement with the Consolidated Fire Protection District of Los Angeles County ("LA County"), setting forth the terms and conditions under which the LA County will provide fire protection, paramedic and incidental services in the City; and WHEREAS, the City Council of the City of Vernon desires to approve the Agreement with the LA County, in substantially the same form as the copy attached hereto as Exhibit A, with Schedules 1-15 to be finalized or completed on or about the commencement date of service. WHEREAS, the City Council of the City of Vernon desires for Fire Station 78 to be negotiated under separate terms and conditions with the LA County independent of Fire Stations 76 and 77 and included in a separate Schedule in Exhibit A. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct. SECTION 2: The City Council of the City of Vernon finds that this action is exempt from California Environmental Quality Act ("CEQA") review, because it is an administrative action that will not result in direct or indirect physical changes in the environment and, therefore, does not constitute a "project" as defined by CEQA Guidelines section 15378. SECTION 3: The City Council of the City of Vernon hereby approves the Agreement with the Consolidated Fire Protection District of Los Angeles County, in substantially the same form as the copy attached hereto as Exhibit A, with Schedules 1-15 to be finalized or completed on or about the commencement date of service. - 2 - SECTION 4: The City Council of the City of Vernon hereby authorizes negotiations with the LA County for the use of Fire Station 78 under separate terms and conditions distinct from those that apply to Fire Stations 76 and 77. SECTION 5: The City Council of the City of Vernon hereby authorizes the Mayor or Mayor Pro-Tem to execute said Agreement for, and on behalf of, the City of Vernon and the Interim City Clerk is hereby authorized to attest thereto. SECTION 6: The City Council of the City of Vernon hereby instructs the City Administrator, or his designee, to take whatever actions are deemed necessary or desirable for the purpose of implementing and carrying out the purposes of this Resolution and the transactions herein approved or authorized, including but not limited to, any non -substantive changes to the Agreement attached herein. SECTION 7: The City Council of the City of Vernon hereby directs the Interim City Clerk, or the Interim City Clerk's designee, to send a fully executed Agreement to the LA County. - 3 - SECTION 8: The Interim City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the Interim City Clerk, of the City of Vernon shall cause this resolution and the Interim City Clerk's certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 6th day of August, 2019. ATTE T: Deb rah Ha ngton Interim City Clerk APPROVED AS TO FORM: jK& Za na Moussa, SerU,6r Deputy City Attorney - 4 - Name: Meli Ba-A. Ybarra Title: Mayor /�= STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, Deborah Harrington, Interim City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2019-29, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, August 6, 2019, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this ,G%%'�day of August, 2019, at Vernon, California. (SEAL) - 5 - e orah Ha rington Interim City Clerk 1 2 3 4 6 7 8 9 10 Il 12 13 14 I 16 17 18 19 20 21 22 �3 24 25 26 27 28 AGREEMENT FOR SERVICES BY AND BETWEEN THE CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY AND THE CITY OF VERNON THIS AGREEMENT is made and entered into this day of 7 , by and between the Consolidated Fire Protection District of Los Angeles County, hereinafter 11 referred to as the "FIRE DISTRICT," and the City of Vernon, hereinafter referred to as the I I "CITY." WITNESSETH WHEREAS, the CITY has decided to contract with FIRE DISTRICT for fire protection, hazardous materials, emergency medical, and all related services as authorized by California Government Code Section 54981, and the FIRE DISTRICT is authorized to provide such services pursuant to California Health and Safety Code Section 13800, et. seq; WHEREAS, it is the desire of the CITY to receive regional fire protection services from the FIRE DISTRICT due to the benefits afforded by regional service delivery; and WHEREAS, it is the desire of the parties hereto to address, by this Agreement, all matters which are related to a contract for services to be provided to the CITY by the FIRE DISTRICT. SECTION I. AGREEMENT EFFECTIVE DATE AND TERM (A) The effective date of this Agreement shall be the date of approval by the Board of Supervisors of the County of Los Angeles as the governing body of the FIRE DISTRICT, which is , and this Agreement shall continue in effect until such time as this Agreement is terminated or otherwise renegotiated. (B) The provision of services by the FIRE DISTRICT to the CITY shall commence on the date stated in Schedule 1 established by the FIRE CHIEF of the FIRE DISTRICT, hereinafter referred to as "commencement date of services". (C) The date of annexation of the CITY to the FIRE DISTRICT shall be the date of recordation of annexation documents which shall be on or near the commencement date of services. 1 2 3 4 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (D) This Agreement shall remain in effect for a minimum of ten (10) years from the commencement date of services ("Initial Ten -Year Term"). Subsequent to this Initial Ten -Year Term, this Agreement shall be automatically renewed for one year periods. Either party may terminate this Agreement any time after the expiration of the Initial Ten -Year Term upon one year's written notice as provided in Subsection (E) of this Section I, subject to the terms and 11 conditions of this Agreement. (E) Subsequent to the ninth (9) year of the Initial Ten -Year Term, the FIRE DISTRICT or the CITY may terminate this Agreement by giving at least one year's written notice to the other for termination of this Agreement and the CITY's detachment from the FIRE DISTRICT in accordance with this Section I. Notice shall be sent to the addresses listed in Section III, Subsection (1), herein, or as subsequently changed by either party in writing. (F) Should either party give written notice of its intent to terminate this Agreement, that party shall initiate detachment proceedings through the Local Agency Formation Commission (LAFCO). The party who terminates this Agreement, including any subsequent amendments, shall bear the cost of all fees associated with detachment of the CITY from the FIRE DISTRICT, unless CITY becomes delinquent or defaults in its Annual Fee payment to the FIRE DISTRICT for FIRE DISTRICT services pursuant to Section III, Subsection (0), in which instance CITY shall bear the costs. Such fees shall be defined as LAFCO fees, the State Board of Equalization fees, and any similar fees of this nature but shall not include any Board of Supervisors' or any CITY administrative fees or attorneys' fees. (G) A review of the Agreement terms may be initiated at any time by either party, upon five (5) days written notice to the other. Any modifications made to this Agreement shall be upon written consent of both parties. The parties agree to negotiate in good faith and deal fairly with respect to performance under this Agreement and with respect to any proposed modifications to this Agreement. SECTION II. SERVICES (A) Services to be provided by the FIRE DISTRICT to the CITY shall include fire protection, hazardous materials services, emergency medical services which include -2- 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 `' 1 22 23 24 25 26 27 28 paramedic services, fire code and related code enforcement, fire cause and arson 11 investigation, plus all FIRE DISTRICT support services including, but not limited to, II supervision, dispatching, training, equipment maintenance, supplies, and procurement, collectively referred to as "Services." The CITY will not be charged for on -duty personnel 11 reassigned from fire stations outside of the CITY to staff events in the CITY. The FIRE DISTRICT's cost for Fire Safety Officers (FSOs) or augmented staffing assigned to special events held in the CITY will be charged to the CITY for CITY -sponsored events or to non -CITY entities, whichever is the appropriate organization, as the cost for such augmented services is not included in the CITY's Annual Fee. (B) The power and authority relating to the provision of Services, the standards of performance, the discipline of personnel, and other matters related to the performance of such Services and control of personnel so employed by the FIRE DISTRICT shall be within the sole discretion of the FIRE DISTRICT. (C) The engine companies assigned to the CITY Fire Stations as listed on Schedule 3 attached hereto shall carry automatic external defibrillators, and all firefighting personnel shall be certified as Emergency Medical Technician-1. The minimum daily staffing level in the CITY as indicated on Schedule 3 herein is as follows: one engine company staffed with three personnel (one fire captain, one fire fighter specialist and one fire fighter); one engine company and one truck company each staffed with four personnel, (one fire captain, one fire fighter specialist and two fire fighters); and one paramedic squad staffed with two fire fighter paramedics, for a total operations staffing of thirteen uniformed personnel on duty daily in the CITY. This staffing level may be modified by mutual agreement of the CITY COUNCIL and FIRE CHIEF of the FIRE DISTRICT pursuant to Section XI. (D) All code enforcement, plan check approval, and other fire prevention activities shall I be in accordance with the County of Los Angeles Fire Code and FIRE DISTRICT ordinances, I regulations, standards, policies and procedures, except as may be amended pursuant to I Section X herein. (E) Transportation of a patient to a hospital in a medical emergency is not provided by -3- 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 the FIRE DISTRICT. Emergency medical transportation is provided under a County of Los Angeles contractual arrangement with a private ambulance company licensed to operate within Los Angeles County. If the CITY opts to continue to provide medical transportation in the CITY during the term of this Agreement, the CITY and FIRE DISTRICT will enter into a 11 Memorandum of Understanding which will outline the CITY's responsibilities in the administration of its ambulance program, including the location of the housing of ambulance program's personnel and equipment. (F) The FIRE DISTRICT will participate in and support community emergency preparedness, education, training, and exercises at the reasonable request of and at no additional cost to the CITY. The CITY shall retain responsibility for the CITY's internal emergency management and related programs. (G) Without cost to the FIRE DISTRICT, the CITY shall, within the legal boundaries of the CITY, retain responsibility for providing a water system including fire hydrants capable of supplying adequate water fire flow to the FIRE DISTRICT. The CITY shall ensure that the CITY's water purveyors provide adequate water and hydrants for fire protection purposes within the CITY without cost to the FIRE DISTRICT. (H) The FIRE DISTRICT shall annually inspect all fire hydrants within the CITY to ensure that fire hydrants are mechanically operable and capable of delivering water. The FIRE DISTRICT shall notify the CITY's water purveyors, in writing, of any maintenance requirements as soon as possible after such inspections and at any other times the FIRE DISTRICT becomes aware of maintenance or repair requirements. The FIRE DISTRICT shall not be liable to pay any CITY water purveyor for hydrant installation, use, repair, maintenance, or rental fees or any other related costs or expenses except if damage results from the FIRE DISTRICT'S negligent use of said fire hydrants. (1) The transference of applicable 9-1-1 calls to the FIRE DISTRICT shall be done immediately upon receipt by the CITY's Public Safety Answering Point (PSAP) and shall be performed without cost to the FIRE DISTRICT. The CITY shall be responsible for all costs associated with connecting ring -down circuits from its PSAP to the FIRE DISTRICT's circuit. i! I 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (J) The FIRE DISTRICT shall provide to the CITY quarterly and annual statistical response information reports. The criteria utilized in the preparation of such reports shall be determined by the CITY ADMINISTRATOR and the FIRE DISTRICT's jurisdictional Assistant II Fire Chief. (K) Nothing in this Agreement shall preclude the future expansion or relocation of the CITY'S Fire Stations referenced on Schedule 3 herein if such action is mutually agreed upon in writing by both the CITY and the FIRE DISTRICT's Fire Chief. (L) Any agreed -upon adjustments in staffing pursuant to Section XI, Subsection (B) herein may cause adjustments in the determination of the Annual Fee, as specified in Schedule 2 attached hereto and made a part hereof. SECTION III. ANNUAL FEE FOR SERVICES (A) The CITY shall pay an Annual Fee for FIRE DISTRICT Services, hereinafter referred to as "Annual Fee." As provided for in the California Health and Safety Code Section 13878, the FIRE DISTRICT shall be paid monthly, in advance, from funds of the CITY for the performance of the services referred to in Section 11, hereof. The Annual Fee shall be determined by the method specified in Schedule 2, attached hereto and made a part hereof. The CITY shall pay the FIRE DISTRICT one -twelfth (1/12) of the estimated or actual Annual Fee monthly, in advance, on or before the first day of each month. The one-year period for payment of the Annual Fee is defined as July 1 through June 30, herein referred to as "Fiscal Year." (B) At least ninety (90) days prior to the commencement of each Fiscal Year, the FIRE DISTRICT shall submit a preliminary estimate of the Annual Fee ("Preliminary Annual Fee") for providing Services to the CITY for the ensuing fiscal year. The Preliminary Annual Fee shall include estimated costs of FIRE DISTRICT salary and employee benefits and overhead, and shall be used for billing purposes until actual cost information is available. (C) As soon as actual cost information is available, the FIRE DISTRICT shall provide the CITY a statement of the actual Annual Fee for providing Services during the current fiscal year. If the Annual Fee is less than the Preliminary Annual Fee, the FIRE DISTRICT shall -5- 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 credit the CITY for the difference, which amount shall be deducted from the first monthly invoice and, if applicable, the following monthly invoices subsequent to the statement of the Annual Fee. If the Annual Fee is greater than the Preliminary Annual Fee, the additional amount due the FIRE DISTRICT will be paid by the CITY during the subsequent fiscal year as 11 follows: One -twelfth (1112) of such additional Annual Fee amount due to the FIRE DISTRICT shall be added and paid in each of the CITY's subsequent twelve (12) monthly payments. (D) A limitation shall be placed on increases in the amount of Annual Fee to be paid by the CITY each year, hereinafter referred to as "Annual Fee Limitation." For purposes of calculation of the Annual Fee Limitation, the Annual Fee shall not include any conversion costs, credits, or rebates of any kind. The Annual Fee Limitation shall be subject to annual changes after the initial five-year period of this Agreement commencing with the commencement date of services ("Initial Five -Year Period") as described below. During the Initial Five -Year Period, the Annual Fee Limitation shall not exceed four percent (4%) per Fiscal Year. At the conclusion of the Initial Five -Year Period, the FIRE DISTRICT will meet with the CITY to discuss cost trends and increases that will impact the CITY's Annual Fee. During the sixth year of this Agreement, the Annual Fee Limitation shall be the average of the immediately preceding four years' percentage increases in the Annual Fee plus one percent (1 %). During the seventh year of this Agreement and each subsequent Fiscal Year, the Annual Fee Limitation shall be the average of the immediately preceding five years' percentage increases in the Annual Fee plus one percent (1 %). (E) In any year where the CITY's Annual Fee, as specified in Section III, Subsection (C) hereinabove, exceeds the preceding Fiscal Year's Annual Fee plus the applicable Annual Fee Limitation, hereinafter referred to as "Annual Fee Limitation Excess," payment of the Annual Fee Limitation Excess shall be deferred to a subsequent future Fiscal Year(s) where the increase in the Annual Fee for that Fiscal Year over the preceding Fiscal Year is less than the Annual Fee Limitation. The Annual Fee Limitation Excess will be paid by the CITY in any subsequent Fiscal Year(s) to the extent the Annual Fee increase in that Fiscal Year is less than the Annual Fee Limitation for that Fiscal Year. One -twelfth (1/12) of such Annual Fee M 1 3 4 6 7 8 9 10 II 12 13 14 15 16 17 18 19 21 ,Y) 23 24 25 26 27 28 Limitation Excess shall be added and paid in each of the CITY's twelve (12) monthly payments for the subsequent Fiscal Year(s). In the event the CITY detaches from the FIRE DISTRICT, any unpaid Annual Fee Limitation Excess together with any outstanding Annual Fee payments due by the CITY as of the effective date of detachment shall be due and payable to the FIRE DISTRICT no later than the effective date of detachment. Should a credit be due the CITY from the FIRE DISTRICT, a refund shall be paid to the CITY no later than the effective date of detachment. (F) In addition to the Annual Fee, conversion costs as specified in Schedule 4 attached hereto and made a part hereof shall be charged to the CITY and shall be paid to the FIRE DISTRICT by the CITY in thirty-six (36) equal monthly payments. This amount shall be added to each monthly invoice for the Annual Fee commencing with the first month's Annual Fee invoice. Upon the final determination of the actual conversion costs as approved by the CITY ADMINISTRATOR and the FIRE CHIEF of the FIRE DISTRICT, the CITY's conversion cost balance will be adjusted as will all subsequent monthly invoices for the Annual Fee to reflect the actual conversion costs. (G) The CITY shall pay all annexation processing fees by check directly to and upon request by the FIRE DISTRICT. Such fees are anticipated to be: State of California Board of Equalization $ 300.00 County of Los Angeles Local Agency Formation Commission $ 8,500.00 (H) Fire protection, hazardous materials, emergency medical, and all related services as set forth in Section II, herein, shall not be performed by the FIRE DISTRICT hereunder unless the CITY shall: 1. Have available funds previously appropriated to cover the Annual Fee; and 2. Have paid in advance, when due to the FIRE DISTRICT, the monthly payments or the Annual Fee from the previously appropriated funds. (1) The FIRE DISTRICT shall invoice the CITY at least thirty (30) days in advance of any scheduled monthly payment. Payment of all invoices under this Agreement shall be due and -7- 1 2 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 �I 2; 24 25 26 27 28 payable thirty (30) days from the date of invoice (hereinafter referred to as "due date"). Invoices and general notices shall be sent to the CITY at: City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention : Carlos Fandino, City Administrator Payments shall be sent to the FIRE DISTRICT at: Los Angeles County Fire Department P. O. Box 54740 Los Angeles, CA 90054-0740 General notices shall be sent to the FIRE DISTRICT at: Fire Chief Daryl L. Osby Los Angeles County Fire Department 1320 North Eastern Avenue Los Angeles, CA 90063-3294 Either party shall notify the other, in writing, of an address change. (J) If the commencement date of services is in the middle of any month, the pro rata share for that month and full payment for the following month shall be paid in advance. The pro rata monthly share shall be calculated as follows: Divide the Annual Fee by 365 days (daily rate) and multiply the daily rate by the number of days remaining in the month as of the commencement date of services. (K) Interest shall be added to any payment invoiced by the FIRE DISTRICT and that is received by the FIRE DISTRICT more than fifteen (15) calendar days after the due date (late payment). The interest rate on any late payment shall be established as the prevailing prime lending rate for Bank of America, or any successor financial institution, as of the first day payment is late. The period for computing this interest shall commence the day following the payment due date and end the date of receipt of payment by the FIRE DISTRICT. The interest payment shall be computed as follows: No. of Days Late X Prime Lending Rate X $ Amount of = Late Payment Interest Charge 365 Days Payment -8- 1 2 3 4 5 6 7 8 9 10 11 12 1> 14 1S 16 17 18 19 10 21 22 23 24 25 26 27 28 (L) The Annual Fee in this Agreement is based upon current CITY boundaries and service requirements. During the term of this Agreement, should the CITY annex any area from which the FIRE DISTRICT does not receive property taxes (such as from a non -FIRE DISTRICT - served city), staffing levels shall be adjusted to adequately serve the annexed area and the CITY's Annual Fee shall be adjusted accordingly as determined by the FIRE DISTRICT and reviewed by the CITY. (M) All revenues generated from fees established or implemented by the FIRE DISTRICT, such as fire prevention fees, shall be FIRE DISTRICT revenues with the exception of any applicable paramedic on-board/advanced life support (ALS) fees which will be passed through to the CITY by the FIRE DISTRICT via credits on the CITY's monthly invoices. Any revenue generated by fees that the CITY charges as the administering agency for the CITY's Hazardous Materials Release Response Plan and Inventory program and through a CITY - operated emergency medical transportation program in arrangement with a private ambulance firm would remain CITY revenues. Fees of any nature collected by CITY on behalf of the FIRE DISTRICT shall be passed -through to the FIRE DISTRICT by the CITY as FIRE DISTRICT revenues. The CITY shall be authorized to retain a five percent (5%) administrative charge for any fees collected by the CITY on behalf of the FIRE DISTRICT. Any fees charged and collected by the CITY subsequent to the commencement date of services shall remain as revenues of the CITY provided that such fees are not identified as fees for FIRE DISTRICT services. The FIRE DISTRICT shall be authorized to retain a five percent (5%) administrative charge for any fees collected by the FIRE DISTRICT on behalf of the CITY. Excluding any State, Federal, or judicially mandated programs or fees, any fees established by the FIRE DISTRICT to be imposed in the CITY after the commencement date of services shall require the prior approval of the City Council. Neither the FIRE DISTRICT nor the CITY shall be legally obligated to collect fees on behalf of the other party. In the event that an incident occurs within the CITY while this Agreement is in effect during which the FIRE DISTRICT may be required to deploy a substantial number of FIRE DISTRICT apparatus and personnel to such incident as determined by the FIRE DISTRICT, to -9- 1 2 4 5 6 7 8 9 10 II I� 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 the extent authorized by law, the FIRE DISTRICT reserves the right to pursue cost recovery within its sole discretion against the party that caused the incident but not against the CITY. Costs recovered by the FIRE DISTRICT for CITY -paid resources (as detailed in Schedule 2 herein) deployed on such an incident within the CITY, less the cost of the FIRE DISTRICT's recovery efforts, shall be credited to the CITY. In the event the CITY were to pursue cost recovery for FIRE DISTRICT resources deployed to an incident within the CITY to which the FIRE DISTRICT deploys a substantial number of apparatus and personnel, to the extent authorized by law, the CITY shall promptly pay to the FIRE DISTRICT all such FIRE DISTRICT costs recovered by the CITY less the cost of the CITY's recovery efforts. Costs for FIRE DISTRICT resources paid for by the CITY through this Agreement as detailed on Schedule 2 herein and deployed to such an incident shall not be recoverable by the FIRE DISTRICT from the CITY. Neither the FIRE DISTRICT nor the CITY shall be legally obligated to seek cost recovery on behalf of the other party. (N) In the event that a billing/payment dispute arises between the FIRE DISTRICT and the CITY, the parties will negotiate in good faith to resolve the dispute and the following procedures will be taken to resolve the dispute: (1) The dispute will be specified, in writing, and presented to the FIRE DISTRICT's Chief Deputy of Business Operations if a CITY dispute, or to the CITY ADMINISTRATOR if a FIRE DISTRICT dispute, within thirty (30) days of the receipt of a disputed invoice or disputed payment. The CITY shall pay in full any disputed invoice "under protest." (2) The FIRE DISTRICT and the CITY shall meet and confer in good faith to expeditiously resolve the dispute. If the FIRE DISTRICT and the CITY cannot fully resolve the dispute within ninety (90) days of receipt of written notification of this dispute (impasse), the impasse will be sent to an independent arbitrator for resolution. Said arbitrator shall be selected jointly by the CITY and the FIRE DISTRICT within forty-five (45) days of impasse and shall be paid for equally by the CITY and the FIRE DISTRICT. If the FIRE DISTRICT and the CITY cannot agree on an arbitrator, each party shall, at its own expense, retain an arbitrator within thirty (30) days after the jointly selected arbitrator should have been selected. These 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ')5 26 27 28 two arbitrators will, within thirty (30) days of their retention, mutually select a third arbitrator. The mutually agreed -upon arbitrator will resolve the matter within thirty (30) days after his/her �I selection. The FIRE DISTRICT and the CITY shall share equally the cost of the third arbitrator. The arbitrator's resolution of the impasse shall be final and binding. (3) If the FIRE DISTRICT prevails in arbitration, all money owed and not paid to the FIRE DISTRICT will be forwarded to the mailing address identified in Section III, Subsection (1), herein, within thirty (30) calendar days from the date of the issuance of the arbitrator's decision. In addition, the CITY will be assessed and pay the interest payment amount for a late payment as calculated in Section III, Subsection (K) of this Agreement. (4) If the CITY prevails in arbitration and has paid the FIRE DISTRICT the disputed amount, a refund to the CITY will be forwarded to the mailing address identified in Section III, Subsection (1), herein, within thirty (30) calendar days from the date of the issuance of the arbitrator's decision. In addition, the FIRE DISTRICT will pay to the CITY an interest payment, as calculated for late payments in Section III, Subsection (K) of this Agreement. (5) Each party is required to pay its own legal fees associated with such arbitration and is not entitled to recovery of those fees from the other party. (0) CITY understands and agrees that in the event the CITY becomes delinquent or defaults in its Annual Fee payment to the FIRE DISTRICT for FIRE DISTRICT service, the County Auditor -Controller is authorized, at the direction of FIRE DISTRICT, to withhold CITY's unencumbered annual property tax revenue in an amount equal to the outstanding payment for FIRE DISTRICT Service and credit the withheld amounts to the FIRE DISTRICT's revenue account. FIRE DISTRICT shall comply with the procedures in County Fiscal Manual section 10.2.12, "Procedures for Collection of Accounts Receivable for Services Performed for Cities and Special Districts" for collecting CITY's delinquent or defaulted Annual Fee payments. Such withholding by the Auditor -Controller shall continue until such time as CITY resumes payment to the FIRE DISTRICT directly and all delinquent or defaulted Annual Fee payments have been recovered. (P) The FIRE DISTRICT shall credit to the CITY's Annual Fee billing the cost expended M 1 2 4 6 7 8 9 10 II 12 13 14 15 16 17 18 19 70 21 22 2; 24 25 26 27 28 by the CITY to fulfill the requirements of Section VII, Subsection (C), paragraph (12), Health II Insurance, herein, in the invoice subsequent to the FIRE DISTRICT's receipt of cost documentation. The CITY shall present documentation satisfactory to the FIRE DISTRICT of the amount expended prior to credit being made. (Q) Vacation, sick, and any holiday benefit days, as provided for in Section VII, Subsection (C), paragraphs (6) and (7) herein and as detailed on Schedules 8, 9, 10, 12, 13, and 14 attached hereto and made a part hereof, shall be charged to the CITY and shall be paid in thirty-six (36) equal monthly payments which shall be a separate and distinct charge added to the monthly invoice for the Annual Fee commencing with the first month's Annual Fee invoice or as soon as practicable after the finalization of these Schedules. Such charges will be excluded from the Annual Fee Limitation calculation. SECTION IV. EQUIPMENT, FURNITURE, FURNISHINGS, AND EXPENDABLE EQUIPMENT/FIRE APPARATUS AND EQUIPMENT (A) On the commencement date of services, the CITY shall transfer to the FIRE DISTRICT all fire apparatus, vehicles, fire equipment, and fire station furnishings, furniture, equipment and expendable tools incidental to fire station operations, as inventoried and identified by the FIRE DISTRICT in writing, and listed in Schedules 5 and 6 attached hereto. Items not listed in Schedules 5 and 6, shall not be transferred to the FIRE DISTRICT and will remain with the CITY. (B) All right, title, and interest in said CITY apparatus and vehicles shall be conveyed to FIRE DISTRICT free and clear of any encumbrances. The CITY shall be responsible for any and all outstanding loans or liens against said apparatus and vehicles existing as of the date of conveyance. All right, title and interest of any apparatus for which the CITY is currently leasing shall be conveyed to the District FIRE DISTRICT free and clear of any encumbrances upon the termination of the lease(s). If the CITY does not avail itself of the ability to purchase, and thus does not retain ownership of, the vehicle(s) at the termination of the lease(s), the CITY shall be responsible for the cost of new replacement apparatus to be placed in service in the CITY. The replacement cost of the apparatus shall be added to the CITY's Annual Fee invoices to be -12- 1 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 70 21 22 23 24 25 26 27 28 paid in twelve (12) equal monthly installments. (C) All fire apparatus, vehicles, and related apparatus/vehicular equipment transferred to the FIRE DISTRICT by the CITY shall be in good working order. The CITY shall pay for any fire apparatus and vehicle repairs necessary due to deferred or deficient maintenance. Prior to the commencement date of services, the FIRE DISTRICT shall inspect all such fire apparatus and vehicles and identify any repairs required due to deferred or deficient maintenance. The FIRE DISTRICT shall add the cost for such repairs to the conversion costs and modify Schedule 4 accordingly. SECTION V. FIRE STATIONS (A) Upon the commencement date of services, CITY Fire Stations identified on Schedule 3 attached hereto and made a part hereof shall be used and occupied by the FIRE DISTRICT. In the event that during the term of this Agreement the CITY and FIRE DISTRICT mutually agree to staff a new fire station facility, the staffing levels in Schedule 2 of this Agreement will be updated as necessary and Schedule 3 will be updated accordingly. All terms and conditions contained in this Agreement applicable to the lease and maintenance of CITY fire stations shall apply to the new fire station. (B) This Agreement constitutes a lease whereby the CITY shall lease to the FIRE DISTRICT the CITY Fire Stations as identified on Schedule 3 herein for one dollar ($1) annually per station. Fire Stations 76 and 77 shall be used for the purpose of providing fire protection and emergency medical and related services as described herein. (C) The CITY represents and warrants that it has performed all environmental cleanup of hazardous materials at all CITY Fire Station sites identified on Schedule 3 as required by all applicable Federal, State, and local laws as detailed in Section VIII, Subsection (C) herein. The CITY represents and warrants that the CITY has, as federally mandated, at its own expense, properly removed and replaced, if applicable, all underground fuel tanks and all other environmental hazards from all CITY Fire Station sites identified on Schedule 3 in accordance with all applicable Federal, State, and local requirements and standards. The FIRE DISTRICT assumes no responsibility for any and all contamination or environmental damage, including -13- 3 4 _5 6 7 8 9 10 11 12 13 14 15 16 17 1s 19 20 21 22 23 24 25 26 27 28 personal injury or property damage, or liability of any nature whatsoever arising from said fuel tanks or their removal. The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT from any claims, liabilities, damages, costs, or expenses of any nature whatsoever related to any fuel tanks, and related ancillary equipment, located at the CITY Fire Station sites prior to the commencement date of services under this Agreement. (D) The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT for any liability, cost, expense, claims, or damages arising from any contamination or environmental damage, including personal injury or property damage of any kind whatsoever at or adjacent to the CITY Fire Station sites in any way related to asbestos, if any, at any of the CITY Fire Station sites, or in any way related to hazardous materials or dangerous conditions caused or created or contributed to by the CITY prior to the commencement date of services at any of the CITY Fire Station sites. (E) The FIRE DISTRICT shall be responsible for utility payments related solely to the FIRE DISTRICT's use of the CITY Fire Stations. In the event any of the CITY Fire Stations' utility connections are shared jointly by others, an equitable formula to determine sharing of utility costs shall be set forth in a Memorandum of Understanding, included herein as Schedule 15, attached hereto and made a part hereof entered into by the CITY and the FIRE DISTRICT and executed by the CITY ADMINISTRATOR and FIRE CHIEF of the FIRE DISTRICT, respectively, prior to the commencement date of services or as soon as practicable thereafter. (F) The FIRE DISTRICT shall inspect the CITY Fire Stations prior to acceptance and occupancy. After the FIRE DISTRICT's acceptance of the CITY Fire Stations, the FIRE DISTRICT shall be responsible for minor and routine station repairs as described in this Section. (1) The FIRE DISTRICT shall perform all routine, day-to-day maintenance, and minor repairs (collectively referred to as "routine repairs") on the CITY Fire Stations leased from the CITY identified on Schedule 3. The FIRE DISTRICT shall be responsible for routine repairs not to exceed $60,000 for each of the CITY Fire Stations during the first year after the commencement date of services of this Agreement (the FIRE DISTRICT's maximum share); -14- 1 2 3 4 5 6 7 8 9 ]0 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 for the second through fifth years of this Agreement after the commencement date of services, the FIRE DISTRICT's maximum share for routine repairs for each of the CITY Fire Stations I shall be as follows: Year 2 $65,000 Year 3 $70,000 Year 4 $75,000 Year 5 $80,000 (2) The FIRE DISTRICT shall notify the CITY in writing if the total cost for routine repairs for CITY Fire Stations in any one year is anticipated to exceed the FIRE DISTRICT's maximum share for that year in accordance with Subsection (F) herein. If the FIRE DISTRICT expends less than the FIRE DISTRICT's maximum share on the CITY Fire Stations in any year, any amount less than the FIRE DISTRICT's maximum share for the CITY Fire Stations shall not be carried forward from year to year. Routine repairs and minor remodeling shall include but not be limited to the following: repair or replacement of apparatus room doors; floor replacement; ceiling replacement; incidental plumbing and electrical repairs; heating and air conditioning repairs; exhaust fan replacement; and minor remodeling such as shower refurbishment, installation of stainless steel countertops, and additional cabinets for offices and/or lockers that do not exceed $100,000 per project. All routine repairs or portions thereof in excess of the FIRE DISTRICT's maximum annual share for CITY Fire Stations shall be the responsibility of the CITY. The FIRE DISTRICT may elect to replace or upgrade appliances or furnishings at any of the CITY Fire Stations at its own expense. The CITY shall not be responsible for any such upgrades or replacements, and such upgrades and replacements shall not reduce the FIRE DISTRICT's maximum share provided above, unless the items being replaced are no longer functioning or repairable at a reasonable cost as determined by the FIRE DISTRICT, in which event such costs incurred by the FIRE DISTRICT shall reduce the FIRE DISTRICT's maximum share. Any proposed modifications to the exterior of any of the CITY's fire stations shall require advance written approval of the CITY ADMINISTRATOR. (3) Any non -routine repairs, defined as repairs in excess of $100,000, hereinafter -15- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 l8 19 20 21 22 23 24 25 26 27 28 shall be referred to as "major repairs" and shall be identified, in writing, by the FIRE DISTRICT and presented to the CITY. Major repairs shall be undertaken by the CITY within twelve (12) months of the FIRE DISTRICT's notification to the CITY, or other time period as mutually agreed upon by the FIRE CHIEF of the FIRE DISTRICT and the CITY ADMINISTRATOR, unless said major repair is deemed an emergency, hereinafter referred to as "emergency major repair." In the event of a dispute regarding the existence of major repairs, the general arbitration procedures stated in Section III, Subsection (N) shall be utilized. Emergency major repairs shall be defined as conditions that if left unrepaired would compromise the health, welfare, or security of the fire station inhabitants or the public, as reasonably determined by the FIRE DISTRICT. The FIRE DISTRICT shall commence emergency major repairs immediately and make reasonable effort to notify the CITY's designated emergency contact person. The CITY shall provide the FIRE DISTRICT with the name and telephone number of a designated contact person for such emergency major repairs, which may occur after-hours. The FIRE DISTRICT will undertake the emergency major repairs and invoice the CITY for the costs of such repairs. The CITY shall be invoiced for one -twelfth (1/12) of the cost of such repairs monthly for a period of twelve (12) months. All invoices for emergency major repairs undertaken by the FIRE DISTRICT shall be due and payable thirty (30) days from the date of invoice and shall be subject to the terms contained in Section III, Subsections (K) and (N) herein. (4) The FIRE CHIEF of the FIRE DISTRICT may authorize, with the written approval of the CITY, improvements to any of the CITY Fire Stations for the FIRE DISTRICT's benefit at no cost to the CITY. Such improvements shall not be subject to the FIRE DISTRICT's maximum share provisions as contained herein, and FIRE DISTRICT's maximum share shall not be reduced by the costs of any such improvements. (G) Without limiting each party's indemnification of the other and during the term of this Agreement, each party agrees to maintain the programs of insurance as set forth below. Each party shall retain the option of satisfying its insurance obligations herein through use of a program of commercial or self-insurance coverages, or any combination thereof. Each party's 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 insurance shall be primary to and not contributing with any insurance or self-insurance programs maintained by the other, and shall be maintained at each party's own expense. (1) The CITY shall maintain: General Liability insurance (written on ISO policy form CG 00 01 or its equivalent) with limits of not less than $1 million per occurrence and $2 million aggregate; Workers Compensation insurance to meet statutory requirements, and including Employers' Liability coverage with limits of not less than $1 million each; Professional Liability covering liability arising from any error, omission, negligent or wrongful act of the CITY with limits of not less than $1 million per occurrence and $2 million aggregate; and Property Coverage providing Special form ("all-risk") coverage in an amount equivalent to the full replacement value of the CITY Fire Stations and applying to CITY- owned and leased real property. The CITY agrees to name the FIRE DISTRICT as an additional insured on its insurance policies. (2) The FIRE DISTRICT shall maintain: General Liability insurance (written on ISO policy form CG 00 01 or its equivalent) with limits of not less than $1 million per occurrence and $2 million aggregate; Automobile Liability insurance (written on ISO policy form CA 00 01 or its equivalent) with a limit of liability of not less than $1 million for each accident; Workers Compensation insurance to meet statutory requirements, and including Employers' Liability coverage with limits of not less than $1 million each incident; and Professional Liability covering liability arising from any error, omission, negligent or wrongful act of the FIRE DISTRICT with limits of not less than $1 million per occurrence and $2 million aggregate. The FIRE DISTRICT agrees to name the CITY as an additional insured on its insurance policies. (H) The FIRE DISTRICT shall not be liable for any damages to any of the CITY Fire Stations which results from any seismic events, natural disasters, civil disturbances, or acts of God. Should any such event occur that makes any of the CITY fire stations uninhabitable and/or non -operational, the CITY shall immediately find temporary quarters for the FIRE DISTRICT to operate out of until the CITY can repair the affected CITY fire station(s). (1) The FIRE DISTRICT and the CITY, respectively, shall be fully responsible for any repairs or any damages arising from the intentional or negligent acts of their respective -17- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 1.5 16 17 18 19 20 21 22 23 24 2.5 26 27 28 personnel. Disputes regarding implementation of this provision shall be resolved pursuant to Section III, Subsection (N). SECTION VI. INDEMNIFICATION Except as specifically otherwise provided in this Agreement, neither party shall be liable for the negligent or wrongful acts of the other in the performance of this Agreement. (A) The CITY agrees to indemnify, defend, and hold harmless the FIRE DISTRICT and the County of Los Angeles, hereinafter referred to as "COUNTY", their elected and appointed officials, officers, agents, and employees from any and all liability and expenses, including defense costs and legal fees, arising from or connected with claims and lawsuits arising from the negligent or wrongful acts of the CITY in the performance of this Agreement including any matters relating to the separation from CITY service by the CITY employees transferring to the FIRE DISTRICT as specified on Schedules 7 and 11 herein. (B) The FIRE DISTRICT agrees to indemnify, defend, and hold harmless the CITY, its elected and appointed officials, agents, officers, and employees from any and all liability and expenses, including defense costs and legal fees, arising from or connected with claims and lawsuits arising from the negligent or wrongful acts of the FIRE DISTRICT in the performance of this Agreement. SECTION VII. PERSONNEL (A) SWORN EMPLOYEES (1) Appointment - Subject to the provisions of the California Government Code, Section 1031 and the Los Angeles County Code Section 6.02.040, the FIRE DISTRICT agrees to appoint, without further civil service examination, those CITY firefighter series employees, hereinafter referred to as "sworn employees," specified on Schedule 7, attached hereto and made a part hereof, who have successfully completed six (6) months service with the CITY, exclusive of temporary or reserve fire fighters. Sworn employees' service with the CITY must include actual firefighting experience in a permanent fire fighter position. The date of hire that establishes the sworn CITY employees' continuous service date in a safety capacity with the CITY shall be utilized for purposes of the mandatory retirement age for transferring safety MH- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 employees. (2) Probation - All CITY sworn employees on probation will remain on probation until completing the FIRE DISTRICT probationary period and requirements. (3) Positions - CITY sworn employees qualified pursuant to this Section VII are fully identified on Schedule 7 attached hereto and are subject to the terms and conditions of this Agreement. CITY sworn employees shall be employed by the FIRE DISTRICT in the I number and status as follows: Number Fire District Status 9 Captain 11 Fire Fighter Specialist Remaining Fire Fighter The actual number of transferring CITY employees employed by the FIRE DISTRICT as a Fire Fighter will be based on the number of transferring employees at the time of transition to FIRE DISTRICT service. The CITY shall designate sworn employees to be assigned to the Captain, Fire Fighter Specialist, and Fire Fighter positions indicated above. Any CITY designated employee shall be eligible for the assigned position if the employee has held the position being designated to or a higher position in the service of the CITY. A duly authorized representative from the Vernon Firefighter's Association, Local 2312 (VFA) and the Vernon Fire Management Association (VFMA) shall approve, in writing, the appointment of the personnel designated to the ranks of Captain and Fire Fighter Specialist as listed on Schedule 7 attached. Once approved by the VFA and VFMA, these designations shall become final and not subject to change unless a CITY sworn employee designated on the list does not transfer to the FIRE DISTRICT. The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT from any claims, liabilities, damages, costs, or expenses of any nature whatsoever related to the designation of transferring employees' ranks by the CITY. (4) Firefighting Experience - CITY sworn employees to be assigned to the position of Fire Captain shall have a minimum of five (5) years' firefighting experience. The CITY sm 3 4 _5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 represents and warrants that those employees assigned Fire Captain positions have a minimum of five (5) years' firefighting experience. (5) Driving Skills - All CITY sworn employees who are to be assigned fire apparatus operation responsibilities as Fire Fighter Specialists will be tested and trained, as may be required by the FIRE DISTRICT. Any CITY sworn employee who does not initially qualify in fire apparatus operations prior to the commencement date of services will be assigned other duties. After being provided training by the FIRE DISTRICT, transferring Fire Fighter Specialists will be required to pass a fire apparatus operations test. Fire Fighter Specialists who do not pass the fire apparatus operations test may be demoted at the sole discretion of the FIRE DISTRICT. (6) Driver License - As a condition of employment, all CITY sworn employees will be required to have a Class C Driver License with fire fighter endorsements as the minimum standard driver license obtained from their state of residence. If the employees' state of residence does not issue a firefighter endorsement, the employee shall acquire a commercial license appropriate to the vehicle being driven. No employee shall have license restrictions which would prevent him/her from performing his/her employment duties. (7) EMT-1 Training - Sworn members of the FIRE DISTRICT are required to be certified as Emergency Medical Technician I (EMT-1). The CITY certifies that all CITY sworn employees transferring to the FIRE DISTRICT shall have current EMT-1 certification, current continuing education (CE), and certified skills (CS) testing. Current CE shall be defined as the equivalent of one (1) hour of CE for each month that has elapsed since the last recertification date. Current CS shall be defined as twelve (12) skills tests during a 24-month skills cycle. The CITY shall reimburse the FIRE DISTRICT for any costs incurred by the FIRE DISTRICT as a result of non-compliance by any CITY employee of the requirements herein. In addition, all transferring CITY paramedics who desire to transfer to the FIRE DISTRICT as a paramedic must complete 24 hours a year, or 48 hours during their 2-year cycle of paramedic CE, including skills testing, and the FIRE DISTRICT's re -activation class which consists of up to three (3) days of classroom and five (5) or more shifts of internship (i.e. ride-alongs) on a FIRE -20- 2 3 4 5 6 7 8 9 10 11 12 13 14 1.5 16 17 18 19 20 21 22 23 24 25 26 27 28 DISTRICT paramedic squad. Any transferring paramedic who does not successfully pass this re -activation class and/or who has any pending action against them by the County's Emergency Medical Services Authority, or the State's Local Emergency Medical Services Agency would be ineligible to function as a paramedic with the FIRE DISTRICT. At the time of transition to the FIRE DISTRICT, all transferring employees shall provide documentation certifying that all CE and CS are up-to-date and completed. (8) Seniority - This Agreement will result in the creation of forty-one (41) additional FIRE DISTRICT sworn positions. More than forty-one (41) sworn employees may be transferring from the CITY to the FIRE DISTRICT. Pursuant to Section 53292 of the California Government Code and except as specified in Section VII, Subsection (C), paragraph (10) herein, so as not to impair the seniority rights of FIRE DISTRICT sworn employees, as a result of the forty-one (41) newly created sworn positions, only forty-one (41) CITY sworn employees with the most CITY Fire Department continuous service time will receive FIRE DISTRICT seniority rights and COUNTY seniority. In the event any two or more transferring CITY employees have the same continuous service date with the CITY Fire Department, the CITY shall use whatever method currently utilized by the CITY to determine the manner in which the seniority for those affected employees shall be established. FIRE DISTRICT seniority is principally used for transfer bidding rights and, for these forty-one (41) positions, will be based on continuous service time in the firefighter series with the CITY's Fire Department. COUNTY seniority, which as defined in Los Angeles County Civil Service Rule 2.15 as "continuous service," is principally used for purposes of determining the order of layoff or reduction. Also as defined in Section 6.04.040 of the Los Angeles County Code, "continuous service" is principally used for purposes of determining rights to some types of paid leave. For these forty-one (41) positions, continuous service will include all continuous service time with the CITY, including any continuous non -permanent time. The assigned FIRE DISTRICT and COUNTY seniority dates for any remaining sworn employees will be the commencement date of services with the FIRE DISTRICT. They will be placed on the FIRE DISTRICT seniority list and also assigned a COUNTY continuous -21- 1 �I 3 4 5 6 7 8 9 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 I service date in order of their relative service time with the CITY. All CITY and FIRE DISTRICT seniority will be considered for all purposes, except for those individuals beyond the forty-one (41) additional sworn positions for which CITY seniority shall not count for purposes of bidding rights, vacation schedules, and to determine the order of layoff or reduction. As those CITY sworn employees with full FIRE DISTRICT and COUNTY seniority rights leave FIRE DISTRICT service, any remaining sworn employees will be assimilated into full FIRE DISTRICT and COUNTY seniority status based on their time in service as sworn CITY/FIRE DISTRICT employees, with the exception of those employees who fall under the provision of Section VII, Subsection (C), paragraph (10) herein. (9) Promotional Exams - All non -probationary transferring sworn employees shall be immediately eligible for promotional examination within the FIRE DISTRICT. All time in rank as a sworn CITY and/or FIRE DISTRICT employee shall be considered for purposes of determining eligibility for promotional examination. (10) Longevity Bonus - For purposes of determining eligibility for the FIRE DISTRICT's Fire Fighter longevity bonus for those CITY employees blanketed -in to FIRE DISTRICT in the Fire Fighter classification, all continuous CITY service time in the Fire Fighter or successive promotional classifications shall be deemed as fulfilling the required aggregate service time for longevity bonus entitlement, except as provided in Section VII, Subsection (C), paragraph (10) herein. (11) Training Records — The CITY will provide the FIRE DISTRICT with complete training records of all CITY sworn employees to be transferred to the FIRE DISTRICT pursuant to this Agreement. (B) NON -SWORN EMPLOYEES (1) Appointment — The FIRE DISTRICT may agree to appoint without further civil service examination non -Fire Fighter series employees, hereinafter referred to as "non -sworn employees", who have successfully completed six (6) months continuous service with the CITY and who shall be listed on Schedule 11, attached hereto and made a part hereof. All non- 22- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 sworn employees shall successfully complete a probationary period consistent with Los Angeles County Civil Service Rules. (2) Seniority - Since non -sworn positions are not being created as a result of this annexation, the FIRE DISTRICT and COUNTY seniority date for all transferring non -sworn CITY employees, which is primarily used for the purpose of determining the order of layoff or reduction, shall be the commencement date of services. (C) ALL EMPLOYEES (1) Medical Exam & Background Investigation - Prior to the commencement date of services, as a condition of the FIRE DISTRICT employment, each CITY employee must be medically qualified by a FIRE DISTRICT -administered physical examination, which includes a drug screening component, and must pass the FIRE DISTRICT's background investigation. Any CITY employee who is on medical leave of absence on the commencement date of services shall be blanketed into FIRE DISTRICT if he/she passes the required medical examination and background investigation upon termination of medical leave. The FIRE DISTRICT retains the right to not accept any CITY employee in its sole discretion upon completion of the employee's medical exam and background investigation. In such case, the CITY employee's rights, obligations and status as a CITY employee shall be dictated by CITY rules and regulations. (2) Salary Step Placement - For the purpose of determining an employee's FIRE DISTRICT salary step placement, "CITY salary" shall be defined as all monthly earnings that are eligible towards CITY retirement credit, excluding any compensation for unused benefit days or holidays, uniform allowances, and all overtime earnings. The employee's initial salary step placement shall not be less than his/her CITY salary as defined in this Section VII, Subsection (C), paragraph 2. Paramedic bonuses shall be excluded from "CITY salary" for those employees who transfer to the FIRE DISTRICT into a "Fire Fighter" position. Any transferring employees who are assigned to "Fire Fighter Paramedic" positions will be entitled to receive the applicable FIRE DISTRICT paramedic bonus. -23- 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Paramedic bonuses will be included in the "CITY salary" for those employees who transfer to the FIRE DISTRICT into a "Fire Fighter Specialist" or "Captain" position pursuant to this Section VII, Subsection (A), paragraph (3) and who are receiving a paramedic bonus in the CITY at the time of transfer to the FIRE DISTRICT. In the event any employee transferring to the FIRE DISTRICT into a "Fire Fighter Specialist" or "Captain" position is subsequently assigned to a paramedic position in the FIRE DISTRICT, the employee's salary will be recalculated to eliminate the amount of his CITY paramedic bonus and to include the applicable FIRE DISTRICT paramedic bonus. All other bonuses, other than paramedic bonuses, will be considered by the FIRE DISTRICT in its discretion for inclusion in the determination of an employee's FIRE DISTRICT salary placement but is not guaranteed. The ultimate decision regarding the inclusion of bonuses rests with the FIRE DISTRICT in its discretion. (a) Sworn Employees - Except as provided in Section VII, Subsection (C), paragraphs (9) and (10), all continuous service time accrued as a sworn employee in the service of the CITY shall be considered for the purpose of determining COUNTY employee benefits including sick leave, vacation, step placement on the applicable COUNTY salary schedule, and the pensionability of their Flexible Benefits income. Salary step placement of sworn employees shall be within the salary range of the FIRE DISTRICT position assigned, but no less than the salary step that provides for the same salary or next higher salary as the sworn employee's CITY salary as defined in this Section VII, Subsection (C), paragraph 2. Subsequent salary step advances, if applicable, shall be one (1) year from the last step advance with the CITY or in accordance with COUNTY policy, whichever is sooner. In the event that the sworn employee's CITY salary is higher than the top step of the COUNTY salary range, the sworn employee will be placed on the top step of that range, but shall be Y-Rated in order to maintain the same level of base salary as the employee had with the CITY. A sworn CITY employee's Y- Rate shall remain in effect until the regular salary including any bonuses exceeds the Y-Rate amount. Y-Rated employees shall not be eligible for bonuses in addition to their Y-Rated salary. Sworn employees who have accrued CITY 24- 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 service time in a non -sworn position shall have such non -sworn service time considered for purposes of determining COUNTY seniority date and benefits, but not salary step placement. (b) Non -Sworn Employees - Except as provided in Section VII, Subsection (C), paragraphs (9) and (10), all continuous service time accrued as a non -sworn employee in the service of the CITY shall be considered for all purposes except for bidding rights for work and vacation schedules, and to determine the order of layoff or reduction. Salary placement of non -sworn employees shall be within the salary range of the FIRE DISTRICT position assigned, and at the salary step that provides for the same salary or next higher salary as the employee's CITY salary as of the commencement date of services through this Agreement. In the event that the employee's CITY salary is higher than the top step of the COUNTY salary range, the employee will be placed on the top step of that range, but shall be Y-Rated so that no loss in pay occurs. (3) Taxes - This Agreement does not exempt transferring CITY employees from applicable payroll taxes required of new employees, such as Health Insurance Tax (HIT). (4) Uniforms - CITY issued uniforms and safety equipment that meet FIRE DISTRICT standards shall be transferred to the FIRE DISTRICT with the transferring employees. CITY uniforms will be supplemented by FIRE DISTRICT issued uniforms and/or safety equipment necessary to meet FIRE DISTRICT requirements. The CITY shall assume all costs for supplementing uniforms and safety equipment that do not meet FIRE DISTRICT standards. Such costs shall be included on Schedule 4, as soon as available. Subsequent uniform issues will be as provided for in the current Memorandum of Understanding for the respective employee representation units entered into between the County of Los Angeles and the certified employee organizations, if applicable. (5) Personnel/Medical/Time Records - As a condition of FIRE DISTRICT employment, CITY employees must consent to the transfer of complete original personnel and employment medical records to the FIRE DISTRICT. The CITY will provide the FIRE DISTRICT with complete and original personnel and employment medical records of all CITY personnel to be transferred pursuant to this Agreement, including any employee's complete -25- 2 3 4 5 6 7 8 9 10 11 12 13 14 1.5 16 17 18 19 20 21 22 23 24 25 26 27 28 original Workers' Compensation files, all claims for disability compensation, and all additional documentation related to open claims which remain ongoing after the date of transfer of the CITY employees to the FIRE DISTRICT, which shall be the commencement date of services. In addition, the CITY will provide the FIRE DISTRICT with a minimum of one (1) year's time records of "hours worked" prior to the commencement date of services for all CITY personnel to be transferred pursuant to this Agreement. Each transferring employee shall certify to the FIRE DISTRICT the completeness of his/her personnel file. (6) Vacation and Holiday Shifts/Days — The CITY shall pay to the FIRE DISTRICT in the manner set forth in Section III, Subsection (P) herein for transferred vacation benefit shifts/days for transferring employees at the CITY's salary rates in effect on the commencement date of services. The CITY may transfer holiday benefit shifts/days for transferring employees at the CITY's discretion. The CITY shall transfer in whole hours all vacation benefit shifts/days an employee is entitled to in CITY employment to a maximum of twenty (20) vacation days, i.e one hundred sixty (160) hours for employees assigned to a 40- hour work schedule, or ten (10) shifts, Le, two hundred forty (240) hours for employees assigned to a 24-hour shift schedule, whichever is applicable. The CITY may transfer in whole hours all holiday benefit shifts/days an employee is entitled to in CITY employment to a maximum of twenty (20) holiday days Le one hundred sixty (160) hours for employees assigned to a 40-hour work schedule, or ten (10) shifts, Le, two hundred forty (240) hours for employees assigned to a 24-hour shift schedule,whichever is applicable. Vacation and holiday benefit shifts/days are outlined in Schedules 8 and 9, respectively, for sworn personnel and Schedules 12 and 13, respectively, for non -sworn personnel, which are attached hereto and made a part hereof. CITY salary rates for reimbursement to the FIRE DISTRICT are defined in this Section VII, Subsection (C), paragraph (2). Transferring CITY employees shall accrue vacation benefits each pay period. Pay periods are the 1st day of each month to the 15t" day of that month, and the 16t" day of each month to the last day of that month. The amount of vacation benefits accrued by each transferring CITY employee shall be based on the transferring employees' continuous service -26- 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 time as a sworn employee of the CITY. Transferring CITY employees may use their accrued vacation benefits during the pay period immediately following the pay period in which the benefits are accrued, notwithstanding the employees' assigned COUNTY seniority. (7) Sick Shifts/Days — The CITY shall pay to the FIRE DISTRICT in the manner set forth in Section III, Subsection (P) herein for transferred sick benefit shifts/days for transferring employees at the CITY's salary rates in effect on the commencement date of services. The CITY shall transfer in whole hours all sick benefit shifts/days an employee is entitled to in CITY employment to a maximum of twelve (12) sick days, i.e, ninety-six (96) hours for employees assigned to a 40-hour work schedule, or six (6) shifts, i.e, one hundred forty-four (144) hours for employees assigned to a 24-hour shift schedule, whichever is applicable. Sick benefit shifts/days are outlined in Schedule 10 for sworn personnel and Schedule 14 for non -sworn personnel, which are attached hereto and made a part hereof. The CITY salary rates for reimbursement to the FIRE DISTRICT are defined in this Section VII, Subsection (C), paragraph (2). (8) Waiver of Accumulated Benefits — The FIRE DISTRICT shall not assume any responsibility for personnel benefits or CITY obligations accrued by CITY employees prior to the commencement date of services, except as expressly provided for in this Agreement. The CITY shall provide a waiver for said accumulated benefits executed in favor of the FIRE DISTRICT by each CITY employee as a condition of employment by the FIRE DISTRICT. It is further understood that employees subject to this Agreement shall become eligible for vacation, sick, and holiday time while in FIRE DISTRICT service only as provided in the FIRE DISTRICT Salary Resolution, Los Angeles County Salary Ordinance, or as designated in Section VII herein. (9) Los Angeles County Employees Retirement Association a) All sworn employees subject to this Agreement will, on the first day of the month following the date they are appointed to a position in the FIRE DISTRICT, become members of the Los Angeles County Employees Retirement Association (LACERA) Plan C for Safety Members or any other Safety Plan as permitted by the County Employees' Retirement -27- 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Law of 1937 (CERL) and the Public Employees' Pension Reform Act of 2013 (PEPRA). b) All non -sworn employees subject to this Agreement will, on the first day of the month following the date they are appointed to a position in the FIRE DISTRICT, become members of Plan G for General Members or one (1) of the other non -safety LACERA plans available at the time of the commencement date of services pursuant to the provisions of CERL and PEPRA. c) Service performed by such sworn and non -sworn personnel while employees of the CITY shall not be credited as retirement service with LACERA, and except as provided in California Government Code Sections 31836.1 and 31836.2, shall not be counted for the purpose of discontinuing contributions after thirty (30) years of continuous service pursuant to Government Code Sections 31625.2 and 31664, to the extent applicable, and shall not be counted for the purpose of determining health insurance premiums charged to LACERA retirees. (10) Retirement from Public Employees Retirement System — Transferring CITY employees would be required to leave retirement contributions on deposit with the California Public Employees Retirement System (CaIPERS) and establish reciprocity with LACERA, limiting the FIRE DISTRICT's retirement benefit costs. The transferring employees' LACERA contribution rates would be based on their age upon entering the CaIPERS system. The FIRE DISTRICT's rate structure for salary and employee benefits includes a component for retirement costs for positions staffing CITY stations; therefore, the FIRE DISTRICT cost would be offset. At the time of retirement, a reciprocal member would receive retirement benefits from both agencies based on the benefits of reciprocity, such as adding service credit under each system to determine eligibility to retire. Any CITY employee who retires from CaIPERS prior to the commencement date of services will not be accepted for FIRE DISTRICT employment. In the event a transferring employee opts to retire from CaIPERS at any time while in the employment of the FIRE DISTRICT, such employee shall forfeit all of his/her continuous service time with the CITY, including all service time with the CITY Fire -28- 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Department, for purposes of determining FIRE DISTRICT and COUNTY seniority and COUNTY employee benefits and step placement pursuant to Section VII, Subsection (A), paragraphs (8) and (10), and Section VII, Subsection (C), paragraph (2). The FIRE DISTRICT and COUNTY seniority date for any employee retiring from CaIPERS pursuant to this paragraph (10) of Subsection (C) of Section VII shall immediately become the commencement date of services, any longevity bonus received by the employee which is based on continuous time with the CITY will be eliminated from the employee's salary, any Y-Rated salary will be eliminated, and the employee's salary will be adjusted and based solely on the employee's FIRE DISTRICT rank and total time as an employee with the FIRE DISTRICT. Such employees must also be medically qualified by a FIRE DISTRICT -administered physical examination as required of newly hired fire fighters. (11) Workers' Compensation - California Labor Code Sections shall govern Workers' Compensation benefits for all transferring CITY employees who sustain industrial injuries. Notwithstanding Section 5500.5 et seq. of the California Labor Code, the CITY agrees to reimburse the FIRE DISTRICT for the FIRE DISTRICT's proportionate share of all medical, legal, administrative, and any other indemnity costs for which the FIRE DISTRICT shall be liable for those industrial injuries apportionable in whole or in part to employees' employment with the CITY. The CITY's responsibility as provided for herein shall not be affected by any change in Federal or State law. The CITY and the FIRE DISTRICT shall cooperate in the ongoing management of any Workers' Compensation claims pending, filed, during the time CITY personnel are employed by the FIRE DISTRICT by providing such information as is necessary for the CITY and/or the FIRE DISTRICT to appropriately manage a Workers' Compensation claim filed by a FIRE DISTRICT employee previously employed by the CITY. The CITY shall notify the FIRE DISTRICT of any claims pending, filed, or denied; and any temporary or permanent work restrictions imposed with respect to an employee who transfers from CITY employment to FIRE DISTRICT employment. The FIRE DISTRICT shall notify the CITY of any claims pending, filed, or denied; and any temporary or permanent work restrictions imposed with -29- 2 3 4 5 6 7 8 9 10 ll 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 respect to an employee who has a pending Workers' Compensation claim involving the CITY or who asserts a Workers' Compensation claim during employment with the FIRE DISTRICT upon which the CITY is potentially liable in whole or in part. The CITY shall be responsible for adjusting and paying all costs related to those claims which have been filed or are pending as of the effective date of this Agreement. This responsibility of the CITY is subject to contribution from the FIRE DISTRICT for any post -transfer injury or exacerbation of an existing injury already at issue in a pending Workers' Compensation claim involving the CITY at the time of transfer. Pursuant to Subsection C, Paragraph S, the CITY shall provide Workers' Compensation related files on all employees transferring to the FIRE DISTRICT. (12) Health Insurance — The CITY shall continue to provide the existing coverage of paid medical and dental insurance for all employees transferring to the FIRE DISTRICT for one (1) full calendar month after the commencement date of services or, for those employees on medical leave with the CITY on the commencement date of services, for at least one (1) full calendar month after the effective date of their blanketing into the FIRE DISTRICT. The FIRE DISTRICT shall reimburse the CITY as specified in Section III, Subsection (0). (13) Deferred Compensation Plans - Pursuant to Section 6.02.040 of the Los Angeles County Code, CITY employees transferring to the FIRE DISTRICT shall be eligible for immediate participation in the COUNTY employees' deferred compensation plans for which they may be eligible depending upon their transferred rank, unless such immediate eligibility is otherwise prohibited by Federal or California statute or regulation. (14) Marriage and Birth Certificates — For purposes of completing the background investigations pursuant to Section VII, Subsection (C), paragraph (1) herein and for verification of eligibility of health insurance coverage, prior to the commencement date of services as determined by the FIRE DISTRICT, all transferring CITY employees will be required to provide copies of their marriage certificates and the birth certificates for themselves and all dependents who will be covered under their health insurance benefits. (15) FIRE DISTRICT Employees' Rights - The employment rights of existing FIRE DISTRICT employees shall not be impaired by this Agreement. -30- 2 3 4 5 6 7 8 9 10 ll 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SECTION VIII. ENVIRONMENTAL QUALITY CONTROL (A) The FIRE DISTRICT shall be responsible to comply with the provisions of the California Environmental Quality Act of 1970 (CEQA), insofar as the same may apply to annexation proceedings required in annexing the CITY to the FIRE DISTRICT. The FIRE DISTRICT agrees to hold the CITY free and harmless from any and all claims, demands, or judgments arising out of the FIRE DISTRICT's failure to comply with the provisions of CEQA, relative to annexation procedures. (B) Prior to the commencement date of services, the CITY shall have a Cal -OSHA Registered Environmental Assessor perform a Phase I Site Assessment and Building Asbestos Survey and, if subsequently required, a Phase II Site Assessment on all CITY Fire Station facilities to be occupied by the FIRE DISTRICT pursuant to Schedule 3 attached hereto. All Site Assessments and related reports shall be reviewed, approved, and accepted by the FIRE DISTRICT. (C) The CITY shall, at its sole expense, mitigate and abate all environmental hazards (if any) at the CITY Fire Station sites prior to the commencement date of services and provide evidence to the satisfaction of the FIRE DISTRICT that all recommended measures have been completed and that all applicable laws and requirements have been complied with. Any residual contamination or environmental damage from conditions on or adjacent to CITY Fire Stations which existed before the commencement date of services but which are discovered after the commencement date of services, shall be the responsibility of the CITY. (D) The FIRE DISTRICT shall, at its sole expense, mitigate and abate all environmental damage (if any) caused by the FIRE DISTRICT or its agents at any of the CITY Fire Stations after the commencement date of services. (E) Prior to occupancy of the CITY Fire Stations by the FIRE DISTRICT, the FIRE DISTRICT shall inspect the facilities and identify all hazardous materials stored at the facilities for which the CITY shall be responsible for removal. The CITY shall remove all identified hazardous materials prior to FIRE DISTRICT occupancy of the CITY Fire Stations. If, after FIRE DISTRICT occupancy of the CITY Fire Stations, stored hazardous materials are -31- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 discovered by the FIRE DISTRICT which were not previously identified during the above inspection, the CITY shall remove said materials within thirty (30) days after written notice by the FIRE DISTRICT to the CITY, or the FIRE DISTRICT may remove the materials and invoice the CITY for the costs of such removal. In the event such hazardous materials pose an immediate danger to human health or the environment as determined by the FIRE DISTRICT, such materials shall be removed immediately by the CITY upon notification by the FIRE I DISTRICT to the CITY. SECTION IX. HAZARDOUS MATERIALS RELEASE RESPONSE PLAN AND INVENTORY (A) CITY will continue to act as the administering agency for the CITY's Hazardous Materials Release Response Plan and Inventory, California Health and Safety Code Chapter 6.95, Sections 25500 — 25545, hereinafter referred to as the "Program" during the term of this Agreement. (B) The CITY shall retain all fees collected in the administration of the Program as provided by State law. (C) When the FIRE DISTRICT's Health/Hazardous Materials Emergency Response Teams respond to a hazardous materials incident in the CITY, the FIRE DISTRICT will subsequently invoice the CITY on an as -call basis for the costs associated with the response team unit(s) responded. Payments by the CITY of invoices for all such hazardous materials emergency incident response team responses shall be made pursuant to the provisions of Section III herein. SECTION X. ADOPTION OF LOS ANGELES COUNTY FIRE CODE Pursuant to Los Angeles County Fire Code - Title 32, Sections 10000.1 and 10000.2, and California Health and Safety Code Section 13869, as may be subsequently amended, upon annexation of the CITY to the FIRE DISTRICT, the County of Los Angeles Fire Code - Title 32, including any subsequent amendments to such code, shall be enforced in the CITY by the FIRE DISTRICT. By ordinance, the CITY shall adopt the County of Los Angeles Fire Code — Title 32 as of the commencement date of services. This ordinance will adopt all existing -32- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 1.5 16 17 18 19 20 21 22 23 24 25 26 27 28 CITY amendments to the County of Los Angeles Fire Code — Title 32 as a separate attachment. The FIRE DISTRICT will enforce applicable amendments specific to the CITY. Where differences occur between the Los Angeles County Fire Code — Title 32 and the amendments adopted by the CITY, the CITY amendments will take precedence unless an impracticality of enforcement is determined by the FIRE DISTRICT in its sole discretion, in which case the FIRE DISTRICT and the CITY shall work towards establishing a mutually agreeable resolution. SECTION XI. MODIFICATION OF SCHEDULES (A) With the exception of Schedule 2, all schedules attached hereto and incorporated herein by reference will be subject to modification by mutual agreement of the CITY ADMINISTRATOR and FIRE CHIEF of the FIRE DISTRICT as needed after the date of approval of this Agreement by both parties. (B) The staffing levels as indicated on Schedule 2 may be subject to modification by mutual written agreement of the CITY COUNCIL and FIRE CHIEF of the FIRE DISTRICT. Any such modification of staffing levels may cause an adjustment in the determination of the Annual Fee as specified in Section II, Subsection (L) herein. SECTION XII. WITHDRAWAL (A) In the event the CITY terminates this Agreement and withdraws from the FIRE DISTRICT at any time subsequent to the Initial Ten -Year Term, per the provisions of Section I, herein, the FIRE DISTRICT and the CITY agree that: (1) The lease on the fire stations shall terminate and the FIRE DISTRICT shall vacate the CITY Fire Stations on the effective date of withdrawal except as provided for in a subsequent written agreement as may be entered into by the CITY and the FIRE DISTRICT. (2) The FIRE DISTRICT shall return to the CITY, fire apparatus, vehicles and related fire apparatus equipment of a comparable type, condition, and age, in the quantity and type as described on Schedule 5 as of the commencement date of services. (3) The FIRE DISTRICT shall return to the CITY Fire Station equipment, furniture, -33- I 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 tools, and furnishings of a comparable type and condition as of the commencement date of services, which are essential to the operation of the fire station facilities and are detailed in I Schedule 6. (4) As to any apparatus, vehicles, equipment, tools, furniture, furnishings, or other personal property for which a monetary or in -kind credit was given to the CITY upon the effective date of this Agreement, the FIRE DISTRICT will not be obligated in any manner to return comparable items to the CITY at the date of withdrawal of this Agreement. (B) In the event of the termination of the Agreement by either party as provided herein, the FIRE DISTRICT and the CITY agree to enter into separate and further agreements to address the specific details of termination not addressed in this Agreement. SECTION XIII . GOOD FAITH AND FAIR DEALING The FIRE DISTRICT and the CITY covenant and warrant to act in good faith and fair dealing regarding the performance, administration, and interpretation of this Agreement. SECTION XIV. GENERAL PROVISIONS (A) SeverabilitV — In the event that any provision herein contained is held to be invalid, void, or illegal by any court of competent jurisdiction, the same shall be deemed severable from the remainder of this Agreement and shall in no way affect, impair or invalidate any other provision contained herein. If any such provision shall be deemed invalid due to its scope or breadth, such provision shall be deemed valid to the extent of the scope or breadth permitted by law. (B) Waiver — No breach of any provision hereof can be waived unless in writing. Waiver of any one breach of any provision shall not be deemed to be a waiver of any breach of the same or any other provision hereof. (C) Entire Agreement — This Agreement constitutes the entire agreement between the parties relating to the subject matter of this Agreement, and supersedes any prior understanding whether oral or written and may be modified only by further written agreement between the parties hereto. The non -enforceability, invalidity or illegality of any provision of this Agreement shall not render the other provisions thereof unenforceable, invalid or illegal. -34- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 IN WITNESS WHEREOF, the CITY, by majority vote of its City Council, has caused this Agreement to be executed by its Mayor and which execution has been attested to by its Clerk; pursuant to action by a majority vote of the Board of Supervisors, as governing body of the FIRE DISTRICT, the Chair has executed this Agreement on behalf of the FIRE DISTRICT and which execution has been attested to by its Clerk. CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY 12 Chair, Board of Supervisors DATE ATTEST: CELIA ZAVALA Executive Officer -Clerk of The Board of Supervisors By Deputy APPROVED AS TO FORM: MARY C. WICKHAM County Counsel By Christina Angeles, Principal Deputy CITY OF VERNON By Melissa Ybarra, Mayor DATE ATTEST: By Deborah Harrington, Interim City Clerk APPROVED AS TO FORM: By Hema Patel, City Attorney 35- CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULEI COMMENCEMENT DATE OF SERVICES TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE F.Nm,nrt chedule I CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE2 OPERATION BY DISTRICT WITH ESTIMATED 2019-20 ANNUAL FEE Overations Staffin Estimated City Post 2019-20 Station Equipment Positions (a) Net City Cost 76 Engine 3 $2,489,916 Truck 4 2,489,916 (b) 77 Engine 4 $3,153,354 Paramedic Squad 2 803,582 (c) 78 Closed - 79 Closed - Fire Prevention Staffin Fire Prevention Engineering Asst. II (Plan Check) 0.5 $74,186 Captain 0.33 91,203 Fire Fighter Specialist (Inspector) 2 468,010 Total Estimated Salary and Employee Benefits $9,570,167 Overhead @ 35.1003% 3,359,158 Estimated 2019-20 Annual Fee $12,929,325 (a) Three persons staff each post position through a 56-hour work week (A, B, C-Shift). Station operations include overtime required to maintain 24-hour constant staffing. (b) In recognition of the regional benefit to be derived by the truck company assigned in the City, the Fire District will share in the annual staffing cost of one firefighter post position. (c) In recognition of the regional benefit to be derived by the paramedic squad assigned in the City, the Fire District will share fifty percent (50%) of the annual staffing costs of this unit. Agreed to and accepted by the undersigned representatives of the City and the Fire District who certify that they are duly authorized to agree to and accept this Schedule 2. APPROVED: DARYL L. OSBY FIRE CHIEF DATE CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE F.IVernon:Schedule 2 CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE3 FIRE STATIONS TO BE OCCUPIED BY DISTRICT Facility Name Vernon Fire Station 76 Vernon Fire Station 77 APPROVED: DARYL L. OSBY FIRE CHIEF DATE F:Wemon:Schedule 3 - FacilRies Location 3375 Fruitland Avenue Vernon, Ca 4301 Santa Fe Avenue Vernon, Ca CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE4 CONVERSION COSTS APPROVED: DARYL L. OSBY FIRE CHIEF DATE F. I Vernon:SchedUte 4 - Conversion Costs TO BE DETERMINED CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 5 VEHICLES, FIRE APPARATUS, AND RELATED EQUIPMENT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE F. I Vemon:Schedule 5 - Vehicles CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 6 FIRE STATION EQUIPMENT, FURNITURE, AND FURNISHINGS (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON- AGREEMENT FOR SERVICES SCHEDULE7 SWORN PERSONNEL, RANKS, SALARIES - FOR ESTABLISHMENT OF DISTRICT SALARY TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE Auserslplanningl VemonlSchedule 7 Personnel CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON- AGREEMENT FOR SERVICES SCHEDULE 8 SWORN PERSONNEL VACATION HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) DARYL L. OSBY FIRE CHIEF DATE F. Verno kh,dulr 8 CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 9 SWORN PERSONNEL HOLIDAY HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE EVe--S:hedulc 9 CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE10 SWORN PERSONNEL SICK HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) • • ilo�13 DARYL L. OSBY FIRE CHIEF DATE F..Alemm:Srhohdr 10 CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 11 NON -SWORN PERSONNEL, RANKS AND SALARIES - FOR ESTABLISHMENT OF DISTRICT SALARY TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE AusersWlanningl VemonlSchedule 11 Non-Swom Pers. CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 12 NON -SWORN PERSONNEL - VACATION HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE AuserslplanninglVemonlSchedule 12 Non -Sworn Vac CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 13 NON -SWORN PERSONNEL - HOLIDAY HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE husersolanninglrVemonlSchedule 13 Non -Swam Sick CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 14 NON -SWORN PERSONNEL - SICK HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) RN.M.To-zag DARYL L. OSBY FIRE CHIEF DATE CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 15 MEMORANDUM OF UNDERSTANDING TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) DARYL L. OSBY FIRE CHIEF DATE AuserslplanningWernonSchedule 15 MOU CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE STAFF REPORT AGENDA APPROVED ITEM 08/06/19, SD City Council Agenda Item Report Agenda Item No. COV-344-2019 Submitted by: Diana Figueroa Submitting Department: City Administration Meeting Date: August 6, 2019 SUBJECT A Resolution Approving and Authorizing an Agreement with the Fire Protection District of Los Angeles County for the Provision of Fire Protection, Paramedic and Incidental Services in the City of Vernon Recommendation: A. Find that the adoption of the proposed resolution is exempt from California Environmental Quality Act ("CEQA") review, because it is an administrative action that will not result in direct or indirect physical changes in the environment and, therefore, does not constitute a "project" as defined by CEQA Guidelines section 15378; and B. Adopt a resolution approving and authorizing an agreement with the Fire Protection District of Los Angeles County ('LA County Fire') for the provision of fire protection, paramedic, and incidental services in the City of Vernon. Background: Consistent with City Administration goals and City Council's direction, staff is committed to streamlining costs, analyzing new revenue streams, increasing efficiencies Citywide, and is dedicated to securing the City's long-term future. Right -sizing service models throughout the City is critical to sustainability. Each department has been instructed to focus on cost containment and resource optimization. Because Vernon Fire Department (``Vernon Fire') expenditures, year -over -year, make up a significant and growing percentage of the City's general fund budget, the costs for such services remain under scrutiny by constituents and the general public, and City staff is responsible for ensuring fiscal responsibility. it is the duty of City leadership to evaluate its most viable options for serving the residents and businesses of Vernon in the most cost effective, efficient manner possible. A. The Matrix Study. Under City Council's direction, targeted analysis of the City's Fire Services began in early 2018 when Matrix Consulting Group ("Matrix') was contracted to complete a Standards of Cover study for Vernon Fire which assessed department operations and the fiscal landscape. Matrix is a highly qualified firm with extensive experience evaluating fire operations, emergency medical services, management, and resource deployments. Senior members of the firm have over 30 years' of specialized experience in consulting and in fire management, with the point person for Vernon being a former Fire Chief. It was important to the City to have a knowledgeable team evaluating Vernon's Fire Services, to ensure that the complexities of this largely industrial community were understood when determining an optimal service model. A multitude of factors in the department were identified and analyzed over the course of approximately four months, with a final report delivered in August 2018. The Matrix study was comprehensive and accounted for the industrial composition of the City, the Class 1 Fire Department rating, minimum staffing levels, call volume, effective response, city size, number of fire stations and equipment, etc. In sum, the Matrix fndings in the final report equated to very specific recommendations, tailored to the actual needs of the C ity based on past data. According to Matrix, strategic improvement opportunities exist in the areas AGENDA APPROVED ITEM 08/06/19, SD of minimum staffing levels and station numbers/locations. Matrix recommended a reduction in staffing levels for each shift from the current 21 personnel to 17 personnel, and recommends the closure of Station 78, with the relocation of the rescue ambulance. Also noted in the study was the option to reduce staffing to a minimum of 15 with the use of a private ambulance transport. The implementation of any of the Matrix recommendations will result in significant savings for the C ity. The Matrix study is a valuable foundational tool which staff has utilized to evaluate options for the City's long-term objectives and best interests. B. Right -Sizing Fire Services in Vernon to Ensure Sustainability and Efficiency. Vernon is not unique in its pursuit of overall cost savings, as financial obligations related to public safety Other Post - Employment Benefits ("OPEB') and pensions present monumental challenges on the horizon for all municipalities. A trend that is becoming more widespread is that in which cities are opting to establish contracts with county agencies for the provision of fire protection, paramedic, and incidental services due to the savings they are able to recognize. The data and recommendations outlined in the Matrix study, coupled with the growing costs of Vernon Fire, made clear that the City needed to evaluate changes to its current fire services. The City has been thoughtfully exploring a variety of options for Fire Service provision, and right -sizing the Fire Service model continues to be the ultimate goal. One such option was evaluating a contract with the Fire Protection District of Los Angeles County ("LA County Fire'). On September 19, 2018, City Council authorized the City Administrator to enter into negotiations with LA County Fire. Immediately following the authorization, LA County Fire began a lengthy, detailed survey of Vernon Fire's infrastructure, equipment, vehicles, training, and communications (among other things), and assessed the compatibility of each with the LA County Fire operation. For nearly 10 months, the City and LA County Fire have been actively engaged to utilize the data available to determine what model is most suitable for Vernon relative to service and cost. To fitrther exhaust its due diligence, City staff also engaged the City of Los Angeles Fire Department in early 2019 to gather an understanding of their agency's services and related costs. Preliminary cost and service proposals were encouraging, however due to labor group conflicts beyond the City's control, the Los Angeles Fire Department elected to terminate negotiations with the City. Staff then moved forward with exploring a contract with LA County Fire, as well as analyzing an internal restructure and right -sizing of Vernon Fire. With regard to a potential restructure of the Vernon Fire Department, City staff conducted comprehensive analyses, cost projections, and investigation of service level requirements. Numerous staffing models were analyzed, all of which would have reduced minimum staffing from 21 personnel to 15-17 personnel, depending on whether the City elected to contract paramedic and medical transport services. All of these internal staffing models would still be significantly more costly than contracting with LA County Fire, and service levels and standards with LA County would be the same or better. LA County maintains a contractual agreement for fire protection services with 59 cities throughout the Southern California region. The proposed agreement between LA County and the City of Vernon is an iteration of the standard agreement in place with the majority of contract cities. The City and LA County Fire have negotiated Vernon -specific terms that are mutually beneficial for each party. A summary of the substantive contract components is as follows: 10 year term - 4% cap on annual service fee for the first 5 years Transfer of all sworn Vernon Fire personnel to LA County Fire AGENDA APPROVED ITEM 08/06/19, SD - Non -sworn personnel will be offered an opportunity to interview for positions at LA County Fire Two Fire Inspector positions stationed in the City FY 2019/2020 annual fee costs of approximately $12.9 million CUPA services maintained by the Vernon Health and Environmental Control Department Based on more than a year of study, City staff is recommending that the City contract Fire Services with LA County Fire. It is estimated that the City will pay approximately $16.1 million in fiscal year 2019/2020 for LA County Fire Services, equating to a $3.7 million savings in year one (Vernon Fire's FY 2019/2020 budgeted expenses are approximately $19.8 million). The first year LA County Fire estimate includes costs related to conversion of City personnel, equipment, training, and earned vacation/sick/holiday payouts for transferring employees. Cost estimates for the first three years will be higher than the annual service fee for LA County Fire. In the fourth year, the City will have completed its conversion cost installment payments to LA County Fire. Although the City will initially pay additional costs above and beyond the annual service fees, savings will still be realized. Approximately $17 million in savings over the first three years, and an overall savings of approximately $37 million over the first five years is anticipated if the City contracts with LA County Fire. As noted previously, if the City's existing Vernon Fire service model were employed, it is estimated that this fiscal year's operating budget would be approximately $19.8 million. Should City Council opt to retain a Vernon Fire service model, additional revenue streams must be sourced (via taxation, increased fees, etc.) in order to maintain City fire services. C. Variations between Service Model Options Although the quality of service with either LA County Fire or Vernon Fire model will be comparable, it is important to note that there are a few key differences between the options. Namely, the Circles of Coverage allowing for automatic aid and accessibility to 100+ firefighters within a five mile radius of the City, and the projected cost savings of approximately $37 million over five years if the City elects to contract with LA County Fire. The chart provided (attachment 2) identifies some notable fire service elements. Any and all benefits and potential disadvantages should be considered. D. Staff Recommendation. Hundreds of hours of staff time and analysis has resulted in a recommendation to City Council to pursue an agreement with LA County Fire. The decision to present a service agreement with LA County Fire follows an intense collaboration amongst staff, the incorporation of concerns of the business and residential community, lengthy negotiations with LA County Fire, and a logical, methodical approach to the City's evaluation process. This is a decision that has been weighed heavily. In an effort to uphold good governance practices, maintain transparency and fiscal accountability, and ensure sustainability, the City Administrator is seeking to right -size the City's Fire Service model. With City Council's adoption of the proposed resolution, the City will proceed with all remaining steps to affect a smooth transition to LA County for the provision of Fire Services in Vernon. Fiscal Impact: City staffestimates that the first year costs associated to the LA County Fire contract will be approximately $16.1 million. This total is inclusive of conversion costs, Local Agency Formation Commission (LAFCO) annexation fees, training, etc. which are additional costs that the City will incur beyond the Annual Service Fee of$12.9 million. Ifa transition to LA County Fire is approved, in year one, the City will realize approximately $3.7 million in savings, with a AGENDA APPROVED ITEM 08/06/19, SD potential for exponential savings over the course of the next several years. It is estimated that there will be approximately $37 million in savings over a five year period associated to contracting Fire Services with LA County. ATTACHMENTS 1. Resolution - Agreement w/ Consolidated Fire Protection District of Los Angeles County 2. Fire Service Comparison Chart AGENDA APPROVED ITEM 08/06/19, SD RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND THE CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY FOR FIRE PROTECTION, PARAMEDIC AND INCIDENTAL SERVICES IN THE CITY OF VERNON WHEREAS, the City of Vernon ("City") is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, effective January 22, 2018, the City entered into a services agreement with the Matrix Consulting Group ("Matrix") for the purpose of conducting a Vernon Fire Department Standards of Cover assessment; and WHEREAS, the Matrix study was comprehensive and accounted for all key factors, including the industrial composition of the City, the Class 1 Fire Department rating, minimum staffing levels, call volume, effective response, city size, and the existing number of fire stations and equipment; and WHEREAS, in addition to the Matrix study, the City analyzed a variety of options for cost-effective provision of fire service, and right -sizing the City's fire service model continued to be the ultimate goal; and WHERAS, on September 19, 2018, the City Council authorized the City Administrator to enter into negotiations with Los Angeles County for the provision of fire protection and related services to the City; and WHEREAS, by memorandum dated August 6, 2019, the City AGENDA APPROVED ITEM 08/06/19, SD Administrator has recommended the approval of an agreement with the Consolidated Fire Protection District of Los Angeles County ("LA County"), setting forth the terms and conditions under which the LA County will provide fire protection, paramedic and incidental services in the City; and WHEREAS, the City Council of the City of Vernon desires to approve the Agreement with the LA County. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct. SECTION 2: The City Council of the City of Vernon finds that this action is exempt from California Environmental Quality Act ("CEQA") review, because it is an administrative action that will not result in direct or indirect physical changes in the environment and, therefore, does not constitute a "project" as defined by CEQA Guidelines section 15378. SECTION 3: The City Council of the City of Vernon hereby approves the Agreement with the Consolidated Fire Protection District of Los Angeles County, in substantially the same form as the copy attached hereto as Exhibit A. SECTION 4: The City Council of the City of Vernon hereby authorizes the Mayor or Mayor Pro-Tem to execute said Agreement for, and on behalf of, the City of Vernon and the Interim City Clerk is hereby authorized to attest thereto. SECTION 5: The City Council of the City of Vernon hereby instructs the City Administrator, or his designee, to take whatever actions are deemed necessary or desirable for the purpose of - 2 - AGENDA APPROVED ITEM 08/06/19, SD implementing and carrying out the purposes of this Resolution and the transactions herein approved or authorized, including but not limited to, any non -substantive changes to the Agreement attached herein. SECTION 6: The City Council of the City of Vernon hereby directs the Interim City Clerk, or the Interim City Clerk's designee, to send a fully executed Agreement to the LA County. SECTION 7: The Interim City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the Interim City Clerk, of the City of Vernon shall cause this resolution and the Interim City Clerk's certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 6th day of August, 2019. ATTEST: Deborah Harrington, Interim City Clerk APPROVED AS TO FORM: Zaynah Moussa, Senior Deputy City Attorney - 3 - Name: Title: Mayor / Mayor Pro-Tem AGENDA APPROVED ITEM 08/06/19, SD STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, Deborah Harrington, Interim City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. , was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, August 6, 2019, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this day of August, 2019, at Vernon, California. (SEAL) - 4 - Deborah Harrington, Interim City Clerk AGENDA APPROVED ITEM 08/06/19, SD EXHIBIT A AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 AGREEMENT FOR SERVICES BY AND BETWEEN THE CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY AND THE CITY OF VERNON THIS AGREEMENT is made and entered into this day of and between the Consolidated Fire Protection District of Los Angeles County, hereinafter referred to as the "FIRE DISTRICT," and the City of Vernon, hereinafter referred to as the I "CITY." , by WITNESSETH WHEREAS, the CITY has decided to contract with FIRE DISTRICT for fire protection, hazardous materials, emergency medical, and all related services as authorized by California Government Code Section 54981, and the FIRE DISTRICT is authorized to provide such services pursuant to California Health and Safety Code Section 13800, et. seq; WHEREAS, it is the desire of the CITY to receive regional fire protection services from the FIRE DISTRICT due to the benefits afforded by regional service delivery; and WHEREAS, it is the desire of the parties hereto to address, by this Agreement, all matters which are related to a contract for services to be provided to the CITY by the FIRE DISTRICT. SECTION I. AGREEMENT EFFECTIVE DATE AND TERM (A) The effective date of this Agreement shall be the date of approval by the Board of Supervisors of the County of Los Angeles as the governing body of the FIRE DISTRICT, which is , and this Agreement shall continue in effect until such time as this Agreement is terminated or otherwise renegotiated. (B) The provision of services by the FIRE DISTRICT to the CITY shall commence on the date stated in Schedule 1 established by the FIRE CHIEF of the FIRE DISTRICT, hereinafter referred to as "commencement date of services". (C) The date of annexation of the CITY to the FIRE DISTRICT shall be the date of recordation of annexation documents which shall be on or near the commencement date of services. AGENDA APPROVED ITEM 08/06/19, SD 1 (D) This Agreement shall remain in effect for a minimum of ten (10) years from the 2 commencement date of services ("Initial Ten -Year Term"). Subsequent to this Initia► Ten -Year 3 Term, this Agreement shall be automatically renewed for one year periods. Either party may 4 terminate this Agreement any time after the expiration of the Initial Ten -Year Term upon one 5 year's written notice as provided in Subsection (E) of this Section I, subject to the terms and 6 conditions of this Agreement. 7 (E) Subsequent to the ninth (9) year of the Initial Ten -Year Term, the FIRE DISTRICT 8 or the CITY may terminate this Agreement by giving at least one year's written notice to the 9 other for termination of this Agreement and the CITY's detachment from the FIRE DISTRICT in 10 accordance with this Section I. Notice shall be sent to the addresses listed in Section III, I I Subsection (1), herein, or as subsequently changed by either party in writing. 12 (F) Should either party give written notice of its intent to terminate this Agreement, that 13 party shall initiate detachment proceedings through the Local Agency Formation Commission 14 (LAFCO). The party who terminates this Agreement, including any subsequent amendments, 15 shall bear the cost of all fees associated with detachment of the CITY from the FIRE 16 DISTRICT, unless CITY becomes delinquent or defaults in its Annual Fee payment to the FIRE 17 DISTRICT for FIRE DISTRICT services pursuant to Section III, Subsection (0), in which 18 instance CITY shall bear the costs. Such fees shall be defined as LAFCO fees, the State 19 Board of Equalization fees, and any similar fees of this nature but shall not include any Board 20 of Supervisors' or any CITY administrative fees or attorneys' fees. 21 (G) A review of the Agreement terms may be initiated at any time by either party, upon 22 five (5) days written notice to the other. Any modifications made to this Agreement shall be 23 upon written consent of both parties. The parties agree to negotiate in good faith and deal 24 fairly with respect to performance under this Agreement and with respect to any proposed 25 modifications to this Agreement. 26 SECTION II. SERVICES 27 (A) Services to be provided by the FIRE DISTRICT to the CITY shall include fire 28 protection, hazardous materials services, emergency medical services which include -2- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 s 9 10 II 12 13 14 15 16 17 is 19 20 21 22 2; 24 25 26 27 2s paramedic services, fire code and related code enforcement, fire cause and arson investigation, plus all FIRE DISTRICT support services including, but not limited to, supervision, dispatching, training, equipment maintenance, supplies, and procurement, collectively referred to as "Services." The CITY will not be charged for on -duty personnel reassigned from fire stations outside of the CITY to staff events in the CITY. The FIRE DISTRICT's cost for Fire Safety Officers (FSOs) or augmented staffing assigned to special events held in the CITY will be charged to the CITY for CITY -sponsored events or to non -CITY entities, whichever is the appropriate organization, as the cost for such augmented services is not included in the CITY's Annual Fee. (B) The power and authority relating to the provision of Services, the standards of performance, the discipline of personnel, and other matters related to the performance of such Services and control of personnel so employed by the FIRE DISTRICT shall be within the sole discretion of the FIRE DISTRICT. (C) The engine companies assigned to the CITY Fire Stations as listed on Schedule 3 attached hereto shall carry automatic external defibrillators, and all firefighting personnel shall be certified as Emergency Medical Technician-1. The minimum daily staffing level in the CITY as indicated on Schedule 3 herein is as follows: one engine company staffed with three personnel (one fire captain, one fire fighter specialist and one fire fighter); one engine company and one truck company each staffed with four personnel, (one fire captain, one fire fighter specialist and two fire fighters); and one paramedic squad staffed with two fire fighter paramedics, for a total operations staffing of thirteen uniformed personnel on duty daily in the CITY. This staffing level may be modified by mutual agreement of the CITY COUNCIL and FIRE CHIEF of the FIRE DISTRICT pursuant to Section XI. (D) All code enforcement, plan check approval, and other fire prevention activities shall be in accordance with the County of Los Angeles Fire Code and FIRE DISTRICT ordinances, regulations, standards, policies and procedures, except as may be amended pursuant to Section X herein. (E) Transportation of a patient to a hospital in a medical emergency is not provided by -3- AGENDA APPROVED ITEM 08/06/19, SD 1 2 4 5 6 7 8 9 10' 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 the FIRE DISTRICT. Emergency medical transportation is provided under a County of Los Angeles contractual arrangement with a private ambulance company licensed to operate within Los Angeles County. If the CITY opts to continue to provide medical transportation in the CITY during the term of this Agreement, the CITY and FIRE DISTRICT will enter into a Memorandum of Understanding which will outline the CITY's responsibilities in the administration of its ambulance program, including the location of the housing of ambulance program's personnel and equipment. (F) The FIRE DISTRICT will participate in and support community emergency preparedness, education, training, and exercises at the reasonable request of and at no additional cost to the CITY. The CITY shall retain responsibility for the CITY's internal emergency management and related programs. (G) Without cost to the FIRE DISTRICT, the CITY shall, within the legal boundaries of the CITY, retain responsibility for providing a water system including fire hydrants capable of supplying adequate water fire flow to the FIRE DISTRICT. The CITY shall ensure that the CITY's water purveyors provide adequate water and hydrants for fire protection purposes within the CITY without cost to the FIRE DISTRICT. (H) The FIRE DISTRICT shall annually inspect all fire hydrants within the CITY to ensure that fire hydrants are mechanically operable and capable of delivering water. The FIRE DISTRICT shall notify the CITY's water purveyors, in writing, of any maintenance requirements as soon as possible after such inspections and at any other times the FIRE DISTRICT becomes aware of maintenance or repair requirements. The FIRE DISTRICT shall not be liable to pay any CITY water purveyor for hydrant installation, use, repair, maintenance, or rental fees or any other related costs or expenses except if damage results from the FIRE DISTRICT'S negligent use of said fire hydrants. (1) The transference of applicable 9-1-1 calls to the FIRE DISTRICT shall be done immediately upon receipt by the CITY's Public Safety Answering Point (PSAP) and shall be performed without cost to the FIRE DISTRICT. The CITY shall be responsible for all costs associated with connecting ring -down circuits from its PSAP to the FIRE DISTRICT's circuit. -4- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (J) The FIRE DISTRICT shall provide to the CITY quarterly and annual statistical response information reports. The criteria utilized in the preparation of such reports shall be determined by the CITY ADMINISTRATOR and the FIRE DISTRICT's jurisdictional Assistant I Fire Chief. (K) Nothing in this Agreement shall preclude the future expansion or relocation of the CITY'S Fire Stations referenced on Schedule 3 herein if such action is mutually agreed upon in writing by both the CITY and the FIRE DISTRICT's Fire Chief. (L) Any agreed -upon adjustments in staffing pursuant to Section XI, Subsection (B) herein may cause adjustments in the determination of the Annual Fee, as specified in Schedule 2 attached hereto and made a part hereof. SECTION III. ANNUAL FEE FOR SERVICES (A) The CITY shall pay an Annual Fee for FIRE DISTRICT Services, hereinafter referred to as "Annual Fee." As provided for in the California Health and Safety Code Section 13878, the FIRE DISTRICT shall be paid monthly, in advance, from funds of the CITY for the performance of the services referred to in Section II, hereof. The Annual Fee shall be determined by the method specified in Schedule 2, attached hereto and made a part hereof. The CITY shall pay the FIRE DISTRICT one -twelfth (1/12) of the estimated or actual Annual Fee monthly, in advance, on or before the first day of each month. The one-year period for payment of the Annual Fee is defined as July 1 through June 30, herein referred to as "Fiscal Year." (B) At least ninety (90) days prior to the commencement of each Fiscal Year, the FIRE DISTRICT shall submit a preliminary estimate of the Annual Fee ("Preliminary Annual Fee") for providing Services to the CITY for the ensuing fiscal year. The Preliminary Annual Fee shall include estimated costs of FIRE DISTRICT salary and employee benefits and overhead, and shall be used for billing purposes until actual cost information is available. (C) As soon as actual cost information is available, the FIRE DISTRICT shall provide the CITY a statement of the actual Annual Fee for providing Services during the current fiscal year. If the Annual Fee is less than the Preliminary Annual Fee, the FIRE DISTRICT shall -5- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 credit the CITY for the difference, which amount shall be deducted from the first monthly invoice and, if applicable, the following monthly invoices subsequent to the statement of the Annual Fee. If the Annual Fee is greater than the Preliminary Annual Fee, the additional amount due the FIRE DISTRICT will be paid by the CITY during the subsequent fiscal year as follows: One -twelfth (1/12) of such additional Annual Fee amount due to the FIRE DISTRICT shall be added and paid in each of the CITY's subsequent twelve (12) monthly payments. (D) A limitation shall be placed on increases in the amount of Annual Fee to be paid by the CITY each year, hereinafter referred to as "Annual Fee Limitation." For purposes of calculation of the Annual Fee Limitation, the Annual Fee shall not include any conversion costs, credits, or rebates of any kind. The Annual Fee Limitation shall be subject to annual changes after the initial five-year period of this Agreement commencing with the commencement date of services ("Initial Five -Year Period") as described below. During the Initial Five -Year Period, the Annual Fee Limitation shall not exceed four percent (4%) per Fiscal Year. At the conclusion of the Initial Five -Year Period, the FIRE DISTRICT will meet with the CITY to discuss cost trends and increases that will impact the CITY's Annual Fee. During the sixth year of this Agreement, the Annual Fee Limitation shall be the average of the immediately preceding four years' percentage increases in the Annual Fee plus one percent (1 %). During the seventh year of this Agreement and each subsequent Fiscal Year, the Annual Fee Limitation shall be the average of the immediately preceding five years' percentage increases in the Annual Fee plus one percent (1 %). (E) In any year where the CITY's Annual Fee, as specified in Section III, Subsection (C) hereinabove, exceeds the preceding Fiscal Year's Annual Fee plus the applicable Annual Fee Limitation, hereinafter referred to as "Annual Fee Limitation Excess," payment of the Annual Fee Limitation Excess shall be deferred to a subsequent future Fiscal Year(s) where the increase in the Annual Fee for that Fiscal Year over the preceding Fiscal Year is less than the Annual Fee Limitation. The Annual Fee Limitation Excess will be paid by the CITY in any subsequent Fiscal Year(s) to the extent the Annual Fee increase in that Fiscal Year is less than the Annual Fee Limitation for that Fiscal Year. One -twelfth (1/12) of such Annual Fee n AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Limitation Excess shall be added and paid in each of the CITY's twelve (12) monthly payments for the subsequent Fiscal Year(s). In the event the CITY detaches from the FIRE DISTRICT, any unpaid Annual Fee Limitation Excess together with any outstanding Annual Fee payments due by the CITY as of the effective date of detachment shall be due and payable to the FIRE DISTRICT no later than the effective date of detachment. Should a credit be due the CITY from the FIRE DISTRICT, a refund shall be paid to the CITY no later than the effective date of detachment. (F) In addition to the Annual Fee, conversion costs as specified in Schedule 4 attached hereto and made a part hereof shall be charged to the CITY and shall be paid to the FIRE DISTRICT by the CITY in thirty-six (36) equal monthly payments. This amount shall be added to each monthly invoice for the Annual Fee commencing with the first month's Annual Fee invoice. Upon the final determination of the actual conversion costs as approved by the CITY ADMINISTRATOR and the FIRE CHIEF of the FIRE DISTRICT, the CITY's conversion cost balance will be adjusted as will all subsequent monthly invoices for the Annual Fee to reflect the actual conversion costs. (G) The CITY shall pay all annexation processing fees by check directly to and upon request by the FIRE DISTRICT. Such fees are anticipated to be: State of California Board of Equalization $ 300.00 County of Los Angeles Local Agency Formation Commission $ 8,500.00 (H) Fire protection, hazardous materials, emergency medical, and all related services as set forth in Section 11, herein, shall not be performed by the FIRE DISTRICT hereunder unless the CITY shall: 1. Have available funds previously appropriated to cover the Annual Fee; and 2. Have paid in advance, when due to the FIRE DISTRICT, the monthly payments or the Annual Fee from the previously appropriated funds. (1) The FIRE DISTRICT shall invoice the CITY at least thirty (30) days in advance of any scheduled monthly payment. Payment of all invoices under this Agreement shall be due and -7- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 12 13 14 15 16 17 18 19 20 21 23 24 25 26 27 28 payable thirty (30) days from the date of invoice (hereinafter referred to as "due date") Invoices and general notices shall be sent to the CITY at: City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention : Carlos Fandino, City Administrator Payments shall be sent to the FIRE DISTRICT at: Los Angeles County Fire Department P. O. Box 54740 Los Angeles, CA 90054-0740 General notices shall be sent to the FIRE DISTRICT at: Fire Chief Daryl L. Osby Los Angeles County Fire Department 1320 North Eastern Avenue Los Angeles, CA 90063-3294 Either party shall notify the other, in writing, of an address change. (J) If the commencement date of services is in the middle of any month, the pro rata share for that month and full payment for the following month shall be paid in advance. The pro rata monthly share shall be calculated as follows: Divide the Annual Fee by 365 days (daily rate) and multiply the daily rate by the number of days remaining in the month as of the commencement date of services. (K) Interest shall be added to any payment invoiced by the FIRE DISTRICT and that is received by the FIRE DISTRICT more than fifteen (15) calendar days after the due date (late payment). The interest rate on any late payment shall be established as the prevailing prime lending rate for Bank of America, or any successor financial institution, as of the first day payment is late. The period for computing this interest shall commence the day following the payment due date and end the date of receipt of payment by the FIRE DISTRICT. The interest payment shall be computed as follows: No. of Days Late X Prime Lending Rate X $ Amount of = Late Payment Interest Charge 365 Days Payment AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (L) The Annual Fee in this Agreement is based upon current CITY boundaries and service requirements. During the term of this Agreement, should the CITY annex any area from which the FIRE DISTRICT does not receive property taxes (such as from a non -FIRE DISTRICT - served city), staffing levels shall be adjusted to adequately serve the annexed area and the CITY's Annual Fee shall be adjusted accordingly as determined by the FIRE DISTRICT and reviewed by the CITY. (M) All revenues generated from fees established or implemented by the FIRE DISTRICT, such as fire prevention fees, shall be FIRE DISTRICT revenues with the exception of any applicable paramedic on-board/advanced life support (ALS) fees which will be passed through to the CITY by the FIRE DISTRICT via credits on the CITY's monthly invoices. Any revenue generated by fees that the CITY charges as the administering agency for the CITY's Hazardous Materials Release Response Plan and Inventory program and through a CITY - operated emergency medical transportation program in arrangement with a private ambulance firm would remain CITY revenues. Fees of any nature collected by CITY on behalf of the FIRE DISTRICT shall be passed -through to the FIRE DISTRICT by the CITY as FIRE DISTRICT revenues. The CITY shall be authorized to retain a five percent (5%) administrative charge for any fees collected by the CITY on behalf of the FIRE DISTRICT. Any fees charged and collected by the CITY subsequent to the commencement date of services shall remain as revenues of the CITY provided that such fees are not identified as fees for FIRE DISTRICT services. The FIRE DISTRICT shall be authorized to retain a five percent (5%) administrative charge for any fees collected by the FIRE DISTRICT on behalf of the CITY. Excluding any State, Federal, or judicially mandated programs or fees, any fees established by the FIRE DISTRICT to be imposed in the CITY after the commencement date of services shall require the prior approval of the City Council. Neither the FIRE DISTRICT nor the CITY shall be legally obligated to collect fees on behalf of the other party. In the event that an incident occurs within the CITY while this Agreement is in effect during which the FIRE DISTRICT may be required to deploy a substantial number of FIRE DISTRICT apparatus and personnel to such incident as determined by the FIRE DISTRICT, to R1 AGENDA APPROVED ITEM 08/06/19, SD I the extent authorized by law, the FIRE DISTRICT reserves the right to pursue cost recovery 2 within its sole discretion against the party that caused the incident but not against the CITY. Costs recovered by the FIRE DISTRICT for CITY -paid resources (as detailed in Schedule 2 4 herein) deployed on such an incident within the CITY, less the cost of the FIRE DISTRICT's 5 recovery efforts, shall be credited to the CITY. 6 In the event the CITY were to pursue cost recovery for FIRE DISTRICT resources 7 deployed to an incident within the CITY to which the FIRE DISTRICT deploys a substantial 8 number of apparatus and personnel, to the extent authorized by law, the CITY shall promptly 9 pay to the FIRE DISTRICT all such FIRE DISTRICT costs recovered by the CITY less the cost 10 of the CITY's recovery efforts. Costs for FIRE DISTRICT resources paid for by the CITY I I through this Agreement as detailed on Schedule 2 herein and deployed to such an incident 12 shall not be recoverable by the FIRE DISTRICT from the CITY. Neither the FIRE DISTRICT 13 nor the CITY shall be legally obligated to seek cost recovery on behalf of the other party. 14 (N) In the event that a billing/payment dispute arises between the FIRE DISTRICT and 15 the CITY, the parties will negotiate in good faith to resolve the dispute and the following 16 procedures will be taken to resolve the dispute: 17 (1) The dispute will be specified, in writing, and presented to the FIRE DISTRICT's 18 Chief Deputy of Business Operations if a CITY dispute, or to the CITY ADMINISTRATOR if a 19 FIRE DISTRICT dispute, within thirty (30) days of the receipt of a disputed invoice or disputed 20 payment. The CITY shall pay in full any disputed invoice "under protest." 21 (2) The FIRE DISTRICT and the CITY shall meet and confer in good faith to 22 expeditiously resolve the dispute. If the FIRE DISTRICT and the CITY cannot fully resolve the 23 dispute within ninety (90) days of receipt of written notification of this dispute (impasse), the 24 impasse will be sent to an independent arbitrator for resolution. Said arbitrator shall be 25 selected jointly by the CITY and the FIRE DISTRICT within forty-five (45) days of impasse and 26 shall be paid for equally by the CITY and the FIRE DISTRICT. If the FIRE DISTRICT and the 27 CITY cannot agree on an arbitrator, each party shall, at its own expense, retain an arbitrator 28 within thirty (30) days after the jointly selected arbitrator should have been selected. These -10- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 two arbitrators will, within thirty (30) days of their retention, mutually select a third arbitrator. The mutually agreed -upon arbitrator will resolve the matter within thirty (30) days after his/her selection. The FIRE DISTRICT and the CITY shall share equally the cost of the third arbitrator. The arbitrator's resolution of the impasse shall be final and binding. (3) If the FIRE DISTRICT prevails in arbitration, all money owed and not paid to the FIRE DISTRICT will be forwarded to the mailing address identified in Section III, Subsection (1), herein, within thirty (30) calendar days from the date of the issuance of the arbitrator's decision. In addition, the CITY will be assessed and pay the interest payment amount for a late payment as calculated in Section III, Subsection (K) of this Agreement. (4) If the CITY prevails in arbitration and has paid the FIRE DISTRICT the disputed amount, a refund to the CITY will be forwarded to the mailing address identified in Section III, Subsection (1), herein, within thirty (30) calendar days from the date of the issuance of the arbitrator's decision. In addition, the FIRE DISTRICT will pay to the CITY an interest payment, as calculated for late payments in Section III, Subsection (K) of this Agreement. (5) Each party is required to pay its own legal fees associated with such arbitration and is not entitled to recovery of those fees from the other party. (0) CITY understands and agrees that in the event the CITY becomes delinquent or defaults in its Annual Fee payment to the FIRE DISTRICT for FIRE DISTRICT service, the County Auditor -Controller is authorized, at the direction of FIRE DISTRICT, to withhold CITY's unencumbered annual property tax revenue in an amount equal to the outstanding payment for FIRE DISTRICT Service and credit the withheld amounts to the FIRE DISTRICT's revenue account. FIRE DISTRICT shall comply with the procedures in County Fiscal Manual section 10.2.12, "Procedures for Collection of Accounts Receivable for Services Performed for Cities and Special Districts" for collecting CITY's delinquent or defaulted Annual Fee payments. Such withholding by the Auditor -Controller shall continue until such time as CITY resumes payment to the FIRE DISTRICT directly and all delinquent or defaulted Annual Fee payments have been recovered. (P) The FIRE DISTRICT shall credit to the CITY's Annual Fee billing the cost expended AGENDA APPROVED ITEM 08/06/19, SD I J 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 by the CITY to fulfill the requirements of Section VII, Subsection (C), paragraph (12), Health Insurance, herein, in the invoice subsequent to the FIRE DISTRICT's receipt of cost documentation. The CITY shall present documentation satisfactory to the FIRE DISTRICT of the amount expended prior to credit being made. (Q) Vacation, sick, and any holiday benefit days, as provided for in Section VII, Subsection (C), paragraphs (6) and (7) herein and as detailed on Schedules 8, 9, 10, 12, 13, and 14 attached hereto and made a part hereof, shall be charged to the CITY and shall be paid in thirty-six (36) equal monthly payments which shall be a separate and distinct charge added to the monthly invoice for the Annual Fee commencing with the first month's Annual Fee invoice or as soon as practicable after the finalization of these Schedules. Such charges will be excluded from the Annual Fee Limitation calculation. SECTION IV. EQUIPMENT, FURNITURE, FURNISHINGS, AND EXPENDABLE EQUIPMENT/FIRE APPARATUS AND EQUIPMENT (A) On the commencement date of services, the CITY shall transfer to the FIRE DISTRICT all fire apparatus, vehicles, fire equipment, and fire station furnishings, furniture, equipment and expendable tools incidental to fire station operations, as inventoried and identified by the FIRE DISTRICT in writing, and listed in Schedules 5 and 6 attached hereto. Items not listed in Schedules 5 and 6, shall not be transferred to the FIRE DISTRICT and will remain with the CITY. (B) All right, title, and interest in said CITY apparatus and vehicles shall be conveyed to FIRE DISTRICT free and clear of any encumbrances. The CITY shall be responsible for any and all outstanding loans or liens against said apparatus and vehicles existing as of the date of conveyance. All right, title and interest of any apparatus for which the CITY is currently leasing shall be conveyed to the District FIRE DISTRICT free and clear of any encumbrances upon the termination of the lease(s). If the CITY does not avail itself of the ability to purchase, and thus does not retain ownership of, the vehicle(s) at the termination of the lease(s), the CITY shall be responsible for the cost of new replacement apparatus to be placed in service in the CITY. The replacement cost of the apparatus shall be added to the CITY's Annual Fee invoices to be -12- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 paid in twelve (12) equal monthly installments. (C) All fire apparatus, vehicles, and related apparatus/vehicular equipment transferred to the FIRE DISTRICT by the CITY shall be in good working order. The CITY shall pay for any fire apparatus and vehicle repairs necessary due to deferred or deficient maintenance. Prior to the commencement date of services, the FIRE DISTRICT shall inspect all such fire apparatus and vehicles and identify any repairs required due to deferred or deficient maintenance FIRE DISTRICT shall add the cost for such repairs to the conversion costs and modify The Schedule 4 accordingly. SECTION V. FIRE STATIONS (A) Upon the commencement date of services, CITY Fire Stations identified on Schedule 3 attached hereto and made a part hereof shall be used and occupied by the FIRE DISTRICT. In the event that during the term of this Agreement the CITY and FIRE DISTRICT mutually agree to staff a new fire station facility, the staffing levels in Schedule 2 of this Agreement will be updated as necessary and Schedule 3 will be updated accordingly. All terms and conditions contained in this Agreement applicable to the lease and maintenance of CITY fire stations shall apply to the new fire station. (B) This Agreement constitutes a lease whereby the CITY shall lease to the FIRE DISTRICT the CITY Fire Stations as identified on Schedule 3 herein for one dollar ($1) annually per station. Fire Stations 76 and 77 shall be used for the purpose of providing fire protection and emergency medical and related services as described herein. The FIRE DISTRICT may utilize CITY Fire Station 78 to house FIRE DISTRICT administrative staff and reserve fire apparatus. All costs incurred by the FIRE DISTRICT for any modifications and/or repairs to Fire Station 78 necessary for the purpose of accommodating the above uses shall be at the FIRE DISTRICT's expense. The lease of Fire Station 78 may be terminated at the FIRE DISTRICT's sole discretion with thirty (30) days written notice. (C) The CITY represents and warrants that it has performed all environmental cleanup of hazardous materials at all CITY Fire Station sites identified on Schedule 3 as required by all applicable Federal, State, and local laws as detailed in Section VIII, Subsection (C) herein. -13- AGENDA APPROVED ITEM 08/06/19, SD 1 2 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 The CITY represents and warrants that the CITY has, as federally mandated, at its own expense, properly removed and replaced, if applicable, all underground fuel tanks and all other I environmental hazards from all CITY Fire Station sites identified on Schedule 3 in accordance with all applicable Federal, State, and local requirements and standards. The FIRE DISTRICT assumes no responsibility for any and all contamination or environmental damage, including personal injury or property damage, or liability of any nature whatsoever arising from said fuel tanks or their removal. The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT from any claims, liabilities, damages, costs, or expenses of any nature whatsoever related to any fuel tanks, and related ancillary equipment, located at the CITY Fire Station sites prior to the commencement date of services under this Agreement. (D) The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT for any liability, cost, expense, claims, or damages arising from any contamination or environmental damage, including personal injury or property damage of any kind whatsoever at or adjacent to the CITY Fire Station sites in any way related to asbestos, if any, at any of the CITY Fire Station sites, or in any way related to hazardous materials or dangerous conditions caused or created or contributed to by the CITY prior to the commencement date of services at any of the CITY Fire Station sites. (E) The FIRE DISTRICT shall be responsible for utility payments related solely to the FIRE DISTRICT's use of the CITY Fire Stations. In the event any of the CITY Fire Stations' utility connections are shared jointly by others, an equitable formula to determine sharing of utility costs shall be set forth in a Memorandum of Understanding, included herein as Schedule 15, attached hereto and made a part hereof entered into by the CITY and the FIRE DISTRICT and executed by the CITY ADMINISTRATOR and FIRE CHIEF of the FIRE DISTRICT, respectively, prior to the commencement date of services or as soon as practicable thereafter. (F) The FIRE DISTRICT shall inspect the CITY Fire Stations prior to acceptance and occupancy. After the FIRE DISTRICT's acceptance of the CITY Fire Stations, the FIRE DISTRICT shall be responsible for minor and routine station repairs as described in this Section. -14- AGENDA APPROVED ITEM 08/06/19, SD 1 (1) The FIRE DISTRICT shall perform all routine, day-to-day maintenance, and 2 minor repairs (collectively referred to as "routine repairs") on the CITY Fire Stations leased from the CITY identified on Schedule 3. The FIRE DISTRICT shall be responsible for routine 4 repairs not to exceed $60,000 for each of the CITY Fire Stations during the first year after the 5 commencement date of services of this Agreement (the FIRE DISTRICT's maximum share); 6 for the second through fifth years of this Agreement after the commencement date of services, 7 the FIRE DISTRICT's maximum share for routine repairs for each of the CITY Fire Stations 8 shall be as follows: 9 Year 2 $65,000 10 Year 3 $70,000 1 1 Year 4 $75,000 12 Year 5 $80,000 13 (2) The FIRE DISTRICT shall notify the CITY in writing if the total cost for routine 14 repairs for CITY Fire Stations in any one year is anticipated to exceed the FIRE DISTRICT's 15 maximum share for that year in accordance with Subsection (F) herein. If the FIRE DISTRICT 16 expends less than the FIRE DISTRICT's maximum share on the CITY Fire Stations in any 17 year, any amount less than the FIRE DISTRICT's maximum share for the CITY Fire Stations 18 shall not be carried forward from year to year. Routine repairs and minor remodeling shall 19 include but not be limited to the following: repair or replacement of apparatus room doors; 20 floor replacement; ceiling replacement; incidental plumbing and electrical repairs; heating and 21 air conditioning repairs; exhaust fan replacement; and minor remodeling such as shower 22 refurbishment, installation of stainless steel countertops, and additional cabinets for offices 23 and/or lockers that do not exceed $100,000 per project. All routine repairs or portions thereof 24 in excess of the FIRE DISTRICT's maximum annual share for CITY Fire Stations shall be the 25 responsibility of the CITY. The FIRE DISTRICT may elect to replace or upgrade appliances or 26 furnishings at any of the CITY Fire Stations at its own expense. The CITY shall not be 27 responsible for any such upgrades or replacements, and such upgrades and replacements 28 shall not reduce the FIRE DISTRICT's maximum share provided above, unless the items being -15- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 replaced are no longer functioning or repairable at a reasonable cost as determined by the FIRE DISTRICT, in which event such costs incurred by the FIRE DISTRICT shall reduce the FIRE DISTRICT's maximum share. Any proposed modifications to the exterior of any of the CITY's fire stations shall require advance written approval of the CITY ADMINISTRATOR. (3) Any non -routine repairs, defined as repairs in excess of $100,000, hereinafter shall be referred to as "major repairs" and shall be identified, in writing, by the FIRE DISTRICT and presented to the CITY. Major repairs shall be undertaken by the CITY within twelve (12) months of the FIRE DISTRICT's notification to the CITY, or other time period as mutually agreed upon by the FIRE CHIEF of the FIRE DISTRICT and the CITY ADMINISTRATOR, unless said major repair is deemed an emergency, hereinafter referred to as "emergency major repair." In the event of a dispute regarding the existence of major repairs, the general arbitration procedures stated in Section III, Subsection (N) shall be utilized. Emergency major repairs shall be defined as conditions that if left unrepaired would compromise the health, welfare, or security of the fire station inhabitants or the public, as reasonably determined by the FIRE DISTRICT. The FIRE DISTRICT shall commence emergency major repairs immediately and make reasonable effort to notify the CITY's designated emergency contact person. The CITY shall provide the FIRE DISTRICT with the name and telephone number of a designated contact person for such emergency major repairs, which may occur after-hours. The FIRE DISTRICT will undertake the emergency major repairs and invoice the CITY for the costs of such repairs. The CITY shall be invoiced for one -twelfth (1/12) of the cost of such repairs monthly for a period of twelve (12) months. All invoices for emergency major repairs undertaken by the FIRE DISTRICT shall be due and payable thirty (30) days from the date of invoice and shall be subject to the terms contained in Section III, Subsections (K) and (N) herein. (4) The FIRE CHIEF of the FIRE DISTRICT may authorize, with the written approval of the CITY, improvements to any of the CITY Fire Stations for the FIRE DISTRICT's benefit at no cost to the CITY. Such improvements shall not be subject to the FIRE DISTRICT's maximum share provisions as contained herein, and FIRE DISTRICT's maximum M AGENDA APPROVED ITEM 08/06/19, SD 1 share shall not be reduced by the costs of any such improvements. 2 (G) Without limiting each party's indemnification of the other and during the term of this 3 Agreement, each party agrees to maintain the programs of insurance as set forth below. Each 4 party shall retain the option of satisfying its insurance obligations herein through use of a 5 program of commercial or self-insurance coverages, or any combination thereof. Each party's 6 insurance shall be primary to and not contributing with any insurance or self-insurance 7 programs maintained by the other, and shall be maintained at each party's own expense. 8 (1) The CITY shall maintain: General Liability insurance (written on ISO policy 9 form CG 00 01 or its equivalent) with limits of not less than $1 million per occurrence and $2 10 million aggregate; Workers Compensation insurance to meet statutory requirements, and 1 1 including Employers' Liability coverage with limits of not less than $1 million each; Professional 12 Liability covering liability arising from any error, omission, negligent or wrongful act of the CITY 13 with limits of not less than $1 million per occurrence and $2 million aggregate; and Property 14 Coverage providing Special form ("all-risk") coverage in an amount equivalent to the full 15 replacement value of the CITY Fire Stations and applying to CITY- owned and leased real 16 property. The CITY agrees to name the FIRE DISTRICT as an additional insured on its 17 insurance policies. 18 (2) The FIRE DISTRICT shall maintain: General Liability insurance (written on ISO 19 policy form CG 00 01 or its equivalent) with limits of not less than $1 million per occurrence 20 and $2 million aggregate; Automobile Liability insurance (written on ISO policy form CA 00 01 21 or its equivalent) with a limit of liability of not less than $1 million for each accident; Workers 22 Compensation insurance to meet statutory requirements, and including Employers' Liability 23 coverage with limits of not less than $1 million each incident; and Professional Liability 24 covering liability arising from any error, omission, negligent or wrongful act of the FIRE 25 DISTRICT with limits of not less than $1 million per occurrence and $2 million aggregate. The 26 FIRE DISTRICT agrees to name the CITY as an additional insured on its insurance policies. 27 (H) The FIRE DISTRICT shall not be liable for any damages to any of the CITY Fire 28 Stations which results from any seismic events, natural disasters, civil disturbances, or acts of -17- AGENDA APPROVED ITEM 08/06/19, SD I God. Should any such event occur that makes any of the CITY fire stations uninhabitable 2 and/or non -operational, the CITY shall immediately find temporary quarters for the FIRE 3 DISTRICT to operate out of until the CITY can repair the affected CITY fire station(s). 4 (1) The FIRE DISTRICT and the CITY, respectively, shall be fully responsible for any 5 repairs or any damages arising from the intentional or negligent acts of their respective 6 personnel. Disputes regarding implementation of this provision shall be resolved pursuant to 7 Section III, Subsection (N). 8 SECTION VI. INDEMNIFICATION 9 Except as specifically otherwise provided in this Agreement, neither party shall be liable 10 for the negligent or wrongful acts of the other in the performance of this Agreement. I 1 (A) The CITY agrees to indemnify, defend, and hold harmless the FIRE DISTRICT and 12 the County of Los Angeles, hereinafter referred to as "COUNTY", their elected and appointed 13 officials, officers, agents, and employees from any and all liability and expenses, including 14 defense costs and legal fees, arising from or connected with claims and lawsuits arising from 15 the negligent or wrongful acts of the CITY in the performance of this Agreement including any 16 matters relating to the separation from CITY service by the CITY employees transferring to the 17 FIRE DISTRICT as specified on Schedules 7 and 11 herein. 18 (B) The FIRE DISTRICT agrees to indemnify, defend, and hold harmless the CITY, 19 its elected and appointed officials, agents, officers, and employees from any and all liability 20 and expenses, including defense costs and legal fees, arising from or connected with claims 21 and lawsuits arising from the negligent or wrongful acts of the FIRE DISTRICT in the 22 performance of this Agreement. 23 SECTION VII. PERSONNEL 24 (A) SWORN EMPLOYEES 25 (1) Appointment - Subject to the provisions of the California Government Code, 26 Section 1031 and the Los Angeles County Code Section 6.02.040, the FIRE DISTRICT agrees 27 to appoint, without further civil service examination, those CITY firefighter series employees, 28 hereinafter referred to as "sworn employees," specified on Schedule 7, attached hereto and _18- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 ?3 24 25 26 27 28 made a part hereof, who have successfully completed six (6) months service with the CITY, exclusive of temporary or reserve fire fighters. Sworn employees' service with the CITY must include actual firefighting experience in a permanent fire fighter position. The date of hire that establishes the sworn CITY employees' continuous service date in a safety capacity with the CITY shall be utilized for purposes of the mandatory retirement age for transferring safety employees. (2) Probation - All CITY sworn employees on probation will remain on probation until completing the FIRE DISTRICT probationary period and requirements. (3) Positions - CITY sworn employees qualified pursuant to this Section VII are fully identified on Schedule 7 attached hereto and are subject to the terms and conditions of this Agreement. CITY sworn employees shall be employed by the FIRE DISTRICT in the number and status as follows: Number Fire District Status 9 Captain 11 Fire Fighter Specialist Remaining Fire Fighter The actual number of transferring CITY employees employed by the FIRE DISTRICT as a Fire Fighter will be based on the number of transferring employees at the time of transition to FIRE DISTRICT service. The CITY shall designate sworn employees to be assigned to the Captain, Fire Fighter Specialist, and Fire Fighter positions indicated above. Any CITY designated employee shall be eligible for the assigned position if the employee has held the position being designated to or a higher position in the service of the CITY. A duly authorized representative from the Vernon Firefighter's Association, Local 2312 (VFA) and the Vernon Fire Management Association (VFMA) shall approve, in writing, the appointment of the personnel designated to the ranks of Captain and Fire Fighter Specialist as listed on Schedule 7 attached. Once approved by the VFA and VFMA, these designations shall become final and not subject to change unless a CITY sworn employee designated on the list does not transfer to the FIRE ,M. AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 DISTRICT. The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT from any claims, liabilities, damages, costs, or expenses of any nature whatsoever related to the designation of transferring employees' ranks by the CITY. (4) Firefighting Experience - CITY sworn employees to be assigned to the position of Fire Captain shall have a minimum of five (5) years' firefighting experience. The CITY represents and warrants that those employees assigned Fire Captain positions have a minimum of five (5) years' firefighting experience. (5) Driving Skills - All CITY sworn employees who are to be assigned fire apparatus operation responsibilities as Fire Fighter Specialists will be tested and trained, as may be required by the FIRE DISTRICT. Any CITY sworn employee who does not initially qualify in fire apparatus operations prior to the commencement date of services will be assigned other duties. After being provided training by the FIRE DISTRICT, transferring Fire Fighter Specialists will be required to pass a fire apparatus operations test. Fire Fighter Specialists who do not pass the fire apparatus operations test may be demoted at the sole discretion of the FIRE DISTRICT. (6) Driver License - As a condition of employment, all CITY sworn employees will be required to have a Class C Driver License with fire fighter endorsements as the minimum standard driver license obtained from their state of residence. If the employees' state of residence does not issue a firefighter endorsement, the employee shall acquire a commercial license appropriate to the vehicle being driven. No employee shall have license restrictions which would prevent him/her from performing his/her employment duties. (7) EMT-1 Training - Sworn members of the FIRE DISTRICT are required to be certified as Emergency Medical Technician I (EMT-1). The CITY certifies that all CITY sworn employees transferring to the FIRE DISTRICT shall have current EMT-1 certification, current continuing education (CE), and certified skills (CS) testing. Current CE shall be defined as the equivalent of one (1) hour of CE for each month that has elapsed since the last recertification date. Current CS shall be defined as twelve (12) skills tests during a 24-month skills cycle. The CITY shall reimburse the FIRE DISTRICT for any costs incurred by the FIRE DISTRICT -20- AGENDA APPROVED ITEM 08/06/19, SD 1 as a result of non-compliance by any CITY employee of the requirements herein. In addition, 2 all transferring CITY paramedics who desire to transfer to the FIRE DISTRICT as a paramedic 3 must complete 24 hours a year, or 48 hours during their 2-year cycle of paramedic CE, 4 including skills testing, and the FIRE DISTRICT's re -activation class which consists of up to 5 three (3) days of classroom and five (5) or more shifts of internship (i.e. ride-alongs) on a FIRE 6 DISTRICT paramedic squad. Any transferring paramedic who does not successfully pass this 7 re -activation class and/or who has any pending action against them by the County's 8 Emergency Medical Services Authority, or the State's Local Emergency Medical Services 9 Agency would be ineligible to function as a paramedic with the FIRE DISTRICT. At the time of 10 transition to the FIRE DISTRICT, all transferring employees shall provide documentation 1 1 certifying that all CE and CS are up-to-date and completed. 12 (8) Seniority - This Agreement will result in the creation of forty-one (41) additional 13 FIRE DISTRICT sworn positions. More than forty-one (41) sworn employees may be 14 transferring from the CITY to the FIRE DISTRICT. Pursuant to Section 53292 of the California 15 Government Code and except as specified in Section VII, Subsection (C), paragraph (10) 16 herein, so as not to impair the seniority rights of FIRE DISTRICT sworn employees, as a result 17 of the forty-one (41) newly created sworn positions, only forty-one (41) CITY sworn employees 18 with the most CITY Fire Department continuous service time will receive FIRE DISTRICT 19 seniority rights and COUNTY seniority. In the event any two or more transferring CITY 20 employees have the same continuous service date with the CITY Fire Department, the CITY 21 shall use whatever method currently utilized by the CITY to determine the manner in which the 22 seniority for those affected employees shall be established. 23 FIRE DISTRICT seniority is principally used for transfer bidding rights and, for these 24 forty-one (41) positions, will be based on continuous service time in the firefighter series with 25 the CITY's Fire Department. COUNTY seniority, which as defined in Los Angeles County Civil 26 Service Rule 2.15 as "continuous service," is principally used for purposes of determining the 27 order of layoff or reduction. Also as defined in Section 6.04.040 of the Los Angeles County 28 Code, "continuous service" is principally used for purposes of determining rights to some types -21- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 of paid leave. For these forty-one (41) positions, continuous service will include all continuous service time with the CITY, including any continuous non -permanent time. The assigned FIRE DISTRICT and COUNTY seniority dates for any remaining sworn employees will be the commencement date of services with the FIRE DISTRICT. They will be placed on the FIRE DISTRICT seniority list and also assigned a COUNTY continuous I service date in order of their relative service time with the CITY. All CITY and FIRE DISTRICT seniority will be considered for all purposes, except for those individuals beyond the forty-one (41) additional sworn positions for which CITY seniority shall not count for purposes of bidding rights, vacation schedules, and to determine the order of layoff or reduction. As those CITY sworn employees with full FIRE DISTRICT and COUNTY seniority rights leave FIRE DISTRICT service, any remaining sworn employees will be assimilated into full FIRE DISTRICT and COUNTY seniority status based on their time in service as sworn CITY/FIRE DISTRICT employees, with the exception of those employees who fall under the provision of Section VII, Subsection (C), paragraph (10) herein. (9) Promotional Exams - All non -probationary transferring sworn employees shall be immediately eligible for promotional examination within the FIRE DISTRICT. All time in rank as a sworn CITY and/or FIRE DISTRICT employee shall be considered for purposes of determining eligibility for promotional examination. (10) Longevity Bonus - For purposes of determining eligibility for the FIRE DISTRICT's Fire Fighter longevity bonus for those CITY employees blanketed -in to FIRE DISTRICT in the Fire Fighter classification, all continuous CITY service time in the Fire Fighter or successive promotional classifications shall be deemed as fulfilling the required aggregate service time for longevity bonus entitlement, except as provided in Section VII, Subsection (C), paragraph (10) herein. (11) Training Records — The CITY will provide the FIRE DISTRICT with complete training records of all CITY sworn employees to be transferred to the FIRE DISTRICT pursuant to this Agreement. -22- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (B) NON -SWORN EMPLOYEES (1) Appointment — The FIRE DISTRICT may agree to appoint without further civil service examination non -Fire Fighter series employees, hereinafter referred to as "non -sworn employees", who have successfully completed six (6) months continuous service with the CITY and who shall be listed on Schedule 11, attached hereto and made a part hereof. All non - sworn employees shall successfully complete a probationary period consistent with Los Angeles County Civil Service Rules. (2) Seniority - Since non -sworn positions are not being created as a result of this annexation, the FIRE DISTRICT and COUNTY seniority date for all transferring non -sworn CITY employees, which is primarily used for the purpose of determining the order of layoff or reduction, shall be the commencement date of services. (C) ALL EMPLOYEES (1) Medical Exam & Background Investigation - Prior to the commencement date of services, as a condition of the FIRE DISTRICT employment, each CITY employee must be medically qualified by a FIRE DISTRICT -administered physical examination, which includes a drug screening component, and must pass the FIRE DISTRICT's background investigation. Any CITY employee who is on medical leave of absence on the commencement date of services shall be blanketed into FIRE DISTRICT if he/she passes the required medical examination and background investigation upon termination of medical leave. The FIRE DISTRICT retains the right to not accept any CITY employee in its sole discretion upon completion of the employee's medical exam and background investigation. In such case, the CITY employee's rights, obligations and status as a CITY employee shall be dictated by CITY rules and regulations. (2) Salary Step Placement - For the purpose of determining an employee's FIRE DISTRICT salary step placement, "CITY salary" shall be defined as all monthly earnings that are eligible towards CITY retirement credit, excluding any compensation for unused benefit days or holidays, uniform allowances, and all overtime earnings. The employee's initial salary step placement shall not be less than his/her CITY salary as defined in this Section VII, -23- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Subsection (C), paragraph 2. Paramedic bonuses shall be excluded from "CITY salary" for those employees who transfer to the FIRE DISTRICT into a "Fire Fighter" position. Any transferring employees who are assigned to "Fire Fighter Paramedic" positions will be entitled to receive the applicable FIRE DISTRICT paramedic bonus. Paramedic bonuses will be included in the "CITY salary" for those employees who transfer to the FIRE DISTRICT into a "Fire Fighter Specialist" or "Captain" position pursuant to this Section VII, Subsection (A), paragraph (3) and who are receiving a paramedic bonus in the CITY at the time of transfer to the FIRE DISTRICT. In the event any employee transferring to the FIRE DISTRICT into a "Fire Fighter Specialist" or "Captain" position is subsequently assigned to a paramedic position in the FIRE DISTRICT, the employee's salary will be recalculated to eliminate the amount of his CITY paramedic bonus and to include the applicable FIRE DISTRICT paramedic bonus. All other bonuses, other than paramedic bonuses, will be considered by the FIRE DISTRICT in its discretion for inclusion in the determination of an employee's FIRE DISTRICT salary placement but is not guaranteed. The ultimate decision regarding the inclusion of bonuses rests with the FIRE DISTRICT in its discretion. (a) Sworn Employees - Except as provided in Section VII, Subsection (C), paragraphs (9) and (10), all continuous service time accrued as a sworn employee in the service of the CITY shall be considered for the purpose of determining COUNTY employee benefits including sick leave, vacation, step placement on the applicable COUNTY salary schedule, and the pensionability of their Flexible Benefits income. Salary step placement of sworn employees shall be within the salary range of the FIRE DISTRICT position assigned, but no less than the salary step that provides for the same salary or next higher salary as the sworn employee's CITY salary as defined in this Section VII, Subsection (C), paragraph 2. Subsequent salary step advances, if applicable, shall be one (1) year from the last step advance with the CITY or in accordance with COUNTY policy, whichever is sooner. In the event that the sworn employee's CITY salary is higher than the top step of the COUNTY salary range, the sworn -24- AGENDA APPROVED ITEM 08/06/19, SD 1 employee will be placed on the top step of that range, but shall be Y-Rated in order to maintain 2 the same level of base salary as the employee had with the CITY. 3 A sworn CITY employee's Y- Rate shall remain in effect until the regular salary 4 including any bonuses exceeds the Y-Rate amount. Y-Rated employees shall not be eligible 5 for bonuses in addition to their Y-Rated salary. Sworn employees who have accrued CITY 6 service time in a non -sworn position shall have such non -sworn service time considered for 7 purposes of determining COUNTY seniority date and benefits, but not salary step placement. 8 (b) Non -Sworn Employees - Except as provided in Section VII, Subsection (C), 9 paragraphs (9) and (10), all continuous service time accrued as a non -sworn employee in the 10 service of the CITY shall be considered for all purposes except for bidding rights for work and 1 1 vacation schedules, and to determine the order of layoff or reduction. Salary placement of 12 non -sworn employees shall be within the salary range of the FIRE DISTRICT position 13 assigned, and at the salary step that provides for the same salary or next higher salary as the 14 employee's CITY salary as of the commencement date of services through this Agreement. In 15 the event that the employee's CITY salary is higher than the top step of the COUNTY salary 16 range, the employee will be placed on the top step of that range, but shall be Y-Rated so that 17 no loss in pay occurs. 18 (3) Taxes - This Agreement does not exempt transferring CITY employees from 19 applicable payroll taxes required of new employees, such as Health Insurance Tax (HIT). 20 (4) Uniforms - CITY issued uniforms and safety equipment that meet FIRE 21 DISTRICT standards shall be transferred to the FIRE DISTRICT with the transferring 22 employees. CITY uniforms will be supplemented by FIRE DISTRICT issued uniforms and/or 23 safety equipment necessary to meet FIRE DISTRICT requirements. The CITY shall assume 24 all costs for supplementing uniforms and safety equipment that do not meet FIRE DISTRICT 25 standards. Such costs shall be included on Schedule 4, as soon as available. Subsequent 26 uniform issues will be as provided for in the current Memorandum of Understanding for the 27 respective employee representation units entered into between the County of Los Angeles and 28 the certified employee organizations, if applicable. -25- AGENDA APPROVED ITEM 08/06/19, SD 1 (5) Personnel/Medical/Time Records - As a condition of FIRE DISTRICT 2 employment, CITY employees must consent to the transfer of complete original personnel and 3 employment medical records to the FIRE DISTRICT. The CITY will provide the FIRE 4 DISTRICT with complete and original personnel and employment medical records of all CITY 5 personnel to be transferred pursuant to this Agreement, including any employee's complete 6 original Workers' Compensation files, all claims for disability compensation, and all additional 7 documentation related to open claims which remain ongoing after the date of transfer of the 8 CITY employees to the FIRE DISTRICT, which shall be the commencement date of services. 9 In addition, the CITY will provide the FIRE DISTRICT with a minimum of one (1) year's time 10 records of "hours worked" prior to the commencement date of services for all CITY personnel 1 1 to be transferred pursuant to this Agreement. Each transferring employee shall certify to the 12 FIRE DISTRICT the completeness of his/her personnel file. 13 (6) Vacation and Holiday Shifts/Days — The CITY shall pay to the FIRE DISTRICT 14 in the manner set forth in Section III, Subsection (P) herein for transferred vacation benefit 15 shifts/days for transferring employees at the CITY's salary rates in effect on the 16 commencement date of services. The CITY may transfer holiday benefit shifts/days for 17 transferring employees at the CITY's discretion. The CITY shall transfer in whole hours all 18 vacation benefit shifts/days an employee is entitled to in CITY employment to a maximum of 19 twenty (20) vacation days, i.e one hundred sixty (160) hours for employees assigned to a 40- 20 hour work schedule, or ten (10) shifts, i.e, two hundred forty (240) hours for employees 21 assigned to a 24-hour shift schedule, whichever is applicable. The CITY may transfer in whole 22 hours all holiday benefit shifts/days an employee is entitled to in CITY employment to a 23 maximum of twenty (20) holiday days i.e one hundred sixty (160) hours for employees 24 assigned to a 40-hour work schedule, or ten (10) shifts, i.e, two hundred forty (240) hours for 25 employees assigned to a 24-hour shift schedule,whichever is applicable. Vacation and holiday 26 benefit shifts/days are outlined in Schedules 8 and 9, respectively, for sworn personnel and 27 Schedules 12 and 13, respectively, for non -sworn personnel, which are attached hereto and 28 made a part hereof. CITY salary rates for reimbursement to the FIRE DISTRICT are defined in -26- AGENDA APPROVED ITEM 08/06/19, SD 1 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 this Section VII, Subsection (C), paragraph (2). Transferring CITY employees shall accrue vacation benefits each pay period. Pay periods are the 1 st day of each month to the 15` day of that month, and the 16th day of each month to the last day of that month. The amount of vacation benefits accrued by each transferring CITY employee shall be based on the transferring employees' continuous service time as a sworn employee of the CITY. Transferring CITY employees may use their accrued vacation benefits during the pay period immediately following the pay period in which the benefits are accrued, notwithstanding the employees' assigned COUNTY seniority. (7) Sick Shifts/Days — The CITY shall pay to the FIRE DISTRICT in the manner set forth in Section III, Subsection (P) herein for transferred sick benefit shifts/days for transferring employees at the CITY's salary rates in effect on the commencement date of services. The CITY shall transfer in whole hours all sick benefit shifts/days an employee is entitled to in CITY employment to a maximum of twelve (12) sick days, i.e, ninety-six (96) hours for employees assigned to a 40-hour work schedule, or six (6) shifts, i.e, one hundred forty-four (144) hours for employees assigned to a 24-hour shift schedule, whichever is applicable. Sick benefit shifts/days are outlined in Schedule 10 for sworn personnel and Schedule 14 for non -sworn personnel, which are attached hereto and made a part hereof. The CITY salary rates for reimbursement to the FIRE DISTRICT are defined in this Section VII, Subsection (C), paragraph (2). (8) Waiver of Accumulated Benefits — The FIRE DISTRICT shall not assume any responsibility for personnel benefits or CITY obligations accrued by CITY employees prior to the commencement date of services, except as expressly provided for in this Agreement. The CITY shall provide a waiver for said accumulated benefits executed in favor of the FIRE DISTRICT by each CITY employee as a condition of employment by the FIRE DISTRICT. It is further understood that employees subject to this Agreement shall become eligible for vacation, sick, and holiday time while in FIRE DISTRICT service only as provided in the FIRE DISTRICT Salary Resolution, Los Angeles County Salary Ordinance, or as designated in Section VII herein. 27- AGENDA APPROVED ITEM 08/06/19, SD 1 (9) Los Angeles County Employees Retirement Association 2 a) All sworn employees subject to this Agreement will, on the first day of the 3 month following the date they are appointed to a position in the FIRE DISTRICT, become 4 members of the Los Angeles County Employees Retirement Association (LACERA) Plan C for 5 Safety Members or any other Safety Plan as permitted by the County Employees' Retirement 6 Law of 1937 (CERL) and the Public Employees' Pension Reform Act of 2013 (PEPRA). 7 b) All non -sworn employees subject to this Agreement will, on the first day of the 8 month following the date they are appointed to a position in the FIRE DISTRICT, become 9 members of Plan G for General Members or one (1) of the other non -safety LACERA plans 10 available at the time of the commencement date of services pursuant to the provisions of I 1 CERL and PEPRA. 12 c) Service performed by such sworn and non -sworn personnel while employees 13 of the CITY shall not be credited as retirement service with LACERA, and except as provided 14 in California Government Code Sections 31836.1 and 31836.2, shall not be counted for the 15 purpose of discontinuing contributions after thirty (30) years of continuous service pursuant to 16 Government Code Sections 31625.2 and 31664, to the extent applicable, and shall not be 17 counted for the purpose of determining health insurance premiums charged to LACERA 18 retirees. 19 (10) Retirement from Public Employees Retirement System — Transferring CITY 20 employees would be required to leave retirement contributions on deposit with the California 21 Public Employees Retirement System (CaIPERS) and establish reciprocity with LACERA, 22 limiting the FIRE DISTRICT's retirement benefit costs. The transferring employees' LACERA 23 contribution rates would be based on their age upon entering the CaIPERS system. The FIRE 24 DISTRICT's rate structure for salary and employee benefits includes a component for 25 retirement costs for positions staffing CITY stations; therefore, the FIRE DISTRICT cost would 26 be offset. At the time of retirement, a reciprocal member would receive retirement benefits 27 from both agencies based on the benefits of reciprocity, such as adding service credit under 28 each system to determine eligibility to retire. Any CITY employee who retires from CaIPERS -28- AGENDA APPROVED ITEM 08/06/19, SD 2 3 4 5 6 7 8 9 10 II I� 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 prior to the commencement date of services will not be accepted for FIRE DISTRICT employment. In the event a transferring employee opts to retire from CalPERS at any time while in the employment of the FIRE DISTRICT, such employee shall forfeit all of his/her continuous service time with the CITY, including all service time with the CITY Fire Department, for purposes of determining FIRE DISTRICT and COUNTY seniority and COUNTY employee benefits and step placement pursuant to Section VII, Subsection (A), paragraphs (8) and (10), and Section VII, Subsection (C), paragraph (2). The FIRE DISTRICT and COUNTY seniority date for any employee retiring from CalPERS pursuant to this paragraph (10) of Subsection (C) of Section VII shall immediately become the commencement date of services, any longevity bonus received by the employee which is based on continuous time with the CITY will be eliminated from the employee's salary, any Y-Rated salary will be eliminated, and the employee's salary will be adjusted and based solely on the employee's FIRE DISTRICT rank and total time as an employee with the FIRE DISTRICT. Such employees must also be medically qualified by a FIRE DISTRICT -administered physical examination as required of newly hired fire fighters. (11) Workers' Compensation - California Labor Code Sections shall govern Workers' Compensation benefits for all transferring CITY employees who sustain industrial injuries. Notwithstanding Section 5500.5 et seq. of the California Labor Code, the CITY agrees to reimburse the FIRE DISTRICT for the FIRE DISTRICT's proportionate share of all medical, legal, administrative, and any other indemnity costs for which the FIRE DISTRICT shall be liable for those industrial injuries apportionable in whole or in part to employees' employment with the CITY. The CITY's responsibility as provided for herein shall not be affected by any change in Federal or State law. The CITY and the FIRE DISTRICT shall cooperate in the ongoing management of any Workers' Compensation claims pending, filed, during the time CITY personnel are employed by the FIRE DISTRICT by providing such information as is necessary for the CITY and/or the FIRE DISTRICT to appropriately manage a Workers' Compensation claim filed by a -29- AGENDA APPROVED ITEM 08/06/19, SD 1 FIRE DISTRICT employee previously employed by the CITY. The CITY shall notify the FIRE 2 DISTRICT of any claims pending, filed, or denied; and any temporary or permanent work 3 restrictions imposed with respect to an employee who transfers from CITY employment to 4 FIRE DISTRICT employment. The FIRE DISTRICT shall notify the CITY of any claims 5 pending, filed, or denied; and any temporary or permanent work restrictions imposed with 6 respect to an employee who has a pending Workers' Compensation claim involving the CITY 7 or who asserts a Workers' Compensation claim during employment with the FIRE DISTRICT 8 upon which the CITY is potentially liable in whole or in part. The CITY shall be responsible for 9 adjusting and paying all costs related to those claims which have been filed or are pending as 10 of the effective date of this Agreement. This responsibility of the CITY is subject to contribution 1 1 from the FIRE DISTRICT for any post -transfer injury or exacerbation of an existing injury 12 already at issue in a pending Workers' Compensation claim involving the CITY at the time of 13 transfer. Pursuant to Subsection C, Paragraph S, the CITY shall provide Workers' 14 Compensation related files on all employees transferring to the FIRE DISTRICT. 15 (12) Health Insurance — The CITY shall continue to provide the existing coverage of 16 paid medical and dental insurance for all employees transferring to the FIRE DISTRICT for one 17 (1) full calendar month after the commencement date of services or, for those employees on 18 medical leave with the CITY on the commencement date of services, for at least one (1) full 19 calendar month after the effective date of their blanketing into the FIRE DISTRICT. The FIRE 20 DISTRICT shall reimburse the CITY as specified in Section III, Subsection (0). 21 (13) Deferred Compensation Plans - Pursuant to Section 6.02.040 of the Los 22 Angeles County Code, CITY employees transferring to the FIRE DISTRICT shall be eligible for 23 immediate participation in the COUNTY employees' deferred compensation plans for which 24 they may be eligible depending upon their transferred rank, unless such immediate eligibility is 25 otherwise prohibited by Federal or California statute or regulation. 26 (14) Marriage and Birth Certificates — For purposes of completing the background 27 investigations pursuant to Section VII, Subsection (C), paragraph (1) herein and for verification 28 of eligibility of health insurance coverage, prior to the commencement date of services as -30- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 determined by the FIRE DISTRICT, all transferring CITY employees will be required to provide copies of their marriage certificates and the birth certificates for themselves and all dependents I who will be covered under their health insurance benefits. (15) FIRE DISTRICT Employees' Rights - The employment rights of existing FIRE DISTRICT employees shall not be impaired by this Agreement. SECTION Vill. ENVIRONMENTAL QUALITY CONTROL (A) The FIRE DISTRICT shall be responsible to comply with the provisions of the California Environmental Quality Act of 1970 (CEQA), insofar as the same may apply to annexation proceedings required in annexing the CITY to the FIRE DISTRICT. The FIRE DISTRICT agrees to hold the CITY free and harmless from any and all claims, demands, or judgments arising out of the FIRE DISTRICT's failure to comply with the provisions of CEQA, relative to annexation procedures. (B) Prior to the commencement date of services, the CITY shall have a Cal -OSHA Registered Environmental Assessor perform a Phase I Site Assessment and Building Asbestos Survey and, if subsequently required, a Phase II Site Assessment on all CITY Fire Station facilities to be occupied by the FIRE DISTRICT pursuant to Schedule 3 attached hereto. All Site Assessments and related reports shall be reviewed, approved, and accepted by the FIRE DISTRICT. (C) The CITY shall, at its sole expense, mitigate and abate all environmental hazards (if any) at the CITY Fire Station sites prior to the commencement date of services and provide evidence to the satisfaction of the FIRE DISTRICT that all recommended measures have been completed and that all applicable laws and requirements have been complied with. Any residual contamination or environmental damage from conditions on or adjacent to CITY Fire Stations which existed before the commencement date of services but which are discovered after the commencement date of services, shall be the responsibility of the CITY. (D) The FIRE DISTRICT shall, at its sole expense, mitigate and abate all environmental damage (if any) caused by the FIRE DISTRICT or its agents at any of the CITY Fire Stations after the commencement date of services. -31- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (E) Prior to occupancy of the CITY Fire Stations by the FIRE DISTRICT, the FIRE DISTRICT shall inspect the facilities and identify all hazardous materials stored at the facilities for which the CITY shall be responsible for removal. The CITY shall remove all identified hazardous materials prior to FIRE DISTRICT occupancy of the CITY Fire Stations. If, after FIRE DISTRICT occupancy of the CITY Fire Stations, stored hazardous materials are discovered by the FIRE DISTRICT which were not previously identified during the above inspection, the CITY shall remove said materials within thirty (30) days after written notice by the FIRE DISTRICT to the CITY, or the FIRE DISTRICT may remove the materials and invoice the CITY for the costs of such removal. In the event such hazardous materials pose an immediate danger to human health or the environment as determined by the FIRE DISTRICT, such materials shall be removed immediately by the CITY upon notification by the FIRE DISTRICT to the CITY. SECTION IX. HAZARDOUS MATERIALS RELEASE RESPONSE PLAN AND INVENTORY (A) CITY will continue to act as the administering agency for the CITY's Hazardous Materials Release Response Plan and Inventory, California Health and Safety Code Chapter 6.95, Sections 25500 — 25545, hereinafter referred to as the "Program" during the term of this Agreement. (B) The CITY shall retain all fees collected in the administration of the Program as provided by State law. (C) When the FIRE DISTRICT's Health/Hazardous Materials Emergency Response Teams respond to a hazardous materials incident in the CITY, the FIRE DISTRICT will subsequently invoice the CITY on an as -call basis for the costs associated with the response team unit(s) responded. Payments by the CITY of invoices for all such hazardous materials emergency incident response team responses shall be made pursuant to the provisions of Section III herein. SECTION X. ADOPTION OF LOS ANGELES COUNTY FIRE CODE Pursuant to Los Angeles County Fire Code - Title 32, Sections 10000.1 and 10000.2, 32- AGENDA APPROVED ITEM 08/06/19, SD 1 and California Health and Safety Code Section 13869, as may be subsequently amended, 2 upon annexation of the CITY to the FIRE DISTRICT, the County of Los Angeles Fire Code - 3 Title 32, including any subsequent amendments to such code, shall be enforced in the CITY by 4 the FIRE DISTRICT. By ordinance, the CITY shall adopt the County of Los Angeles Fire Code 5 — Title 32 as of the commencement date of services. This ordinance will adopt all existing 6 CITY amendments to the County of Los Angeles Fire Code — Title 32 as a separate 7 attachment. The FIRE DISTRICT will enforce applicable amendments specific to the CITY. 8 Where differences occur between the Los Angeles County Fire Code — Title 32 and the 9 amendments adopted by the CITY, the CITY amendments will take precedence unless an 10 impracticality of enforcement is determined by the FIRE DISTRICT in its sole discretion, in 1 1 which case the FIRE DISTRICT and the CITY shall work towards establishing a mutually 12 agreeable resolution. 13 SECTION XI. MODIFICATION OF SCHEDULES 14 (A) With the exception of Schedule 2, all schedules attached hereto and incorporated 15 herein by reference will be subject to modification by mutual agreement of the CITY 16 ADMINISTRATOR and FIRE CHIEF of the FIRE DISTRICT as needed after the date of 17 approval of this Agreement by both parties. 18 (B) The staffing levels as indicated on Schedule 2 may be subject to modification by 19 mutual written agreement of the CITY COUNCIL and FIRE CHIEF of the FIRE DISTRICT. Any 20 such modification of staffing levels may cause an adjustment in the determination of the 21 Annual Fee as specified in Section II, Subsection (L) herein. 22 /// 23 SECTION XII. WITHDRAWAL 24 (A) In the event the CITY terminates this Agreement and withdraws from the FIRE 25 DISTRICT at any time subsequent to the Initial Ten -Year Term, per the provisions of Section I, 26 herein, the FIRE DISTRICT and the CITY agree that: 27 (1) The lease on the fire stations shall terminate and the FIRE DISTRICT shall 28 vacate the CITY Fire Stations on the effective date of withdrawal except as provided for in a -33- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 2, 24 25 26 27 28 subsequent written agreement as may be entered into by the CITY and the FIRE DISTRICT. (2) The FIRE DISTRICT shall return to the CITY, fire apparatus, vehicles and related fire apparatus equipment of a comparable type, condition, and age, in the quantity and type as described on Schedule 5 as of the commencement date of services. (3) The FIRE DISTRICT shall return to the CITY Fire Station equipment, furniture, tools, and furnishings of a comparable type and condition as of the commencement date of services, which are essential to the operation of the fire station facilities and are detailed in Schedule 6. (4) As to any apparatus, vehicles, equipment, tools, furniture, furnishings, or other personal property for which a monetary or in -kind credit was given to the CITY upon the effective date of this Agreement, the FIRE DISTRICT will not be obligated in any manner to return comparable items to the CITY at the date of withdrawal of this Agreement. (B) In the event of the termination of the Agreement by either party as provided herein, the FIRE DISTRICT and the CITY agree to enter into separate and further agreements to address the specific details of termination not addressed in this Agreement. SECTION XIII . GOOD FAITH AND FAIR DEALING The FIRE DISTRICT and the CITY covenant and warrant to act in good faith and fair dealing regarding the performance, administration, and interpretation of this Agreement. SECTION XIV. GENERAL PROVISIONS (A) Severability — In the event that any provision herein contained is held to be invalid, void, or illegal by any court of competent jurisdiction, the same shall be deemed severable from the remainder of this Agreement and shall in no way affect, impair or invalidate any other provision contained herein. If any such provision shall be deemed invalid due to its scope or breadth, such provision shall be deemed valid to the extent of the scope or breadth permitted by law. (B) Waiver — No breach of any provision hereof can be waived unless in writing. Waiver of any one breach of any provision shall not be deemed to be a waiver of any breach of the same or any other provision hereof. -34- AGENDA APPROVED ITEM 08/06/19, SD 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (C) Entire Agreement — This Agreement constitutes the entire agreement between the parties relating to the subject matter of this Agreement, and supersedes any prior understanding whether oral or written and may be modified only by further written agreement between the parties hereto. The non -enforceability, invalidity or illegality of any provision of this Agreement shall not render the other provisions thereof unenforceable, invalid or illegal. -35- AGENDA APPROVED ITEM 08/06/19, SD 1 2 J 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 IN WITNESS WHEREOF, the CITY, by majority vote of its City Council, has caused this Agreement to be executed by its Mayor and which execution has been attested to by its Clerk; pursuant to action by a majority vote of the Board of Supervisors, as governing body of the FIRE DISTRICT, the Chair has executed this Agreement on behalf of the FIRE DISTRICT and which execution has been attested to by its Clerk. CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY to Chair, Board of Supervisors DATE ATTEST: CELIA ZAVALA Executive Officer -Clerk of The Board of Supervisors By Deputy APPROVED AS TO FORM: MARY C. WICKHAM County Counsel By Christina Angeles, Principal Deputy CITY OF VERNON By Melissa Ybarra, Mayor DATE ATTEST: By Deborah Harrington, Interim City Clerk APPROVED AS TO FORM: By Hema Patel, City Attorney -36- AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 1 COMMENCEMENT DATE OF SERVICES TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE F: VernnnSdmdu(r ! CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE2 OPERATION BY DISTRICT WITH ESTIMATED 2019-20 ANNUAL FEE Ooerations Staffin Estimated City Post 2019-20 Station Equipment Positions (a) Net City Cost 76 Engine 3 $2,489,916 Truck 4 2,489,916 (b) 77 Engine 4 $3,153,354 Paramedic Squad 2 803,582 (c) 78 Closed - 79 Closed - Fire Prevention Staffing: Fire Prevention Engineering Asst. II (Plan Check) 0.5 $74,186 Captain 0.33 91,203 Fire Fighter Specialist (Inspector) 2 468,010 Total Estimated Salary and Employee Benefits $9,570,167 Overhead @ 35.1003% 3,359,158 Estimated 2019-20 Annual Fee $12,929,325 (a) Three persons staff each post position through a 56-hour work week (A, B, C-Shift). Station operations include overtime required to maintain 24-hour constant staffing. (b) In recognition of the regional benefit to be derived by the truck company assigned in the City, the Fire District will share in the annual staffing cost of one firefighter post position. (c) In recognition of the regional benefit to be derived by the paramedic squad assigned in the City, the Fire District will share fifty percent (50%) of the annual staffing costs of this unit. Agreed to and accepted by the undersigned representatives of the City and the Fire District who certify that they are duly authorized to agree to and accept this Schedule 2. APPROVED: DARYL L. OSBY FIRE CHIEF DATE CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE F: IVemon.Schedule 2 AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE3 FIRE STATIONS TO BE OCCUPIED BY DISTRICT Facility Name Vernon Fire Station 76 Vernon Fire Station 77 Vernon Fire Station 78 APPROVED: DARYL L. OSBY FIRE CHIEF DATE F1 Vemon:SCheJule 3 - Facilities Location 3375 Fruitland Avenue Vernon, Ca 4301 Santa Fe Avenue Vernon, Ca 2800 Soto Street Vernon, Ca CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 4 CONVERSION COSTS APPROVED: DARYL L. OSBY FIRE CHIEF DATE F. Nernon:Schedule 4 - Conversion Costs TO BE DETERMINED CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 5 VEHICLES, FIRE APPARATUS, AND RELATED EQUIPMENT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE FlVemon:Schedule 5 - Vehicles CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE6 FIRE STATION EQUIPMENT, FURNITURE, AND FURNISHINGS (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON- AGREEMENT FOR SERVICES SCHEDULE 7 SWORN PERSONNEL, RANKS, SALARIES - FOR ESTABLISHMENT OF DISTRICT SALARY TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE Auserslplanningll/ernonlSchedule 7 Personnel CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON- AGREEMENT FOR SERVICES SCHEDULE 8 SWORN PERSONNEL VACATION HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE F: Ve—: Schndde 8 CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 9 SWORN PERSONNEL HOLIDAY HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE R b'em—:Schedule 9 CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 10 SWORN PERSONNEL SICK HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE F. V—o-Schedule 10 CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 11 NON -SWORN PERSONNEL, RANKS AND SALARIES - FOR ESTABLISHMENT OF DISTRICT SALARY TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE AusersWianningl VernonlSchedule 11 Non•Sworn Pers. CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 12 NON -SWORN PERSONNEL - VACATION HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE Ausersiolanningl VemonlSchedule 12 Non -Sworn Vac CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 13 NON -SWORN PERSONNEL - HOLIDAY HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE AuserslplanningWernonlSchedule 13 Non -Sworn Sick CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 14 NON -SWORN PERSONNEL - SICK HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY FIRE CHIEF DATE CARLOS R. FANDINO, JR CITY ADMINISTRATOR DATE AGENDA APPROVED ITEM 08/06/19, SD CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 15 MEMORANDUM OF UNDERSTANDING TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE AusersolanninglVemonSchedule 15MOU DATE W \W N / Lnn nL I..L Q Z W Q r rn W O 00 0 E m U p� C] a ti m X o c � m ti U I9 QI C [9 T Q] [D _1 m h C 0 x x x U O oa ni aLi 'o > U O N U Q x x x x m c v Q E a s x x x x a o x x x x C � C a] S c X X X ?G Q a U T C U L ¢L] a� p p] _ Q] —O O1 L O O C _ � u L— LrD 'x L O u_ LL N Ll Q C O C p 4] L C L C L — ll O] O] C > > CO oLa l 6] 7 U CU U y U a J C3 y 0] Q] CU CU y m .0 G E C U C_ C f2] cu CU 72 y C C G] y is 'D 53 ED E cm LL C O C C ca C E y C m RESOLUTION NO . 2020-12 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND THE CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY FOR FIRE PROTECTION, PARAMEDIC AND INCIDENTAL SERVICES IN THE CITY OF VERNON AND REPEALING RESOLUTION NO. 2019-29 AND ALL RESOLUTIONS IN CONFLICT HEREWITH WHEREAS, the City of Vernon ("City") is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, effective January 22, 2018, the City entered into a services agreement with the Matrix Consulting Group ("Matrix") for the purpose of conducting a Vernon Fire Department Standards of Cover assessment; and WHEREAS, the Matrix study was comprehensive and accounted for all key factors, including the industrial composition of the City, the Class 1 Fire Department rating, minimum staffing levels, call volume, effective response, city size, and the existing number of fire stations and equipment; and WHEREAS, in addition to the Matrix study, the City analyzed a variety of options for cost-effective provision of fire service, and right-sizing the City' s fire service model continued to be the ultimate goal; and WHERAS, on September 19, 2018, the City Council authorized the City Administrator to enter into negotiations with Los Angeles County for the provision of fire protection and related services to the City; and WHEREAS, on August 6, 2019, the City Council adopted Resolution No. 2019-29 approving and authorizing the execution of an agreement with the Consolidated Fire Protection District of Los Angeles County ("LA County") , setting forth the terms and conditions under which the LA County will provide fire protection, paramedic and incidental services in the City. As the City was undergoing negotiations, the agreement was never executed; and WHEREAS, by memorandum dated May 19, 2020, the City Administrator has concluded negotiations on terms and conditions with LA County and has recommended the approval of an Agreement the LA County, in substantially the same form as the copy attached hereto as Exhibit A, with Schedules 1-13 to be finalized or complete on or about the commencement date of service; and WHEREAS, the City Council of the City of Vernon desires to approve the Agreement with LA County, in substantially the same form as the copy attached hereto as Exhibit A, with Schedules 1-13 to be finalized or completed on or about the commencement date of service. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1 : The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct . SECTION 2 : The City Council of the City of Vernon finds that this action is exempt from California Environmental Quality Act ("CEQA") review, because it is an administrative action that will not result in direct or indirect physical changes in the environment and, therefore, does not constitute a "project" as defined by CEQA Guidelines section 15378 . SECTION 3 : The City Council of the City of Vernon hereby - 2 - approves the Agreement with the Consolidated Fire Protection District of Los Angeles County, in substantially the same form as the copy attached hereto as Exhibit A. SECTION 4 : The City Council of the City of Vernon hereby authorizes the Mayor or Mayor Pro-Tem to execute said Agreement for, and on behalf of, the City of Vernon and the City Clerk is hereby authorized to attest thereto. SECTION 5: The City Council of the City of Vernon hereby instructs the City Administrator, or his designee, to take whatever actions are deemed necessary or desirable for the purpose of implementing and carrying out the purposes of this Resolution and the transactions herein approved or authorized, including but not limited to, any non-substantive changes to the Agreement attached herein. SECTION 6: The City Council of the City of Vernon hereby directs the City Clerk, or the City Clerk' s designee, to send a fully execute agreement to the LA County. SECTION 7 : All resolutions or parts of resolutions, specifically Resolution No. 2019-29, not consistent with or in conflict with this resolution are hereby repealed. / / / / / / / / / / / / / / / / / / / / / / / / / / / - 3 - SECTION 8 : The City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, of the City of Vernon shall cause this resolution and the City Clerk' s certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 19th day of May, 2020 . 6// Name: '('' 40L Title: Mayor / =4a " T ATTEST: yi Lisa Pope, Ci Clerk APPR ED AS 71_ Ar ld M. A arez-Glasman, Interim City Attorney - 4 - STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) I, Lisa Pope, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2020-12, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, May 19, 2019, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. 114 Executed this 20 day of May, 2020, at Vernon, California. c Lisa Pope, Ci y Clerk (SEAL) - 5 - EXHIBIT A 1 AGREEMENT FOR SERVICES BY AND BETWEEN THE 2 CONSOLIDATED FIRE PROTECTION DISTRICT OF LOS ANGELES COUNTY 3 AND THE CITY OF VERNON 4 THIS AGREEMENT is made and entered into this day of , , by 5 and between the Consolidated Fire Protection District of Los Angeles County, hereinafter 6 referred to as the "FIRE DISTRICT," and the City of Vernon, hereinafter referred to as the 7 "CITY." 8 WITNESSETH 9 WHEREAS, the CITY has decided to contract with the FIRE DISTRICT for fire 10 protection, hazardous materials, emergency medical, and all related services as authorized by 11 California Government Code Section 54981 ,. and the FIRE DISTRICT is authorized to provide 12 such services pursuant to California Health and Safety Code Section 13800, et. seq; 13 WHEREAS, it is the desire of the CITY to receive regional fire protection services from 14 the FIRE DISTRICT due to the benefits afforded by regional service delivery; and 15 WHEREAS, it is the desire of the parties hereto to address, by this Agreement, all 16 matters which are related to a contract for services to be provided to the CITY by the FIRE 17 DISTRICT. 18 SECTION I. AGREEMENT EFFECTIVE DATE AND TERM 19 (A) The effective date of this Agreement shall be the date of approval by the FIRE 20 DISTRICT, which is , and this Agreement shall continue in 21 effect until such time as this Agreement is terminated or otherwise renegotiated. 22 (B) The provision of services by the FIRE DISTRICT to the CITY shall commence on 23 the date stated in Schedule 1 established by the FIRE CHIEF of the FIRE DISTRICT, 24 hereinafter referred to as "commencement date of services". 25 (C) The date of annexation of the CITY to the FIRE DISTRICT shall be the date of 26 recordation of annexation documents which shall be on or near the commencement date of 27 services. 28 (D) This Agreement shall remain in effect for a minimum of ten (10) years from the -1- 1 commencement date of services ("Initial Ten-Year Term"). Subsequent to this Initial Ten-Year 2 Term, this Agreement shall be automatically renewed for one-year periods. Either party may 3 terminate this Agreement any time after the expiration of the Initial Ten-Year Term upon one 4 year's written notice as provided in Subsection (E) of this Section I, subject to the terms and 5 conditions of this Agreement. 6 (E) Subsequent to the ninth (9) year of the Initial Ten-Year Term, the FIRE DISTRICT 7 or the CITY may terminate this Agreement by giving at least one year's written notice to the 8 other for termination of this Agreement and the CITY's detachment from the FIRE DISTRICT in 9 accordance with this Section I. Notice shall be sent to the addresses listed in Section III, 10 Subsection (I), herein, or as subsequently changed by either party in writing. 11 (F) Should either party give written notice of its intent to terminate this Agreement, that 12 party shall initiate detachment proceedings through the Los Angeles County Local Agency 13 Formation Commission (LAFCO). The party who terminates this Agreement, including any 14 subsequent amendments, shall bear the cost of all fees associated with detachment of the 15 CITY from the FIRE DISTRICT, unless CITY becomes delinquent or defaults in its Annual Fee 16 payment to the FIRE DISTRICT for FIRE DISTRICT services pursuant to Section III, 17 Subsection (0), in which instance CITY shall bear the costs. Such fees shall be defined as 18 LAFCO fees, the State Board of Equalization fees, and any similar fees of this nature but shall 19 not include any Board of Supervisors' or any CITY administrative fees or attorneys' fees. 20 (G) A review of the Agreement terms may be initiated at any time by either party, upon 21 five (5) days written notice to the other. Any modifications made to this Agreement shall be 22 upon written consent of both parties by the Fire Chief of the FIRE DISTRICT and the City 23 Administrator of the CITY. The parties agree to negotiate in good faith and deal fairly with 24 respect to performance under this Agreement and with respect to any proposed modifications 25 to this Agreement. 26 SECTION II. SERVICES 27 (A) Services to be provided by the FIRE DISTRICT to the CITY shall include fire 28 protection, hazardous materials services, emergency medical services which include -2- 1 paramedic services, fire code and related code enforcement, fire cause and arson 2 investigation, plus all FIRE DISTRICT support services including, but not limited to, 3 supervision, dispatching, training, equipment maintenance, supplies, and procurement, 4 collectively referred to as "Services." The CITY will not be charged for on-duty personnel 5 reassigned from fire stations outside of the CITY to staff events in the CITY. The FIRE 6 DISTRICT's cost for Fire Safety Officers (FSOs) or augmented staffing assigned to special 7 events held in the CITY will be charged to the CITY for CITY-sponsored events or to non-CITY 8 entities, whichever is the appropriate organization, as the cost for such augmented services is 9 not included in the CITY's Annual Fee. 10 (B) The power and authority relating to the provision of Services, the standards of 11 performance, the discipline of personnel, and other matters related to the performance of such 12 Services and control of personnel so employed by the FIRE DISTRICT shall be within the sole 13 discretion of the FIRE DISTRICT. 14 (C) The engine companies assigned to the CITY Fire Stations as listed on Schedule 3 15 attached hereto shall carry automatic external defibrillators, and all firefighting personnel shall 16 be certified as Emergency Medical Technician-1. The minimum daily staffing level in the CITY 17 as indicated on Schedule 2 herein is as follows: one engine company staffed with four 18 personnel (one fire captain, one fire fighter specialist, and two fire fighters); one engine 19 company staffed with three personnel (one fire captain, one fire fighter specialist, and one fire 20 fighter); one truck company staffed with four personnel, (one fire captain, one fire fighter 21 specialist and two fire fighters); and one paramedic squad staffed with two fire fighter 22 paramedics, for a total operations staffing of thirteen uniformed personnel on duty daily in the 23 CITY. This staffing level may be modified by mutual written agreement of the Fire Chief of the 24 FIRE DISTRICT and City Administrator of the CITY pursuant to Section XI. 25 (D) All code enforcement, plan check approval, and other fire prevention activities shall 26 be in accordance with the County of Los Angeles Fire Code and FIRE DISTRICT ordinances, 27 regulations, standards, policies and procedures, except as may be amended pursuant to 28 Section X herein. -3- 1 (E) Transportation of a patient to a hospital in a medical emergency is not provided by 2 the FIRE DISTRICT. Emergency medical transportation is provided under a County of 3 Los Angeles contractual arrangement with a private ambulance company licensed to operate 4 within Los Angeles County. If the CITY opts to continue to provide medical transportation in 5 the CITY during the term of this Agreement, the CITY and FIRE DISTRICT will enter into a 6 Memorandum of Understanding which will outline the CITY's responsibilities in the 7 administration of its ambulance program, including the location of the housing of the 8 ambulance program's personnel and equipment. 9 (F) The FIRE DISTRICT will participate in and support community emergency 10 preparedness. education. training. and exercises at the reasonable request of and at no 11 additional cost to the CITY. The CITY shall retain responsibility for the CITY's internal 12 emergency management and related programs. 13 (G) Without cost to the FIRE DISTRICT, the CITY shall, within the legal boundaries of 14 the CITY, retain responsibility for providing a water system including fire hydrants capable of 15 supplying adequate water fire flow to the FIRE DISTRICT. The CITY shall ensure that the 16 CITY's water purveyors provide adequate water and hydrants for fire protection purposes 17 within the CITY without cost to the FIRE DISTRICT. 18 (H) The FIRE DISTRICT shall annually inspect all fire hydrants within the CITY to 19 ensure that fire hydrants are mechanically operable and capable of delivering water. The FIRE 20 DISTRICT shall notify the CITY's water purveyors, in writing, of any maintenance requirements 21 as soon as possible after such inspections and at any other times the FIRE DISTRICT 22 becomes aware of maintenance or repair requirements. The FIRE DISTRICT shall not be 23 liable to pay any CITY water purveyor for hydrant installation, use, repair, maintenance, or 24 rental fees or any other related costs or expenses except if damage results from the FIRE 25 DISTRICT'S negligent use of said fire hydrants. 26 (I) The transference of applicable 9-1-1 calls to the FIRE DISTRICT shall be done 27 immediately upon receipt by the CITY's Public Safety Answering Point (PSAP) and shall be 28 performed without cost to the FIRE DISTRICT. The CITY shall be responsible for all costs -4- 1 associated with connecting ring-down circuits from its PSAP to the FIRE DISTRICT's circuit. 2 (J) The FIRE DISTRICT shall provide to the CITY quarterly and annual statistical 3 response information reports. The criteria utilized in the preparation of such reports shall be 4 determined by the CITY ADMINISTRATOR and the FIRE DISTRICT's jurisdictional Assistant 5 Fire Chief. 6 (K) Nothing in this Agreement shall preclude the future expansion or relocation of the 7 CITY'S Fire Stations referenced on Schedule 3 herein if such action is mutually agreed upon in 8 writing by both the CITY and the FIRE DISTRICT's Fire Chief. 9 (L) Any agreed-upon adjustments in staffing pursuant to Section XI, Subsection (B) 10 herein may cause adjustments in the determination of the Annual Fee, as specified in 11 Schedule 2 attached hereto and made a part hereof. 12 SECTION III. ANNUAL FEE FOR SERVICES 13 (A) The CITY shall pay an Annual Fee for FIRE DISTRICT Services, hereinafter 14 referred to as "Annual Fee." As provided for in the California Health and Safety Code Section 15 13878, the FIRE DISTRICT shall be paid monthly, in advance, from funds of the CITY for the 16 performance of the services referred to in Section II, hereof. The Annual Fee shall be 17 determined by the method specified in Schedule 2, attached hereto and made a part hereof. 18 The CITY shall pay the FIRE DISTRICT one-twelfth (1/12) of the estimated or actual Annual 19 Fee monthly, in advance, on or before the first day of each month. The one-year period for 20 payment of the Annual Fee is defined as July 1 through June 30, herein referred to as "Fiscal 21 Year." 22 (B) At least ninety (90) days prior to the commencement of each Fiscal Year, the FIRE 23 DISTRICT shall submit a preliminary estimate of the Annual Fee ("Preliminary Annual Fee") for 24 providing Services to the CITY for the ensuing fiscal year. The Preliminary Annual Fee shall 25 include estimated costs of FIRE DISTRICT salary and employee benefits and overhead, and 26 shall be used for billing purposes until actual cost information is available. 27 (C) As soon as actual cost information is available, the FIRE DISTRICT shall provide 28 the CITY a statement of the actual Annual Fee for providing Services during the current fiscal -5- 1 year. If the Annual Fee is less than the Preliminary Annual Fee. the FIRE DISTRICT shall 2 credit the CITY for the difference, which amount shall be deducted from the first monthly 3 invoice and, if applicable. the following monthly invoices subsequent to the statement of the 4 Annual Fee. If the Annual Fee is greater than the Preliminary Annual Fee, the additional 5 amount due the FIRE DISTRICT will be paid by the CITY during the subsequent fiscal year as 6 follows: One-twelfth (1/12) of such additional Annual Fee amount due to the FIRE DISTRICT 7 shall be added and paid in each of the CITY's subsequent twelve (12) monthly payments. 8 (D) A limitation shall be placed on increases in the amount of Annual Fee to be paid by 9 the CITY each year, hereinafter referred to as "Annual Fee Limitation." For purposes of 10 calculation of the Annual Fee Limitation, the Annual Fee shall not include any conversion 11 costs, credits, or rebates of any kind. The Annual Fee Limitation shall be subject to annual 12 changes after the initial five-year period of this Agreement commencing with the 13 commencement date of services (`Initial Five-Year Period") as described below. During the 14 Initial Five-Year Period, the Annual Fee Limitation shall not exceed four percent (4%) per 15 Fiscal Year. At the conclusion of the Initial Five-Year Period, the FIRE DISTRICT will meet 16 with the CITY to discuss cost trends and increases that will impact the CITY's Annual Fee. 17 During the sixth year of this Agreement, the Annual Fee Limitation shall be the average of the 18 immediately preceding four years' percentage increases in the Annual Fee plus one percent 19 (1%). During the seventh year of this Agreement and each subsequent Fiscal Year, the 20 Annual Fee Limitation shall be the average of the immediately preceding five years' 21 percentage increases in the Annual Fee plus one percent (1%). 22 (E) In any year where the CITY's Annual Fee, as specified in Section III, Subsection (C) 23 hereinabove, exceeds the preceding Fiscal Year's Annual Fee plus the applicable Annual Fee 24 Limitation, hereinafter referred to as "Annual Fee Limitation Excess," payment of the Annual 25 Fee Limitation Excess shall be deferred to a subsequent future Fiscal Year(s) where the 26 increase in the Annual Fee for that Fiscal Year over the preceding Fiscal Year is less than the 27 Annual Fee Limitation. The Annual Fee Limitation Excess will be paid by the CITY in any 28 subsequent Fiscal Year(s) to the extent the Annual Fee increase in that Fiscal Year is less -6- 1 than the Annual Fee Limitation for that Fiscal Year. One-twelfth (1/12) of such Annual Fee 2 Limitation Excess shall be added and paid in each of the CITY's twelve (12) monthly payments 3 for the subsequent Fiscal Year(s). 4 In the event the CITY detaches from the FIRE DISTRICT, any unpaid Annual Fee 5 Limitation Excess together with any outstanding Annual Fee payments due by the CITY as of 6 the effective date of detachment shall be due and payable to the FIRE DISTRICT no later than 7 the effective date of detachment. Should a credit be due the CITY from the FIRE DISTRICT, a 8 refund shall be paid to the CITY no later than the effective date of detachment. 9 (F) In addition to the Annual Fee, conversion costs as specified in Schedule 4 attached 10 hereto and made a part hereof shall be charged to the CITY and shall be paid to the FIRE 11 DISTRICT by the CITY in thirty-six (36) equal monthly payments. This amount shall be added 12 to each monthly invoice for the Annual Fee commencing with the first month's Annual Fee 13 invoice. Upon the final determination of the actual conversion costs as approved by the CITY 14 ADMINISTRATOR and the FIRE CHIEF of the FIRE DISTRICT, the CITY's conversion cost 15 balance will be adjusted as will all subsequent monthly invoices for the Annual Fee to reflect 16 the actual conversion costs. 17 (G) The CITY shall pay all annexation processing fees by check directly to and upon 18 request by the FIRE DISTRICT. Such fees are anticipated to be: 19 State of California Board of Equalization $ 500.00 20 County of Los Angeles Local Agency 21 Formation Commission $ 8,500.00 22 (H) Fire protection, hazardous materials, emergency medical, and all related services 23 as set forth in Section II, herein, shall not be performed by the FIRE DISTRICT hereunder 24 unless the CITY shall: 25 1. Have available funds previously appropriated to cover the Annual Fee; and 26 2. Have paid in advance, when due to the FIRE DISTRICT, the monthly 27 payments or the Annual Fee from the previously appropriated funds. 28 (I) The FIRE DISTRICT shall invoice the CITY at least thirty (30) days in advance of any -7- 1 scheduled monthly payment. Payment of all invoices under this Agreement shall be due and 2 payable thirty (30) days from the date of invoice (hereinafter referred to as "due date"). 3 Invoices and general notices shall be sent to the CITY at: 4 City of Vernon 4305 Santa Fe Avenue 5 Vernon, CA 90058 6 Attention: Carlos Fandino, City Administrator 7 Payments shall be sent to the FIRE DISTRICT at: 8 Los Angeles County Fire Department P. O. Box 54740 9 Los Angeles, CA 90054-0740 10 General notices shall be sent to the FIRE DISTRICT at: 11 Fire Chief Daryl L. Osby 12 Los Angeles County Fire Department 1320 North Eastern Avenue 13 Los Angeles, CA 90063-3294 14 Either party shall notify the other, in writing, of an address change. 15 (J) If the commencement date of services is in the middle of any month, the pro rata 16 share for that month and full payment for the following month shall be paid in advance. The 17 pro rata monthly share shall be calculated as follows: 18 Divide the Annual Fee by 365 days (daily rate) and multiply 19 the daily rate by the number of days remaining in the month 20 as of the commencement date of services. 21 (K) Interest shall be added to any payment invoiced by the FIRE DISTRICT and that is 22 received by the FIRE DISTRICT more than fifteen (15) calendar days after the due date (late 23 payment). The interest rate on any late payment shall be established as the prevailing prime 24 lending rate for Bank of America, or any successor financial institution, as of the first day 25 payment is late. The period for computing this interest shall commence the day following the 26 payment due date and end the date of receipt of payment by the FIRE DISTRICT. 27 The interest payment shall be computed as follows: 28 // -8- 1 No. of Days Late X Prime Lending Rate X $ Amount of = Late Payment Interest Charge 2 365 Days Payment 3 (L) The Annual Fee in this Agreement is based upon current CITY boundaries and 4 service requirements. During the term of this Agreement, should the CITY annex any area 5 from which the FIRE DISTRICT does not receive property taxes (such as from a non-FIRE 6 DISTRICT-served city), staffing levels shall be adjusted to adequately serve the annexed area 7 and the CITY's Annual Fee shall be adjusted accordingly as determined by the FIRE 8 DISTRICT and reviewed by the CITY. 9 (M) All revenues generated from fees established or implemented by the FIRE 10 DISTRICT shall be FIRE DISTRICT revenues with the exception of 1) any applicable 11 paramedic on-board/advanced life support (ALS) fees which will be passed through to the 12 CITY by the FIRE DISTRICT via credits on the CITY's monthly invoices or 2) any applicable 13 fire prevention fees related to Fire Prevention staffing allocated to the CITY which will be 14 passed through as an annual credit to the CITY by the FIRE DISTRICT via a credit on the 15 CITY's Annual Fee (minus a five percent administrative charge retained by the FIRE 16 DISTRICT). Any revenue generated by fees that the CITY charges as the administering 17 agency for the CITY's Hazardous Materials Release Response Plan and Inventory program 18 and through a CITY-operated emergency medical transportation program in arrangement with 19 a private ambulance firm would remain CITY revenues. Fees of any nature collected by CITY 20 on behalf of the FIRE DISTRICT shall be passed-through to the FIRE DISTRICT by the CITY 21 as FIRE DISTRICT revenues. The CITY shall be authorized to retain a five percent (5%) 22 administrative charge for any fees collected by the CITY on behalf of the FIRE DISTRICT. Any 23 fees charged and collected by the CITY subsequent to the commencement date of services 24 shall remain as revenues of the CITY provided that such fees are not identified as fees for 25 FIRE DISTRICT services. The FIRE DISTRICT shall be authorized to retain a five percent 26 (5%) administrative charge for any fees collected by the FIRE DISTRICT on behalf of the 27 CITY. Excluding any State, Federal, or judicially mandated programs or fees, any fees 28 established by the FIRE DISTRICT to be imposed in the CITY after the commencement date -9- 1 of services shall require the prior approval of the City Council. Neither the FIRE DISTRICT nor 2 the CITY shall be legally obligated to collect fees on behalf of the other party. 3 In the event that an incident occurs within the CITY while this Agreement is in effect 4 during which the FIRE DISTRICT may be required to deploy a substantial number of FIRE 5 DISTRICT apparatus and personnel to such incident as determined by the FIRE DISTRICT, to 6 the extent authorized by law, the FIRE DISTRICT reserves the right to pursue cost recovery 7 within its sole discretion against the party that caused the incident but not against the CITY. 8 Costs recovered by the FIRE DISTRICT for CITY-paid resources (as detailed in Schedule 2 9 herein) deployed on such an incident within the CITY, less the cost of the FIRE DISTRICT's 10 recovery efforts, shall be credited to the CITY. 11 In the event the CITY were to pursue cost recovery for FIRE DISTRICT resources 12 deployed to an incident within the CITY to which the FIRE DISTRICT deploys a substantial 13 number of apparatus and personnel, to the extent authorized by law, the CITY shall promptly 14 pay to the FIRE DISTRICT all such FIRE DISTRICT costs recovered by the CITY less the cost 15 of the CITY's recovery efforts. Costs for FIRE DISTRICT resources paid for by the CITY 16 through this Agreement as detailed on Schedule 2 herein and deployed to such an incident 17 shall not be recoverable by the FIRE DISTRICT from the CITY. Neither the FIRE DISTRICT 18 nor the CITY shall be legally obligated to seek cost recovery on behalf of the other party. 19 (N) In the event that a billing/payment dispute arises between the FIRE DISTRICT and 20 the CITY, the parties will negotiate in good faith to resolve the dispute and the following 21 procedures will be taken to resolve the dispute: 22 (1) The dispute will be specified, in writing, and presented to the FIRE DISTRICT's 23 Chief Deputy of Business Operations if a CITY dispute, or to the CITY ADMINISTRATOR if a 24 FIRE DISTRICT dispute, within thirty (30) days of the receipt of a disputed invoice or disputed 25 payment. The CITY shall pay in full any disputed invoice "under protest." 26 (2) The FIRE DISTRICT and the CITY shall meet and confer in good faith to 27 expeditiously resolve the dispute. If the FIRE DISTRICT and the CITY cannot fully resolve the 28 dispute within ninety (90) days of receipt of written notification of this dispute (impasse), the -io- 1 impasse will be sent to an independent arbitrator for resolution. Said arbitrator shall be 2 selected jointly by the CITY and the FIRE DISTRICT within forty-five (45) days of impasse and 3 shall be paid for equally by the CITY and the FIRE DISTRICT. If the FIRE DISTRICT and the 4 CITY cannot agree on an arbitrator, each party shall, at its own expense, retain an arbitrator 5 within thirty (30) days after the jointly selected arbitrator should have been selected. These 6 two arbitrators will, within thirty (30) days of their retention. mutually select a third arbitrator. 7 The mutually agreed-upon arbitrator will resolve the matter within thirty (30) days after his/her 8 selection. The FIRE DISTRICT and the CITY shall share equally the cost of the third 9 arbitrator. The arbitrator's resolution of the impasse shall be final and binding. 10 (3) If the FIRE DISTRICT prevails in arbitration, all money owed and not paid to 11 the FIRE DISTRICT will be forwarded to the mailing address identified in Section III, 12 Subsection (I), herein, within thirty (30) calendar days from the date of the issuance of the 13 arbitrator's decision. In addition, the CITY will be assessed and pay the interest payment 14 amount for a late payment as calculated in Section III, Subsection (K) of this Agreement. 15 (4) If the CITY prevails in arbitration and has paid the FIRE DISTRICT the 16 disputed amount, a refund to the CITY will be forwarded to the mailing address identified in 17 Section III, Subsection (I), herein, within thirty (30) calendar days from the date of the issuance 18 of the arbitrator's decision. In addition, the FIRE DISTRICT will pay to the CITY an interest 19 payment, as calculated for late payments in Section III, Subsection (K) of this Agreement. 20 (5) Each party is required to pay its own legal fees associated with such arbitration 21 and is not entitled to recovery of those fees from the other party. 22 (0) CITY understands and agrees that in the event the CITY becomes delinquent or 23 defaults in its Annual Fee payment to the FIRE DISTRICT for FIRE DISTRICT service, the 24 County Auditor-Controller is authorized, at the direction of FIRE DISTRICT, to withhold CITY's 25 unencumbered annual property tax revenue in an amount equal to the outstanding payment for 26 FIRE DISTRICT Service and credit the withheld amounts to the FIRE DISTRICT's revenue 27 account. FIRE DISTRICT shall comply with the procedures in County Fiscal Manual section 28 10.2.12, "Procedures for Collection of Accounts Receivable for Services Performed for Cities 1 and Special Districts" for collecting CITY's delinquent or defaulted Annual Fee payments. 2 Such withholding by the Auditor-Controller shall continue until such time as CITY resumes 3 payment to the FIRE DISTRICT directly and all delinquent or defaulted Annual Fee payments 4 have been recovered. 5 (P) The FIRE DISTRICT shall credit to the CITY's Annual Fee billing the cost expended 6 by the CITY to fulfill the requirements of Section VII, Subsection (C), paragraph (12), Health 7 Insurance, herein, in the invoice subsequent to the FIRE DISTRICT's receipt of cost 8 documentation. The CITY shall present documentation satisfactory to the FIRE DISTRICT of 9 the amount expended prior to credit being made. 10 (Q) Vacation and sick benefit days, as provided for in Section VII, Subsection (C), 11 paragraphs (6) and (7) herein and as detailed on Schedules 8, 9, 11, and 12 attached hereto 12 and made a part hereof, shall be charged to the CITY and shall be paid in thirty-six (36) equal 13 monthly payments which shall be a separate and distinct charge added to the monthly invoice 14 for the Annual Fee commencing with the first month's Annual Fee invoice or as soon as 15 practicable after the finalization of these Schedules. Such charges will be excluded from the 16 Annual Fee Limitation calculation. 17 SECTION IV. EQUIPMENT, FURNITURE, FURNISHINGS, AND EXPENDABLE 18 EQUIPMENT/FIRE APPARATUS AND EQUIPMENT 19 (A) On the commencement date of services, the CITY shall transfer to the FIRE 20 DISTRICT all fire apparatus, vehicles, fire equipment, and fire station furnishings, furniture, 21 equipment and expendable tools incidental to fire station operations, as inventoried and 22 identified by the FIRE DISTRICT in writing, and listed in Schedules 5 and 6 attached hereto. 23 Items not listed in Schedules 5 and 6, shall not be transferred to the FIRE DISTRICT and will 24 remain with the CITY. 25 (B) All right, title, and interest in said CITY apparatus and vehicles shall be conveyed to 26 FIRE DISTRICT free and clear of any encumbrances. The CITY shall be responsible for any 27 and all outstanding loans or liens against said apparatus and vehicles existing as of the date of 28 conveyance. All right, title and interest of any apparatus for which the CITY is currently leasing -12- I shall be conveyed to the FIRE DISTRICT free and clear of any encumbrances upon the 2 termination of the lease(s). If the CITY does not avail itself of the ability to purchase, and thus 3 does not retain ownership of, the vehicle(s) at the termination of the lease(s), the CITY shall be 4 responsible for the cost of new replacement apparatus to be placed in service in the CITY. 5 The replacement cost of the apparatus shall be added to the CITY's Annual Fee invoices to be 6 paid in twelve (12) equal monthly installments. 7 (C) All fire apparatus, vehicles. and related apparatus/vehicular equipment transferred 8 to the FIRE DISTRICT by the CITY shall be in good working order. The CITY shall pay for any 9 fire apparatus and vehicle repairs necessary due to deferred or deficient maintenance. Prior to 10 the commencement date of services, the FIRE DISTRICT shall inspect all such fire apparatus 11 and vehicles and identify any repairs required due to deferred or deficient maintenance. The 12 FIRE DISTRICT shall add the cost for such repairs to the conversion costs and modify 13 Schedule 4 accordingly. 14 SECTION V. FIRE STATIONS 15 (A) Upon the commencement date of services. CITY Fire Stations identified on 16 Schedule 3 attached hereto and made a part hereof shall be used and occupied by the FIRE 17 DISTRICT. In the event that during the term of this Agreement the CITY and FIRE DISTRICT 18 mutually agree to staff a new fire station facility, the staffing levels in Schedule 2 of this 19 Agreement will be updated as necessary and Schedule 3 will be updated accordingly. All 20 terms and conditions contained in this Agreement applicable to the lease and maintenance of 21 CITY fire stations shall apply to the new fire station. 22 (B) This Agreement constitutes a lease whereby the CITY shall lease to the FIRE 23 DISTRICT the CITY Fire Stations as identified on Schedule 3 herein for one dollar ($1) 24 annually per station. Fire Stations 76 and 77 shall be used for the purpose of providing fire 25 protection and emergency medical and related services as described herein. The FIRE 26 DISTRICT may also lease CITY Fire Station 78 for one dollar ($1) per year to accommodate 27 the FIRE DISTRICT's placement of an Urban Search and Rescue (USAR) or Hazardous 28 Materials (HazMat) team within the CITY by giving the City Administrator of CITY written -13- 1 confirmation of its intent to do so within a year from the effective date of this Agreement. All 2 costs incurred by the FIRE DISTRICT for any modifications and/or repairs to Fire Station 78 3 necessary for the purpose of accommodating the above uses shall be at the FIRE DISTRICT's 4 expense. The lease of Fire Station 78 may be terminated at the FIRE DISTRICT's sole 5 discretion with thirty (30) days' written notice. 6 (C) The CITY represents and warrants that it has performed all environmental cleanup 7 of hazardous materials at all CITY Fire Station sites identified on Schedule 3 as required by all 8 applicable Federal, State, and local laws as detailed in Section VIII, Subsection (C) herein. 9 The CITY represents and warrants that the CITY has, as federally mandated, at its own 10 expense, properly removed and replaced, if applicable, all underground fuel tanks and all other 11 environmental hazards from all CITY Fire Station sites identified on Schedule 3 in accordance 12 with all applicable Federal, State, and local requirements and standards. The FIRE DISTRICT 13 assumes no responsibility for any and all contamination or environmental damage, including 14 personal injury or property damage, or liability of any nature whatsoever arising from said fuel 15 tanks or their removal. The CITY shall indemnify, defend, and hold harmless the FIRE 16 DISTRICT from any claims, liabilities, damages, costs. or expenses of any nature whatsoever 17 related to any fuel tanks, hazardous materials and related ancillary equipment, located at the 18 CITY Fire Station sites prior to the commencement date of services under this Agreement. 19 (D) The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT for any 20 liability, cost, expense, claims, or damages arising from any contamination or environmental 21 damage, including personal injury or property damage of any kind whatsoever at or adjacent to 22 the CITY Fire Station sites in any way related to asbestos, if any, at any of the CITY Fire 23 Station sites. or in any way related to hazardous materials or dangerous conditions caused or 24 created or contributed to by the CITY prior to the commencement date of services at any of the 25 CITY Fire Station sites. 26 (E) The FIRE DISTRICT shall be responsible for utility payments related solely to the 27 FIRE DISTRICT's use of the CITY Fire Stations. In the event any of the CITY Fire Stations' 28 utility connections are shared jointly by others, an equitable formula to determine sharing of -14- 1 utility costs shall be set forth in a Memorandum of Understanding, included herein as Schedule 2 13, attached hereto and made a part hereof entered into by the CITY and the FIRE DISTRICT 3 and executed by the CITY ADMINISTRATOR and FIRE CHIEF of the FIRE DISTRICT, 4 respectively, prior to the commencement date of services or as soon as practicable thereafter. 5 (F) The FIRE DISTRICT shall inspect the CITY Fire Stations prior to acceptance and 6 occupancy. After the FIRE DISTRICT's acceptance of the CITY Fire Stations, the FIRE 7 DISTRICT shall be responsible for minor and routine station repairs as described in this 8 Section. 9 (1) The FIRE DISTRICT shall perform all routine, day-to-day maintenance, and 10 minor repairs (collectively referred to as "routine repairs") on the CITY Fire Stations leased 11 from the CITY identified on Schedule 3. The FIRE DISTRICT shall be responsible for routine 12 repairs not to exceed $60,000 for each of the CITY Fire Stations during the first year after the 13 commencement date of services of this Agreement (the FIRE DISTRICT's maximum share); 14 for the second through fifth years of this Agreement after the commencement date of services, 15 the FIRE DISTRICT's maximum share for routine repairs for each of the CITY Fire Stations 16 shall be as follows: 17 Year 2 $65,000 18 Year 3 $70,000 19 Year 4 $75,000 20 Year 5 $80,000 21 (2) The FIRE DISTRICT shall notify the CITY in writing if the total cost for routine 22 repairs for CITY Fire Stations in any one year is anticipated to exceed the FIRE DISTRICT's 23 maximum share for that year in accordance with Subsection (F) herein. If the FIRE DISTRICT 24 expends less than the FIRE DISTRICT's maximum share on the CITY Fire Stations in any 25 year, any amount less than the FIRE DISTRICT's maximum share for the CITY Fire Stations 26 shall not be carried forward from year to year. Routine repairs and minor remodeling shall 27 include but not be limited to the following: repair or replacement of apparatus room doors; 28 floor replacement; ceiling replacement; incidental plumbing and electrical repairs; heating and -15- 1 air conditioning repairs: exhaust fan replacement: and minor remodeling such as shower 2 refurbishment, installation of stainless steel countertops. and additional cabinets for offices 3 and/or lockers that do not exceed $100,000 per project. All routine repairs or portions thereof 4 in excess of the FIRE DISTRICT's maximum annual share for CITY Fire Stations shall be the 5 responsibility of the CITY. The FIRE DISTRICT may elect to replace or upgrade appliances or 6 furnishings at any of the CITY Fire Stations at its own expense. The CITY shall not be 7 responsible for any such upgrades or replacements, and such upgrades and replacements 8 shall not reduce the FIRE DISTRICT's maximum share provided above, unless the items being 9 replaced are no longer functioning or repairable at a reasonable cost as determined by the 10 FIRE DISTRICT, in which event such costs incurred by the FIRE DISTRICT shall reduce the 11 FIRE DISTRICT's maximum share. Any proposed modifications to the exterior of any of the 12 CITY's fire stations shall require advance written approval of the CITY ADMINISTRATOR. 13 (3) Any non-routine repairs. defined as repairs in excess of $100,000, hereinafter 14 shall be referred to as "major repairs" and shall be identified, in writing, by the FIRE DISTRICT 15 and presented to the CITY. Major repairs shall be undertaken by the CITY within twelve (12) 16 months of the FIRE DISTRICT's notification to the CITY, or other time period as mutually 17 agreed upon by the FIRE CHIEF of the FIRE DISTRICT and the CITY ADMINISTRATOR, 18 unless said major repair is deemed an emergency, hereinafter referred to as "emergency 19 major repair." In the event of a dispute regarding the existence of major repairs. the general 20 arbitration procedures stated in Section III, Subsection (N) shall be utilized. Emergency major 21 repairs shall be defined as conditions that if left unrepaired would compromise the health, 22 welfare, or security of the fire station inhabitants or the public, as reasonably determined by the 23 FIRE DISTRICT. The FIRE DISTRICT shall commence emergency major repairs immediately 24 and make reasonable effort to notify the CITY's designated emergency contact person. The 25 CITY shall provide the FIRE DISTRICT with the name and telephone number of a designated 26 contact person for such emergency major repairs, which may occur after-hours. The FIRE 27 DISTRICT will undertake the emergency major repairs and invoice the CITY for the costs of 28 such repairs. The CITY shall be invoiced for one-twelfth (1/12) of the cost of such repairs -16- 1 monthly for a period of twelve (12) months. All invoices for emergency major repairs 2 undertaken by the FIRE DISTRICT shall be due and payable thirty (30) days from the date of 3 invoice and shall be subject to the terms contained in Section III, Subsections (K) and (N) 4 herein. 5 (4) The FIRE CHIEF of the FIRE DISTRICT may authorize, with the written 6 approval of the CITY, improvements to any of the CITY Fire Stations for the FIRE DISTRICT's 7 benefit at no cost to the CITY. Such improvements shall not be subject to the FIRE K DISTRICT's maximum share provisions as contained herein, and FIRE DISTRICT's maximum 9 share shall not be reduced by the costs of any such improvements. 10 (G) Without limiting each party's indemnification of the other and during the term of this 11 Agreement, each party agrees to maintain the programs of insurance as set forth below. Each 12 party shall retain the option of satisfying its insurance obligations herein through use of a 13 program of commercial or self-insurance coverages, or any combination thereof. Each party's 14 insurance shall be primary to and not contributing with any insurance or self-insurance 15 programs maintained by the other. and shall be maintained at each party's own expense. 16 (1) The CITY shall maintain: General Liability insurance (written on ISO policy 17 form CG 00 01 or its equivalent) with limits of not less than $1 million per occurrence and $2 18 million aggregate; Workers Compensation insurance to meet statutory requirements, and 19 including Employers' Liability coverage with limits of not less than $1 million each; Professional 20 Liability covering liability arising from any error, omission, negligent or wrongful act of the CITY 21 with limits of not less than $1 million per occurrence and $2 million aggregate; and Property 22 Coverage providing Special form ("all-risk") coverage in an amount equivalent to the full 23 replacement value of the CITY Fire Stations and applying to CITY- owned and leased real 24 property. The CITY agrees to name the FIRE DISTRICT as an additional insured on its 25 insurance policies. 26 (2) The FIRE DISTRICT shall maintain: General Liability insurance (written on ISO 27 policy form CG 00 01 or its equivalent) with limits of not less than $1 million per occurrence 28 and $2 million aggregate; Automobile Liability insurance (written on ISO policy form CA 00 01 -17- 1 or its equivalent) with a limit of liability of not less than $1 million for each accident; Workers 2 Compensation insurance to meet statutory requirements, and including Employers' Liability 3 coverage with limits of not less than $1 million each incident; and Professional Liability 4 covering liability arising from any error, omission, negligent or wrongful act of the FIRE 5 DISTRICT with limits of not less than $1 million per occurrence and $2 million aggregate. The 6 FIRE DISTRICT agrees to name the CITY as an additional insured on its insurance policies. 7 (H) The FIRE DISTRICT shall not be liable for any damages to any of the CITY Fire 8 Stations which results from any seismic events, natural disasters, civil disturbances, or acts of 9 God. Should any such event occur that makes any of the CITY fire stations uninhabitable 10 and/or non-operational, the CITY shall immediately find temporary quarters for the FIRE 11 DISTRICT to operate out of until the CITY can repair the affected CITY fire station(s). 12 (I) The FIRE DISTRICT and the CITY, respectively, shall be fully responsible for any 13 repairs or any damages arising from the intentional or negligent acts of their respective 14 personnel. Disputes regarding implementation of this provision shall be resolved pursuant to 15 Section III; Subsection (N). 16 SECTION VI. INDEMNIFICATION 17 Except as specifically otherwise provided in this Agreement, neither party shall be liable 18 for the negligent or wrongful acts of the other in the performance of this Agreement. 19 (A) The CITY agrees to indemnify, defend, and hold harmless the FIRE DISTRICT and 20 the County of Los Angeles, hereinafter referred to as "COUNTY", their elected and appointed 21 officials, officers, agents, and employees from any and all liability and expenses, including 22 defense costs and legal fees, arising from or connected with claims and lawsuits arising from 23 the negligent or wrongful acts of the CITY in the performance of this Agreement including any 24 matters relating to the separation from CITY service by the CITY employees transferring to the 25 FIRE DISTRICT as specified on Schedules 7 and 10 herein. 26 (B) The FIRE DISTRICT agrees to indemnify, defend, and hold harmless the CITY, its 27 elected and appointed officials, agents, officers, and employees from any and all liability and 28 expenses, including defense costs and legal fees, arising from or connected with claims and -18- 1 lawsuits arising from the negligent or wrongful acts of the FIRE DISTRICT in the performance 2 of this Agreement. 3 SECTION VII. PERSONNEL 4 (A) SWORN EMPLOYEES 5 (1) Appointment - Subject to the provisions of the California Government Code, 6 Section 1031 and the Los Angeles County Code Section 6.02.040, the FIRE DISTRICT agrees 7 to appoint, without further civil service examination, those CITY firefighter series employees, 8 hereinafter referred to as "sworn employees," specified on Schedule 7, attached hereto and 9 made a part hereof, who have successfully completed six (6) months service with the CITY, 10 exclusive of temporary or reserve fire fighters. Sworn employees' service with the CITY must 11 include actual firefighting experience in a permanent fire fighter position. The date of hire that 12 establishes the sworn CITY employees' continuous service date in a safety capacity with the 13 CITY shall be utilized for purposes of the mandatory retirement age for transferring safety 14 employees. 15 (2) Probation - All CITY sworn employees on probation will remain on probation until 16 completing the FIRE DISTRICT probationary period and requirements. 17 (3) Positions - CITY sworn employees qualified pursuant to this Section VII are 18 fully identified on Schedule 7 attached hereto and are subject to the terms and conditions of 19 this Agreement. CITY sworn employees shall be employed by the FIRE DISTRICT in the 20 number and status as follows: 21 Number Fire District Status 22 9 Captain 23 12 Fire Fighter Specialist 24 Remaining Fire Fighter 25 The actual number of transferring CITY employees employed by the FIRE DISTRICT 26 as a Fire Fighter will be based on the number of transferring employees at the time of 27 transition to FIRE DISTRICT service. 28 The CITY shall designate sworn employees to be assigned to the Captain, Fire -19- 1 Fighter Specialist, and Fire Fighter positions indicated above. Any CITY designated employee 2 shall be eligible for the assigned position if the employee has held the position being 3 designated to or a higher position in the service of the CITY. A duly authorized representative 4 from the Vernon Firefighter's Association, Local 2312 (VFA) and the Vernon Fire Management 5 Association (VFMA) shall approve, in writing, the appointment of the personnel designated to 6 the ranks of Captain and Fire Fighter Specialist as listed on Schedule 7 attached. Once 7 approved by the VFA and VFMA, these designations shall become final and not subject to 8 change unless a CITY sworn employee designated on the list does not transfer to the FIRE 9 DISTRICT. The CITY shall indemnify, defend, and hold harmless the FIRE DISTRICT from 10 any claims, liabilities, damages, costs. or expenses of any nature whatsoever related to the 11 designation of transferring employees' ranks by the CITY. 12 (4) Firefighting Experience - CITY sworn employees to be assigned to the position of 13 Fire Captain shall have a minimum of five (5) years' firefighting experience. The CITY 14 represents and warrants that those employees assigned Fire Captain positions have a 15 minimum of five (5) years' firefighting experience. 16 (5) Driving Skills - All CITY sworn employees who are to be assigned fire apparatus 17 operation responsibilities as Fire Fighter Specialists will be tested and trained, as may be 18 required by the FIRE DISTRICT. Any CITY sworn employee who does not initially qualify in 19 fire apparatus operations prior to the commencement date of services will be assigned other 20 duties. After being provided training by the FIRE DISTRICT, transferring Fire Fighter 21 Specialists will be required to pass a fire apparatus operations test. Fire Fighter Specialists 22 who do not pass the fire apparatus operations test may be demoted at the sole discretion of 23 the FIRE DISTRICT. 24 (6) Driver License - As a condition of employment and as required in the County Class 25 Specification for the firefighter series, all CITY sworn employees will be required to have a 26 California Class C Driver License with firefighter endorsements as the minimum standard 27 driver license. No employee shall have license restrictions which would prevent him/her from 28 performing his/her employment duties. -20- 1 (7) EMT-1 Training - Sworn members of the FIRE DISTRICT are required to be 2 certified as Emergency Medical Technician I (EMT-1). The CITY certifies that all CITY sworn 3 employees transferring to the FIRE DISTRICT shall have current EMT-1 certification, current 4 continuing education (CE), and certified skills (CS) testing. Current CE shall be defined as the 5 equivalent of one (1) hour of CE for each month that has elapsed since the last recertification 6 date. Current CS shall be defined as twelve (12) skills tests during a 24-month skills cycle. 7 The CITY shall reimburse the FIRE DISTRICT for any costs incurred by the FIRE DISTRICT 8 as a result of non-compliance by any CITY employee of the requirements herein. In addition, 9 all transferring CITY paramedics who desire to transfer to the FIRE DISTRICT as a paramedic 10 must complete 24 hours a year, or 48 hours during their 2-year cycle of paramedic CE, 11 including skills testing, and the FIRE DISTRICT's re-activation class which consists of up to 12 three (3) days of classroom and five (5) or more shifts of internship (i.e. ride-alongs) on a FIRE 13 DISTRICT paramedic squad. Any transferring paramedic who does not successfully pass this 14 re-activation class and/or who has any pending action against them by the County's 15 Emergency Medical Services Authority, or the State's Local Emergency Medical Services 16 Agency would be ineligible to function as a paramedic with the FIRE DISTRICT. At the time of 17 transition to the FIRE DISTRICT, all transferring employees shall provide documentation 18 certifying that all CE and CS are up-to-date and completed. 19 (8) Seniority - This Agreement will result in the creation of forty-two (42) additional 20 FIRE DISTRICT sworn positions. More than forty-two (42) sworn employees may be 21 transferring from the CITY to the FIRE DISTRICT. Pursuant to Section 53292 of the California 22 Government Code and except as specified in Section VII. Subsection (C), paragraph (10) 23 herein, so as not to impair the seniority rights of FIRE DISTRICT sworn employees, as a result 24 of the forty-two (42) newly created sworn positions, forty-two (42) CITY sworn employees with 25 the most CITY Fire Department continuous service time will receive FIRE DISTRICT seniority 26 rights and COUNTY seniority. In the event any two or more transferring CITY employees have 27 the same continuous service date with the CITY Fire Department, the CITY shall use whatever 28 method currently utilized by the CITY to determine the manner in which the seniority for those -21- 1 affected employees shall be established. 2 FIRE DISTRICT seniority is principally used for transfer bidding rights and, for these 3 forty-two (42) positions, will be based on continuous service time in the firefighter series with 4 the CITY's Fire Department. COUNTY seniority, which as defined in Los Angeles County Civil 5 Service Rule 2.15 as "continuous service," is principally used for purposes of determining the 6 order of layoff or reduction. Also as defined in Section 6.04.040 of the Los Angeles County 7 Code, "continuous service" is principally used for purposes of determining rights to some types 8 of paid leave. For these forty-two (42) positions, continuous service will include all continuous 9 service time with the CITY, including any continuous non-permanent time. 10 The assigned FIRE DISTRICT and COUNTY seniority dates for any remaining 11 sworn employees will be the commencement date of services with the FIRE DISTRICT. They 12 will be placed on the FIRE DISTRICT seniority list and also assigned a COUNTY continuous 13 service date in order of their relative service time with the CITY. 14 All CITY and FIRE DISTRICT seniority will be considered for all purposes, except 15 for those individuals beyond the forty-two (42) additional sworn positions for which CITY 16 seniority shall not count for purposes of bidding rights, vacation schedules, and to determine 17 the order of layoff or reduction. 18 As those CITY sworn employees with full FIRE DISTRICT and COUNTY seniority 19 rights leave FIRE DISTRICT service, any remaining sworn employees will be assimilated into 20 full FIRE DISTRICT and COUNTY seniority status based on their time in service as sworn 21 CITY/FIRE DISTRICT employees, with the exception of those employees who fall under the 22 provision of Section VII, Subsection (C), paragraph (10) herein. 23 (9) Promotional Exams - All non-probationary transferring sworn employees shall be 24 immediately eligible for promotional examination within the FIRE DISTRICT. All time in rank 25 as a sworn CITY and/or FIRE DISTRICT employee shall be considered for purposes of 26 determining eligibility for promotional examination. 27 (10) Longevity Bonus - For purposes of determining eligibility for the FIRE 28 DISTRICT's Fire Fighter longevity bonus for those CITY employees blanketed into FIRE -22- 1 DISTRICT in the Fire Fighter classification, all continuous CITY service time in the Fire Fighter 2 or successive promotional classifications shall be deemed as fulfilling the required aggregate 3 service time for longevity bonus entitlement, except as provided in Section VII, Subsection (C), 4 paragraph (10) herein. 5 (11) Training Records — The CITY will provide the FIRE DISTRICT with complete 6 training records of all CITY sworn employees to be transferred to the FIRE DISTRICT pursuant 7 to this Agreement. 8 (B) NON-SWORN EMPLOYEES 9 (1) Appointment — The FIRE DISTRICT may agree to appoint without further civil 10 service examination non-Fire Fighter series employees, hereinafter referred to as "non-sworn 11 employees", who have successfully completed six (6) months continuous service with the CITY 12 and who shall be listed on Schedule 10, attached hereto and made a part hereof. All non- 13 sworn employees shall successfully complete a probationary period consistent with Los 14 Angeles County Civil Service Rules. 15 (2) Seniority - Since non-sworn positions are not being created as a result of this 16 annexation, the FIRE DISTRICT and COUNTY seniority date for all transferring non-sworn 17 CITY employees, which is primarily used for the purpose of determining the order of layoff or 18 reduction, shall be the commencement date of services. 19 (C) ALL EMPLOYEES 20 (1) Medical Exam & Background Investigation - Prior to the commencement date 21 of services, as a condition of the FIRE DISTRICT employment, each CITY employee must be 22 medically qualified by a FIRE DISTRICT-administered physical examination, which includes a 23 drug screening component, and must pass the FIRE DISTRICT's background investigation. 24 Any CITY employee who is on medical leave of absence on the commencement date of 25 services shall be blanketed into FIRE DISTRICT if he/she passes the required medical 26 examination and background investigation upon termination of medical leave. The FIRE 27 DISTRICT retains the right to not accept any CITY employee in its sole discretion upon 28 completion of the employee's medical exam and background investigation. In such case, the -23- 1 CITY employee's rights, obligations and status as a CITY employee shall be dictated by CITY 2 rules and regulations. 3 (2) Salary Step Placement - For the purpose of determining an employee's FIRE 4 DISTRICT salary step placement, "CITY salary" shall be defined as all monthly earnings that 5 are eligible towards CITY retirement credit, excluding any compensation for unused benefit 6 days or holidays, uniform allowances, and all overtime earnings. The employee's initial salary 7 step placement shall not be less than his/her CITY salary as defined in this Section VII, 8 Subsection (C). paragraph 2. 9 Paramedic bonuses shall be excluded from "CITY salary" for those employees who 10 transfer to the FIRE DISTRICT into a "Fire Fighter" position. Any transferring employees who 11 are assigned to "Fire Fighter Paramedic" positions will be entitled to receive the applicable 12 FIRE DISTRICT paramedic bonus. 13 Paramedic bonuses will be included in the "CITY salary" for those employees who 14 transfer to the FIRE DISTRICT into a "Fire Fighter Specialist" or "Captain" position pursuant to 15 this Section VII. Subsection (A), paragraph (3) and who are receiving a paramedic bonus in the 16 CITY at the time of transfer to the FIRE DISTRICT. In the event any employee transferring to 17 the FIRE DISTRICT into a "Fire Fighter Specialist" or "Captain" position is subsequently 18 assigned to a paramedic position in the FIRE DISTRICT, the employee's salary will be 19 recalculated to eliminate the amount of his CITY paramedic bonus and to include the 20 applicable FIRE DISTRICT paramedic bonus. All other bonuses, other than paramedic 21 bonuses, will be considered by the FIRE DISTRICT in its discretion for inclusion in the 22 determination of an employee's FIRE DISTRICT salary placement but is not guaranteed. The 23 ultimate decision regarding the inclusion of bonuses rests with the FIRE DISTRICT in its 24 discretion. 25 (a) Sworn Employees - Except as provided in Section VII, Subsection (C), paragraphs 26 (9) and (10), all continuous service time accrued as a sworn employee in the service of the 27 CITY shall be considered for the purpose of determining COUNTY employee benefits including 28 sick leave, vacation, step placement on the applicable COUNTY salary schedule, and the -24- 1 pensionability of their Flexible Benefits income. Salary step placement of sworn employees 2 shall be within the salary range of the FIRE DISTRICT position assigned, but no less than the 3 salary step that provides for the same salary or next higher salary as the sworn employee's 4 CITY salary as defined in this Section VII, Subsection (C), paragraph 2. Subsequent salary 5 step advances, if applicable, shall be one (1) year from the last step advance with the CITY or 6 in accordance with COUNTY policy, whichever is sooner. In the event that the sworn 7 employee's CITY salary is higher than the top step of the COUNTY salary range, the sworn 8 employee will be placed on the top step of that range. but shall be Y-Rated in order to maintain 9 the same level of base salary as the employee had with the CITY. 10 A sworn CITY employee's Y- Rate shall remain in effect until the regular salary 11 including any bonuses exceeds the Y-Rate amount. Y-Rated employees shall not be eligible 12 for bonuses in addition to their Y-Rated salary. Sworn employees who have accrued CITY 13 service time in a non-sworn position shall have such non-sworn service time considered for 14 purposes of determining COUNTY seniority date and benefits, but not salary step placement. 15 (b) Non-Sworn Employees - Except as provided in Section VII, Subsection (C), 16 paragraphs (9) and (10), all continuous service time accrued as a non-sworn employee in the 17 service of the CITY shall be considered for all purposes except for bidding rights for work and 18 vacation schedules, and to determine the order of layoff or reduction. Salary placement of 19 non-sworn employees shall be within the salary range of the FIRE DISTRICT position 20 assigned, and at the salary step that provides for the same salary or next higher salary as the 21 employee's CITY salary as of the commencement date of services through this Agreement. In 22 the event that the employee's CITY salary is higher than the top step of the COUNTY salary 23 range, the employee will be placed on the top step of that range, but shall be Y-Rated so that 24 no loss in pay occurs. 25 (3) Taxes - This Agreement does not exempt transferring CITY employees from 26 applicable payroll taxes required of new employees, such as Health Insurance Tax (HIT). 27 (4) Uniforms - CITY issued uniforms and safety equipment that meet FIRE 28 DISTRICT standards shall be transferred to the FIRE DISTRICT with the transferring -25- 1 employees. CITY uniforms will be supplemented by FIRE DISTRICT issued uniforms and/or 2 safety equipment necessary to meet FIRE DISTRICT requirements. The CITY shall assume 3 all costs for supplementing uniforms and safety equipment that do not meet FIRE DISTRICT 4 standards. Such costs shall be included on Schedule 4, as soon as available. Subsequent 5 uniform issues will be as provided for in the current Memorandum of Understanding for the 6 respective employee representation units entered into between the County of Los Angeles and 7 the certified employee organizations, if applicable. 8 (5) Personnel/Workers' Compensation/Time Records - As a condition of FIRE 9 DISTRICT employment. CITY employees must consent to the transfer of complete original 10 personnel and employment records to the FIRE DISTRICT. The CITY will provide the FIRE 11 DISTRICT with complete and original personnel and employment records of all CITY 12 personnel to be transferred pursuant to this Agreement, including any employee's complete 13 original Workers' Compensation files, all claims for disability compensation, and all additional 14 documentation related to open claims which remain ongoing after the date of transfer of the 15 CITY employees to the FIRE DISTRICT, which shall be the commencement date of services. 16 In addition. the CITY will provide the FIRE DISTRICT with a minimum of one (1) year's time 17 records of "hours worked" prior to the commencement date of services for all CITY personnel 18 to be transferred pursuant to this Agreement. Each transferring employee shall certify to the 19 FIRE DISTRICT the completeness of his/her personnel file. 20 (6) Vacation Shifts/Days — The CITY shall pay to the FIRE DISTRICT in the 21 manner set forth in Section III. Subsection (P) herein for transferred vacation benefit shifts/ 22 days for transferring employees at the CITY's salary rates in effect on the commencement date 23 of services. The CITY shall transfer in whole hours all vacation benefit shifts/days an 24 employee is entitled to in CITY employment to a maximum of twenty (20) vacation days, i.e., 25 one hundred sixty (160) hours for employees assigned to a 40-hour work schedule, or ten (10) 26 shifts, i.e., two hundred forty (240) hours for employees assigned to a 24-hour shift schedule, 27 whichever is applicable. Vacation shifts/days are outlined in Schedule 8 for sworn personnel 28 and Schedule 11 for non-sworn personnel, which are attached hereto and made a part hereof. -26- 1 CITY salary rates for reimbursement to the FIRE DISTRICT are defined in this Section VII. 2 Subsection (C), paragraph (2). 3 Transferring CITY employees shall accrue vacation benefits each pay period. 4 Pay periods are the 1st day of each month to the 15th day of that month, and the 16th day of 5 each month to the last day of that month. The amount of vacation benefits accrued by each 6 transferring CITY employee shall be based on the transferring employees' continuous service 7 time as a sworn employee of the CITY. Transferring CITY employees may use their accrued 8 vacation benefits during the pay period immediately following the pay period in which the 9 benefits are accrued, notwithstanding the employees' assigned COUNTY seniority. 10 (7) Sick Shifts/Days — The CITY shall pay to the FIRE DISTRICT in the manner set 11 forth in Section III, Subsection (P) herein for transferred sick benefit shifts/days for transferring 12 employees at the CITY's salary rates in effect on the commencement date of services. The 13 CITY shall transfer in whole hours all sick benefit shifts/days an employee is entitled to in CITY 14 employment to a maximum of twenty (20) sick days, i.e., one-hundred sixty (160) hours for 15 employees assigned to a 40-hour work schedule. or ten (10) shifts, i.e., two hundred forty 16 (240) hours for employees assigned to a 24-hour shift schedule, whichever is applicable. Sick 17 benefit shifts/days are outlined in Schedule 9 for sworn personnel and Schedule 12 for non- 18 sworn personnel, which are attached hereto and made a part hereof. The CITY salary rates 19 for reimbursement to the FIRE DISTRICT are defined in this Section VII, Subsection (C), 20 paragraph (2). 21 (8) Waiver of Accumulated Benefits — The FIRE DISTRICT shall not assume any 22 responsibility for personnel benefits or CITY obligations accrued by CITY employees prior to 23 the commencement date of services, except as expressly provided for in this Agreement. The 24 CITY shall provide a waiver for said accumulated benefits executed in favor of the FIRE 25 DISTRICT by each CITY employee as a condition of employment by the FIRE DISTRICT. It is 26 further understood that employees subject to this Agreement shall become eligible for 27 vacation, sick, and holiday time while in FIRE DISTRICT service only as provided in the FIRE 28 DISTRICT Salary Resolution, Los Angeles County Salary Ordinance, or as designated in -27- 1 Section VII herein. 2 (9) Los Angeles County Employees Retirement Association 3 a) All sworn employees subject to this Agreement will, on the first day of the 4 month following the date they are appointed to a position in the FIRE DISTRICT, become 5 members of the Los Angeles County Employees Retirement Association (LACERA) Plan C for 6 Safety Members or any other Safety Plan as permitted by the County Employees' Retirement 7 Law of 1937 (CERL) and the Public Employees' Pension Reform Act of 2013 (PEPRA). x b) All non-sworn employees subject to this Agreement will, on the first day of the 9 month following the date they are appointed to a position in the FIRE DISTRICT, become 10 members of Plan G for General Members or one (1) of the other non-safety LACERA plans 11 available at the time of the commencement date of services pursuant to the provisions of 12 CERL and PEPRA. 13 c) Service performed by such sworn and non-sworn personnel while employees 14 of the CITY shall not be credited as retirement service with LACERA, and except as provided 15 in California Government Code Sections 31836.1 and 31836.2, shall not be counted for the 16 purpose of discontinuing contributions after thirty (30) years of continuous service pursuant to 17 Government Code Sections 31625.2 and 31664, to the extent applicable, and shall not be 18 counted for the purpose of determining health insurance premiums charged to LACERA 19 retirees. 20 (10) Retirement from Public Employees Retirement System — Transferring CITY 21 employees would be required to leave retirement contributions on deposit with the California 22 Public Employees Retirement System (CaIPERS) and establish reciprocity with LACERA, 23 limiting the FIRE DISTRICT's retirement benefit costs. The transferring employees' LACERA 24 contribution rates would be based on their age upon entering the CaIPERS system. The FIRE 25 DISTRICT's rate structure for salary and employee benefits includes a component for 26 retirement costs for positions staffing CITY stations; therefore, the FIRE DISTRICT cost would 27 be offset. At the time of retirement, a reciprocal member would receive retirement benefits 28 from both agencies based on the benefits of reciprocity, such as adding service credit under -28- 1 each system to determine eligibility to retire. Any CITY employee who retires from CaIPERS 2 prior to the commencement date of services will not be accepted for FIRE DISTRICT 3 employment. 4 In the event a transferring employee opts to retire from CaIPERS at any time 5 while in the employment of the FIRE DISTRICT, such employee shall forfeit all of his/her 6 continuous service time with the CITY, including all service time with the CITY Fire 7 Department, for purposes of determining FIRE DISTRICT and COUNTY seniority and 8 COUNTY employee benefits and step placement pursuant to Section VII, Subsection (A), 9 paragraphs (8) and (10), and Section VII, Subsection (C), paragraph (2). The FIRE DISTRICT 10 and COUNTY seniority date for any employee retiring from CaIPERS pursuant to this 11 paragraph (10) of Subsection (C) of Section VII shall immediately become the commencement 12 date of services, any longevity bonus received by the employee which is based on continuous 13 time with the CITY will be eliminated from the employee's salary, any Y-Rated salary will be 14 eliminated, and the employee's salary will be adjusted and based solely on the employee's 15 FIRE DISTRICT rank and total time as an employee with the FIRE DISTRICT. Such 16 employees must also be medically qualified by a FIRE DISTRICT-administered physical 17 examination as required of newly hired fire fighters. 18 (11) Workers' Compensation - California Labor Code Sections shall govern 19 Workers' Compensation benefits for all transferring CITY employees who sustain industrial 20 injuries. Notwithstanding Section 5500.5 et seq. of the California Labor Code, the CITY agrees 21 to reimburse the FIRE DISTRICT for the FIRE DISTRICT's proportionate share of all medical. 22 legal, administrative, and any other indemnity costs for which the FIRE DISTRICT shall be 23 liable for those industrial injuries apportion able in whole or in part to employees' employment 24 with the CITY. The CITY's responsibility as provided for herein shall not be affected by any 25 change in Federal or State law. 26 The CITY and the FIRE DISTRICT shall cooperate in the ongoing management of 27 any Workers' Compensation claims pending filed during the time CITY personnel are 28 employed by the FIRE DISTRICT by providing such information as is necessary for the CITY -29- 1 and/or the FIRE DISTRICT to appropriately manage a Workers' Compensation claim filed by a 2 FIRE DISTRICT employee previously employed by the CITY. The CITY shall notify the FIRE 3 DISTRICT of any claims pending, filed, or denied; and any temporary or permanent work 4 restrictions imposed with respect to an employee who transfers from CITY employment to 5 FIRE DISTRICT employment. The FIRE DISTRICT shall notify the CITY of any claims 6 pending, filed, or denied; and any temporary or permanent work restrictions imposed with 7 respect to an employee who has a pending Workers' Compensation claim involving the CITY 8 or who asserts a Workers' Compensation claim during employment with the FIRE DISTRICT 9 upon which the CITY is potentially liable in whole or in part. The CITY shall be responsible for 10 adjusting and paying all costs related to those claims which have been filed or are pending as 11 of the effective date of this Agreement. This responsibility of the CITY is subject to contribution 12 from the FIRE DISTRICT for any post-transfer injury or exacerbation of an existing injury 13 already at issue in a pending Workers' Compensation claim involving the CITY at the time of 14 transfer. Pursuant to Subsection C. Paragraph 5, the CITY shall provide Workers' 15 Compensation related files on all employees transferring to the FIRE DISTRICT. 16 (12) Health Insurance — The CITY shall continue to provide the existing coverage of 17 paid medical and dental insurance for all employees transferring to the FIRE DISTRICT for one 18 (1) full calendar month after the commencement date of services or, for those employees on 19 medical leave with the CITY on the commencement date of services, for at least one (1) full 20 calendar month after the effective date of their blanketing into the FIRE DISTRICT. The FIRE 21 DISTRICT shall reimburse the CITY as specified in Section III, Subsection (P). 22 (13) Deferred Compensation Plans - Pursuant to Section 6.02.040 of the Los 23 Angeles County Code, CITY employees transferring to the FIRE DISTRICT shall be eligible for 24 immediate participation in the COUNTY employees' deferred compensation plans for which 25 they may be eligible depending upon their transferred rank, unless such immediate eligibility is 26 otherwise prohibited by Federal or California statute or regulation. 27 (14) Marriage and Birth Certificates — For purposes of completing the background 28 investigations pursuant to Section VI I, Subsection (C), paragraph (1) herein and for verification -30- I of eligibility of health insurance coverage, prior to the commencement date of services as 2 determined by the FIRE DISTRICT, all transferring CITY employees will be required to provide 3 copies of their marriage certificates and the birth certificates for themselves and all dependents 4 who will be covered under their health insurance benefits. 5 (15) FIRE DISTRICT Employees' Rights - The employment rights of existing FIRE 6 DISTRICT employees shall not be impaired by this Agreement. 7 SECTION VIII. ENVIRONMENTAL QUALITY CONTROL 8 (A) The FIRE DISTRICT shall be responsible to comply with the provisions of the 9 California Environmental Quality Act of 1970 (CEQA). insofar as the same may apply to 10 annexation proceedings required in annexing the CITY to the FIRE DISTRICT. The FIRE 11 DISTRICT agrees to hold the CITY free and harmless from any and all claims, demands, or 12 judgments arising out of the FIRE DISTRICT's failure to comply with the provisions of CEQA, 13 relative to annexation procedures. 14 (B) Prior to the commencement date of services, the CITY shall have a Cal-OSHA 15 Registered Environmental Assessor perform a Phase I Site Assessment and Building 16 Asbestos Survey and, if subsequently required, a Phase II Site Assessment on all CITY Fire 17 Station facilities to be occupied by the FIRE DISTRICT pursuant to Schedule 3 attached 18 hereto. All Site Assessments and related reports shall be reviewed, approved, and accepted 19 by the FIRE DISTRICT. 20 (C) The CITY shall, at its sole expense, mitigate and abate all environmental hazards (if 21 any) at the CITY Fire Station sites prior to the commencement date of services and provide 22 evidence to the satisfaction of the FIRE DISTRICT that all recommended measures have been 23 completed and that all applicable laws and requirements have been complied with. Any 24 residual contamination or environmental damage from conditions on or adjacent to CITY Fire 25 Stations which existed before the commencement date of services but which are discovered 26 after the commencement date of services, shall be the responsibility of the CITY. 27 (D) The FIRE DISTRICT shall, at its sole expense, mitigate and abate all environmental 28 damage (if any) caused by the FIRE DISTRICT or its agents at any of the CITY Fire Stations -31- 1 after the commencement date of services. 2 (E) Prior to occupancy of the CITY Fire Stations by the FIRE DISTRICT, the FIRE 3 DISTRICT shall inspect the facilities and identify all hazardous materials stored at the facilities 4 for which the CITY shall be responsible for removal. The CITY shall remove all identified 5 hazardous materials prior to FIRE DISTRICT occupancy of the CITY Fire Stations. If, after 6 FIRE DISTRICT occupancy of the CITY Fire Stations, stored hazardous materials are 7 discovered by the FIRE DISTRICT which were not previously identified during the above 8 inspection, the CITY shall remove said materials within thirty (30) days after written notice by 9 the FIRE DISTRICT to the CITY, or the FIRE DISTRICT may remove the materials and invoice 10 the CITY for the costs of such removal. In the event such hazardous materials pose an 11 immediate danger to human health or the environment as determined by the FIRE DISTRICT, 12 such materials shall be removed immediately by the CITY upon notification by the FIRE 13 DISTRICT to the CITY. 14 SECTION IX. HAZARDOUS MATERIALS RELEASE RESPONSE PLAN AND 15 INVENTORY 16 (A) CITY will continue to act as the administering agency for the CITY's Hazardous 17 Materials Release Response Plan and Inventory, California Health and Safety Code Chapter 18 6.95, Sections 25500 — 25545, hereinafter referred to as the "Program" during the term of this 19 Agreement. CITY shall make available records to FIRE DISTRICT to assist in the planning for 20 emergency response. 21 (B) The CITY shall retain all fees collected in the administration of the Program as 22 provided by State law. 23 (C) When the FIRE DISTRICT's Health/Hazardous Materials Emergency Response 24 Teams respond to a hazardous materials incident in the CITY, the FIRE DISTRICT will 25 subsequently invoice the CITY on an as-call basis for the costs associated with the response 26 team unit(s) responded. Payments by the CITY of invoices for all such hazardous materials 27 emergency incident response team responses shall be made pursuant to the provisions of 28 Section III herein. -32- 1 SECTION X. ADOPTION OF LOS ANGELES COUNTY FIRE CODE 2 Pursuant to Los Angeles County Fire Code - Title 32, Sections 10000.1 and 10000.2, 3 and California Health and Safety Code Section 13869. as may be subsequently amended, 4 upon annexation of the CITY to the FIRE DISTRICT. the County of Los Angeles Fire Code - 5 Title 32. including any subsequent amendments to such code. shall be enforced in the CITY by 6 the FIRE DISTRICT. By ordinance, the CITY shall adopt the County of Los Angeles Fire Code 7 — Title 32 as of the commencement date of services. This ordinance will adopt all existing 8 CITY amendments to the County of Los Angeles Fire Code — Title 32 as a separate 9 attachment. The FIRE DISTRICT will enforce applicable amendments specific to the CITY. 10 Where differences occur between the Los Angeles County Fire Code — Title 32 and the 11 amendments adopted by the CITY, the CITY amendments will take precedence unless an 12 impracticality of enforcement is determined by the FIRE DISTRICT in its sole discretion, in 13 which case the FIRE DISTRICT and the CITY shall work towards establishing a mutually 14 agreeable resolution. 15 SECTION XI. MODIFICATION OF SCHEDULES 16 (A) All schedules attached hereto and incorporated herein by reference will be subject to 17 modification by mutual written agreement of the CITY ADMINISTRATOR and FIRE CHIEF of 18 the FIRE DISTRICT as needed after the date of approval of this Agreement by both parties. 19 (B) Modifications to the staffing levels as indicated on Schedule 2 may cause an 20 adjustment in the determination of the Annual Fee as specified in Section II, Subsection (L) 21 herein. 22 SECTION XII. WITHDRAWAL 23 (A) In the event the CITY terminates this Agreement and withdraws from the FIRE 24 DISTRICT at any time subsequent to the Initial Ten-Year Term, per the provisions of Section I, 25 herein, the FIRE DISTRICT and the CITY agree that: 26 (1) The lease on the fire stations shall terminate and the FIRE DISTRICT shall 27 vacate the CITY Fire Stations on the effective date of withdrawal except as provided for in a 28 subsequent written agreement as may be entered into by the CITY and the FIRE DISTRICT. -33- 1 (2) The FIRE DISTRICT shall return to the CITY, fire apparatus, vehicles and 2 related fire apparatus equipment of a comparable type, condition, and age, in the quantity and 3 type as described on Schedule 5 as of the commencement date of services. 4 (3) The FIRE DISTRICT shall return to the CITY Fire Station equipment, furniture, 5 tools, and furnishings of a comparable type and condition as of the commencement date of 6 services, which are essential to the operation of the fire station facilities and are detailed in 7 Schedule 6. 8 (4) As to any apparatus, vehicles, equipment, tools, furniture, furnishings, or other 9 personal property for which a monetary or in-kind credit was given to the CITY upon the 10 effective date of this Agreement, the FIRE DISTRICT will not be obligated in any manner to 11 return comparable items to the CITY at the date of withdrawal of this Agreement. 12 (B) In the event of the termination of the Agreement by either party as provided herein, 13 the FIRE DISTRICT and the CITY agree to enter into separate and further agreements to 14 address the specific details of termination not addressed in this Agreement. 15 SECTION XIII. GOOD FAITH AND FAIR DEALING 16 The FIRE DISTRICT and the CITY covenant and warrant to act in good faith and fair 17 dealing regarding the performance, administration, and interpretation of this Agreement. 18 SECTION XIV. GENERAL PROVISIONS 19 (A) Severability — In the event that any provision herein contained is held to be invalid, 20 void, or illegal by any court of competent jurisdiction, the same shall be deemed severable 21 from the remainder of this Agreement and shall in no way affect, impair or invalidate any other 22 provision contained herein. If any such provision shall be deemed invalid due to its scope or 23 breadth, such provision shall be deemed valid to the extent of the scope or breadth permitted 24 by law. 25 (B) Waiver— No breach of any provision hereof can be waived unless in writing. 26 Waiver of any one breach of any provision shall not be deemed to be a waiver of any breach of 27 the same or any other provision hereof. 28 (C) Entire Agreement — This Agreement constitutes the entire agreement -34- 1 between the parties relating to the subject matter of this Agreement, and supersedes any prior 2 understanding whether oral or written and may be modified only by further written agreement 3 between the parties hereto. The non-enforceability, invalidity or illegality of any provision of 4 this Agreement shall not render the other provisions thereof unenforceable, invalid or illegal. 5 // 6 // 7 // 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -35- IN WITNESS WHEREOF, the CITY, by majority vote of its City Council, has caused this 2 Agreement to be executed by its Mayor and which execution has been attested to by its Clerk; 3 pursuant to action by a majority vote of the Board of Supervisors, as governing body of the 4 FIRE DISTRICT, as authorized its Fire Chief to execute this Agreement on behalf of the FIRE 5 DISTRICT. 6 CONSOLIDATED FIRE PROTECTION CITY OF VERNON 7 DISTRICT OF LOS ANGELES COUNTY 8 ' 9 ' By By 10 Fire Chief Daryl L. Osby Leticia Lopez, Mayor 11 DATE DATE 12 13 14 ATTEST: 15 16 By 17 Lisa Pope, City Clerk 18 19 20 APPROVED AS TO FORM: APPROVED AS TO FORM: 21 MARY C. WICKHAM 22 County Counsel 23 24 By By Deputy Arnold M. Alvarez-Glasman, Interim City 25 Attorney 26 27 28 -36- CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 1 COMMENCEMENT DATE OF SERVICES TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 2 OPERATION BY DISTRICT WITH ESTIMATED 2020-21 ANNUAL FEE* Station Operations Staffing : Estimated Post 2020-21 City Station Equipment Positions a Net City Cost 76 Engine 3 $2,629.351 Truck 4 2.629,351 Paramedic Squad 2 840,032 - 77 Engine 4 3,333,716 78 Closed(d) - Fire Prevention Staffing: (e) Fire Prevention Engineering Asst. II (Plan Check) 0.5 $79,382 Captain 0.5 145,336 Fire Fighter Specialist (Inspector) 3 738,294 Total Estimated Salary and Employee Benefits $10,395,462 Overhead @ 35.3306% 3,672,780 Estimated 2020-21 Annual Fee* $14,068,242 3 Three persons staff each post position through a 56-hour workweek (A, B. C shifts). Station Operations includes overtime required to maintain 24-hour constant staffing. `bi In recognition of the regional benefit to be derived by the truck company assigned in the City, the Fire District will share in the annual staffing cost of one firefighter post position. In recognition of the regional benefit to be derived by the paramedic squad assigned in the City, the Fire District will share fifty percent (50%) of the annual staffing cost of this unit. If within one year of the effective date of the Annexation Agreement,the Fire District provides written notice to the City that the Fire District opts to switch an engine or truck in the City with a hazmat and/or usar unit to be placed at City stations 76. 77, and/or 78. the City will be charged only for the engine or truck that each of these units replaces. No additional charge for placement of hazmat or usar units will be made by the Fire District to the City. City will provide reasonable office space including counter space, desk space. etc. for Fire Prevention Staffing assigned to the City at no cost to the Fire District. Based on FY 2020-21 4.42% increase APPROVED: DARYL L. OSBY CARLOS FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 3 FIRE STATIONS TO BE OCCUPIED BY DISTRICT Facility Name Location Vernon Fire Station 76 3375 Fruitland Avenue Vernon, Ca Vernon Fire Station 77 4301 Santa Fe Avenue Vernon, Ca Vernon Fire Station 78* 2800 Soto Street Vernon, Ca * Vernon Fire Station 78 shall be leased to the Fire District only if the Fire District provides written notice that it will house a USAR or HAZMAT unit in the City within one year of the date of service commencement - see Staffing Schedule 2. APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE F:!Vernon:Schedule 3•Facilities CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 4 CONVERSION COSTS TO BE DETERMINED APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE F:Vemon:Schedule 4-Conversion Costs CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 5 VEHICLES, FIRE APPARATUS, AND RELATED EQUIPMENT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE F:lVemon::Schedule 5-Vehicles CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 6 FIRE STATION EQUIPMENT, FURNITURE, AND FURNISHINGS (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE flPlanning\Vernon\Schedule 6 Equip.Fum. CITY OF VERNON- AGREEMENT FOR SERVICES SCHEDULE 7 SWORN PERSONNEL, RANKS, SALARIES - FOR ESTABLISHMENT OF DISTRICT SALARY TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON- AGREEMENT FOR SERVICES SCHEDULE 8 SWORN PERSONNEL VACATION HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 9 SWORN PERSONNEL SICK HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 10 NON-SWORN PERSONNEL, RANKS AND SALARIES - FOR ESTABLISHMENT OF DISTRICT SALARY TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 11 NON-SWORN PERSONNEL - VACATION HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE f:olanning!VernonlSchedule 11 CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 12 NON-SWORN PERSONNEL - SICK HOURS TO BE TRANSFERRED BY CITY TO DISTRICT TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE CITY OF VERNON - AGREEMENT FOR SERVICES SCHEDULE 13 MEMORANDUM OF UNDERSTANDING TO BE DETERMINED (TO BE COMPLETED ON OR ABOUT THE COMMENCEMENT DATE OF SERVICE) APPROVED: DARYL L. OSBY CARLOS R. FANDINO, JR FIRE CHIEF CITY ADMINISTRATOR DATE DATE STAFF REPORT y{c. o44. • 1T w Memorandum City Clerk Department DATE: May 19, 2020 TO: Department Heads FROM: Lisa Pope. City Clerk RE: City Council Actions Taken At the May 19, 2020 Regular City Council meeting, the Vernon City Council took the actions listed below by unanimous vote unless otherwise noted: 1. A. Found the proposed action exempt under the California Environmental Quality Act (CEQA); and B. Deferred action on the General Fee Schedule for the Fiscal Year 2020-2021 and directed staff to review fees in January 2021. 2. Approved the May 5. 2020 Regular City Council meeting minutes. 3. Approved Operating Account Warrant Register No.45,for the period of April 19 through May 2,2020,which totals$9,677,280.62 and consists of ratification of electronic payments totaling $9,266,721.47 and ratification of the issuance of early checks totaling$410,559.15. 4. Approved City Payroll Warrant Register No. 767, for the period of April 1 through April 30, 2020, which totals $2,968,610.04 and consists of ratification of direct deposits, checks and taxes totaling$1,933,925.29 and ratification of checks and electronic fund transfers(EFT)for payroll related disbursements totaling$1,034,684.75 paid through operating bank account. 5. Received and filed the Fire Department March 2020 Activity Report. 6. Received and filed the Police Department March 2020 Activity Report. 7. A) Found the proposed action exempt under CEQA; B)Appointed delegates and alternates to outside agencies as follows:a.California Contract Cities Association-Council Member Davis, delegate; and Mayor Pro Tern Ybarra, alternate;b. Central Basin Water Association-Council Member Menke, delegate; and Council Member Davis and Vernon Public Utilities representative, alternate; c. City Selection Committee - Mayor Lopez, delegate; and the remainder of the Council as alternate; d. County Sanitation District #1 - Mayor Lopez, delegate; and Council Member Davis, alternate; e. County Sanitation District #2 - Mayor Lopez, delegate; and Council Member Davis, alternate; f. County Sanitation District #23 - Entire Council;g.Gateway Cities Council of Governments-Council Member Davis,delegate; and Mayor Pro Tem Ybarra, alternate; h. Independent Cities Association - Council Member May 19,2020 Page 2 of 2 City Council Actions Taken Davis, delegate; and Council Member Menke, alternate; i. Independent Cities Finance Authority - Mayor Lopez, delegate; and Council Member Gonzales, alternate; j. Southern California Association of Governments - Council Member Menke, delegate; and Council Member Davis,alternate;k. Southeast Water Coalition-Mayor Pro Tern Ybarra,delegate,and Mayor Lopez,alternate; and 1. Vernon Solid Waste Hearing Panel -Mayor Lopez,Mayor Pro Tern Ybarra and Council Member Menke; and C) Adopted a resolution repealing Resolution No. 2019-13 related to City Council outside agency appointments. 8. A. Found the proposed action exempt under CEQA; and B. Authorized the issuance of a purchase contract to Priority Building Services,LLC,for COVID-19 related janitorial services, in the form of porters, at a total not-to-exceed cost of 103,920 for one year ($8,660/month), effective May 18,2020. 9. A. Found the proposed action exempt under CEQA; and B. Approved and authorized advertisement of the Mixed-Use Specific Plan and Program EIR Preparation Request for Proposal (RFP). 10. A.Found the proposed action exempt under CEQA;B.Adopted a joint resolution of the Board of Supervisors of the County of Los Angeles, as the governing body of the Consolidated Fire Protection District of Los Angeles County ("LA County Fire") approving and accepting that there will be no exchange of property tax revenues resulting from the City of Vernon's annexation to LA County Fire; and C. Adopted a resolution approving and authorizing the execution of a final services agreement with LA County Fire for the provision of fire protection, paramedic, and incidental services in the City of Vernon with a target conversion date of November 1,2020. 11. A. Found the proposed action exempt under CEQA; and B. Approved implementation of the Vernon Resident COVID-19 Stimulus Grant Program, providing $1,000 to each household (and sublessee), except the household of City Council Members, in either grocery (Food for Less gift card)or rent paid directly to landlord. 12. A. Found the proposed action exempt under CEQA; B. Approved and authorized the City Administrator to execute Amendment No. 1 to the Grant Agreement between the City of Vernon and AltaMed Health Services Corporation (AltaMed) in substantially the same form as submitted, granting an additional amount of $125,000 to support AltaMed's COVID-19 screening/testing services in the Southeast Los Angeles Area (Council Member Menke dissenting). 13.A. Found the proposed action exempt under CEQA;and B. Approved and authorized the City Administrator to execute a Services Agreement with S&S Labor Force Inc., dba JRM for unarmed security guard services, in substantially the same form as submitted, for a total amount not-to-exceed$1,809,000 over the three-year term of the agreement,effective May 20, 2020. City Council Agenda Item Report Agenda Item No. COV-103-2020 Submitted by: Diana Figueroa Submitting Department: City Administration Meeting Date: May 19, 2020 SUBJECT Services Agreement with the Consolidated Fire Protection District of Los Angeles County for Fire Protection, Paramedic and Incidental Services Recommendation: A. Find that the adoption of the proposed resolution is exempt from California Environmental Quality Act ("CEQA") review, because it is an administrative action that will not result in direct or indirect physical changes in the environment and, therefore, does not constitute a "project" as defined by CEQA Guidelines section 15378; B. Adopt a joint resolution of the Board of Supervisors of the County of Los Angeles, as the governing body of the Consolidated Fire Protection District of Los Angeles County("LA County Fire") approving and accepting that there will be no exchange of property tax revenues resulting from the City of Vernon's annexation to LA County Fire; and C. Adopt a resolution approving and authorizing the execution of a final services agreement with LA County Fire for the provision of fire protection, paramedic, and incidental services in the City of Vernon with a target conversion date of November 1, 2020. Background: On August 6, 2019, City Council approved a services agreement with the Consolidated Fire Protection District of Los Angeles County("LA County Fire")for the provision of Fire Prevention, Paramedic, and Incidental Services. The approval of such an agreement is consistent with City Administration goals and City Council's direction. Staff is committed to streamlining costs, analyzing new revenue streams, increasing efficiencies Citywide, and is dedicated to securing the Citys long-term future. Right-sizing service models throughout the City is critical to sustainability. Under City Council's direction, targeted analysis of the City's Fire Services began in early 2018 when Matrix Consulting Group ("Matrix")was contracted to complete a Standards of Cover study for Vernon Fire which assessed department operations and the fiscal landscape. The data and recommendations outlined in the Matrix study, coupled with the growing costs of Vernon Fire, made clear that the City needed to evaluate changes to its fire services model. The Citys thoughtful exploration of a variety of fiscally sound options for Fire Service provision and right-sizing the Fire Service model led to the approval of a transition to LA County Fire. Following the approval in 2019, the Vernon Fire Department has been taking steps to integrate operational practices that are aligned with LA County Fire. Training, uniform fittings, dispatch services, and joint call response are some of the many examples of the department's coordination efforts with LA County Fire. Additionally, some of the Fire Station improvements are currently underway, with the City proactively leading project teams in collaboration with LA County Fire staff and contractors. The proposed services agreement reflects changes that have occurred since August 2019. Vernon personnel changes, reconfiguration of fire stations, staffing requirement updates, newly negotiated terms with Vernon Fire labor groups, and recent cost of living ("COLA") increases for LA County Fire personnel are each included in the present version of the services agreement. LA County maintains a contractual agreement for fire protection services with 59 cities throughout the Southern California region. The proposed agreement between LA County and the City of Vernon is an iteration of the standard agreement in place with the majority of contract cities. The City and LA County Fire have negotiated Vernon-specific terms that are mutually beneficial for each party. A summary of the substantive contract components is as follows: - 10 year term 4% cap on annual service fee for the first 5 years - Potential for Hazmat Unit and/or Urban Search and Rescue (USAR) in Vernon Transfer of all sworn Vernon Fire personnel to LA County Fire - Non-sworn personnel will be offered positions at LA County Fire - Three Fire Inspector personnel stationed in the City - FY2020/2021 annual fee costs of approximately$14.1 million - Certified Uniform Program Agency(CUPA) services maintained by the Vernon Health and Environmental Control Department It is estimated that the City will pay approximately$16.1 million in fiscal year 2020/2021 for LA County Fire Services. The first year LA County Fire estimate includes costs related to conversion of City personnel, equipment, training, and earned vacation/sick/holiday payouts for transferring employees. Cost estimates for the first three years will be higher than the annual service fee for LA County Fire. In the fourth year, the City will have completed its conversion cost installment payments to LA County Fire. The decision to pursue a service agreement with LA County Fire follows an intense collaboration amongst staff, the incorporation of concerns of the business and residential community, lengthy negotiations with LA County Fire, and a logical, methodical approach to the CiWs evaluation process. With City Council's adoption of the proposed resolutions, the City will proceed with all remaining administrative steps to affect a smooth transition to LA County for the provision of Fire Services in Vernon which is targeted for completion by November 1, 2020. Fiscal Impact: City staff estimates that the first year costs associated to the LA County Fire contract will be approximately$16.1 million. This total is inclusive of conversion costs which are additional costs that the City will incur beyond the Annual Service Fee of$14,068,242. Attachments: 1. Joint Resolution - Property Tax 2. Resolution - LA County Fire Services Agreement