06-12-2017 Council Packet - Laserfiche WebLink

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included in the Annual Fire Services Capital Budget up to the budgeted amount, for the items budgeted. Each Contracting City agrees to maintain its own fund for capital expenditures. When a capital expenditure is to be made, the following process for sharing the funding will be used: A. Long Lake will have the option of fimding any percentage of the total, which is equal to or greater than the average of its last three City Budget Percentages including the current calendar year. B. Orono will have the option of funding the remaining amount. If Medina does not wish to fund the total of the remaining amount, it must fund at least the average of its last three City Budget Percentages including the current calendar year and may fund more if it chooses. C. Medina will fimd the balance remaining to be funded after Long Lake -and Oro -no have specified their fimding amounts. 11.1. Disposition of Major Equipment Upon Termination In the event that this Agreement is terrninated as provided in section 20 of this Agreement, Long Lake will have the right to purchase each Contracting Citys ownership share of each Major Equipment item for cash at the original amount funded by that city. In the event Long Lake does not exercise its right to acquire the major equipment items within sixty (60) days of termination, it will have waived its right to acquire full title to the equipment. If Long Lake waives its right to acquire full title to a particular Major Equipment item, the Contracting City with the largest ownership share of that item shall have the right to acquire fall title to the item by paying the amount funded by each of the other Contracting Cities. If that City declines to acquire full title, the remaining Contracting City may acquire title on the same terms. In the event that no Contracting City wishes to acquire full title to a particular Major Equipment item, it shall be sold and the proceeds of the sale divided between the Contracting Cities pro -rata to their original funding. All Major Equipment items funded during the term of the contract, including extensions, will be covered by this terminating procedure. The dissolution language applies to all equipment purchased, and fund balances accrued, since January 1 of 1993. This language is not intended to address any claim cities may have regarding equipment purchased prior to January 1, 1993. No contracting city shall have the right to transfer or encumber any major equipment purchased after January 1, 1993. 5