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M:\MasterFiles\1999 thru 2010\2001\City Council\Work Session Packets\12-03-01 WS\Item 10--Building Inspection Agreement Contract.doc <br />appears that the City expended beyond what the Agreement for Services provided in 2001. <br /> <br />During discussions with the Fire Chief he stated that within months after the Agreement <br />was entered into, activity increased by more than 10% and the compensation terms of the <br />Agreement were renegotiated by City Staff and the Fire Chief. The renegotiated terms <br />resulted in the Fire Department billing the City at an hourly rate (currently $30.00 and hour) <br />for services rendered. <br /> <br />• A review of the City’s files failed to provide any documentation that summarized the <br />result of these negotiations. Apparently the City simply started receiving bills that <br />reflected this new arrangement. <br />• A review of the City’s minutes suggests that these new terms were never brought <br />back to the City Council for their review and hence, were never approved. <br />• A review of the City’s files failed to provide documentation that could be reviewed <br />regarding the “increased activity level.” <br /> <br />At the November 13, 2001 City Council Meeting, the City Council approved Resolution <br />5646 Creating a Full-time Building Official/Fire Marshall/Fire Fighter Position, effective <br />January 1, 2002. <br /> <br />Requested Council Consideration: The aforementioned summary raises some specific <br />questions: <br /> <br />1. Does the City Council wish to have staff continue to review this issue? <br />2. What were the “historical numbers of plan review and inspections” referenced in the <br />Agreement? And <br />3. How do these compare to subsequent years’ experience? <br />4. Should staff review the billing documents? <br />5. Was the City over billed? <br />6. What do we do with our findings? <br /> <br />Recommendation: <br /> <br />Staff recommends the City Council review the information contained in this report and <br />direct accordingly. <br /> <br />Respectfully Submitted, <br /> <br />___________________________ <br />Kathleen F. Miller <br />City Administrator <br /> <br /> <br /> <br /> <br /> <br />