Title
Approval of Interlocal Agreement Between the City of Olympia and Washington State Department of Enterprise Services (DES) for Fire Protection Services
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to accept and authorize the Mayor to sign the Interlocal Agreement negotiated between the City of Olympia (City) and the State of Washington Department of Enterprise Services (DES) for Fire Protection services for the July 1, 2015 to June 30, 2016 fiscal year.
Report
Issue:
Since 1993 the City of Olympia has billed the State for Fire Protection services. This billing is allowed per RCW 35.21.779. This Interlocal Agreement is written to address Fire Protection services and billing during the July 1, 2015 to June 30, 2016 fiscal year.
Staff Contact:
Greg Wright, Deputy Fire Chief, 360.753.8466
Shelley Flaherty, Line of Business Director, 360.753.8431
Presenter(s):
None. Consent Calendar Item
Background and Analysis:
Since 1993 the City of Olympia has billed the State for Fire Protection services. This billing is allowed per RCW 35.21.779 which stipulates, when the estimated value of state facilities sited in a municipality equals 10 percent or more of that municipality’s total assessed valuation, state agencies owning those facilities shall enter into a compulsory fire protection contract with the municipality to provide an equitable share of the fire protection costs.
The formula to determine the billing rate was developed in 1993. It is based on square footage calculations of both the total square footage at the City and the total square footage of the State buildings within the City limits.*
For the 2015-2016 fiscal year the percentage of state facilities sited in the City of Olympia compared to the entire city is 10.24 percent. The square-foot charge for this contract is 21.8536 cents.
*The building at 1500 Jefferson, occupied by Washington State Consolidated Technology Services (WaTech), chose to negotiate separately from DES for their building on the Capitol Campus. The 1500 Jefferson buildings square footage is included in the calculation used to determine the amount of State property in the City.
Neighborhood/Community Interests (if known):
N/A
Options:
1. Accept the Interlocal Agreement: Accept the terms of the Interlocal Agreement and authorize for the Mayor’s signature to execute this Interlocal. Both the negotiator for the State and the City believe the Interlocal Agreement is fair and equitable and have been arrived at through good faith negotiations.
2. Do not accept the Interlocal Agreement and send it back to staff: Expected revenues for the 2015 to 2016 fiscal year from the State may not be collected as anticipated.
Financial Impact:
The city will receive $1,031,912.70 from DES during the 2015-2016 fiscal year. Additionally, under a separate contract, the City will receive another $82,825.01 from Washington State Consolidated Technology Services (WaTech), a building also on the State Campus, bringing the total reimbursement to the City of Olympia for Fire Protection of State buildings to $1,114,837.71.