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Contract - Cities of Cedar Park, Hutto, Leander, Georgetown & Williamson County Regional Animal Shelter - 4/11/2024 MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF GEORGETOWN AND THE WILLIAMSON COUNTY REGIONAL ANIMAL SHELTER MEMBER GOVERNMENTS This Memorandum of Understanding ("MOU") is made by the County of Williamson and the Cities of Cedar Park, Round Rock, Hutto, and Leander(collectively the "Member Governments") and the City of Georgetown("Georgetown"). RECITALS WHEREAS, the purpose of this Memorandum of Understanding is to set forth the intention of the Member Governments and Georgetown; and WHEREAS,Georgetown currently operates an animal shelter within Williamson County; and WHEREAS, Georgetown's animal shelter performs animal sheltering and control functions substantially similar to the WCRAS (as defined below); and WHEREAS, Georgetown's animal shelter is regularly at capacity and Georgetown's shelter and operations need to significantly expand in order to meet Georgetown's public need; and WHEREAS, Texas Government Code, Chapter 791, the Interlocal Cooperation Act provides that any one or more public agencies may contract with each other for the performance of governmental functions and for the joint use of facilities or services for the promotion and protection of the health and welfare of the inhabitants of this State and the mutual benefit of the Parties; and WHEREAS, each of the Member Governments require a regional animal control shelter with the capability of providing animal control services within the Williamson County, Texas,area on a regular basis; and WHEREAS, pursuant to the Williamson County Regional Animal Shelter Interlocal Agreement, as amended (the "Agreement"), the Member Governments jointly operate the Williamson County Regional Animal Shelter ("WCRAS") for the purpose of providing the public need for animal sheltering and control services within Williamson County; and WHEREAS, the WCRAS also regularly operates at capacity and needs to expand its facility and operations in order to provide the public need for animal shelter and control services within Williamson County; and ►2-2021-619 WHEREAS,the Parties share a common interest in designing and expanding a facility to better serve animal sheltering and control needs as described in Texas Health and Safety Code, Chapter 823; and WHEREAS, the Agreement allows for the Agreement to be further amended to admit a new party, located within Williamson County, as long as the new party agrees to: abide by all of the Agreement's conditions; pay the Equity Buy-in Fee; and be responsible for its share of the M&O expenses; and WHEREAS,on October 14,2022, WCRAS voted to proceed with exploring a partnership with Georgetown and formed a working group; and WHEREAS, on November 22, 2022, the Georgetown City Council directed City staff to continue to explore a partnership with WCRAS, in part, by funding a feasibility study looking at the expansion to the Williamson County-owned WCRAS facility;and WHEREAS, on March 14, 2023, the Georgetown City Council approved an interlocal agreement with Williamson County, and on March 21, 2023 the Williamson County Commissioners Court approved the same agreement, for design services for WCRAS expansion project; and WHEREAS, on March 28, 2023,the Williamson County Commissioners Court approved advertising and receiving sealed qualifications for an Architectural and Engineering firm to conduct a feasibility study for the WCRAS Expansion, under RFQ #23RFSQ61; and WHEREAS, on July 10, 2023, the Williamson County Commissioners Court approved awarding 23RFSQ61, the Williamson County Regional Animal Shelter Expansion Feasibility Study to Quorum Architect, Inc. in an amount of$42,000; and WHEREAS, the results of the feasibility study indicate that an expansion, inclusive of Georgetown, is feasible, provided Georgetown funds the constructions of at least 106 new dog kennels;and WHEREAS,the Georgetown City Council was briefed on what a proposed expansion of the regional animal shelter on October 10,2023 and the governing board for WCRAS was briefed on a possible expansion on October 27,2023, and there is stated consensus to move forward with a partnership; and WHEREAS, on November 7, 2023, the residents of the City of Georgetown approved a general obligation bond for the purpose of expanding animal sheltering services for the City of Georgetown; and WHEREAS, Georgetown has proposed becoming a new party to the Agreement in exchange for the City abiding by all terms of the negotiated agreement attached as Exhibit A(the "Amendment"); and 2 WHEREAS, the Member Governments have considered and wish to execute the Amendment subject to any revisions required in conjunction with Georgetown's issuance of its general obligation bond to finance the WCRAS expansion; and NOW THEREFORE, the Member Governments agree to work cooperatively and in accordance with this Memorandum of Understanding to take the steps set forth herein. ARTICLE I. The Member Governments and Georgetown agree to execute the Amendment to the Agreement attached once Georgetown receives confirmation it can use its general bond obligation funds to finance the WCRAS expansion.Any material changes to the Amendment must be ratified by each Member Government. ARTICLE H. LEGAL EFFECT OF MEMORANDUM OF UNDERSTANDING This Memorandum of Understanding is intended to provide an outline of the current understanding of the parties hereto, and is not intended to legally bind the parties to the terms and conditions stated herein. The parties, however, agree that the terms and conditions stated herein are reasonable and provide an outline for future actions by the parties. g May Executed and effective this day of , 2024. [Signatures on the following pages.] 3 WILLIAMSON COUNTY, TEXAS By: Bill Gravell Jr.,County Judge Date: Signed electronically by Commissioner Valerie Covey. See next page. 4 35 5.7.24 MOU for WCRAS Georgetown Final Audit Report 2024-05-08 Created: 2024-0507 By Rebecca Pruitt(becky.pruitt@wilco.org) Status: Signed Transaction ID: CBJCHBCAABAAd1YeHbDKjhUQ6dhB5An884n_cTTyO6Lb "35 5.7.24 MOU for WCRAS Georgetown" History Document created by Rebecca Pruitt(becky.pruitt@wilco.org) 2024-05-07-922:04 PM GMT-IP address:66.76.4.65 Document emailed to Valerie Covey(vcovey@wilco.org)for signature 2024-05-07-9:22:46 PM GMT Email viewed by Valerie Covey(vcovey@wilco.org) 2024-0508-6:50:57 AM GMT-IP address:74.193.121.96 arc* Document e-signed by Valerie Covey(vcovey@wilco.org) Signature Date:2024-0508-6:51:10 AM GMT-Time Source.server-IP address:74.193.121.96 Agreement completed. 2024-0508-6:51.10 AM GMT Dy Adob Adobe Acrobat Sign CITY OF CEDAR PARK, TEXAS By, � J' iman-Morin,Mayor Date: _ 5 CITY OF ROUND ROCK,TEXAS By: � N � Craig Morkpn, tyor Date: 2 6 CITY OF HUTTO,TEXAS By: = / --- Mike Sn,(der, Mayor Date: of K Approved via resolution. See next page. 7 RESOLUTION NO.R-2024-066 A RESOLUTION OF THE CITY OF HUTTO, TEXAS, APPROVING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF GEORGETOWN AND THE WILLIAMSON COUNTY REGIONAL ANIMAL SHELTER MEMBER GOVERNMENTS AND THE CITY OF HUTTO; AUTHORIZING THE MAYOR TO EXECUTE THE MEMORANDUM OF UNDERSTANDING AND THE INTERLOCAL AGREEMENT; PROVIDING PROPER NOTICE & MEETING, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Hutto is a member government of the Williamson County Regional Animal Shelter("WCRAS");and WHEREAS,the City of Georgetown desires to enter into a partnership with other local governments to expand the WCRAS; and WHEREAS, the City Council desires to approve the memorandum of understanding and a draft of the Amended and Restated Interlocal Agreement to incorporate the City of Georgetown into the WCRAS;and WHEREAS, the City Council desires to authorize the Mayor to execute the memorandum of understanding ("MOU") and the Amended and Restated Interlocal Agreement("Agreement"), attached as Exhibit A. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTTO,TEXAS, THAT: Section 1: The findings set forth in the recitals of this Resolution are hereby found to be true and correct and are hereby adopted as findings of the City Council and are incorporated into the body of this Resolution as if fully set forth herein. Section 2: The Hutto City Council hereby approves and authorizes the Mayor to execute the MOU and the Agreement, attached as Exhibit A, a copy of same being attached hereto and incorporated herein for all purposes. Section 3: The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act,Chapter 551,Texas Government Code,as amended. Section 4. This Resolution shall take effect immediately upon its passage. PASSED &APPROVED by the CITY COUNCIL of the CITY OF HUTTO, on the 4th day of April 2024 on vote of AYES; QNAYS; OABSTENTIONS. THE CITY OF HUTTO, TEXAS Mik Snyder,Mayor ATTEST: —Z7" Angel L is, City Secretary I CITY OF LEANDER,TEXAS By: e Christine De ayor Date: ----- 8 CITY OF GEORGET , TEXAS By: Josh Schroeder or Date: Mur12, 9 EXHIBIT A SECOND AMENDMENT AND RESTATEMENT OF THE WILLIAMSON COUNTY REGIONAL ANIMAL SHELTER AGREEMENT THIS SECOND AMENDMENT AND RESTATEMENT ("Second Amendment") to expand the membership of the Regional Shelter is made and entered into effective this , by and between WILLIAMSON COUNTY;the CITY OF CEDAR PARK;the CITY OF HUTTO; the CITY OF LEANDER; the CITY OF ROUND ROCK (collectively the "Member Governments"); and the CITY OF GEORGETOWN ("Georgetown"); all of which are political subdivisions of the State of Texas ("the Parties"). RECITALS WHEREAS, Texas Government Code, Chapter 791, the Interlocal Cooperation Act provides that any one or more public agencies may contract with each other for the performance of governmental functions and for the joint use of facilities or services for the promotion and protection of the health and welfare of the inhabitants of this State and the mutual benefit of the Parties; and, WHEREAS, each of the Parties requires a regional animal shelter with the capability of providing animal sheltering services within the Williamson County,Texas, area on a regular basis; and, WHEREAS, pursuant to the Williamson County Regional Animal Shelter Interlocal Agreement, as amended (the "Agreement"), the Member Governments jointly operate the Williamson County Regional Animal Shelter("WCRAS") for the purpose of providing the public need for animal sheltering within Williamson County; and, WHEREAS, the WCRAS also regularly operates at capacity and needs to expand its facility and operations in order to provide the public need for animal shelter and control services within Williamson County; and, WHEREAS, the Parties share a common interest in designing and expanding a facility to better serve animal sheltering and control needs as described in the Texas Health and Safety Code, Chapter 823; and, WHEREAS,the WCRAS Interlocal Agreement, as amended,allows for the Agreement to be further amended to admit a new party, located within Williamson County, as long as the new party agrees to: abide by all of the Agreement's conditions; pay the Equity Buy-in Fee; and be responsible for its share of the M&O expenses; and, WHEREAS, the Parties, by this Second Amendment and Restatement desire to add Georgetown as a new party to the Agreement in exchange for Georgetown abiding by all terms of the Agreement; funding the cost of the WCRAS facility expansion; paying the Equity Buy-in Fee; and being responsible for its share of annual M&O expenses; and, NOW, THEREFORE, the Member Governments agree to accept Georgetown as a full member of WCRAS, and in consideration of the mutual covenants and agreements herein contained, the Parties agree as follows: ARTICLE I. RECITALS The facts and recitations contained in the preamble of this Resolution are hereby found and declared to be true and correct, and are incorporated by reference herein and expressly made a part hereof, as if copied verbatim. ARTICLE II. MISSION OF THE REGIONAL ANIMAL SHELTER The Mission of the Regional Shelter is to provide humane and cost-effective sheltering, reclaim, and adoption services for domestic animals that are ownerless or have been lost or abandoned. ARTICLE III. ORGANIZATION 1. BOARD REPRESENTATION: The business and affairs of the Regional Shelter shall be conducted by a board consisting of one (1) representative from each Party signing this Agreement. Each representative shall be appointed by the governing body of the respective Party, preferably a supervisor of the Police or other public safety department of the governmental agency responsible for dealing with animal control issues. 2. MEETINGS: The time and place of regular meetings of the Board shall be determined by the Board,but the Board shall meet not less than once every three months. The chairperson of the Board may also call a meeting whenever he/she deems it necessary. If the chairperson is unable or unwilling to call a meeting upon request of a representative of one of the Parties, a meeting may be called by any two Parties to this agreement. All meetings shall comply with Chapter 551 of the Texas Government Code, Texas Open Meetings Act. 3. QUORUM: A quorum shall exist for the purpose of conducting the business and affairs of the Board if a majority of the Board members are present at a scheduled meeting. The vote of the majority of a quorum is necessary for the Board to take any action. However, all members must be present for any votes pertaining to the budget, personnel, or amendments to this Agreement. 4. OFFICERS: The Board shall appoint a chairperson, a vice chairperson, and a secretary for a one-year term.Appointments of officers shall be held annually during the first week in October or as soon as possible thereafter. 5. SECRETARY: The secretary shall be responsible for keeping the minutes of all the meetings of the Board and all other official records.The secretary may be a non-member and non-voting. 2 ARTICLE IV BOARD DUTIES AND RESPONSIBILITIES 1. BOARD RESPONSIBILITY: The Board's primary responsibilities shall be the review, oversight, and operation of all aspects of WCRAS shared by all Parties to this Agreement. The Board shall also be responsible for setting goals and objectives, setting policies, and approving procedures for the WCRAS program that further the mission of WCRAS and that are humane, efficient, and cost-effective. The Board will provide general,broad direction to the Director of WCRAS, review the Director's performance, review progress on stated goals and objectives, and adopt procedures to improve the operations of WCRAS as necessary. The Board shall produce or cause to be produced a semi-annual (April and October) status report on WCRAS operations.The report will be made available to the Chief Executive Officer of each Party. The report will communicate the current goals and objectives of WCRAS, progress made regarding the stated goals/objectives, budget status, and pertinent operational performance data. The Board shall hear and use best efforts to remedy concerns from the Parties regarding operations, facilities, or financial activities. If concerns are not able to be remedied by the Board, the Parties agree that an Executive Committee with one (1) representative per Party may be convened to resolve the concern. If said Executive Committee is unable to resolve a concern satisfactorily to all Parties, any Party reserves the right to withdraw from this Agreement pursuant to the terms stated herein. The costs and expenses that are considered to be shared are those incurred for the benefit of all Parties to this Agreement and include, but are not limited to,the following: a. Utilities and maintenance of the WCRAS site; b. Maintenance and repairs of WCRAS equipment at the WCRAS site; c. Staffing expenses; d. All other day-to-day expenses of operating and maintaining the WCRAS; e. Insurance, including building, content, and personal liability; and, f. The Parties are jointly and severally liable for any and all expenses incurred in connection with claims against the Regional Shelter, its personnel, and the Board, in the same proportion as stated in Article VI, Section 2 of this Agreement. No Party may settle any claim or incur any costs to settle any claim against the Shelter without the consent of the other Parties. If any party declines to participate in a settlement of a claim,that Party reserves the right to withdraw from this Agreement pursuant to the conditions stated in Section 3 herein. 2. BUDGET APPROVAL: The following matters involving the operation and costs associated with WCRAS are subject to recommendations from the Board and the annual approval from the governmental entities of each Party including all items related thereto: a. Operating procedures and policies; b. Annual budgets and expenditures,prepared in a line item format; 3 c. Acquisition, possession, leasing, encumbrance, and disposal of personal and real property; d. Facilities improvement and expansion; and e. Acquisition of major shelter equipment, including computer hardware. 3. BUDGET: The fiscal year for WCRAS will begin on October I st of each year. Prior to April I st of each year, the Board shall submit a budget to the respective governmental entities for their approval. The budget must be approved by all Board members. If all Board members cannot approve the budget,then the Executive Committee (as described in Article III, Section I above) shall be convened to resolve budgetary concerns. The budget shall be adopted by the Board and forwarded to the respective governmental entities if 80% of the Executive Committee approves the proposed budget. If at least 80% of the representatives of the Executive Committee cannot agree on a proposed budget,then the previous year's budget shall be adopted by the Board and forwarded to the respective governmental entities for approval. Each annual• budget is subject to the approval of the governmental entity of each Party. If any Party declines to approve an annual budget,that Party reserves the right to withdraw from this Agreement pursuant to the conditions stated herein but will continue to participate in WCRAS activities and work to resolve the concerns in the interim and continue to comply with all terms and conditions provided herein.After adoption,the Budget may be amended as necessary upon approval of the Board and the governing body of each Party. 4. EXPENDITURES AND REIMBURSEMENT:No expenditures that exceed the annual budget shall be made unless and until said expenditures are approved by the Board as an amendment to the annual budget and approved by each Party. Any emergency expenditure that exceeds the annual approved budget shall be subject to being ratified by the governing body of each Party to this Agreement. No Party may receive reimbursement for an emergency expenditure attributable to said Party unless it receives approval from the governing body of every other Party to the Agreement. 5. BUDGET REVIEW: The Board shall receive a monthly budget status report, detailing revenues and expenditures and comparing them to the adopted budget line items. Upon approval of the Board, the monthly expenses will be apportioned among the Parties as determined herein. 6. PAYMENTS: Payments to Williamson County shall be made within thirty(30)days of receipt of the invoice. 7. ADMINISTRATION: The operation and maintenance of WCRAS facilities and equipment shall be conducted and/or administered by the Board. 8. SHELTER REVENUE: Except as further stated below, all revenues derived from or attributable to the operation of WCRAS will offset costs of operations to the benefit of the Parties. ARTICLE V COUNTY AND CITY OF GEORGETOWN RESPONSIBILITIES 4 1. SITE ACQUISITION: The County shall be responsible for acquiring and owning the WCRAS and all costs associated with said acquisition. 2. CAPITAL FACILITIES AND EQUIPMENT COSTS:The County agrees to provide financing for WCRAS Capital Facilities and Equipment, except as described in section 6 herein. The costs of the Capital Facilities and Equipment, shall be amortized over the standardized life of said facilities and equipment and incrementally charged to the Parties as part of the monthly Maintenance and Operation Expenses referenced herein. Capital Facilities and Equipment are defined as any facilities or equipment that have a useful life of greater than one year and cost more than $10,000. 3. REGIONAL SHELTER AVAILABILITY TO PARTIES: The County agrees to make WCRAS available to each Party for the term of this Agreement and for the purposes provided herein, so long as that Party is in compliance with this Agreement. 4. SERVICES AND COSTS: The County agrees to provide all financial and support services for all WCRAS operations,including accounting services and insurance. Additionally,the County shall hire the Director of WCRAS and all WCRAS personnel and provide payroll services. However, all these WCRAS personnel costs will be shared by the Parties as provided herein. 5. ACQUISITION OF GOODS AND SERVICES: After Board approval, the County shall contract for all goods and services on behalf of WCRAS. 6. CITY OF GEORGETOWN FUNDED EXPANSION: Georgetown agrees to fund the WCRAS facility expansion financing with proceeds of voter-approved bonds(the"Georgetown Bonds") in an amount not to exceed $15,000,000.00. Any expenditures over and above $15,000,000 shall not be the responsibility of Georgetown or any Member Government unless all parties agree to the expenditure. In compliance with the covenants of the Georgetown Bonds and state and federal law, the Parties hereby agree that (i) the WCRAS facility will provide Georgetown's animal sheltering and control services at least through the maturity date of the Georgetown Bonds, (ii) if there is an early termination of this Agreement not due to a default by Georgetown and Georgetown is unable to utilize the WCRAS facility expansion as contemplated in this Agreement the Parties will provide Georgetown with funds sufficient to defease or redeem the Georgetown Bonds,as applicable(except if termination is due to a force majeure event as defined below), (iii) the proceeds of the Georgetown Bonds may only be expended on the capital costs of the WCRAS facility expansion as approved by Georgetown, (iv) Williamson County, as the manager of the WCRAS facility, will comply with all federal tax law covenants required to maintain the tax-exempt status of the Georgetown Bonds; and (v)Georgetown will receive formal reports on the WCRAS facility operations,financial status, and the public benefits provided to Georgetown. The Parties acknowledge that proceeds of the Georgetown Bonds will be used to expand the WCRAS in exchange for the rights provided in this Agreement to Georgetown to utilize the WCRAS in furtherance of its public purpose of providing animal sheltering and control services for Georgetown. The parties agree that the fair market value of Georgetown's use of 5 the WCRAS provided by this Agreement during the term hereof is at least reasonably equivalent to the total amount of proceeds of the Georgetown Bonds. Notwithstanding anything in this Agreement to the contrary, in the event this Agreement is terminated through a default of a party other than Georgetown such that Georgetown is prevented from using the WCRAS in the manner otherwise provided by this Agreement while the Georgetown Bonds are outstanding, Georgetown shall be entitled to receive from such defaulting party or parties an amount sufficient to defease the Georgetown Bonds to their call date, or if the Georgetown Bonds are then callable, an amount sufficient to redeem the Georgetown Bonds on the soonest practical date thereafter. Force Majeure pertains to the performance of any obligations hereunder if prevented, delayed or hindered by war, riots, insurrection, civil disorder, embargoes, strikes, concealed acts of workmen, casualty, accidents, acts of terror, pandemic/endemic in region as reported by the World Health Organization or the U.S. Center for Disease Control, government regulation, or any other occurrence beyond such party's control, which makes it illegal, impossible, or impractical to perform under this Agreement. Georgetown has financed a portion of the WCRAS with the proceeds of the Georgetown Bonds issued on a tax-exempt basis. In connection with the issuance of the Georgetown Bonds, Georgetown has given covenants (the "Bond Covenants") to the owners of the Georgetown Bonds that the WCRAS will be used in a manner that assures that the Georgetown Bonds continue to qualify as obligations within the meaning of section 103 of the Internal Revenue Code (the "Code"). The parties agree not to use or permit the use of the WCRAS in a manner which they know or should know would result in a violation of the Bond Covenants or which would otherwise adversely affect the federal income tax status of the Georgetown Bonds under section 103 of the Code. Moreover, in furtherance thereof, if the parties are notified by Georgetown that the Georgetown Bonds have been selected for audit by the Internal Revenue Service, then the parties agree to provide to Georgetown such information in their possession with respect to the WCRAS in order that Georgetown may timely respond to any questions posed to it by the Internal Revenue Service. The proceeds of the Georgetown Bonds must only be expended on capital costs of expanding the WCRAS on a reimbursement basis in an amount not to exceed $15,000,000.00. Any expenditures over and above$15,000,000 shall not be the responsibility of Georgetown or any Member Government unless all parties agree to the expenditure. For the avoidance of doubt,the term"Georgetown Bonds"as used in this Agreement shall also include any related refunding bonds to the extent such refunding bonds do not extend the maturity date of the bonds being refunded. 7. CITY OF GEORGETOWN TRANSITION OF SERVICES TO WCRAS: Georgetown will be responsible for costs associated with transitioning operations to WCRAS, including software conversions, providing access to the current Georgetown animal shelter, 6 and transitioning assets from the Georgetown shelter to the WCRAS shelter, including the memory bricks, Catio, and temporary kennel. And WCRAS will take over animal sheltering operations for Georgetown sixty (60) days after the effective date of this Second Amendment. In the intervening period between WCRAS taking over the Georgetown shelter operations and the completion of the new facility,WCRAS will have access and use of the current Georgetown Animal Shelter. The expanded facility is estimated to be completed no later than December 31, 2025. ARTICLE VI COST SHARING 1. COUNTY RESPONSIBILITY: The County shall participate in the sharing of Maintenance and Operation Expenses as described in 2,below. 2. PARTIES' RESPONSIBILITY: During the first year of operation of the Regional Shelter, all budgeted Maintenance and Operation Expenses(M&O Expenses)of the Regional Shelter shall be shared by the Parties based upon each Party's percentage share of the capital cost for the construction of the Regional Shelter. For all years following the first year of operation of the Regional Shelter, all budgeted M&O Expenses of the Regional Shelter shall be shared by the Parties based upon the ratio of the annual number of animals delivered to the Regional Shelter by each Party in the previous budget year,as compared to the total number of animals delivered to the Regional Shelter by all Parties, in the previous budget year. The Parties shall pay for their respective M&O Expenses and all other financial obligations under this Agreement from current revenue funds. 3. LICENSE AND RECLAMATION FEE REIMBURSEMENT: Each Party shall receive a quarterly reimbursement for all license fees and animal reclamation fees paid by citizens residing within the boundaries of each Party's jurisdiction. 4. CAPITAL COST SHARING: Each Party listed below agrees to pay the below-listed sums as its respective share(the"Respective Share")of the$3,200,000 capital cost for the construction of the Regional Shelter (the "Capital Cost"). The County has agreed to issue Certificates of Obligation to pay for the Capital Cost. The County has further agreed to allow each Party to pay its respective share of the Capital Cost amortized over a 20 year period at 4.3311%,which is the term and interest rate for said Certificates of Obligation. Each city Party agrees that if it elects to withdraw from this Agreement pursuant to Article IX., below, then that city Party will,upon withdrawal,pay to the County a per diem,pro-rated amount of its Amortized Annual Payment while utilizing the Regional Shelter. After the city Party is no longer utilizing the Regional Shelter,said Party shall thereafter no longer be responsible for any further Amortized Annual Payments. The Amortized Annual Payment will be reduced proportionally if the County obtains an interest rate lower than 4.3311%. 7 Party Respective Share Amortized Annual Payment Cedar Park $ 304,000 $ 22,748 Leander $ 304,000 $ 22,748 Round Rock $ 960,000 $ 71,835 Hutto $ 32,000 $ 2,395 County $1,600,000 $119,725 TOTAL $3,200,000 $239,451 The County agrees that if the Total Capital Costs exceed $3.2 million,then the County will owe the balance. No city Party's Respective Share of the Capital Cost will exceed the sums shown above. When each Party's Respective Share of the Capital Cost is extinguished by the amortized payments, the Party's Capital Cost payments shall cease. 5. CITY OF GEORGETOWN EQUITY BUY-IN FEE: As a new member, starting on October 1, 2024, the City of Georgetown will contribute an Equity Buy-in Fee equal to an additional 50 percent of Georgetown's ratio of the annual number of animals delivered to the Regional Shelter by Georgetown in the previous budget year,as compared to the total number of animals delivered to the Regional Shelter by all Parties, in the previous budget year. This equity buy- in fee will decrease by 5 percentage points annually until it reaches zero percent after 10 years. Year M&O Expenses+Equity Buy-in Fee 1 M&O + 50% 2 M&O+45% 3 M&O +40% 4 M&O + 35% 5 M&O + 30% 6 M&O + 25% 7 M&O+20% 8 M&O+ 15% 9 M&O+ 10% 10 M&O+ 5% In the intervening time between the execution of this agreement and October 1,2024,upon the Georgetown's inclusion in the Regional Shelter, the City's Maintenance and Operation Expenses (M&O Expenses) of the Regional Shelter will be pro-rated to fund Georgetown's portion of M&O and will be based upon a $500,000.00 M&O Expense and a $250,000.00 Equity Buy-in Fee. 8 6. APPROPRIATIONS:Notwithstanding any provision contained herein,all respective financial obligations of the Parties contained herein are subject to and contingent upon appropriations by the respective governing bodies of the Parties of such funds or other revenues being available, received, and appropriated by their respective governing bodies of the Parties in amounts sufficient to satisfy said obligations. In no event shall this instrument be construed to be a debt of the Parties. If at any time during the term of this Agreement,the governing body of a Party fails to provide funding for the financial obligations under this Agreement for the following fiscal year, such Party shall be terminated from this Agreement without further liability other than all M & O Expenses, as stated in Section 2 herein., and the pro-rated Amortized Annual Payment for the year of withdrawal as stated in Section 4 herein., while said Party is utilizing the WCRAS.A Party is utilizing the WCRAS while any animal delivered to the WCRAS by said Party remains under the care of the WCRAS.This termination provision is in addition to other termination provisions set forth in this Agreement. ARTICLE VII ACCOUNTING 1. BOOKS: Complete books and accounts shall be maintained by the County on behalf of the Board in accordance with generally accepted accounting principles and standards, including compliance with all applicable statutes and regulations.Financial activities of the WCRAS will be audited annually, using generally accepted auditing standards,by an independent Certified Public Accountant approved by the County in conjunction with the County's annual audit.The audit shall cover the financial activity of the WCRAS for the immediate previous fiscal year which runs from October 1 to September 30. ARTICLE VIII DURATION 1. The duration of this Interlocal Agreement shall be extended for an additional twenty(20) years beginning upon execution of the Second Amendment by all Parties. 2. After the expiration of the twenty(20)years after this Second Amendment,Agreement shall renew automatically annually, effective as of the first day of October of each year,under the same terms and conditions of this Agreement. ARTICLE IX TERMINATION 1. RIGHT TO WITHDRAW: Except as provided in V.5, any Party to this Agreement which is a city has the right to withdraw from this Agreement by providing written notice which must be received by the other Parties no less than ninety(90)days prior to the beginning of each fiscal year,after satisfying any liabilities of the withdrawing Party as stated herein.The County may 9 not withdraw from this Agreement during its term unless all Parties agree to said withdrawal or all Parties are in material default, as stated below. 2. SEPARATE EQUIPMENT: The terminating Party may remove any and all of its own separate equipment unless the removal of the equipment will render the Regional Shelter inoperable. In such case, the Party may not remove the equipment but shall be reimbursed the fair market value of said equipment, as determined by an appraiser chosen by the Parties. ARTICLE X MISCELLANEOUS 1. SEVERABILITY: The Parties agree that in the event any provision of this Agreement is held by a court of competent jurisdiction to be in - contradiction of any laws of the State of Texas, the Parties will immediately rectify the offending portions of this Agreement. The remainder of the Agreement shall be in full force and effect. 2. ENTIRE AGREEMENT: This Agreement constitutes the entire agreement between the Parties hereto, and supersedes all their oral and written negotiations, agreements, and understandings of every kind. The Parties understand,agree, and declare that no promise,warranty,statement, or representation of any kind whatsoever, which is not expressly stated in this Agreement, has been made by any Party hereto or its officer, employees, or other agents to induce execution of this Agreement. 3. CHOICE OF LAW: This Agreement shall be performable in Williamson County, Texas. 4. AMENDMENT: This Agreement may be amended by unanimous vote of the Board if said proposed Amendment is approved by the governing body of each Party. The Parties agree to review this Agreement every five (5) years. 5. ASSIGNMENT: Except as otherwise provided in this Agreement, the rights and duties of the Parties may not be assigned or delegated without the written consent of all the Parties to this Agreement. Any attempt to assign or delegate such rights or duties shall be consistent with the terms of any contracts,resolutions, indemnities, and other obligations of this Agreement. This Agreement shall inure to the benefit of, and be binding upon,the successors and assigns of the Parties. 6. NO PERSONAL BENEFIT: No Party intends to benefit any person who is not named as a Party to this Agreement, to assume any special duty to supervise the operations of another Party, to provide for the safety of any specific person, or to assume any other duty other than that imposed by general law. 10 7. NOTICE: Any notice given hereunder shall be in writing, and may be affected by personal delivery, or by registered or certified mail, return receipt requested, at the address of the respective Parties indicated below: WILLIAMSON COUNTY CITY OF HUTTO c/o COUNTY JUDGE c/o MAYOR WILLIAMSON COUNTY CITY OF HUTTO 301 S.E. INNER LOOP 401 W. FRONT STREET GEORGETOWN, TX 78626 HUTTO, TX 78634 CITY OF ROUND ROCK CITY OF CEDAR PARK c/o MAYOR CITY OF ROUND ROCK c/o MAYOR 221 EAST MAIN STREET CITY OF CEDAR PARK ROUND ROCK, TX 78664 600 N. BELL BOULEVARD CEDAR PARK, TX 78613 CITY OF LEANDER c/o MAYOR CITY OF GEORGETOWN CITY OF LEANDER c/o MAYOR 105 N. BRUSHY STREET CITY OF GEORGETOWN LEANDER, TX 78641 808 MARTIN LUTHER KING JR ST GEORGETOWN, TX 78626 8. PARAGRAPH HEADINGS: The various paragraph headings are inserted for convenience of reference only and shall not affect the meaning or interpretation of this Agreement or any section thereof. 9. ATTORNEY FEES: In any lawsuit concerning this Agreement, the prevailing Party/Parties shall be entitled to recover reasonable attorney's fees from the non-prevailing Party/Parties, plus all out-of-pocket expenses such as deposition costs, telephone calls, travel expenses, expert witness fees, court costs, and other reasonable expenses. 10. GOVERNMENTAL IMMUNITY: The Parties do not waive, modify, or alter to any extent whatsoever the availability of the defense of governmental immunity. Each Party shall be responsible for its own employees and the acts of its own employees. 11. COMPLIANCE WITH APPLICABLE LAWS: The Parties hereby agree to comply with all applicable ordinances, laws, rules, regulations, and lawful orders of any public authority with jurisdiction. Specifically, nothing in this Agreement is intended to conflict with the City of Georgetown's zoning, franchise, or health and safety authority. 11 12. DEFAULT: The Parties agree that if any city Party fails to comply with any material terms of this Agreement, the Board shall provide to the defaulting city Party at least thirty (30) days prior written notice of the occurrence of said default and an opportunity to cure such default within such 30-day period. In the event the defaulting Party fails to cure the default,the Board may terminate said Party from this Agreement. After termination, the defaulting Party shall still be responsible for all M&O Expenses, as stated in Section VI.2., up to the date of termination, and its Respective Share of its Regional Shelter Capital Cost,as stated in Section VIA. subject to Section VI.5. Executed and effective this day of , 2024. [Signatures on the following pages.] 12 WILLIAMSON COUNTY, TEXAS By: Bill Gravell Jr., County Judge Date: 13 CITY OF CEDAR PARK, TEXAS By: Jim Penniman-Morin, Mayor Date: 14 CITY OF ROUND ROCK, TEXAS By: Craig Morgan, Mayor Date: 15 CITY OF HUTTO, TEXAS By: Mike Snyder, Mayor Date: 16 CITY OF LEANDER,TEXAS By: Christine DeLisle,Mayor Date: 17 CITY OF GEORGETOWN,TEXAS By: Josh Schroeder, Mayor Date: 18