2003-1414-Minutes for Meeting October 13,2003 Recorded 11/17/2003DESCHUTES COUNTY OFFICIAL RECORDS 0J 2003'1414
NANCY BLANKENSHIP, COUNTY CLERK
COMMISSIONERS' JOURNAL
fill 1 11/17/2003 03;43;06 PM
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2003-1414
DESCHUTES COUNTY CLERK
CERTIFICATE PAGE
This page must be included
if document is re-recorded.
Do Not remove from original document.
Deschutes County Board of Commissioners
1130 NW Harriman St., Bend, OR 97701-1947
(541) 388-6570 - Fax (541) 388-4752 - www.deschutes.org
MINUTES OF MEETING
DESCHUTES COUNTY BOARD OF COMMISSIONERS
and
SUNRIVER SERVICE DISTRICT MANAGING BOARD
MONDAY, OCTOBER 139 2003
Conducted in the Fireside Room of the Great Hall,
adjacent to Sunriver Lodge, Sunriver, Oregon
Present from the County were Commissioners Dennis R. Luke, Tom DeWolf and
Michael M. Daly — the Governing Body of the District. Also present were Mike
Maier, County Administrator; and Laurie Craghead, Legal Counsel.
Present from the Sunriver Service District Managing Board were Jim Meyers, Bill
Starks, Penny Bennington, Allen Braemer and John Salzer; and the District's
attorney, Sharon Smith. Others in attendance were Cliff Vahlman of the Sunriver
Fire Department, Dr. Stephen Hamilton of the Sunriver Owners ' Association
Board, and Doug Seator, member of the Sunriver Service District's 2003-04
Budget Committee.
No media representatives or other citizens were present.
The meeting began at approximately 7:30 a.m.
The first item discussed was Sunriver Service District Management Agreement No.
2002-147. The Managing Board suggested changes to the Articles of the
Agreement having to do with term dates, mileage reimbursement, and the
contracting authority and duties of the Governing Body. (A copy of this document
is attached as Exhibit A.)
Minutes of Meeting: Sunriver Service District Managing Board and Governing Body
Monday, October 13, 2003 Page 1 of 3 Pages
A consensus of the Managing Board and the Governing Body was reached on the
following items.
The term of the Managing Board members will end on August 30. There will
be an addendum to the agreement addressing this change.
The document will be changed so that the mileage reimbursement amount will
reflect what County policy allows; the County adjusts its reimbursement rate
according to Internal Revenue Service rules. The mileage reimbursement
amount for 2003 is $0.36 per mile; however, it appears that the IRS rules will
change on January 1, 2004 to allow for an increase to $0.375 per mile.
Any possible intergovernmental agreements are to be reviewed by Legal
Counsel to determine if the document is a true intergovernmental agreement
that would require governmental body approval. However, the document could
be constructed as a memorandum of understanding.
The County's legal counsel, Laurie Craghead, will work with the District's legal
counsel, Sharon Smith, on the three matters described above.
Being no further discussion or action taken, the meeting adjourned at
approximately 9:00 a.m.
DATED this 13th Day of October 2003 for the Deschutes County Board
of Commissioners.
r
ennis R. Luke, Chair
Tom DeWolf, o is ' er
ATTEST:
Recording Secretary
Minutes of Meeting: Sunriver Service District Managing Board and Governing Body
Monday, October 13, 2003 Page 2 of 3 Pages
DATED this 13th Day of October 2003 for the Sunriver Service District
Managing Board.
Bill Starks, Chair
Attachments
Exhibit A: Sunriver Service District Management Agreement No. 2002-147 (12 pages)
Exhibit B: Suggested changes to the Management Agreement (2 pages) --
Exhibit C: Letter regarding Annual Report of the Managing Board (3 pages)
Exhibit D: Agenda for the October 13, 2003 meeting (1 page)
Exhibit E: Sign -in Sheet for the October 13, 2003 meeting (1 page)
Minutes of Meeting: Sunriver Service District Managing Board and Governing Body
Monday, October 13, 2003 Page 3 of 3 Pages
0
REVIEWED
LEGAL. UNSEL
SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT
AGREEMENT NO. 2002-147
1. Effective Date and Termination Date. The effective date of this agreement shall be
July 1, 2002 or the date on which each party has signed this Agreement, whichever is
later. Unless earlier terminated as provided below, this Agreement shall automatically
renew in the manner provided for in Section 13.
2. Purpose. The Sunriver Service District ("District") was formed on June 26, 2002,
pursuant to ORS 451.410, et seg. for the purpose of acquiring, constructing, maintaining
and operating services as set out below. The District shall be managed and operated by
a Managing: Board which shall have the authority and duties as set out in this
Agreement.
3. Debt Limitation. This agreement is expressly subject to the debt limitation of Oregon
counties set forth in Article XI, Section 10, of the Oregon Constitution, and is contingent
upon funds being appropriated. Therefore, any provisions herein, which would conflict
with law, are deemed inoperative to that extent. Additionally, the District Managing
Board shall not incur any debt unless authorized by this agreement or the District
Governing Body.
4. Structure. The District Governing Body is comprised of the Board of County
Commissioners of Deschutes County, Oregon ("BOCC"). The District Governing Body
has delegated, pursuant to a Memorandum of Understanding, the operation of the
District to the District Managing Board (hereinafter, the "District Managing Board"). The
District Managing Board, as agent for and acting on behalf of the District Governing
Body, shall have the duties and authority as set out in this Agreement.
5. District Managing Board.
a. Composition. The District shall be managed and operated by the District
Managing Board. The District Managing Board shall consist of five members, as
follows:
1) Official Positions.
Position 1:
Current Sunriver Owners Association Board member.
Position 2:
Current Sunriver Owners Association Board member.
Position 3:
Sunriver property owner.
Position 4:
District Elector.
Position 5:
District Elector.
Sunriver Owners Association ("Association") board members shall not
hold a majority of the positions on the District Managing Board.
Pagel of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT.— CONTRACT
NO. 2002-147 (06/26f027),
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2) Ex -Officio Position. In addition to the above -designated positions there shall be
an ex -officio position held by a Deschutes County official. The ex -officio
position shall be appointed by and serve at the pleasure of the District
Governing Body and shall be a non-voting position. Further, one member of
the District Managing Board or the District Managing Board's designee shall be
a member of the 911 County Service District Board.
3) Officers. The Chair and Vice Chair of the District Managing Board shall be
selected in accordance with the District Bylaws. A District Administrator may
also be designated by the District Managing Board.
b. Term. Each member of the District Managing Board shall serve for a term of three
years, except the initial District Managing Board shall serve as follows: the terms for
Position 1 and Position 5 shall expire June 30, 2005; the terms for Position 3 and
Position 4 shall expire June 30, 2004; and the term for Position 2 shall expire June 30,
2003. Thereafter, members shall serve for a term of three years. Terms shall begin on
July 1 and expire on June 30 of the ending year. A member shall serve for no more
than two consecutive terms. Positions 1 and 2 members must be current members of
the Association's board at the time of their appointment to the District Managing Board.
If either such member's service on the Association's board terminates prior to the
expiration of their term on the District Managing Board, their term on the District
Managing Board shall terminate at the same time as the termination of their term on
the Association board.
C. Appointments. The District Managing Board, except the ex -officio position, shall be
appointed by the District Governing Body after reviewing recommendations by the
Association. The Association shall assist the District Governing Body by soliciting, in
writing, applications for all positions for which the Association makes
recommendations. Such solicitation shall appear in a publication of general circulation
within the District, or any other generally accepted method of notification which
reasonably ensures notice to all property owners in the District.
d. Removal. Members of the District Managing Board shall serve at the pleasure of
the Governing Body and may be removed with or without cause by action of the
Governing body, either upon its own motion, or upon the recommendation of a majority
of the members of the Association's Board of Directors.
e. Compensation And Expenses. The District Managing Board members shall not be
entitled to receive any compensation attributable to service as a member of the District
Managing Board. A District Managing Board member may be reimbursed for any
expense which he or she incurs on behalf of the District Managing Board, provided
such expenditure is approved by the Chair of the District Managing Board and proper
voucher(s) supporting such expenditure is submitted to the Chair. All of the Chair's
expense reimbursement requests shall be submitted to the Vice Chair of the District
Managing Board.
f. Committees. The District Managing Board shall have the authority to appoint such
committees as in its discretion it deems necessary to assist the District Managing
Board in the operation of District. The duties and powers of such committees shall be
determined by the District Managing Board.
Page 2 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
SN. gdZpe" DWAc--Wwv%w CSMAMAGEMENT AGREEMENT - 3AW
Exhibit 14
Page ---of ��
g. Meetings. Each member of the District Managing Board, except the ex-offico member,
shall have an equal vote in all District Managing Board decisions. The District
Managing Board shall hold regular meetings and may hold special meetings as
necessary. A special meeting may be called by the District Managing Board Chair or
upon the request of any two Board members. All meetings shall be held in accordance
with the Bylaws of the District and shall meet the requirements set forth in ORS
Chapter 192.
6. Administration. The District Managing Board is authorized to contract with the Association
for administrative services, and leasing of District Facilities, and is also authorized to employ
an Administrator to manage the daily operations of the District. The District Managing Board
shall obtain the written approval of the Association prior to employing an Administrator.
7. Authority And Duties Of Managing Board.
a. District Services. Upon the issuance of an order by the District Governing Body
pursuant to the provisions of ORS 451.485, and subsequent majority approval in a
referendum vote upon such an order pursuant to ORS 451.487, the District Managing
Board may acquire, construct, maintain, and operate any one or more of the following
service facilities:
1. Fire prevention and protection;
2. Security services provided by agreement;
3. Law enforcement services;
4. Emergency medical services, including ambulance services.
b. Association Recommendations. Nothing herein shall be construed so as to prevent
either the Association or any other owner of property or elector within the District from
initiating a recommendation to the District Governing Body either favoring or opposing
an order relating to the above listed services, and the District Governing Body may by
its own initiative request recommendations from the Association or other members of
the public.
C. Contracting.
1. The authority to create any of the above service facilities shall include the
authority to enter into agreements with necessary associations or public
agencies. Purchasing of facilities, materials and services shall be in
compliance with ORS Chapter 279. All equipment, facilities, and materials
purchased with public funds shall remain public property unless expended in
the course of operation of the service facilities or disposed in accordance with
the applicable laws relating to the disposal of surplus property of the district.
2. The District Managing Board shall have the authority to enter inti .,ypements
to be completed within the respective fiscal year for financing in anticipation of
tax revenues or other funding sources.
Page 3 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
S Le¢aflSpe D--Mcft%Sumtver CSArMANAGEMENT AGREEMENT - 3 -doe
Exhibit 14
Page 3 of �_
3. Any agreement, lease, license, agreement with or sale or transfer to the
Association ("agreement") shall not be greater than the fair market value
reasonable cost for the agreement and must include an analysis by an
independent third party verifying the value and reasonableness of such
agreements.
d. Financing Authority. The District Managing Board may obtain financing for any or all of
the service facilities by any method authorized by law including, but`not limited to the
establishment of a tax base, the use of funds from a fund established under ORS
280.055 or ORS 451.540.
e. Bylaws. The District Managing Board shall adopt Bylaws for the operation of the
District. The Bylaws shall be adopted by a two-thirds vote of the District Managing
Board. The Bylaws must be approved by the Association.
f. Budgeting. The District Managing Board shall prepare a proposed fiscal year budget
for the District. The District Managing Board shall submit the proposed fiscal year
budget to the Association for review and approval prior to submitting the proposed
fiscal year budget to the full Budget Committee established pursuant to the
requirements of ORS 294.336.
g. Personnel. The District Managing Board may employ, evaluate and terminate
employees necessary for performing the services of each service facility. The District
Managing Board shall prepare and approve personnel standards and policies relating
to all employees. Further, the District Governing Board delegates the authority and
responsibility to the District Managing Board to establish personnel regulations for
employees of the Districts fire department that substantially accomplishes the general
purposes of ORS 242.702 to 242.824.
h. Purchasing. The District Managing Board may purchase, lease or otherwise contract
for equipment and supplies necessary for any service facility approved in the fiscal
year budget. The District Managing Board may enter into contracts to provide for
financing of needed equipment and supplies. The District Managing Board may not,
however, enter into any obligation to be performed under a subcontract unless such
subcontract provides for termination upon non -appropriation of funds by the District
Governing Body.
L Liability Insurance. The District Managing Board shall maintain public liability
insurance coverage in an amount not less than the tort limits for public bodies as set
out in Oregon Tort Claims Act, ORS 30.270 naming the District, Governing Body, and
District Managing Board as insureds. If required pursuant to any agreement with
Association, liability insurance purchased by the District Managing Board shall name
the Association as an additional insured. The District Managing Board shall also
maintain insurance covering the buildings, equipment and other tangible property,
either owned or leased, by District in an amount not less than replacement value.
j. Compliance with Budget and Public Records Laws. The financial transactions of the
District Managing Board shall be in compliance with the requirements of the local
budget laws and expenditure limitations contained in the laws of the State of Oregon.
All records of the District Managing Board shall be deemed public records in
accordance with ORS; Chapter 1.92.
Page 4 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
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k. Confidentiality. The District Managing Board shall not use, release or disclose any
information concerning any employee, client, applicant or person doing business with
the District for any purpose not directly connected with the administration of District
Governing Body's or the District Managing Board's responsibilities under this
Agreement except upon written consent of the District Governing Body, and if
applicable, the employee, client, applicant or person. The District Managing Board shall
ensure that its agents, officers and subcontractors and District employees with access
to the District Governing Body and District Managing Board records understand and
comply with this confidentiality provision. The District Managing Board shall
immediately contact District Governing Body when media contact occurs unless such
contact occurs at a public meeting of the District or relates to routine District
administration such as time and place of future public meetings.
Drugs and Alcohol. The District Managing Board shall enforce a zero tolerance as to
dealing, possession, or use of drugs or alcohol by the District Managing Board or the
District's employees, subcontractors and agents while performing work under this
agreement.
M. Expense Reimbursement. The District Managing Board shall enforce the Expense
Reimbursement Policies for each District Managing Board member, District employee
and contractor. Only expenses reasonably and necessarily incurred in the
performance of this agreement, an employee's employment or a contract shall be
reimbursed. Expenses reimbursed shall be at the actual cost incurred, including any
taxes paid, and shall not include any mark-up unless the mark-up on expenses is
specifically agreed to in the agreement. The cost of any contracted work approved in
the agreement shall not be marked up. The District Managing Board shall not pay for
any time expended to complete the documents necessary for reimbursement of
expenses or for payment under this agreement. The maximum amounts for certain
reimbursable expenses are set forth in Exhibit 1," attached hereto and by this
reference incorporated herein.
n. Access to Records. The District Managing Board shall maintain fiscal records and all
other records pertinent to this Agreement.
1) All fiscal records shall be maintained pursuant to generally accepted
accounting standards, and other records shall be maintained to the extent
necessary to clearly reflect actions taken. All records shall be retained and
kept accessible for at least three years following the.final payment made under
the agreement or all pending matters are closed, which ever is later. If an
audit, litigation or other action involving the agreement is started before the end
of the three year period, the records shall be retained until all issues arising out
of the action are resolved or until the end of the three year period, whichever is
later.
2) The District Governing Body's authorized representatives shall have the right to
direct access to all of the District Managing Board's books, documents, papers
and records related to this Agreement for the purpose of conducting audits and
examinations and making copies, excerpts and transcripts. These records also
include licensed software and any records in electronic form, including but not
limited to computer hard drives, tape backups and other such storage devices.
Page 5 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
S.%LegaPS)edal DlsMdASundver CSDWANAGEMENT AGREEMENT - 3.doc
Exhibit Ff
Page .S of 1'2-
The District Governing Body, the Secretary of State's Office of the State of
Oregon, the Federal Government, and their duly authorized representatives,
shall have license to enter upon the District Managing Board's premises to
access and inspect the books, documents, papers, computer software,
electronic files and any other records of the District Managing Board which are
directly pertinent to this Agreement for the purpose of making audits,
examinations, excerpts, copies and transcriptions.
3) The District Managing Board shall include this provision in any subcontracts.
o. Materials. At all times, the District Managing Board shall make reasonable efforts to
use recycled materials in the performance of work required under this agreement.
P. Compliance with provisions requirements of funding source and Federal and State
laws statutes rules regulations, executive orders and policies. The District Managing
Board shall comply with any requirements, conditions or limitations arising under the
terms of any grant funding source or required pursuant to any Federal or State law,
statute including all provisions in ORS 279, rule, regulation, executive order and policy
applicable to this agreement.
q. Subcontractor. Any contracts that the District Managing Board may authorize shall
contain all pertinent requirements of this agreement, and the District Managing Board
shall be responsible for the performance of the contractor.
8. Authority And Duties Of District Governing Body.
a. The District Governing Body shall act at all times in an advisory capacity to the District
Managing Board.
b. The District Governing Body shall also provide, upon request of the District Managing
Board, the necessary auditing services for the service facilities at reasonable cost to
the District Managing Board.
C. The District Governing Body, acting as members of the Budget Committee required by
ORS 294.336, shall participate in the review and approval of the fiscal year budget,
and shall assume responsibility for compliance with all publication, notice and hearing
requirements for the budget process. The District Governing Body shall also prepare
and complete all necessary election filings and other requirements for any tax base
levy.
9. Accounting. The fiscal year of the District shall be the same as that established for
Deschutes County, Oregon.
10. Ownership of Work. All work of the District Managing Board that results from this
Agreement (the "Work Product") is the exclusive property of the District Governing Body.
11. Review. This Agreement shall be reviewed at least annually by the District Managing Board
and the District Governing Board. Modifications or amendments to this Agreement may be
proposed by the District Managing Board, electors of the District or the District Governing
Body. Such modifications or amendments will become effective only upon the receipt of a two
-thirds favorable vote by the District Governing Body. Additionally, the District Managing
Page 6 of 12 S.UNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26702)
s: aW.SmM asWdWWx er CSMV GEM8ff AcRMMMr - Ube
Exhibit_ ,4
Page 6a of Z
Board shall provide the District Governing Body with periodic reports at the frequency and
with the information prescribed by the District Governing Body. Further, at anytime, the
District Governing Body has the right to demand adequate assurances that the services
provided by the District Managing Board will be in accordance with this Agreement. Such
assurances provided by the District Managing Board shall be supported by documentation
from third parties.
12. Criminal Background Investigations. The District Managing Board- understands that
members of the District Managing Board, the District's employees, contractors and their
employees are subject to periodic criminal background investigations by the District Governing
Body and, if such investigations disclose criminal activity not disclosed by any member, such
non -disclosure shall constitute a material breach of this agreement and the District Governing
Body may terminate that District Managing Board member, employee or contractor effective
upon delivery of written notice to the Board Member, employee, or contractor or at such later
date as may be established by the District Governing Body. The District Managing Board shall
include this provision in each contract with District contractors.
13. Duration Of Agreement.. This Agreement shall be automatically extended from year to year
on the same terms and conditions, including modifications and amendments.
14. Early Termination. Not withstanding Paragraph 13, this Agreement may be terminated as
follows:
a. Mutual Consent. District Governing Body and District Managing Board, by mutual
written agreement, may terminate this Agreement at any time.
b. Party's Convenience. District Governing Body or District Managing Board may
terminate this Agreement for any reason upon 30 days written notice to the other party.
C. For Cause. District Governing Body may also terminate this agreement effective upon
delivery of written notice to the District Managing Board, or at such later date as may
be established by the District Governing Body, if state laws, regulations or guidelines
are modified, changed or interpreted in such a way that the responsibilities may no
longer be delegated to the District Managing Board.
d. District Managing Board Default or Breach. The District Governing Body, by written
notice to the District Managing Board, may immediately terminate the whole or any part
of this agreement under any of the following conditions:
1) If the District Managing Board fails to provide services called for by this
agreement within the time specified or any extension thereof.
2) If the District Managing Board fails to perform any of the other requirements of
this agreement or so fails to pursue the work so as to endanger performance of
this agreement in accordance with its terms, and after receipt of written notice
from the District Governing Body specifying such failure, the District Managing
Board fails to correct such failure within 10 calendar days or such other period
as the District Governing Body may authorize.
15. Remedies. In the event of breach of this Agreement the parties shall have the following
remedies:
Page 7 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
SALepel\SpedW Distridst.Sunrhw CSDMMNAGEMENT AGREEMENT - 3.doc
Exhibit %4
Page 7 of /2
a. Termination under paragraphs 14 a. through c. above shall be without prejudice to any
obligations or liabilities of the District already reasonably incurred prior to such
termination. The District Managing Board may not incur obligations or liabilities after
the District Managing Board receives written notice of termination.
b. If terminated under 14 d. by the District Governing Body due to a breach by the District
Managing Board, the District Governing Body may pursue any remedies available at
law or in equity. Such remedies may include, but are not limited to, termination of this
agreement and declaration of ineligibility for the receipt of future agreement awards.
Additionally, District Governing Body may complete the work either itself, by agreement
with another contractor, or by a combination thereof.
C. In addition to the remedies in paragraph 15.b. for a breach by the District Managing
Board, the District Governing Body also shall be entitled to any other equitable and
legal remedies that are provided by law.
d. Neither the District Governing Body nor the District Managing Board shall be held
responsible for delay or default caused by fire, civil unrest, labor unrest, riot, acts of
God, or war where such cause was beyond reasonable control of District Governing
Body or the District Managing Board, respectively. The District Managing Board shall,
however, make all reasonable efforts to remove or eliminate such a cause of delay or
default and shall, upon the cessation of the cause, diligently pursue performance of its
obligations under this Agreement.
e. The passage of the agreement expiration date shall not extinguish or prejudice the
District Governing Body's right to enforce this agreement with respect to any default or
defect in performance that has not been cured.
16. District Managing Board's Tender upon Termination. Upon receiving a notice of
termination of this Agreement, the District Managing Board shall immediately cease all
activities under this Agreement, unless the District Governing Body expressly directs otherwise
in such notice of termination. Upon termination of this Agreement, the District Managing Board
shall deliver to the District Governing Body all documents, information, works -in -progress and
other property that are or would be deliverables had the agreement been completed. Upon the
District Governing Body's request, the District Managing Board shall surrender to anyone
District Governing Body designates, all documents, research, objects or other tangible things
needed to complete the work.
17. Waiver. The District Governing Body's delay in exercising, or failure to exercise any right,
power, or privilege under this agreement shall not operate as a waiver thereof, nor shall any
single or partial exercise or any right, power, or privilege under this agreement preclude any
other or further exercise thereof or the exercise of any other such right, power, or privilege.
The remedies provided herein are cumulative and not exclusive of any remedies provided by
law.
18. Governing Law. This Agreement shall be governed by and construed in accordance with the
laws of the State of Oregon without regard to principles of conflicts of law. Any claim, action,
suit or proceeding (collectively, "Claim") between District Governing Body and the District
Managing Board members that arises from or relates to this Agreement shall be brought and
conducted solely and exclusively within the Circuit Court of Deschutes County for the State of
Page 8 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT - CONTRACT NO.
2002-147 (06/26/02)
SAlAWSpe" [X*WsG =tw CSDWA MGEMENT AGREEMENT - 3.d=
Exhibit_
Page s- of / Z
Oregon; provided, however, if a Claim must be brought in federal forum, then it shall be
brought and conducted solely and exclusively within the United States District Court for the
District of Oregon. The UN Convention on International Sales of Goods will not apply.
19. Severability. If any term or provision of this Agreement is declared by a court of competent
jurisdiction to be illegal or in conflict with any law, the validity of the remaining terms and
provisions shall not be affected, and the rights and obligations of the parties shall be construed
and enforced as if the Agreement did not contain the particular term or provision held invalid.
20. Anti -discrimination Clause. No person shall, on the grounds of race, color, creed, national
origin, sex, marital status, or age, suffer discrimination in the performance of this agreement
when employed by the District. The District Managing Board shall comply with Title VI of the
Civil Rights Act of 1964, with Section V of the Rehabilitation Act of 1973, and with all
applicable requirements of federal and state civil rights and rehabilitation statutes, rules and
regulations. Additionally, each party shall comply with the Americans with Disabilities Act of
1990 (Pub. L. No. 101-336), ORS 659.425, and all regulations and administrative rules
established pursuant to those laws. Further, District Managing Board shall not discriminate
against minority-owned, women -owned or emerging small businesses in awarding
subcontracts as required by ORS 279.111.
21. Amendments. This agreement may not be waived, altered, modified, supplemented, or
amended in any manner except by written instrument signed by the District Governing Body
and the District Managing Board.
22. Merger Clause. This Agreement and the attached Memorandum of Understanding — Contract
No. 2002-201 constitute the entire agreement between the parties. All understandings and
agreements between the parties and representations by either party concerning this
Agreement are contained in this Agreement. No waiver, consent, modification or change in
the terms of this Agreement shall bind either party unless in writing signed by both parties.
Any written waiver, consent, modification or change shall be effective only in the specific
instance and for the specific purpose given.
23. Notice. Expect as otherwise expressly provided in this Agreement, any communications
between the parties hereto or notices to be given hereunder shall be given in writing by
personal delivery, facsimile, or mailing the same, postage prepaid, to District Managing Board
or District Governing Body at the address or number set forth below, or to such other
addresses or numbers as either party may hereafter indicate pursuant to this Section 22. Any
communication or notice so addressed and mailed shall be deemed delivered five (5) days
after mailing. Any communication or notice sent by facsimile shall be deemed delivered when
the transmitting machine generates receipt of the transmission. To be effective against District
Governing Body, such facsimile transmission must be confirmed by telephone notice to District
Governing Body's Director of Administrative Services. Any communication or notice by
personal delivery shall be deemed delivered when actually given to the designated person or
representative.
Page 9 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
SI.ePMpedal gstActs%Sundver CSDWANAGEMENT AGREEMENT - 3.dac
Exhibit 4
Page g of /Z
To District Managing Board:
o Sunriver Owners Association
O Box 3278
Sunriver, OR 97707
24. Survival. All rights and
Agreement, except for the
and 18-20.
ATTEST:
tecording Secretary
To District Governing Body:
Michael A. Maier
Director of Administrative Services
Deschutes District Governing Body
Administration
1130 NW Harriman Street
Bend, Oregon 97701
obligations shall cease upon termination or expiration of this
rights and obligations set forth in Sections 7. k., n., o., p., 14-15,
Dated this �---of 2002
BOARD OF NTY O MISSIONERS
TOM DEW , CHAI
NNIS R. LUKE, COMMISSIONER
MI M. ALY, CO MISSIONER
r �
Dated this of : i "`' , 2002
SUNRIVER OWNERS A SOCIATION
By:�s�t
Title:
Page 10 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
&-Legd%SpWd asvcW,- Wvw CSDwmAGEMENT AGREEMENT - 3A e
Exhibit
Page /cam of /2
EXHIBIT 1
SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT
Agreement No. 2002-147
Expense Reimbursement
1. Travel and Other Expenses. (When travel and other expenses are reimbursed.)
a. It is the policy of the District Governing Body that all travel shall be allowed only when
the travel is essential to the normal discharge of the District Governing Body
responsibilities. All travel shall be conducted in the most efficient and cost effective
manner resulting in the best value to the District Governing Body. The travel must
comply with all the requirements set for in this Exhibit and must be for official District
Governing Body business only. Personal expenses shall not be authorized at any time.
All expenses are included in the total maximum agreement amount.
b. Travel expenses shall be reimbursed only in accordance with rates approved by the
District Governing Body and only when the reimbursement of expenses is specifically
provided for in paragraph 4 of this agreement. The current approved rates for
reimbursement of travel expenses are set forth below.
C. District Governing Body shall not reimburse for any expenses related to alcohol
consumption or entertainment.
d. Except where noted, detailed receipts for all expenses must be provided. Charge slips
for gross amounts are not acceptable.
e. District Governing Body shall not reimburse District Managing Board for any item that
is not otherwise available for reimbursement to an employee of Deschutes District
Governing Body.
2. Approved reimbursement rates are as follows:
a. Mileage. Mileage for travel in a private automobile, while District Managing Board is
acting within the course and scope of District Managing Board's duties under this
agreement and driving over the most direct and usually traveled route, will be
reimbursed at a rate of 36.5 cents per mile. To qualify for mileage reimbursement,
District Managing Board must hold a valid, current driver's license for the class of
vehicle to be driven and carry personal automobile liability insurance in amounts not
less than those required by this agreement. No mileage reimbursement will be paid for
the use of motorcycles or mopeds.
b. Meals. Per Diem for meals is $40 per day.
1. For purposes of calculating individual meals where the District Managing Board
is entitled only to a partial day reimbursement, the following allocation of the
meal per diem applies: Breakfast, $10; Lunch, $10; Dinner, $20.
Reimbursement rates for meals are "per diem" and receipts are not required for
reimbursement. District Governing Body will not, however, pay any
reimbursement for meals included as part of a conference fee.
Page 11 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
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Exhibit fl
Page /,- of / 2
2. Except in the event of necessary overnight travel as provided below, breakfast
and dinner expenses shall be reimbursed only if District Managing Board, while
acting within the course and scope of his/her duties under this agreement, is
required to travel more than two (2) hours: (a) before the start (for breakfast
expense reimbursement), or (b) after the end (for dinner expense
reimbursement), of District Managing Board's regular workday (8:00 a.m. to
5:00 p.m.). Lunch expense is reimbursable only if District Managing Board,
while acting within the course and scope of his/her duties under this agreement,
is required to travel overnight and begins or ends the journey, respectively,
before or after 11:00 a.m. Breakfast and dinner expenses are reimbursable
during District Managing Board's necessary overnight travel while acting within
the course and scope of his/her duties under this agreement.
C. Lodging. District Governing Body will reimburse District Managing Board for District
Managing Board's actual cost of lodging up to $80 per night for lodging necessary to
provide service to the District Governing Body. Reimbursement rates for lodging are
not considered "per diem" and receipts are required for reimbursement.
d. Other travel expenses. In addition to meals and lodging, out-of-state travel expenses
will be reimbursed for airfare and rental vehicles only if District Managing Board is
acting within the course and scope of his/her duties under this agreement. Receipts are
required for all out-of-state travel expenses except meals. All District Managing Board
representatives will fly "coach class", unless District Managing Board personally pays
the difference. All District Managing Board representatives will be limited to an
economy or compact size rental vehicles, unless the District Managing Board
personally pays the difference.
e. District Governing Body will not reimburse District Managing Board for any airline ticket
or vehicle rental charges in excess of the lowest fare and vehicle rental available.
3. Exceptions. District Managing Board shall obtain separate written approval of Director of
Administrative Services for any exceptions to the expense items listed above prior to incurring
any expense for which reimbursement will be sought.
Page 12 of 12 SUNRIVER SERVICE DISTRICT MANAGEMENT AGREEMENT — CONTRACT NO.
2002-147 (06/26/02)
S:\Lega1\Speda1 Distdcts\Sunriver CSDWANAGEMENT AGREEMENT - 3.doc ,
Exhibit
Page /z of —12—
Pursuant to Article 11 of the Sunriver Service District Management Agreement (No.
2002-147), the first annual review is being held on this date, October 13, 2003.
The Managing Board wishes to consider changes to the following Articles:
5(b) Term
7(c, l) Contracting and 8 Authority and Duties of the Governing Body
Exhibit 1, 2(a) Mileage
5(b) Term -The term end date of 6/30 does not comprehend the different end date for
members of the Managing Board who are also members of the SROA Board.
The two basic problems with the board terms in the Management Agreement are 1) they
don't line up with the SROA board and 2) if a position is filled with an SROA board
member and their term expires on the SROA board, they must resign from the District
board immediately.
1) can be solved in a number of ways:
A) Change the SROA board terms to end on 6/30 (move the SROA election)
which renders 2) moot.
B) Change the District board terms to end at the same time as the SROA board
terms however this is a bit of a floating target based on the SROA bylaws and will
also be hard to manage.
C) Change the District board terms to end after new SROA board members are
installed and time is available for the GB to make new appointments (say 8/30).
2) revise this constraint to permit retiring SROA board members who also serve on the
District Board to remain on the District board until their replacements are appointed. This
would not apply to any SROA board member who does not complete their term. Combine
this with 1(C) and you have something that will work and will keep the District Board
fully populated under normal circumstances as there will be enough time to get new
appointments in place before District members retire.
Of course, any other time where a District board member leaves before the end of their
term, a gap will occur until a new appointment is made but that hopefully won't happen
often.
Exhibit 16
Page [-,of 2-
7(c, l) Contracting and 8 Authority and Duties of the Governing Body
The Governing Body currently assumes responsibility for approving all intergovernmental
agreements (IGAs) although this is not specified in Article 8. 7(c, l) permits the Managing
Board to contract with other government agencies, for example communication services
from DCSO, but this is not the way we operate as this kind of agreement is considered
and titled an IGA. There are other IGAs soon to be dealt with including mutual aid
agreements and a possible realignment of the ambulance service area with Bend Fire.
Clarification of responsibility in the Management Agreement is needed. If the GB insists
on approving all the IGAs, the Managing Board desires to understand the rationale as we
are not aware of a legal requirement per District counsel.
Exhibit 1, 2(a) Mileage
The mileage reimbursement rate is fixed at $0.365 in the document. This changes with
IRS rules which in fact have currently lowered the limit to $0.36 which the District has
been following. We believe the amount needs to be indexed to IRS rules or whatever
other policy not exceeding IRS limits the County uses.
Exhibit ts
Page of
SUNRIVER SERVICE DISTRICT
PO Boz 2108, Sunriver, OR 97707-4108
Managing Board of Directors
William E. Starks, Chairman
John Salzer, Vice-chairman
Penny Bennington, Treasurer
Allen Braemer, Director
Jim Meyers, Director
September 15, 2003
Sunriver Service District Governing Body
1130 NW Harriman Street
Bend, OR 97701
Subject: Annual Report of the Managing Board
pEPAR1-11
T�yj
4444
1
SUNRIVER
Administration 541-593-2411
Fax 541-593-5669
Fire Department 541-593-8622
Police Department 541-593-1014
2002-2003 was a year focused on District startup and transition of staff and equipment from the
Sunriver Owners Association. Time was not in our favor as the Police Department commissions
were due to be rescinded on September 30, 2002. Notwithstanding all of the learning to be a
public entity, creation and adoption of necessary policies, and wrestling with the statutory
requirement to participate in PERS, the following major events occurred:
Transition of Police Department
9/16/02
Transition of Fire Department (FTEs)
10/1/02
Transition of Fire Department volunteers
12/16/02
Fire Department back to full staff (FTEs)
3/1/03
State Accreditation of Police Department
4/10/03
Fire Chief on board
5/19/03
2003-2004 budget adopted
6/25/03
To accomplish this, coverage of services were contracted from the Sunriver Owners Association
(SROA) at cost until each group was transitioned. This approach allowed all District services to
be delivered without any gaps and transition was achieved without any loss or change in service
to the taxpayers or community guests as was our goal.
Exhibit (2�
Page I I of ,3
The District Managing Board worked extremely hard to make this happen, processing almost 75
resolutions in the first 12 months along with many other actions. The Board consisted of:
Bill Starks (Chair, term expires 6/30/05)
John Salzer (Vice -Chair, term expires 6/30/05)
Penny Bennington (Budget Officer and Director, term expires 6/30/04)
Allen Braemer (Director, term expires 6/30/04)
Dave Setzer (Director, term expired 6/30/03)
The year was finished under budget with preliminary (un -audited) results as follows:
Budget Preliminary Surplus
Actual
Revenue (Fund 715)
$2,611,722
$2,661,427
$ 49,705
Expenses (Fund 715)
$2,611,722
$2,349,142
$262,580
Revenue (Fund 716)
$ 150,000
$ 150,021
$ 21
Expenses (Fund 716)
$ 125,100
$ 47,368
$ 77,732
While it was necessary to re -allocate between personal services and materials/services to reflect
the early contract with SROA for interim services, no major category was outside of budget at
the end of the year. Major factors which provided the favorable performance in both revenue
and expenses were:
Higher than expected property tax collections and ambulance service fees
Lower personal services expense in the Fire Department due to the late hiring of the
Chief
Lower retirement plan costs driven by the 6 month individual enrollment lag required by
PERS
Lower vehicle maintenance expense than budgeted in both departments
Early purchase of two police cruisers by SROA prior to 7/1/2002
These factors offset higher than budgeted expenses in startup legal costs and communications
services contracted with the Deschutes County Sheriff.
One surprise occurred during the year, although not unexpected at some point. The career
firefighters filed with the Oregon State Employment Relations Board for representation by the
International Association of Firefighters in April. An election has not yet been held as the
positions to be included are under review by an administrative law judge at the District's request.
K
Exhibit (:?'-
Page
D
Page _?_ 0f 3
Looking forward to this year, our major goals are:
Successfully conclude the representation petition of the career firefighters
Develop a strategic plan consistent with SROA's goals
Complete renegotiation of all mutual aid IGAs under the District name
Continue to deliver budget performance to the 2001 pre -district projections
including a consistent 2004-2005 adopted budget
Managing Board members and officers for this year are:
Bill Starks (Chair, term expires 6/30/05)
John Salzer (Vice -Chair, term expires 6/30/05)
Penny Bennington (Treasurer, term expires 6/30/04)
Allen Braemer (Director, term expires 6/30/04)
Jim Meyers (Director, term expires 6/30/06)
Bill Chapman (Budget Officer, appointment expires 6/30/04)
Respectfully submitted,
Bill Starks
Chair, Sunriver Service District Managing Board
Cc:
District Board
Department Chiefs
Legal Counsel
Exhibit (—I
Page 3 of �§
Sunriver Service District
Governing Body and
Managing Board
Special Meeting Agenda
October 13, 2003
This meeting will be held at 7:30AM in the Fireside Room of the
Great Hall located adjacent to the Sunriver Lodge, Sunriver.
1. Call to order
2. Roll call
3. Public Input
4. Annual review of the Management Agreement between the
Governing Body and the Managing Board. This is a working
session with discussion only.
5. Other Business
Please note board meetings are subject to last minute agenda
additions, deletions, rescheduling and other changes.
Questions? Call Terri Hall @ 593-8622
Exhibit P
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Exhibit E
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