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Agenda Item - 2001-10-23 (04) CITY OF LAKE OSWEGO AGENDA REPORT SUMMARY MEETING DATE: October 23, 2001 SUBJECT: Sprinkler Agreement with Lake Oswego School District RECOMMENDED MOTION: Authorize the City Manager to execute an Intergovernmental Agreement between the Lake Oswego School District and the City for the purpose of reimbursing the Lake Oswego School District for costs associated with the installation of fire sprinkler systems in certain school facilities. EST. FISCAL ATTACHMENTS: PUBLISHED NOTICES IMPACT: October 17, 2001 Staff (Date): $1.5 million Report from Kincaid STAFF COST: Resolution no.: BUDGETED: Y N Previous Council consideration: FUNDING SOURCE: March 6,2001 CHIEF OF STAFF CITY M AGER Signoff/date Signoff/date P/Special Projects/Cover Summary—Sprinkler Agreement with Lake Oswego School District 1 ``110 OF LAKE Os,v_ CITY OF LAKE OSWEGO pREGON COUNCIL REPORT TO: Douglas J. Schmitz, City Manager FROM: Robert A. Kincaid, Chief of Staff 6,4r. SUBJECT: Sprinkler Agreement with Lake Oswego School District DATE: October 17, 2001 ACTION Authorize the City Manager to execute an Intergovernmental Agreement between the Lake Oswego School District and the City for the purpose of reimbursing the Lake Oswego School District for costs associated with the installation of fire sprinkler systems in certain school facilities. BACKGROUND AND RECOMMENDATION At the morning City Council meeting of March 6, 2001, the City Council directed the City Manager to negotiate an arrangement with the School District, in which the City would contribute up to $1.5 million to install fire sprinklers in schools, provided the extra expansion of the corresponding water reservoir would be eliminated, and the School District would spend a corresponding amount to install fire sprinklers in other schools that did not affect water reservoir size. The attached agreement accomplishes this direction. The Lake Oswego School Board at its regular meeting on October 8, 2001 approved this agreement. Sprinkler Agreement with Lake Oswego School District Page 1 of INTERGOVERNMENTAL AGREEMENT CITY OF LAKE OSWEGO AND LAKE OSWEGO SCHOOL DISTRICT #7J REIMBURSEMENT FOR COST OF INSTALLATION OF AUTOMATIC FIRE-EXTINGUISHING SPRINKLER SYSTEMS THIS AGREEMENT is made this day of , 2001 between the City of Lake Oswego, a municipal corporation of the State of Oregon, hereinafter referred to as "the City," and Lake Oswego School District 7J, a common school district of the State of Oregon, hereinafter referred to as "the School District." RECITALS: WHEREAS the City's Department of Fire, Rescue and Life Safety provides fire suppression services for structures within the City, including the School District's facilities; and WHEREAS a number of the School District's facilities do not have automatic fire-extinguishing sprinkler systems; and WHEREAS the installation of such sprinkler systems in all School District facilities would enhance the safety of students and District employees; and WHEREAS the installation of such sprinkler systems at Palisades Elementary School, Lakeridge High School, Uplands Elementary School, Lake Oswego Junior High School, Forest Hills Elementary School and Lake Oswego High School would significantly reduce the City's need to develop water storage capacity for fire suppression purposes and would therefore directly benefit the operation of the City's water utility; and WHEREAS the Building Code requires the School District to install sprinklers at Lake Oswego High School as part of the pending reconstruction of that school, but does not require the District to install sprinklers in the remaining schools listed in the preceding recital; WHEREAS the City has determined that the cost of installing sprinklers in such facilities is less than the projected cost of developing the increased water storage capacity that would otherwise be required; WHEREAS the City is willing to reimburse the School District for the cost of installation of sprinkler systems in such facilities, provided that the School District installs and maintains sprinkler systems in all of its schools; • WHEREAS, because of the direct benefit to the City's water utility, the City has determined that reimbursing the School District for the installation of sprinkler systems in such facilities is an appropriate use of water funds; and J THE CITY AND THE SCHOOL DISTRICT AGREE AS FOLLOWS: 1. Obligation to Install Sprinkler Systems. Before August 1, 2004 the School District shall install automatic fire-extinguishing sprinkler systems, referred to hereinafter as "sprinkler systems," throughout all of the following facilities: Palisades Elementary School Lakeridge High School Uplands Elementary School Lake Oswego Junior High School Forest Hills Elementary School Bryant Elementary School Lake Grove Elementary School Rivergrove Elementary School Waluga Junior High School Lake Oswego High School 2. Standards. The sprinkler systems installed throughout the facilities listed in paragraph 1 shall meet the standards of the National Fire Protection Association, Inc., including, but not limited to, NFPA13, Standards for the Installation of Sprinkler Systems, as well as the requirements of Oregon Structural Specialty Code, incorporated as part of the Lake Oswego Building Code pursuant to LOC 45.09.005, including without limitation Chapter 9 of the Structural Specialty Code, and Standard 9-1 of such Code. Where the Oregon Structural Specialty Code amends the NFPA standards, the Oregon amendments shall control. The sprinkler systems shall also meet all requirements of Oregon Uniform Fire Code, incorporated in the City Code pursuant to LOC 15.06.610, including without limitation Article 10 of such Code. 3. Maintenance, Replacement, and Extension. In addition to complying with all maintenance requirements for automatic fire extinguishing sprinkler systems under the codes and standards listed in paragraph 2, state law or the city code, the School District shall maintain the sprinkler systems installed in the facilities listed in paragraph 1, plus the existing sprinkler systems at Westridge Elementary School, Hallinan Elementary School and Oak Creek Elementary School, in an operative condition at all times, and shall replace or repair any system where defective. The School District shall maintain the sprinkler systems in accordance with original installation standards and shall extend, alter or augment such systems so as to maintain and continue protection throughout each facility listed in paragraph 1, plus Westridge Elementary School, Hallinan Elementary School and Oak Creek Elementary School, whenever any of the facilities is altered, remodeled or expanded. 4. Inspections and Testing. In addition to complying with all testing or inspection requirements for automatic fire extinguishing sprinkler systems under any of the codes and standards listed in paragraph 2, state law or the city code, the School District shall cause the sprinkler systems installed in the facilities listed in paragraph 1, plus the sprinkler systems at Westridge Elementary School, Hallinan Elementary School and Oak Creek Elementary School, to be inspected and tested at least annually in accordance with Oregon Uniform Fire Code 6 standards. The School District shall maintain reports of all inspections and tests and shall make the reports available to the City upon request. 5. Reimbursement. Upon verification by the City that, by the date stated in paragraph 1, automatic fire-extinguishing sprinkler systems have been installed in accordance with the requirements of this agreement throughout each facility listed in paragraph 1 the City shall reimburse the School District for the cost of installation of such systems (as limited by paragraph 7, below) at the following facilities: Palisades Elementary School Lakeridge High School Uplands Elementary School Lake Oswego Junior High School Forest Hills Elementary School Installation of sprinkler systems at schools not listed in this paragraph 5 shall be at the sole expense of the School District. "Cost of installation" as used in this agreement shall mean the School District's direct costs necessarily and reasonably incurred for design, materials and third- party labor only for purchase and installation of the fire-extinguishing sprinkler systems, and shall not include any overhead expense of the School District, or the cost of any remodeling, construction or reconstruction of any facility whether or not such activity occurs in conjunction with installation of such sprinkler systems. 6. Time for Reimbursement; Accounting. Reimbursement shall occur within 30 days of: (a.) the completion of installation of sprinkler systems to the satisfaction of the City's Fire Marshal and Building Official at all facilities listed in paragraph 1 by the required date, time being of the essence of this agreement, in accordance with the standards of paragraph 2; and (b) written approval by the City of a detailed accounting submitted by the School District itemizing in detail all expenditures relating to the cost of installation at all such facilities, with the itemized costs for each facility stated separately. 7. Limitations on Reimbursement. Reimbursement by the City pursuant to this agreement for the cost of installation for facilities listed in paragraph 5 shall not exceed the cost of installation for the facilities listed in paragraph 1 that are not also included in paragraph 5. Furthermore the total reimbursement by the City pursuant to this agreement shall not exceed the sum of$1,502,000. The City's reimbursement obligation is subject to the availability of funds in the City's water fund at the time the reimbursement becomes due pursuant to paragraph 6 of this agreement. In no event shall the City be obligated to provide reimbursement from any other source of funds. 8. Limitation of City's Role; Indemnity. The parties acknowledge that nothing in this agreement obligates the City to install, inspect, maintain, repair or replace any sprinkler system in a School District facility. The School District shall defend, indemnify, and hold the City, its officers, agents and employees, harmless against all liability, loss, or expenses, including attorney's fees, and against all claims, actions or judgments based upon or arising out of damage or injury (including death) to persons or property caused by any act or omission of an act IGA—City and Lake Oswego School District No. 7J Page 3 of 4 sustained in any way in connection with the installation, maintenance, repair, or operation of any sprinkler system in a School District facility, or by conditions created thereby, or based upon violation of any statute, ordinance or regulation. This contractual indemnity provision does not abrogate common law or statutory liability and indemnification to the City, but is in addition to such common law or statutory provisions. 9. Integration. This contract represents the entire and integrated agreement between the School District and the City, and supersedes all prior negotiations, representations or agreements, either written or oral. This contract may be amended only by written instrument signed by both the School District and the City. 10. Applicable Law; Judicial Venue. The provisions of this contract shall be construed in accordance with the provisions of the laws of the State of Oregon and ordinances of the City of Lake Oswego, Oregon. Any action or suits involving any question arising under this contract must be brought in Clackamas County Circuit Court. 11. Waiver. The failure of the City to enforce any provision of this contract shall not constitute a waiver by the City of that or any other provision. CITY OF LAKE OSWEGO LAKE OSWEGO SCHOOL DISTRICT No. 7J By: By: 1.14 - 4 �►��. Douglas J. Schmitz, City Manager William Korach, Superintendent Per Council Resolution 01- , adopted on , 2001 M:'IGA-City-SchDi st-FireSprinklers-082101.doc IGA—City and Lake Oswego School District No. 7J Page 4 of 4 8