CC MEETING: October 22, 2024
DATE: October 8, 2024
TO: Erin Rinehart, City Manager
FROM: Rex Redden, Executive Director of Public Safety
Title
Consider A Resolution Authorizing The City Manager To Take All Necessary Action Related To Execution Of An Interlocal Cooperation Agreement With The North Texas Emergency Communications, Inc., The Town Of Addison, The City Of Coppell, And The City Of Farmers Branch For The Acquisition Of Property From The Metrocrest Hospital Authority For The New North Texas Emergency Communications Center Consolidated Public Safety Communications Center; Authorizing The Expenditure Of The City Of Carrollton’s Share Of The Purchase Price In An Amount Not To Exceed $1,561,020.80; And Providing An Effective Date.
Body
BACKGROUND:
The City of Carrollton, Town of Addison, City of Coppell, and the City of Farmers Branch (“Cities”) joined together to establish the North Texas Emergency Communications Center, Inc. (“NTECC”) in 2014.
NTECC is a Texas local government corporation organized by the Cities pursuant to Subchapter D of Chapter 431 of the Texas Transportation Code to assist the Cities in the performance of their governmental functions to promote the common good and general welfare of the Cities, including without limitation, financing, constructing, owning, managing and operating a regional public safety communications center on behalf and for the benefit of the Cities in providing emergency communication services.
The Interlocal Cooperation Act, Texas Government Code, Chapter 791, as amended provides authority for local governments of the State of Texas to enter into interlocal agreements with each other and with local government corporations for the purpose of performing governmental functions and services.
On May 2, 2014, NTECC entered into a lease agreement with CyrusOne, LLC to house NTECC’s operation and the initial term of the lease ends April 30, 2029. After a space needs assessment and cost analysis by Freese and Nichols it was determined by the NTECC Board of Directors that the CyrusOne location was no longer adequate to accommodate NTECC operations. The Board of Directors for NTECC further determined that it was in the four cities best interest to construct and own a new communications center.
The Bylaws of the North Texas Emergency Communications Center, Inc. provides that its Board of Directors, may approve capital improvements, services, or other projects consistent with the purposes of NTECC to assist the Cities in the performance of their governmental functions
State law requirements make it necessary for the Cities to acquire the property from MHA instead of NTECC acquiring the property. The Metrocrest Hospital Authority (“MHA”) considered the sale of the property to the Cities at its August 20, 2024, board meeting and approved the sale to the Cities. NTECC is working with its design firm to finalize the estimated costs for construction of the new center. These estimates are not yet complete, but the date for closing has been advertised, as required by law, by MHA for October 15, 2024. Therefore, the purchase of the property and the funding of the center will be brought to Council at different meetings. The total price of the property is $3,100,000 and the closing, platting, and survey costs are estimated to be about $100,000.
The percentage of costs for each city are determined by a three-year rolling average of calls for service. Carrollton’s share of the purchase price and closing costs is $1,561,020.80, or 48.7819%. Carrollton will own an undivided interest in the property equivalent to this share. The Cities will transfer ownership of the property to NTECC, pursuant to the terms of an agreement between the Cities and NTECC relating to the building and funding of the center, with a right of reversion in the event that NTECC ceases to exist.
FINANCIAL IMPLICATIONS:
None
IMPACT ON COMMUNITY SUSTAINABILITY:
This project supports and aligns with City Council’s goals and objectives of focusing on quality of life in our community so all feel safe, valued, respected, and welcomed.
STAFF RECOMMENDATION/ACTION DESIRED:
Staff recommends that City Council approve this Resolution authorizing the City Manager to execute an agreement and additional acts to carry out the City’s obligations under the agreement.