Title
Consider/Discuss/Act on a Resolution Authorizing the City Manager to Execute the Second Amendment to the Animal Shelter Interlocal Agreement Between the City of McKinney, Texas and Collin County
Summary
COUNCIL GOAL: Operational Excellence
MEETING DATE: August 5, 2019
DEPARTMENT: City Manager’s Office
CONTACT: Trevor Minyard, Assistant to the City Manager
RECOMMENDED CITY COUNCIL ACTION:
• Approve Resolution
ITEM SUMMARY:
• Staff has worked with Celina, Frisco, and Collin County (current members of the Operating Committee) to amend and extend the Interlocal Agreement (ILA) as presented.
• The proposed amendment extends the term of the ILA through 2023 and creates an automatic renewal term of five years. Furthermore, the ILA shall automatically renew and continue for additional Renewal Terms until such time as the Parties explicitly determine not to renew this Agreement, or further amend the ILA.
• The City Attorney’s Office has reviewed and approved the second amendment to the proposed ILA.
• Staff recommends approval of the resolution.
BACKGROUND INFORMATION:
• In the fall of 2006, the City of McKinney along with the Cities of Anna, Celina, Fairview, Farmersville, Frisco, Lowry Crossing, Melissa, Princeton, and Prosper entered into an Interlocal Agreement (ILA) with Collin County for the Facility Construction and Use of an animal shelter.
• The initial agreement had an initial term of 10 years with year-to-year automatic renewals after ten years.
• Among the terms of the agreement, an Operating Committee was established to coordinate with the Collin County Animal Shelter (CCAS) staff review the budget and provide oversight of the facility.
• The Operating Committee consists of the City of Frisco, McKinney, and a rotating member, currently the City of Celina. This committee will continue within the terms of the proposed amendment to the ILA.
FINANCIAL SUMMARY:
• No significant changes are proposed in the ILA as it relates to fees from the agreement’s participants. The agreement is on a population share basis, with the cities of McKinney and Frisco accounting for roughly 60-70% of each year’s operating and capital revenues.
• A full list of ILA participants is available in ‘Exhibit G’ of the agreement.
• Funding for the CCAS ILA will continue to be paid for from the General Fund, and is incorporated into the FY 2020 proposed budget.
• The FY 2020 Collin County Animal Shelter (CCAS) allocation for McKinney is $369,688.
o This figure is derived from a population-based allocation for the total annual operating and capital budget of the CCAS.
o The annual CCAS capital budget is $60,000, and is allocated to each participant of the ILA according to population size. McKinney’s allocated portion for FY 2020 is $22,779.
o The annual CCAS operating budget is $1,153,682, and is allocated to each participant of the ILA according to population size. McKinney’s allocated portion (after adjustments for CCAS revenues and prior year savings) for FY 2020 is $346,909.
o The previous five years’ average operational and capital costs for McKinney’s allocation of the CCAS ILA is approximately $325,000.
BOARD OR COMMISSION RECOMMENDATION:
• N/A