Resolution 2016-18 RESOLUTION NO.2016-18(R)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF WYLIE, TEXAS, HEREBY AUTHORIZING THE CITY
MANAGER OF THE CITY OF WYLIE, TEXAS, TO
EXECUTE AN AGREEMENT FOR FIRE PROTECTION
SERVICES / EMERGENCY MEDICAL SERVICES
BETWEEN THE INSPIRATION RESIDENTIAL
ASSOCIATION,INC.AND THE CITY OF WYLIE.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF WYLIE, TEXAS:
SECTION 1: The City Manager of the City of WYLIE, Texas, is hereby authorized to
execute, on behalf of the City Council of the City of WYLIE, Texas, an Agreement for Fire
Protection Services/Emergency Medical Services between the Inspiration Residential
Association,Inc. and the City of Wylie.
SECTION 2: This Resolution shall take effect immediately upon its passage.
RESOLVED THIS THE 12th day of July,2016.
IV eg���
ERIC HOGUE,
ATTEST TO: ®F �,�
C OLE EaHMRfICH, City Secretary
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Resolution No.2016-18(R)—
EMS/Fire Protection Contract
Inspiration Residential Association,Inc. Page 1 of 1
I
FIRE PROTECTION AGREEMENT
This Fire Protection Agreement ("Agreement") is made by and between Inspiration
Residential Association, Inc., a Texas nonprofit corporation ("Association"), and the City of
Wylie, Texas, a home-rule municipality ("Wylie"). The Association and Wylie are sometimes
referred to collectively as the "parties"or individually as a"party."
RECITALS
WHEREAS, the Association was formed to further the interests of the owners of the real
property located within the planned development community located in Collin County, Texas
commonly known as "Inspiration,"the Community(hereinafter defined); and
WHEREAS, the Community is located in close proximity to Wylie, outside of the
corporate limits of Wylie; and
WHEREAS, pursuant to the Charter, each person who owns a Unit (hereinafter defined)
within the Community is a member of the Association and must pay certain assessments to the
Association; and
WHEREAS, the District (hereinafter defined) provides certain services and facilities,
including water supply and distribution services and facilities,to the Community; and
WHEREAS, Wylie is engaged in providing Fire Protection Services (hereinafter defined)
and Emergency Medical Services (hereinafter defined) for the benefit of the citizens of Wylie;
and
WHEREAS, pursuant to the Charter, the Association is authorized to contract with and
pay Wylie to provide Fire Protection Services and Emergency Medical Services within the
Community; and
WHEREAS, the Association desires to obtain Fire Protection Services and Emergency
Medical Services from Wylie for the benefit of the Association; and
WHEREAS, the provision of Fire Protection Services and Emergency Medical Services
by Wylie is a governmental function that serves the public health and welfare and is of mutual
concern to the parties; and
WHEREAS, the Association desires to pay Wylie for providing the Fire Protection
Services and Emergency Medical Services to the Association under the terms and conditions of
this Agreement.
NOW, THEREFORE, in consideration of the foregoing and on the terms and conditions
hereinafter set forth, and for other valuable consideration, the receipt and sufficiency of which is
hereby acknowledged,the parties agree as follows:
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i
I
I.
DEFINITIONS
As used in this Agreement, the following words and phrases have the following
meanings:
Association means the Inspiration Residential Association, Inc., a Texas nonprofit
corporation.
Charter means the Association's Community Charter for Inspiration, filed of record on
January 9, 2015 in the Collin County Land Records under Instrument No. 20150109000028030,
and all amendments and supplements thereto.
Community means the real property that is made subject to the terms of the Association's
Charter, as it exists or may be amended.
District means the Collin County Water Control and Improvement District No. 3, a water
control and improvement district created under Section 59 of Article XVI of the Texas
Constitution and operating under Chapters 49 and 51 of the Texas Water Code.
Effective Date means the date this Agreement is signed by the last party to sign it, as
indicated by the date associated with that party's signature below.
Emergency Medical Services means services regularly provided by Wylie to persons
located within its corporate limits,and outside its corporate limits pursuant to contracts similar in
nature to this Agreement, which services are used to respond to an individual's perceived need
for immediate medical care and to prevent death or aggravation of physiological or
psychological illness or injury.
Fire Protection Services means all fire suppression and rescue services regularly
provided by Wylie to persons and property located within its corporate limits, and outside its
corporate limits pursuant to contracts similar in nature to this Agreement, except for Emergency
Medical Services, fire inspections of buildings and properties, public education services, code
enforcement services and arson investigations.
Full Cost of Service means Wylie's annual cost of providing all of the Fire Protection
Services and Emergency Medical Services. Full Cost of Service shall be calculated annually as
part of Wylie's budget process in the following manner and shall be equal to the aggregate of:
(a) Direct recurring costs of Wylie's Fire Department as reflected in Wylie's
current annual budget, exclusive of direct costs for fire inspections of
buildings and properties, public education services, code enforcement
services and arson investigations;
[Ex. If Wylie's fiscal year is FY15, Wylie's FY15 budget is the
current annual budget, and the direct recurring costs of the Fire
Department, as provided in this subsection, will be reflected in the
FY15 budget for the Association's 2016 calendar year payments];
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(b) Direct recurring costs of Wylie's dispatch operations as reflected in
Wylie's current annual budget, prorated to reflect the percentage of all
dispatch calls, as reported by Wylie's public safety dispatch system, that
are attributable to Fire Protection Services and Emergency Medical
Services;
[Ex. If Wylie's fiscal year is FY15, Wylie's FY15 budget is the
current annual budget, and the direct recurring costs of Wylie's
dispatch operations, as provided in this subsection, will be
reflected in the FY15 budget for the Association's 2016 calendar
year payments];
(c) Indirect and overhead costs attributed to the Fire Department, which shall
be comprised of prorated costs for management oversight, human resource
services, accounting services, building use fees and legal services. Such.
indirect costs shall be calculated and prorated in the manner customarily
used by Wylie for such purposes; and
(d) Indirect and overhead costs attributed to dispatch services, as reported by
Wylie's public safety dispatch system, which shall be calculated and
prorated in the same manner as described above relative to indirect and
overhead costs of the Fire Department, and further prorated to reflect the
percentage of all dispatch calls that are attributable to Fire Protection
Services and Emergency Medical Services.
Full Cost of Service Per Service Connection shall be equal to the Full Cost of Service
divided by the number of Service Connections as of the end of the prior fiscal year for Wylie.
[Ex. If Wylie's fiscal year is FY16, Wylie will use the Service Connections as of
September 30, 2015,the prior fiscal year.]
Out-of-City Service Charge means an additional charge to be paid by the Association to
Wylie in an amount equal to fifteen percent (15%) of the Full Cost of Service Per Service
Connection.
Residential Unit means any building or part of a building designed for permanent
occupancy by one family. A detached single-family residential unit is one residential unit; a
duplex is two residential units; and each living unit in an apartment complex is one residential
unit.
Service Connection means either a Residential Unit or nonresidential unit that is
connected to a potable water supply system servicing residents within Wylie or the potable water
supply systems servicing Residential Units or nonresidential units within the Service Area or any
other area for which Wylie provides Fire Protection Services.
Service Area means the area of land within the boundaries of the Community, as depicted
in Exhibit A, attached hereto and incorporated herein by reference for all purposes.
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i
Water Distribution System means the fire hydrants, connections and water supply and
distribution systems within the Service Area.
Wylie means the City of Wylie, Texas,a home-rule municipality.
II.
SERVICES
(a) During the term of this Agreement, Wylie will provide Fire Protection Services and
Emergency Medical Services to persons, buildings and property located within the
Service Area.
(b) In providing Fire Protection Services and Emergency Medical Services within the
Service Area, Wylie will follow its adopted standard operating procedures regularly used
for all residents of Wylie; provided, however, that Wylie shall have the right and
discretion, without being in breach of this Agreement and without liability to the
Association or its members or any other person,to determine:
(1) the Fire Protection Services or Emergency Medical Services that are needed in a
particular case;
(2) whether and when personnel or equipment are available to respond to a request
for Fire Protection Services or Emergency Medical Services;
(3) the order in which to respond to requests for Fire Protection Services or
Emergency Medical Services; and
(4) the time in which to respond to a request for Fire Protection Services or
Emergency Medical Services.
(c) The parties acknowledge that Wylie also must respond to requests for Fire Protection
Services and Emergency Medical Services in the corporate limits of Wylie and that
Wylie has contracts to provide Fire Protection Services and Emergency Medical Services
to other entities. Nothing in this Agreement shall prohibit Wylie from performing Fire
Protection Services and Emergency Medical Services in the corporate limits of Wylie or
to other entities.
III.
FACILITIES AND EQUIPMENT
(a) As of the date of this Agreement, Wylie owns and/or operates certain facilities and
equipment used to perform Fire Protection Services and Emergency Medical Services,
including fire stations, pumpers, booster trucks, squad trucks, command vehicles,
ambulances and other necessary equipment. In providing Fire Protection Services and
Emergency Medical Services to the Association, Wylie shall be solely responsible for the
operation and maintenance of its facilities and equipment, subject to its right and
discretion, without being in breach of this Agreement and without liability to the
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Association or its members or residents, to determine the amount and quality of facilities
and equipment used in providing the Fire Protection Services and Emergency Medical
Services under this Agreement.
(b) This Agreement shall not obligate Wylie to construct or keep any facilities, equipment or
personnel within the Service Area or to designate, reserve or devote all or part of Wylie's
facilities, equipment or personnel exclusively to or for the use of the Association in
carrying out this Agreement.
(c) The parties acknowledge that in performing Fire Protection Services in the Service Area,
Wylie will use the Water Distribution System and water supply available in the Service
Area, but Wylie shall not be responsible for providing for, constructing, inspecting,
maintaining or repairing any part of the Water Distribution System or water supply in or
near the Service Area. Wylie shall not be liable to the Association, any Association
member or any other person for any deficiency or malfunction of the Water Distribution
System or water supply located in or near the Service Area. Wylie, however, agrees to
use reasonable commercial efforts to notify the Association of any deficiencies in the
Water Distribution System of which Wylie becomes aware.
IV.
DESIGNATED REPRESENTATIVE
Each party shall designate, in writing or by email, one individual to serve as the contact
person between the Association and Wylie ("Representative"). Each Representative will be
responsible for communicating any concerns or complaints regarding policies, procedures and/or
practices. The Association acknowledges and agrees that laws governing patient privacy may
prevent Wylie from disclosing information to the Association or the Association's
Representative.
V.
COMPENSATION
In consideration of Wylie providing the Fire Protection Services and Emergency
Medical Services under this Agreement,the Association shall compensate Wylie as follows:
(a) Quarterly Payments. The Association shall make quarterly payments to Wylie equal to
the greater of the following:
(1) The sum of forty-seven thousand five hundred and 00/100 dollars ($47,500.00)
plus 15%, or a total of$54,625; or
(2) An amount equal to (A) one fourth of the sum of(i) the Full Cost of Service Per
Service Connection plus (ii) the Out-of-City Service Charge (B) multiplied by the
number of actual Service Connections within the Service Area for the calendar
quarter immediately preceding the Service Connection Audit Date. The "Service
Connection Audit Date" shall be the first day of the third month of the applicable
calendar quarter. On or before March 15, June 15, September 15 and December
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I
15 of each year, the Association must submit a report to Wylie showing the
number of actual Service Connections within the Service Area for the Service
Connection Audit Date for the applicable calendar quarter. Increases to the Full
Cost of Service shall be effective as of January I of the each year and shall be
based on the budget for the fiscal year in which the increase to the Full Cost of
Service occurs. [For example,the Full Cost of Service commencing on January 1,
2016 shall be based on the budget for the 2015-2016 fiscal year effective October
1, 2015.] Wylie shall provide the Association with sixty (60) days prior written
notice of any annual increase in the Full Cost of Service.
Notwithstanding anything to the contrary herein, the first quarterly payment required
under this Subsection (a) shall be prorated to reflect the percentage of the then-current
calendar quarter remaining. Wylie will send an invoice to the Association for each
quarterly payment due under this Agreement within five (5) days of the Effective Date
and on or before the first day of each calendar quarter thereafter (e.g., January 1, April 1,
July 1, October 1). Except for the first payment required under this Subsection (a)
(which such payment is due within five (5) days of the Effective Date), the Association's
payment shall be due on the thirtieth (30th) day after Wylie sends the invoice. For
illustration purposes only, an example of the compensation rate calculation is set forth in
Exhibit C.
(b) One-Time Equipment Use Fee. In addition to all other fees and compensation under this
Agreement, the Association shall pay to Wylie an amount equal to one hundred forty
thousand and 00/100 dollars ($140,000.00) within five (5) days of the Effective Date,
representing a one-time fee for use of equipment in the provision of Fire Protection
Services and Emergency Medical Services under this Agreement.
VI.
SERVICE BILLING
Nothing in this Agreement shall prohibit or limit Wylie from separately billing and
collecting charges and fees from persons or other entities to whom Fire Protection Services or
Emergency Medical Services are provided under this Agreement ("Service Recipients");
provided, however, that such charges and fees are the same types of charges and fees and are
calculated at the same rates that Wylie applies to residents within its corporate limits. The
Association shall have no authority over, or responsibility for, any Service Recipient billing or
collection activities for services provided by Wylie under this Agreement. The Service Recipient
charges and fees billed or collected by Wylie under this Article shall be in addition to, and shall
not affect, the Association's payment of any fees or other compensation under Article V
(Compensation).
VII.
TERM AND TERMINATION
The term of this Agreement shall be for a period of three (3) years beginning on the
Effective Date (hereinafter defined) and shall automatically renew for twenty-two (22)
successive one (1) year terms, unless terminated by either party in accordance with this
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Agreement. Notwithstanding anything to the contrary herein, either party is entitled to terminate
this Agreement at any time and for any reason by giving ninety (90) days prior written notice to
the other party, provided that any such termination by the Association shall comply with
applicable provisions of the Charter and the Association's notice of termination includes
evidence of such compliance with the Charter in a form deemed reasonably acceptable to Wylie.
In addition, this Agreement shall automatically terminate on any of the following dates: (a) the
date the Association is dissolved or terminated; (b) the date the Association's Charter is
terminated; or (c) Section 10.3 of Article 10 of the Association's Charter is amended without the
prior approval of Wylie, as evidenced by its execution of such amendment or a resolution
attached thereto consenting to the same. In the event of termination by either party, Wylie shall
be compensated pro rata for all services performed up to and including the termination date.
VIII.
DEFAULT
Either party is entitled to declare a default hereunder if the other party fails, refuses or
neglects to comply with any of the terms of this Agreement. If a party declares a default of this
Agreement, this Agreement shall terminate after notice and opportunity to cure as provided for
herein. The party declaring a default shall notify the other party of any default in writing in the
manner prescribed herein. The notice shall specify the basis for the declaration of default, and
the party shall have ten(10) days from the receipt of such notice to cure any default.
IX.
LIABILITY AND INSURANCE
(a) Liabilily. Wylie shall not be liable to the Association or any other person or entity for its
decisions in the manner or method of providing Fire Protection Services or Emergency
Medical Services. This Agreement is not intended to waive or alter any defense or
immunity Wylie has under state law for claims arising out of the performance of this
Agreement, including the manner or method of providing Fire Protection Services or
Emergency Medical Services.
(b) Insurance. The Association shall procure and keep in full force and effect throughout the
term of this Agreement,at its sole cost and expense,all of the insurance policies specified
in, and required by the Insurance Requirements, attached hereto as Exhibit B and
incorporated herein for all purposes. The Association also shall comply with all other
requirements set forth in Exhibit B.
X.
MISCELLANEOUS
(a) Assignment. This Agreement may not be assigned by any party without the prior written
consent of the other party.
(b) Entire Agreement. This Agreement represents the entire and integrated Agreement
between the parties with respect to the matters contained herein and supersedes all prior
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negotiations, representations and agreements regarding these matters, either written or
oral.
(c) Amendment. This Agreement may be amended only by the mutual written agreement of
the parties.
(d) Governing Law: Venue. The laws of the State of Texas shall govern the interpretation,
validity, performance and enforcement of this Agreement, without regard to conflict of
law principles. This Agreement is performable in Collin County, Texas, and the
exclusive venue for any action arising out of this Agreement shall be a court of
appropriate jurisdiction in Collin County, Texas.
(e) Independent Contractor. Each party represents and agrees that it is an independent
contractor and not an officer, agent, servant or employee of the other party; that each
party shall have exclusive control of the details of the services performed hereunder
and all persons performing the same; and that nothing in this Agreement shall be
construed as creating a partnership or joint enterprise between the parties.
(f) Binding Effect. This Agreement shall be binding on and inure to the benefit of the parties
and their respective heirs, executors, administrators, legal representatives, successors and
assigns.
(g) Notice. Any notice provided or permitted to be given under this Agreement must be in
writing and may be served by depositing same in the United States Mail, addressed to the
party to be notified, postage pre-paid and registered or certified with return receipt
requested; facsimile; or by delivering the same in person to such party a via hand-
delivery service, or any courier service that provides a return receipt showing the date of
actual delivery of same to the addressee thereof. Notice given in accordance herewith
shall be effective upon receipt at the address of the addressee. For purposes of
notification,the addresses of the parties shall be as follows:
If to the Association, addressed to it at:
Inspiration Residential Association, Inc.
Attn: Terry Bascher
3102 Oak Lawn, Suite 202
Dallas,Texas 75219
Telephone:
Facsimile:
and
Inspiration Residential Association
8200 Douglas, Avenue, Suite 300
Dallas,Texas 75225
Telephone: 214-750-1800
Facsimile:
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Email: ebruni@huffinescommunities.com
If to Wylie, addressed to it at:
City of Wylie
Attn.: Mindy Manson, City Manager
300 Country Club Road
Wylie, Texas 75098
Telephone: (972) 516-6018
Facsimile: (972) 516-6026
Email: mindy.manson@wylietexas.gov
and
Wylie Fire Department
Attn.: Brent Parker, Wylie Fire Chief
2000 N. Hwy 78
Wylie, Texas 75098
Telephone: (972)442-8111
Facsimile: (972)442-8113
Email: brent.parker@wylietexas.gov
With a copy to:
Abernathy, Roeder, Boyd&Hullett, P.C.
Attention: Ryan D. Pittman
1700 Redbud Blvd., Suite 300
McKinney, Texas 75069
Telephone: (214) 544-4000
Facsimile: (214) 544-4044
Email: rpittman@abernathy-law.com
(h) Immunity. It is expressly understood and agreed that, in the execution and performance
of this Agreement, Wylie not waived, nor shall be deemed hereby to have waived, any
immunity (governmental, sovereign or official) or defense that would otherwise be
available to it against claims arising in the exercise of governmental powers and
functions. By entering into this Agreement, the parties do not create any obligations,
express or implied, other than those set forth herein.
(i) Severability. In the event any one or more of the provisions contained in this Agreement
shall for any reason be held to be invalid, illegal or unenforceable in any respect, such
invalidity, illegality, or unenforceability shall not affect the other provisions, and the
Agreement shall be construed as if such invalid, illegal or unenforceable provision had
never been contained in this Agreement.
(j) Waiver. Waiver by either party of any breach of this Agreement, or the failure of either
party to enforce any of the provisions of this Agreement, at any time, shall not in any way
affect, limit or waive such party's right thereafter to enforce and compel strict
compliance.
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(k) Incorporation of Recitals. The representations, covenants and recitations set forth in the
foregoing recitals of this Agreement are true and correct and are hereby incorporated into
the body of this Agreement and adopted as findings of Wylie and the Association.
(1) Miscellaneous Drafting Provisions. This Agreement shall be deemed drafted equally by
the parties. The language of all parts of this Agreement shall be construed as a whole
according to its fair meaning, and any presumption or principle that the language is to be
construed against either party shall not apply. Headings in this Agreement are for the
convenience of the parties and are not intended to be used in construing this document.
(m) No Third Party Beneficiaries. Nothing in this Agreement shall be construed to create any
right in any third party not a signatory to this Agreement, and the parties do not intend to
create any third party beneficiaries by entering into this Agreement.
(n) Multiple Counterparts. This Agreement may be executed in a number of identical
counterparts, each of which shall be deemed an original for all purposes. An electronic
mail and/or facsimile signature will also be deemed to constitute an original if properly
executed and delivered to the other party.
(o) Authority. The undersigned officers or agents are the properly authorized officials and
have the necessary authority to execute this Agreement on behalf of Wylie and the
Association.
[Signature page follows]
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IN WITNESS WHEREOF, the parties have executed this Agreement and caused this
Agreement to be effective as of the Effective Date.
City of Wylie,Texas
By:
Mindy Manson, City Manager
Date:
ATTEST:
Carole Ehrlich, City Secretary
Inspiration Residential Association,Inc.
By:
President
Date:
Fire Protection Agreement Page it of 18
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STATE OF TEXAS §
COUNTY OF COLLIN §
BEFORE ME, the undersigned authority, on this day personally appeared Mindy
Manson, known to me to be one of the persons whose names are subscribed to the foregoing
instrument; she acknowledged to me that she is the City Manager and duly authorized
representative for the City of Wylie, Texas and that she executed said instrument for the
purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
,2016.
Notary Public in and for the State of Texas
My Commission Expires:
STATE OF TEXAS §
COUNTY OF COLLIN §
BEFORE ME, the undersigned authority, on this day personally appeared
, known to me to be one of the persons whose names are subscribed to the
foregoing instrument; he acknowledged to me that he is the and duly
authorized representative for the Inspiration Residential Association, Inc. and that he executed
said instrument for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
, 2016.
Notary Public in and for the State of Texas
My Commission Expires:
Fire Protection Agreement Page 12 of IS
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Exhibit A
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Exhibit B
Insurance Requirements
I. GENERAL INSURANCE REQUIREMENTS — The Association shall, during the term of the
Agreement, or any renewal or extension thereof, provide and maintain the types and amounts of
insurance as set forth herein at the Association's sole cost and expense. The Association is not
relieved of any liability or other obligations arising under this Agreement by reason of its failure to
obtain or maintain insurance in sufficient amounts, duration or types. All insurance and certificate(s)
of insurance shall contain the following provisions:
A. Name Wylie and its City Council members, officers, agents, representatives and employees as
additional insureds as to all applicable coverage with the exception of workers compensation
insurance.
B. Provide for at least thirty (30) days prior written notice of cancellation, non-renewal or material
change or modification of any policies, evidenced by return receipt or United States Certified
Mail. The words "endeavor to" and "but failure" (to end of sentence) are to be eliminated from
the Notice of Cancellation provision on standard ACORD certificates.
C. Provide for a waiver of subrogation against Wylie for injuries, including death, property damage
or any other loss to the extent the same is covered by the proceeds of the insurance.
D. Provide an endorsement applicable to each policy.
H. INSURANCE COMPANY QUALIFICATION—All insurance companies providing the required
insurance shall be authorized to transact business in the State of Texas and shall have a minimum
rating of"A"by A.M. Best's Key Rating Guide,or other equivalent rating service.
III. CERTIFICATE OF INSURANCE — A Certificate of Insurance and accompanying endorsement
evidencing the required insurance shall be submitted with the Association's execution of the
Agreement. If the Agreement is renewed or extended, a Certificate of Insurance and accompanying
endorsement shall also be provided to Wylie prior to the date the Agreement is renewed or extended.
IV.INSURANCE CHECKLIST — X means that the following coverage is required for the
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Agreement:
Coverage Required Limits
1. Worker's Compensation& E Statutory Limits of the State of Texas
Employer's Liability'
X 2. Commercial General Liability ® Minimum$1,000,000.00 each occurrence;
® Minimum $2,000,000.00 in the aggregate.
X 3. Coverage under the General Liability Insurance is primary to all other coverage City may
possess.
4. Other Insurance Requirements(state below):
Fire Protection Agreement Page 16 of 18
671041
Exhibit C
Compensation Calculation Example
1NSPIRA'r10N
CITY OF WLIE
rnsp ra,N n 1=!rp Protection& EMS Proposo!
The following is an example of the compensation payable to Wylie for the provision of Fire Protection
Services and Emergency Medical Services to the Community, using 2014/2015 applicable numbers as an
illustration. The following is provided for illustration purposes only and is not intended to, and should
not be construed as, modifying or superseding the terms and conditions of the parties' Agreement.
The rate of compensation is based, in part, on the cost residents of Wylie pay for Fire Protection Services
and Emergency Medical Services plus a 15% administrative service fee, the "Out-of-City Service
Charge." The rate will be adjusted as the budgets of the Fire Department and dispatch operations
department are adjusted.
Initial Cost:
• $190,000—annually(payable in equal quarterly installments of$47,500)plus 15%. This rate will
be paid until the per Service Connection rate(see Section V(a)(2))exceeds this amount.
• $140,000—one-time capital expense for squad unit and equipment.
Wylie Rate Calculation:
• 2014/2015 Fire and Emergency Communications Budget—$7,732,513
• Service Connections within Wylie— 14,613
• Cost per Service Connection(Budget/Service Connections)—$529
Inspiration Rate Calculation Example:
• 2014/2015 Cost per Wylie Service Connection—$529
• 15%Out-of-City Service Charge—$78.90
a Association cost per Service Connection—$607.90
Quarterly Payment Example:
• By November 1,2014,the Association will be provided the Wylie rate for 2015 based on the Fire
Department and dispatch operations department budgets. 11
• For an example using the numbers above, $529 per Service Connection plus the Out-of-City
Service Charge of $78.90 for a total of $607.90 equals the Association Cost per Service
Connection.
Fire Protection Agreement Page 17 of 18
671041
• By December 15, 2014, the Association will provide the number of Service Connections in the
Community as of December 1,2014.
• For this quarterly calculation example, assume 200 Association Service Connections as of
December 15,2014. $151.98 (one-fourth of$607.90)multiplied by 200 equals$30,395, which is
less than the sum of$47,500 plus the 15%(or a total of$54,625).
• Based on the previous calculation,on January 1,2015,$47,500 plus 15%will be paid.
• For second quarter of 2015, the Association's Service Connections increase but the calculated
rate remains below the sum of$47,500 plus 15%(or a total of$54,625).
• On June 15, 2015, the Association provides updated information showing that the Association's
Service Connections equal 375.
• The new calculated rate for the third quarter of 2015 is $56,992.50, which exceeds the sum of
$47,500 plus 15%(or a total of$54,625). The July 1,2015 quarterly payment would therefore be
$56,992.50.
Fire Protection Agreement Page 18 of 18
671041