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ILI I My us] 49A."10 <br />To: Mayor and City Council, Date: June 17., 2014 <br />From: David Cavazos <__ ... .... ... . ... . . <br />City Manager i"4z <br />Subject: Orange County Fire Authority Agreement <br />On March 5, 2012, the City entered into a Joint Powers Agreement (JPA) with the Orange County <br />Fire Authority (OCFA) to provide fire services and emergency medical services. OCFA began <br />providing fire and medic services starting on April 20, 2012. Below is a synopsis of the agreement <br />and also for each amendment that has been executed with OCFA. <br />OCFA Joint Powers Agreement (JPA): <br />• Term: 20 years (original OCFA agreement executed June 30, 2010) with option to withdraw <br />at each ten-year interval (June 30, 2020 and June 30, 2030) <br />• Current FY 2014/15 Value of Agreement: $36,801,698 plus annual CPI adjustments capped <br />at 4.5%. The following is a forecast provided by OCFA: <br />F sea ear <br />Est. Annual Cost <br />2015/16 <br />$37.6M <br />201,6/1 <br />$38.4M <br />_._20I7,/,,T$_ <br />$38.8M <br />t <br />$39.6M <br />Est. Annual Increase <br />239% <br />1.99% <br />1.16% <br />1.99% <br />• Services to be provided: OCFA shall provide to the City fire suppression, prevention, <br />investigation, emergency medical, rescue and related services, hazardous materials response, <br />community safety, and education services. <br />• OCFA Governing Board: Santa Ana is provided one (1) Director to the OCFA Board of <br />Directors. <br />• JPA divided into two types of member agencies: <br />• Structural Fire Fund - payment via property tax funds transferred directly from OC <br />Tax Assessor <br />• Cash Contract Cities - remit payment based on invoice for services rendered <br />0 Santa Ana is a Cash Contract member <br />• IPA Contract Amendments: <br />* Amended Agreement (September 23, 1999) Agreement of membership and JPA terms <br />* First Amended Agreement (July 1, 2010) Established a five-year short fall for Cash <br />Contract Cities, increased the annual cost adjustment to 4.5%/year, added automatic <br />renewal language for 20 year terms <br />* Second Amended Agreement (February 10, 2014)- Changes to the agreement to allow <br />refund to Structural Fire Fund cities for overpayment <br />