HomeMy WebLinkAboutC-3011 - MOU for Airborne Law Enforcement Services (ABLE)0�� State of California
Secretary of State
S I A I LMLI I I U1- f AG 15
ROSTER OF PUBLIC AGENCIES FILING
(Government Code section 53051)
Instructions:
1. Complete and mail to: Secretary of State,
P.O. Box 942877, Sacramento, CA 94277 -0001 (916) 653 -3984
2. A street address must be given as the official mailing address or as
the address of the presiding officer.
3. Complete addresses as required.
FILED
Saaetary of state
State of Callfomia
MAY 13 2093
(Office Use Only)
4, If you need additional space, attach information on an 81 /z" X 11" page, one sided and legible.
New Filing Q Update E]
Legal name of Public Agency: Airborne Law Enforcement Services
Nature of Update: Termination, dissolution and disbanding of Joint Powers Aqencv
County: urange
Official Mailing Address: P.O. Box 7000, Newport Beach, CA 92658 -7000
Name and Address of each member of the governing board:
Chairman, President or other Presiding Officer (indicate Title): Chairman
Name: Jay johrison Address:
870 Santa Barbara Dr.( PO Box 7000 Newpon Beach, CA 92658 -7000
Secretary or Clerk (indicate Title): Secretary
Name: Emily Jan Bledstein Address:
870 Santa Barbara Dr./ PO Box 7000 Newport Beach, CA 92658 -7000
Members:
Name: Tom Gazsi Address:
99 Pair Drive, Costa Mesa, CA 92626
Name: dale Johnson Address:
870 Santa Barbara or,/ P4 Box 7000 Newport Beach, CA 92658
Name: Lester Goaer ty Address:
-
P9 Pair Drive, Costa Mesa, CA 92626
A
Name: _ Address:
Name: Address:
%%2015
RETURN ACKNOWLEDGMENT TO: (Type or Print)
_�
Date
f
NAME City of Newport Beach Police Department
ADDRESS PO Box 7000
Newport Beach, CA 92658 -7000
OlTYtSTATGZIP �
Emily Jan Bledstein, Secretary
� Y Y
Typed Name and Title
SEUSI ATC NPtNP.0.5 in' V, U }��)
A State ®f California FILE NO.
Secretary of State ^ --
�.
Mary Of State
AMENDMENT OF A JOINT POWERS AGREEMENT State ofCaBifornle
(Government Code section 6503.5) KAY 13 2093
Instructions:
1. Complete and mail to: Secretary of State, P.O. Box 942877,
Sacramento, CA 94277 -0001.
2. Include filing fee of $1.00. (office use only)
3. Do not include attachments.
4. A copy of the full text of the joint powers agreement and amendments, if any, must be submitted to the State
Controller's office. For address information, contact the State Controller's office at www.sco.ca.gov.
Date of filing initial notice with the Secretary of State: November 15, 1993
File number of initial notice: 1347
Name of the agency or entity created under the agreement and responsible for the administration of the agreement:
Airborne Law Enforcement Services
Agency's or Entity's Mailing Address: P.O. Box 7000, Newport Beach, CA 92658 -7000
Title of the agreement: Resolution of the Board of Governors for the Airborne Law
Enforcement Service Joint Powers Agency Terminating, Dissolving and Disban
Complete one or more boxes below. The agreement has been amended to:
[ ] Change the parties to the agreement as follows:
[ ] Change the name of the administering agency or entity as follows:
[ ] Change the purpose of the agreement or the powers to be exercised as follows:
[ ] Change the short title of the agreement as follows:
[ X) Make other changes to the agreement as follows: Terminate /
RETURN ACKNOWLEDGMENT TO: (Type or Print) Dq �23>/,? -o
Date
NAME r Newport Beach Police Dept.
Attn: Emily Jan Bledstein =i
ADDRESS P.O. Box 7000 Signatr --- T
CITY/STATE/Zip L Newport Beach, CA 92658 - 7000]. Emily Jan Bledstein, Secretary
Typed Name and Title
SMSTATE NPISF 4045 (REV. 1012010)
.ing
AIRBORNE LAW ENFORCEMENT SERVICES
FINANCIAL STATEMENTS
WITH REPORT ON AUDIT
BYINDEPENDENT
PUBLIC ACCOUNTANTS
FOR THE PERIOD FROM
JULY 1, 2012 THROUGH DECEMBER 31, 2012
(DATE OF DISSOLUTION)
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AIRBORNE LAW ENFORCEMENT SERVICES
TABLE OF CONTENTS
For the period from July 1, 2012 through December 31, 2012
Page
Number
Independent Auditors' Report 1 - 2
Basic Financial Statements:
Government -wide Financial Statements: 3
Statement of Net Assets 4
Statement of Activities
5
Fund Financial Statements:
7
Balance Sheet - Governmental Funds
8
Reconciliation of the Governmental Funds Balance
Sheet to the Statement of Net Assets
9
Statement of Revenues, Expenditures and Changes in
Fund Balances - Governmental Funds
10
Reconciliation of the Governmental Funds Statement of
Revenues, Expenditures and Changes in Fund Balances
to the Statement of Activities 11
Notes to the Basic Financial Statements 13-20
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INDEPENDENT AUDITORS' REPORT
The Board of Directors
Airborne Law Enforcement Services
Costa Mesa, California
Report of the Financial Statements
We have audited the accompanying financial statements of the governmental activities and each major
fund of the Airborne Law Enforcement Services (ABLE), as of and for period from July 1, 2012 to
December '31,2012 (date of dissolution), which collectively comprise ABLE's basic financial
statements, as listed in the table of contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this
includes the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of the financial statements that are free of material misstatement, whether due to
fraud or error.
Auditor's Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America. Those standards require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatements of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers the internal control relevant to the
ABLE's preparation and fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion .
on the effectiveness of the ABLE's internal control. Accordingly, we express no such opinion. An audit
also includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant estimates made by management, as well as evaluating the overall presentation of the
financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
out audit opinions.
2875 Michelle Drive, Suite 300, Irvine, CA 92606 ^ Tel. 714.978.1300 a Pax: 714.978.7893
Offices located. in Orange and San D ego Counties
Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities and each major fund of ABLE as of
December 31, 2012, and the respective changes in financial position thereof for the year then ended in
conformity with accounting principles generally accepted in the United States of America.
Emphasis -of- Matter
As discussed in Note 5 to the financial statements, ABLE was dissolved as of December 31, 2012. Our
opinion is not modified with, respect to this matter.
Management's Discussion and Analysis
Management has not presented the management's discussion and analysis that governmental
accounting principles generally accepted in the United States of America require to be presented to
supplement the basic financial statements. Such missing information, although not a part of the basic
financial statements, is required by the Governmental Accounting Standards Board, who considers it to
be an essential part of financial reporting for placing the basic financial statements in an appropriate
operational, economic, or historical context. Our opinion on the basic financial statements is not
affected by this missing information.
Irvine, California
February 12, 2013
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GOVERNMENT -WIDE FINANCIAL STATEMENTS
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AIRBORNE LAW ENFORCEMENT SERVICES
STATEMENT OF NET ASSETS
December 31, 2012
ASSETS:
Cash and investments (Note 2)
Accounts receivable
TOTAL ASSETS
LIABILITIES:
Accounts payable
Sales tax payable
Payable to joint powers members (Note 5)
TOTAL LIABILITIES
NET ASSETS:
Unrestricted
TOTAL NET ASSETS
Governmental
Activities
$ 5,108,639
1,013
5,109,652
2,300
3,722
5,103,630
5,109,652
See independent auditors' report and notes to the basic financial statements.
AIRBORNE LAW ENFORCEMENT SERVICES
STATEMENT OF ACTIVITIES
For the period from July 1, 2012 through December 31, 2012
Functionslprogranis Expenses
Governmental activities:
Law enforcement $ 142,862
Total governmental
Program Revenues
Charges Operating Capital
for Grants and Grants and
Services Contributions Contributions
activities $ 142,862
General revenues:
Investment income
Gain on disposal of assets
Other
Total general revenues
Net (Expenses)
Revenues and
Changes in
Net Assets
Governmental
Activities
- $ - $ (142,862)
Change in net assets, before
extraordinary item
$ (142,862)
Extraordinary item:
Final payment to joint powers members
Change in net assets
NET ASSETS AT JULY 1, 2012,
AS RESTATED (NOTE 4)
NET ASSETS AT DECEMBER 31„ 2012
See independent auditors' report and notes to the basic financial statements.
-5-
18,540
6,531
200,344
225,415
82,553
(5,103,630)
(5,021,077)
5,021,077
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FUND FINANCIAL STATEMENTS
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AIRBORNE LAW ENFORCEMENT SERVICES
BALANCE SHEET
GOVERNMENTALFUNDS
December 31, 2012
ASSETS:
Cash and investments
Accounts receivable
TOTAL ASSETS
LIABILITIES:
Accounts payable
Sales tax payable
Payable to joint powers members {Note 5}
TOTAL LIABILITIES
Capital Total
General Projects Governmental
Fund Fund Funds
$ 1,886,370 $ 3,222,269 $ 5,108,639
1,013 - 1,013
$ 1,887,383 $ 3,222,269 $ 5,109,652
$ 2,300 $ - $ 2,300
3,722 - 3,722
1,881,361 3,222,269 5,103,630
$ 1,887,383 $ 3,222,269 $ 5,109,652
See independent auditors' report and notes to the basic financial statements.
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AIRBORNE LAW ENFORCEMENT SERVICES
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET
TO THE STATEMENT OF NET ASSETS
December 31, 2012
There are no reconciling items between net assets of governmental activities on the
Statement of Net Assets and fund balances on the governmental funds balance sheet.
See independent auditors' report and notes to the basic financial statements.
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AIRBORNE LAW ENFORCEMENT SERVICES
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
For the period from July 1, 2012 through December 31, 2012
REVENUES:
Investment income
Other
TOTAL REVENUES
EXPENDITURES:
Financial and administrative
Labor and maintenance
Insurance
Fuel
Supplies, tools and materials
Rent
TOTAL EXPENDITURES
EXCESS (DEFICIENCY) OF
REVENUES OVER (UNDER)
EXPENDITURES
OTHER FINANCING SOURCES:
Sale of capital assets
NET CHANGE IN FUND BALANCES,
BEFORE EXTRAORDINARY ITEM
EXTRAORDINARY ITEM:
Final payment to joint powers members
NET CFIANGE IN FUND BALANCES
FUND BALANCES AT JULY 1, 2012,
Capital Total
General Projects Governmental
Fund Fund Funds
$ 7,036 $ 11,504 $ 18,540
200,344 - 200,344
207,380 11,504 218,884
5,571
70,311
1,500
19,840
538
27,203
124,963
82,417
60,230
142,647
- 5,571
- 70,311
- 1,500
- 19,840
- 538
- 27,203
- 124,963
11,504 93,921
60,230
11,504 154,151
(1,881,361) (3,222,269) (5,103,630)
(1,738,714) (3,210,765) (4,949,479)
AS RESTATED (NOTE 4) 1,738,714 3,210,765 4,949,479
FUND BALANCES AT
DECEMBER 31, 2012 $ - $ - $ -
See independent auditors' report and notes to the basic financial statements.
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AIRBORNE LAW ENFORCEMENT SERVICES
RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF
REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
TO T14E STATEMENT OF ACTIVITIES
For the period from July 1, 2012 through December 31, 2012
Net change in fund balances - total governmental funds $ (4,949,479)
Amounts reported for governmental activities in the Statement of Activities are
different because:
When capital assets that are to be used in governmental activities are purchased or
constructed, the resources expended for those assets are reported as expenditures
in governmental funds. However, in the Statement of Activities, the cost of those
assets is allocated over their estimated useful lives and reported as depreciation
expense. As a result, fund balance decreases by the amount of financial resources
expended, whereas net assets decreased by the amount of depreciation expense
charged for the year. In the Statement of Activities, only the gain on the sale of
capital assets is reported. However, in the governmental funds, the proceeds from
the sale increase financial resources. Thus, the change in the net assets differs
from the change in fund balance by the cost of capital assets sold.
Depreciation expense (17 „899)
Transfer of of capital assets to the City of Costa Mesa (53,699)
Change in net assets of governmental activities $ (5,021,077)
See independent auditors' report and notes to the basic financial statements.
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AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINTANCIAL STATEMENTS
For the period from July 1, 2012 through December 31, 2012
REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
The accounting policies of Airborne Law Enforcement Services ('hereinafter referred to as
"ABLE ") conform to accounting principles generally accepted in the United States of America for
local governmental units. The following is a summary of the significant policies.
A. Description of the Reporting Entity:
ABLE was created as a joint venture involving the City of Costa Mesa ( "Costa Mesa ") and the
City of Newport Beach ( "Newport Beach "), collectively referred to as "Member Agencies ".
The purpose of ABLE is to use the equipment and personnel of the member agencies in order
to provide regional law enforcement helicopter services to their respective jurisdictions. In
February 2011, ABLE's Board of Directors made a decision to dissolve the joint venture and as
of December 31, 2012, the entity has disposed of its assets and satisfied its obligations.
B. Fund Accounting:
The basic accounting and reporting entity is a "fund ". A fund is defined as an independent
fiscal and accounting entity with a self - balancing set of accounts, recording resources, related
liabilities, obligations, reserves and equities segregated for the purpose of carrying out specific
activities or attaining certain objectives in accordance with special regulations, restrictions, or
limitations. The accounting records of ABLE are organized on the basis of funds. The
following funds have been classified as major governmental funds:
General Fund
The general fund is the general operating fund of ABLE. All general revenues and other
receipts that are not allocated by law or contractual agreement to some other fund are accounted
for in this fund. Expenditures of this fund include the general operating expenditures and other
costs which are not paid through other funds.
Capital Projects Fund
The Helicopter Replacement Fund is used to account for financial resources segregated for
major capital acquisitions.
See independent auditors' report.
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AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
1, REPOWFING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED):
C. Basis of Accounting and Measurement Focus:
The basic financial statements of ABLE are composed of the following:
• Government -wide financial statements
• Fund financial statements
• Notes to the basic financial statements
Government -wide Financial Statements
Government -wide financial statements display information about ABLE as a whole. All
activities of ABLE are classified as governmental activities. Government -wide financial
statements are presented using the economic resources measurement focus and the accrual
basis of accounting. Under the economic resources measurement focus, all (both current and
Ion,--term) economic resources and obligations of the reporting government are reported in the
government -wide financial statements. Basis of accounting refers to when revenues and
expenditures are recognized in the accounts and reported in the financial statements. Under the
accrual basis of accounting, revenues, expenses, gains, losses, assets and liabilities resulting
from nonexchange transactions are recognized in accordance with the requirements of
GAS Statement No, 33.
Program revenues include charges for services, special assessments, and payments made by
parties outside of the reporting government's citizenry if that money is restricted to a particular
program. Program revenues are netted with program expenses in the statement of activities to
present the net cost of each program.
Amounts paid to acquire capital assets are capitalized assets in the government -wide financial
statements, rather than reported as an expenditure.
Fund Financial Statements
The underlying accounting system of ABLE is organized and operated on the basis of separate
funds, each of which is considered to be a separate accounting entity. The operations of each
fund are accounted for with a separate set of self - balancing accounts that comprise its assets,
liabilities, fund equity, revenues and expenditures or expenses, as appropriate. Governmental
resources are allocated to and accounted for in individual funds based upon the purposes for
which they are to be spent and the means by which spending activities are controlled.
See independent auditors' report.
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AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
1, REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED):
C. Basis of Accounting and Measurement Focus (Continued):
Fund Financial Statements (Continued)
Fund financial statements for ABLE's governmental funds are presented after the
government -wide financial statements. These statements display information about
governmental major funds individually.
Governmental Funds
In the fund financial statements, governmental funds are presented using the modified - accrual
basis of accounting. Their revenues are recognized when they become measurable and
available as net current assets. Measurable means that the amounts can be estimated, or
otherwise determined. Available means that the amounts were collected during the reporting
period or soon enough thereafter to be available to finance the expenditures accrued for the
reporting period. ABLE generally considers revenues collected within sixty days after the fiscal
year -end to be available.
Revenue recognition is subject to the measurable and availability criteria for the governmental
funds in the fund financial statements. Exchange transactions are recognized as revenues in the
period in which they are earned (i.e., the related goods or services are provided). Imposed
non - exchange transactions are recognized as revenues in the period for which they were
imposed. If the period of use is not specified, they are recognized as revenues when an
enforceable legal claim to the revenues arises or when they are received, whichever occurs first.
Government- mandated and voluntary non - exchange transactions are recognized as revenues
when all applicable eligibility requirements have been met.
In the fund financial statements, governmental funds are presented using the current financial
resources measurement focus This means that only current assets and current liabilities are
generally included on their balance sheets. The reported fund balance (net current assets) is
considered to be a measure of "available spendable resources ". Governmental fund operating
statements present increases (revenues and other financing sources) and decreases
(expenditures and other financing uses) in net current assets. Accordingly, they are said to
present a summary of sources and uses of "available spendable resources" during a period.
Amounts expended to acquire capital assets are recorded as expenditures in the year that
resources were expended, rather than as fund assets. The proceeds of long -term indebtedness
are recorded as otherfinancing sources rather than as a fund liability. Amounts paid to reduce
long -term indebtedness are reported as fund expenditures.
See independent auditors' report.
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AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
1. REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED):
D. Cash and Investments:
Investments are reported in the accompanying financial statements at fair value. Changes in
fair value that occur during a fiscal year are recognized as investment income reported for that
fiscal year. Investment income includes interest earnings, changes in fair value, and any gains
or losses realized upon the liquidation, maturity, or sale of investments.
E. Capital Assets:
Capital assets are recorded at historical cost at the time of purchase. Assets acquired from gifts
of contributions are recorded at fair market value on the date received. Generally, capital asset
purchases in excess of $5,000 are capitalized if they have an expected useful life of 2 years or
more. Capital assets used in operations are depreciated in the government -wide financial
statements. Depreciation of such assets is computed using the straight -line method over the
estimated useful lives noted below and charged to operations:
Helicopters 10 years
FLIR System 7 years
Other helicopter equipment 5 years
As described in Note 5, ABLE's Board of Directors made a decision to dissolve the joint
venture. As a result, the remaining capital assets which consisted of helicopter parts were sold
and ABLE received a total of $60,230 for the sale of capital assets which consisted of $24,539
received from the City of Costa Mesa, and $35,691 from other vendors. The net value in the
amount of $53,699 for the FLIR System was transferred to the City of Costa Mesa to be sold to
a third party or donated to the Orange County Sheiriff. If the FLIR System is sold, the
proceeds will be distributed equally between the City of Costa Mesa and the City of Newport
Beach.
F. Fund Equity:
Due to the implementation of GASB No. 54, the components of the fund balances of
governmental funds reflect the component classifications described below.
The fund balances are reported in the fund statements in the following classifications:
Nonspendable Fund Balance - this includes amounts that cannot be spent because they are
either not spendable in form (such as inventory) or legally or contractually required to be
maintained intact (such as endowments).
See independent auditors' report.
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AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
1. REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED):
F. Fund Equity (Continued):
Assigned Fund Balance - this includes amounts that are designated or expressed by the Board,
but does not require a formal action like a resolution or ordinance. The Board may delegate the
ability of an employee or committee to assign uses of specific funds, for specific purposes.
Such delegation of authority has not yet been granted to persons or bodies other than the .Board
of Directors.
Unassaened Fund Balance - this includes the remaining spendable amounts which are not
included in one of the other classifications.
It is ABLE's policy that restricted resources will be applied first, followed by (in order of
application) committed, assigned, and unassigned resources, in the absence of a formal policy
adopted by the Board.
G. '[Ise of Estimates:
The preparation of financial statements in conformity with generally accepted accounting
principles requires management to make estimates and assumptions that affect certain reported
amounts and disclosures. Accordingly, actual results could differ from those estimates.
1 CASB AND INVESTMENTS:
Cash and Investments
Cash and investments at December 31, 2012 are classified in the accompanying Statement of Net
Assets as follows:
Cash and investments
Cash and investments held at December 31, 2012 consisted of the following:
Equity in City of Costa Mesa investment pool L, 5.10$.639
See independent auditors' report.
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AIRBORNE: LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
2, CASH AND INVESTMENTS (CONTINUED):
Equity in Cash and Investment Pool of the City of Costa Mesa
ABLE does not have a separate bank account; however, ABLE's cash and investments are
maintained in an investment pool managed by the City of Costa Mesa. ABLE is a voluntary
participant in that pool. This pool is governed by and under the regulatory oversight of the
Investment Policy adopted by the City Council of the City of Costa Mesa. ABLE has not adopted
an investment policy separate from that of the City of Costa Mesa. The fair value of ABLE's
investment in this pool is reported in the accompanying financial statements at amounts based upon
ABLE's pro -rata share of the fair value calculated by the City for the entire City portfolio. The
balance available for withdrawal is based on the accounting records maintained by the City, which
are recorded on an original cost basis.
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value
of an investment. Generally, the longer the maturity of an investment is, the greater the sensitivity
of its fair value to changes in market interest rates. One of the ways that the City of Costa Mesa
manages its exposure to interest rate risk is by purchasing a combination of shorter term and longer
term investments and by tinting cash flows from maturities so that a portion of the portfolio is
maturing or coming close to maturity evenly over time as necessary to provide the cash flow and
liquidity needed for operations_
Information about ABLE's exposure to interest rate risk as a result of its equity in the cash and
investment pool of the City of Costa Mesa is not available as of December 31, 2012.
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the
holder of the investment. This is measured by the assignment of a rating by a nationally recognized
statistical rating organization. Minimum ratings required by (where applicable) the California
Government Code and the City of Costa Mesa's Investment Policy and the actual ratings as of
December 31, 2012 are not available.
Concentration of Credit Risk
Investments in any one issuer (other than U.S. Treasury securities, mutual funds and investment
pools) that represent 5% or more of total investments for the entire entity (or for each separate
major fund or for other governmental funds in the aggregate) are not available as of
December 31, 2012.
See independent auditors' report.
AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO T14E BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
2. CASH AND INVESTMENTS (CONTINUED):
Custodial. Credit Risk
ABLE does not have any significant certificates of deposit or demand accounts that are subject to
custodial credit risk disclosure (as defined by GASB Statement No. 40). ABLE does not have
direct investments in securities subject to custodial credit risk disclosure (as defined by
GASBB Statement No. 40).
3, CAPITALASSETS:
A summary of changes in capital assets for the period ended December 31, 2012 is as follows:
Capital assets, being depreciated:
Helicopter equipment
Less accumulated depreciation for:
Helicopter equipment
Capital assets, net
Balance at Balance at
July 1, 2012 Additions Deletions Deceniber3l 2012
$ 277,832 (277,832)
(206,234) (17,900) 224.134
S-- 71.59g $ (17900) (5.3_.698)___.__._ _.
Depreciation expense of $17,900 was charged to law enforcement.
4. PRIOR PERIOD ADJUSTMENT OF BEGINNING NET ASSETS AND FUND BALANCES:
Net Assets
The net assets balances at July 1, 2012 were restated as follows:
Net assets as previously reported - July 1, 2012 $ 4,928,077
To adjust for sales tax payable accrued at June 30, 2012 for sale of
capital assets. Net assets were restated to remove the payable as it
was determined by ABLE's attorney that the sale was exempt from
sales tax. 93,000
Net assets, as restated - July 1, 2012 5 02 ,Q7_.7
See independent auditors' report.
EVE
AIRBORNE LAW ENFORCEMENT SERVICES
NOTES TO THE BASIC FINANCIAL STATEMENTS
(CONTINUED)
For the period from July 1, 2012 through December 31, 2012
4. PRIOR PERIOD ADJUSTMENT" OF BEGINNING NET ASSETS AND FUND BALANCES
(CONTINUED):
Fund Balances
The fund balances at July 1, 2012 were restated as follows:
General
Fund
Fund balances as previously reported - July 1, 2012 $ 1,645,714
Removal of sales tax payable accrued at
June 30, 2012 93,000
Fund balances as restated - July 1, 2012 $ 1,738,71-4
5. DISSOLUTION OF ENTITY:
In February 2011, ABLE's Board of Directors made a decision to dissolve the joint venture. At
December 31, 2012, ABLE was able to dispose all of its inventories and capital assets except for
one item, which was written off as a loss on disposal of assets. The joint venture is dissolved as of
December 31, 2012,
A payable to the joint powers members of $5103,630 has been recorded at December 31, 2012 to
reflect the remaining funds available for distribution which will be allocated equally to the City of
Costa Mesa and the City of Newport Beach. A payment in the amount of $2,551,815 was made to
each of the Cities of Costa Mesa and Newport Beach on January 25, 2013.
See independent auditors' report.
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AIRBORNE LAW ENFORCEMENT SERVICES
REGULAR MEETING AGENDA
NEWPORT BEACH POLICE DEPARTMENT
CHIEF'S CONFERENCE ROOM
870 Santa Barbara Drive
Newport Beach, CA 92660
March 12, 2013
1:00 PM
Notice to the Public
Any writings or documents not exempt under the California Public Records Act
and which are provided to a majority of the Airborne Law Enforcement Agency
Board Members regarding any item on this agenda will be made available for
public inspection at the Newport Beach Police Department located at 870 Santa
Barbara Drive, Newport Beach„ CA 92660 or the Costa Mesa Police Department
located at 99 Fair Dr. Costa Mesa, CA 92626 during normal business hours.
Regular meetings of the Board are generally held on the third Thursday of each
month at 9:00 a.m. If you have any questions or require copies of any of the staff
reports or other documentation regarding any item of business on the agenda,
please contact Commander Tim Starn at (714) 754 -5046.
It is the intention of Airborne Law Enforcement Services to comply with the
Americans with Disabilities Act (ADA) in all respects. If, as an attendee or a
participant at this meeting, you will need special assistance beyond what is
normally provided, Airborne Law Enforcement Services will attempt to
accommodate you in every reasonable manner. Please contact Tim Stam at
(714) 754 -5046 at least 72 hours prior to the meeting to inform us of your
particular needs and to determine if accommodation is feasible.
AIRBORNE LAW ENFORCEMENT SERVICES BOARD AGENDA
CHIEF'S CONFERENCE ROOM
March 12, 2013
ROLL CALL:
PUBLIC COMMENTS: Public comments are invited on non- agenda
items generally considered to be within the
subject matter jurisdiction of the Airborne Law
Enforcement Services — Speakers must limit
comments to 3- minutes. Before speaking, please
state your name for the record.
REQUESTS FOR CONTINUANCES:
CONSENT CALENDAR ITEMS NO. 1:
NOTICE TO THE PUBLIC
All matters listed under CONSENT CALENDAR are considered by the Board to
be routine and will all be enacted by one motion. The Board Members have
received detailed staff reports on each of the items recommending an action.
There will be no separate discussion of these items prior to the time the Board
votes on the motion unless members of the Board, staff or the public request
specific items to be discussed and /or removed from the Consent Calendar for
separate action.
Members of the public who wish to discuss a Consent Calendar item should,
upon invitation by the Chairman, state their name and Consent Calendar Item
number.
1. Minutes
Regular Meeting of January 17, 2013.
Recommendation: Approve
END OF CONSENT CALENDARHEARING ITEMS
11
NEW BUSINESS ITEMS NOS. 2 -4
2. FLIR Ultra 8500 Status Update
Summary:
Costa Mesa PD has a FLIR Ultra 8500 listed for sale, previously
owned by ABLE. Board member(s) to provide an update on the
disposition of the FLIR.
Recommendation: Provide Direction
3. Final ABLE Audited Financial Statements
Summary:
Review and discuss the final audited financial statements.
Recommendation: Approve
4. Final Dissolution of ABLE
Summary:
Vote to authorize the dissolution of ABLE as a JPA, and authorize
the ABLE Board Secretary to transmit copies of the resolution to
City of Newport Beach and City of Costa Mesa, and any other
agencies necessary.
Recommendation: Approve
5. Additional Business
A. Comments by Legal Counsel
B. Comments by ABLE Commander
s
3
0
V
AIRBORNE LAW ENFORCEMENT SERVICES
Basic Financial Statements
Year ended June 30, 2014
(With Independent Auditors' Report Thereon)
AIRBORNE LAW ENFORCEMENT SERVICES
Basic Financial Statements
Year ended June 30, 2010
TABLE OF CONTENTS
Page
Independent Auditors' Report 1
Basic Financial Statements:
Government -wide Financial Statements:
Statement of Net Assets 4
Statement of Activities 5
Fund Financial Statements:
Governmental Funds:
Balance Sheet 8
Reconciliation of the Balance Sheet of Governmental Funds to the
Statement of Net Assets 9
Statement of Revenues, Expenditures and Changes in Fund Balances 10
Reconciliation of the Statement of Revenues, Expenditures and Changes
in Fund Balances of Governmental Funds to the Statement of Activities I I
Notes to the Basic Financial Statements 13
Required Supplementary Information:
Schedule of Revenues, Expenditures and Changes in Fund Balances —
Budget and Actual:
General Fund 22
Note to Required Supplementary Information 23
Mayer Hoffman McCann P.C.
An Independent CPA Firm
2301 Dupont Drive, Suite 200
Irvine, California 92612
949- 4742020 ph
949 - 263-5520 fx
www.mhm- pc.com
Board of Directors
Airborne Law Enforcement Services
Costa Mesa, California
INDEPENDENT AUDITORS' REPORT
We have audited the financial statements of the governmental activities and each major fund of
Airborne Law Enforcement Services ( "ABLE ") as of and for the year ended June 30, 2010,
which collectively comprise ABLE's basic financial statements as listed in the table of contents.
These financial statements are the responsibility of the management of ABLE. Our responsibility
is to express opinions on these financial statements based on our audit. The prior year partial
comparative information has been derived from ABLE's basic financial statements for the year
ended June 30, 2009 and, in our report dated December 11, 2009, we expressed an unqualified
opinion an those financial statements.
We conducted our audit in accordance with auditing standards generally accepted in the United
States of America. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material misstatement.
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our opinions.
In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities and each major fund of ABLE at
June 30, 2010, and the respective changes in financial position of ABLE for the year then ended,
in conformity with accounting principles generally accepted in the United States of America.
ABLE has not presented management's discussion and analysis that accounting principles
generally accepted in the United States of America has determined is necessary to supplement,
although not required to be part of, the basic financial statements.
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise Airborne Law Enforcement Services' basic financial statements. The
required supplementary information is not a required part of the basic financial statements, but is
supplementary information required by accounting principles generally accepted in the United
States of America. This supplementary information is presented for purposes of additional
analysis and is also not required part of the basic financial statements. The required
supplemental information has been subject to the auditing procedures applied in the audit of the
basic financial statements, and in our opinion, are fairly stated in all material respects in relation
to the basic financial statements taken as a whole.
Irvine, California
December 8, 2010
GOVERNMENT -WIDE FINANCIAL STATEMENTS
AIRBORNE LAW ENFORCEMENT SERVICES
Statement of Net Assets
June 30, 2010
(With Comparative Data for Prior Year)
Assets:
Cash and investments (note 2)
Interest receivable
Due from other governments
Inventory
Prepaid expenses
Capital assets, net of accumulated depreciation (note 3)
Total assets
Liabilities:
Accounts payable
Total liabilities
Net assets:
Invested in capital assets
Unrestricted
Total net assets
Governmental Activities
2010 2009
$ 3,626,466
3,182,325
16,291
22,366
346,368
176,340
167,074
157,751
88,010
17,138
1,141,274
1,602,170
5,385,483 5,158,090
131,944 78,409
131,944 78,409
1,141,274
1,602,170
4,112,265
3,477,511
$ 5,253,539
5,079,681
See accompanying notes to the basic financial statements.
4
AIRBORNE LAW ENFORCEMENT SERVICES
Statement of Activities
Year ended June 30, 2010
(With. Comparative Data for Prior Year)
Prop-ram Revenues
General revenues:
Investment income
Other
Total general revenues
Change in net assets
Net assets at beginning of year
Net assets at end of year
96,239 2,905
67,436 85,473
163,675 88,378
173,858 140,756
5,079,681 4,938,925
$ 5,253,539 5,079,681
See accompanying notes to the basic financial statements.
5
Operating Capital
Charges for
Contributions Contributions
Net Governmental Activities
Functions/Programs Expenses
Services
and Grants and Grants
2010 2009
Law enforcement $ 1,945,711
431,133
1,524,761
10,183 52,378
Total
governmental
activities $ 1,945,711
431,133
1,524,761
10,183 52,378
General revenues:
Investment income
Other
Total general revenues
Change in net assets
Net assets at beginning of year
Net assets at end of year
96,239 2,905
67,436 85,473
163,675 88,378
173,858 140,756
5,079,681 4,938,925
$ 5,253,539 5,079,681
See accompanying notes to the basic financial statements.
5
FUND FINANCIAL STATEMENTS
AIRBORNE LAW ENFORCEMENT SERVICES
Governmental Funds
Balance Sheet
June 30, 2010
(With Comparative Data for Prior Year)
Assets
Cash and investments (note 2)
Interest receivable
Due from other governments
Inventory
Prepaid expenses
Total assets
Liabilities and Fund Balances
Liabilities:
Accounts payable
Total liabilities
Fund balances:
Reserved for:
inventory
Prepaid expenses
Asset forfeiture
Unreserved - undesignated,
reported in:
General Fund
Capital Projects Fund
Total fund balances
Total liabilities and
fund balances
Capital
General Projects
Fund Fund
$ 564,228 3,062,238
2,534 13,757
309,063 37,305
167,074 -
88,010
Totals
2010 2009
3,626,466 3,182,325
16,291
22,366
346,368
176,340
167,074
157,751
88,010
17,138
$ 1,130,909 3,113,300
4,244,209
3,555,920
$ 131,944 -
131,944
78,409
131,944 -
131,944
78,409
167,074 -
167,074
157,751
88,010 -
88,010
17,138
20,655 -
20,655
20,655
723,226 -
723,226
694,898
- 3,113,300
3,113,300
2,587,069
998,965 3,113,300 4,112,265 3,477,511
$ 1,130,909 3,113,300 4,244,209 3,555,920
See accompanying notes to the basic financial statements,
8
AIRBORNE LAW ENFORCEMENT SERVICES
Governmental Funds
Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Assets
June 30, 2010
Fund balances of governmental funds $ 4,112,265
Amounts reported for governmental activities in the Statement of
Net Assets are different because:
When capital assets that are to be used in governmental
activities are purchased or constructed, the cost of those
assets are reported as expenditures in governmental funds.
However, the Statement of Net Assets includes those capital
assets among the assets of ABLE as a whole.
Capital assets 4,600,492
Accumulated depreciation (3,459,218)
Net assets of governmental activities $ 5,253,539
See accompanying notes to the basic financial statements.
9
AIRBORNE LAW ENFORCEMENT SERVICES
Governmental Funds
Statement of Revenues, Expenditures and Changes in Fund Balances
Year ended June 30, 2010
(With Comparative Data for Prior Year)
Revenues:
Charges to other agencies
Contributions from member agencies
Reimbursements from County of Orange
Investment income
Other
Total revenues
Expenditures:
Financial and administrative
Labor and maintenance
Insurance
Fuel
Capital outlay
Education and training
Supplies, tools and materials
Rent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Fund balances at beginning of year
General
Fund
Capital
Projects
Fund
Totals
2010 2009
$ 320,293
-
320,293
277,374
1,193,072
447,654
1,640,726
1,716,020
431,133
-
431,133
491,432
17,662
78,577
96,239
2,905
67,436
-
67,436
85,473
2,029,596 526,231 2,555,827 2,573,204
11,931 -
11,931
20,805
1,099,275 -
1,099,275
1,134,732
177,755 -
177,755
94,751
321,784 -
321,784
415,885
- -
-
37,179
141,004 -
141,004
70,840
9,900 -
9,900
12,168
159,424 -
159,424
159,408
1,921,073 -
1,921,073
1,945,768
108,523 526,231
634,754
627,436
890,442 2,587,069
3,477,511
2,850,075
Fund balances at end of year $ 998,965 3,113,300 4,112,265 3,477,511
See accompanying notes to the basic financial statements.
10
AIRBORNE LAW ENFORCEMENT SERVICES
Governmental Funds
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds to the Statement of Activities
Year ended June 30, 2010
Net change in fund balances - total governmental funds $ 634,754
Amounts reported for governmental activities in the Statement of
Activities are different because:
When capital assets that are to be used in governmental activities
are purchased or constructed, the resources expended for those
assets are reported as expenditures in governmental funds.
However, in the Statement of Activities, the cost of those assets
is allocated over their estimated useful lives and reported as
depreciation expense. As a result, fund balance decreases by the
amount of financial resources expended, whereas net assets
decreased by the amount of depreciation expense charged for
the year.
Depreciation expense (460 896)
Change in net assets of governmental activities $ 173,858
See accompanying notes to the basic financial statements_
II
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
Year ended June 30, 2010
(1) Summary of Significant Accounting Policies
The accounting policies of Airborne Law Enforcement Services (hereinafter referred to as
"ABLE ") conform to accounting principles generally accepted in the United States of
America for local governmental units. The following is a summary of the significant
policies.
(a) Description of Reporting Entity
ABLE currently operates as a joint venture involving the City of Costa Mesa
( "Costa Mesa ") and the City of Newport Beach ( "Newport Beach "), collectively
referred to as "Member Agencies ". The purpose of ABLE is to use the equipment
and personnel of the member agencies in order to provide regional law
enforcement helicopter services to their respective jurisdictions.
(b) Fund Accounting
The basic accounting and reporting entity is a "fund". A fund is defined as an
independent fiscal and accounting entity with a self - balancing set of accounts,
recording resources, related liabilities, obligations, reserves and equities
segregated for the purpose of carrying out specific activities or attaining certain
objectives in accordance with special regulations, restrictions, or limitations.
The accounting records of ABLE are organized on the basis of funds. The
following funds have been classified as major governmental funds:
General Fund
The general fund is the general operating fund of ABLE. All general revenues
and other receipts that are not allocated by law or contractual agreement to some
other fund are accounted for in this fund. Expenditures of this fund include the
general operating expenditures and other costs which are not paid through other
funds.
Capital Projects Fund
The Helicopter Replacement Fund is used to account for financial resources
segregated for major capital acquisitions.
IN
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
(Continued)
(1) Summary of Significant Accountine Policies, (Continued)
(c) Measurement Focus and Basis of Aceountine
The basic financial statements of ABLE are composed of the following:
• Government -wide financial statements
• Fund financial statements
• Notes to the basic financial statements
Government -wide Financial Statements
Government -wide financial statements display information about ABLE as a
whole. All activities of ABLE are classified as governmental activities.
Government -wide financial statements are presented using the economic
resources measurement focus and the accrual basis of accounting. Under the
economic resources measurement focus, all (both current and long -term)
economic resources and obligations of the reporting government are reported in
the government -wide financial statements. Basis of accounting refers to when
revenues and expenditures are recognized in the accounts and reported in the
financial statements. Under the accrual basis of accounting, revenues, expenses,
gains, losses, assets and liabilities resulting from nonexchange transactions are
recognized in accordance with the requirements of GASB Statement No. 33.
Program revenues include charges for services, special assessments, and payments
made by parties outside of the reporting government's citizenry if that money is
restricted to a particular program. Program revenues are netted with program
expenses in the statement of activities to present the net cost of each program.
Amounts paid to acquire capital assets are capitalized assets in the government -
wide financial statements, rather than reported as an expenditure.
Fund Financial Statements
The underlying accounting system of ABLE is organized and operated on the
basis of separate funds, each of which is considered to be a separate accounting
entity. The operations of each fund are accounted for with a separate set of self -
balancing accounts that comprise its assets, liabilities, fund equity, revenues and
expenditures or expenses, as appropriate. Governmental resources are allocated to
and accounted for in individual fiords based upon the purposes for which they are
to be spent and the means by which spending activities are controlled.
14
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
(Continued)
(1) Summary of Significant Accounting Policies, (Continued)
Fund financial statements for ABLE's governmental funds are presented after the
government -wide financial statements. These statements display information
about governmental major funds individually.
Governmental Funds
In the fund financial statements, governmental funds are presented using the
modified-accrual basis of accounting. Their revenues are recognized when they
become measurable and available as net current assets. Measurable means that
the amounts can be estimated, or otherwise determined. Available means that the
amounts were collected during the reporting period or soon enough thereafter to
be available to finance the expenditures accrued for the reporting period. ABLE
generally considers revenues collected within sixty days after the fiscal year -end
to be available.
Revenue recognition is subject to the measurable and availability criteria for the
governmental funds in the fund financial statements. Exchange transactions are
recognized as revenues in the period in which they are earned (i.e., the related
goods or services are provided). Imposed non- exchange transactions are
recognized as revenues in the period for which they were imposed. If the period of
use is not specified, they are recognized as revenues when an enforceable legal
claim to the revenues arises or when they are received, whichever occurs first.
Government- mandated and voluntary non - exchange transactions are recognized as
revenues when all applicable eligibility requirements have been met.
In the fund financial statements, governmental funds are presented using the
current financial resources measurement focus. This means that only current
assets and current liabilities are generally included on their balance sheets. The
reported fund balance (net current assets) is considered to be a measure of
"available spendable resources." Governmental fund operating statements present
increases (revenues and other financing sources) and decreases (expenditures and
other financing uses) in net current assets. Accordingly, they are said to present a
summary of sources and uses of "available spendable resources" during a period.
Amounts expended to acquire capital assets are recorded as expenditures in the
year that resources were expended, rather than as fund assets. The proceeds of
long -term debt are recorded as other financing sources rather than as a fund
liability. Amounts paid to reduce long -term indebtedness are reported as fund
expenditures.
When both restricted and unrestricted resources are combined in a fund, expenses
are considered to be paid first from restricted resources, and then from
unrestricted resources.
15
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
(Continued)
Summary of Significant Accounting Policies, (Continued)
(d) Cash and Investments
Investments are reported in the accompanying financial statements at fair value.
Changes in fair value that occur during a fiscal year are recognized as investment
income reported for that fiscal year. Investment income includes interest earnings,
changes in fair value, and any gains or losses realized upon the liquidation,
maturity, or sale of investments,
(e) Due from Other Governments
Amounts shown as due from other governments represent billings to other parties
for services rendered during the year which had not been collected as of the
balance sheet date.
(f) Inventories
Inventories of materials and supplies are carried at cost on an average cost basis.
ABLE uses the consumption method of accounting for inventories.
(g) Capital Assets
Capital assets are recorded at historical cost at the time of purchase. Assets
acquired from gifts of contributions are recorded at fair market value on the date
received. Generally, capital asset purchases in excess of $5,000 are capitalized if
they have an expected useful life of 2 years or more. Capital assets used in
operations are depreciated in the government -wide financial statements.
Depreciation of such assets is computed using the straight -line method over the
estimated useful lives noted below and charged to operations:
Helicopters 10 years
FUR systems 7 years
Other helicopter equipment 5 years
(h) Use of Estimates
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect certain reported and amounts and disclosures. Accordingly, actual
results could differ from those estimates.
16
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
(Continued)
(1) Summary of Significant Accounting Policies, (Continued)
(i) Charges to Other Agencies
Revenues received from other agencies represent amounts billed to other public
service agencies contracting with ABLE for helicopter services on an hourly basis
at a rate of $1,230 per hour.
0) Prior Year Data
Selected information regarding the prior year has been included in the
accompanying financial statements. This information has been included for
comparison purposes only and does not represent a complete presentation in
accordance with generally accepted accounting principles. Accordingly, such
information should be read in conjunction with the government's prior year
financial statements, from which this selected financial data was derived.
(2) Cash and Investments
Cash and investments as of June 30, 2010 are classified in the accompanying financial
statements as follows:
Statement of Net Assets:
Cash and investments 62 466
Cash and investments as of June 30, 2010 consist of the following:
Petty cash $ 100
Equity in City of Costa Mesa investment pool 3,526,366
Total cash and investments ja&M 466
Equity in the Cash and Investment Pool of the City of Costa Mesa
ABLE has a separate bank account however, ABLE's cash and investments are
maintained in an investment pool managed by the City of Costa Mesa. ABLE is a
voluntary participant in that pool. This pool is governed by and under the regulatory
oversight of the Investment Policy adopted by the City Council of the City of Costa Mesa.
ABLE has not adopted an investment policy separate from that of the City of Costa Mesa.
The fair value of ABLE's investment in this pool is reported in the accompanying
financial statements at amounts based upon ABLE's pro -rata share of the fair value
calculated by the City for the entire City portfolio. The balance available for withdrawal
is based on the accounting records maintained by the City, which are recorded on an
original cost basis.
17
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
(Continued)
21 Cash and Investments, (Continued
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the
fair value of an investment. Generally, the longer the maturity of an investment, the
greater the sensitivity of its fair value to changes in market interest rates. One of the ways
that the City of Costa Mesa manages its exposure to interest rate risk is by purchasing a
combination of shorter term and longer term investments and by timing cash flows from
maturities so that a portion of the portfolio is maturing or coming close to maturity evenly
over time as necessary to provide the cash flow and liquidity needed for operations.
Information about ABLE's exposure to interest rate risk as a result of its equity in the
cash and investment pool of the City of Costa Mesa is provided by disclosures in the
notes to the basic financial statements of the City of Costa Mesa that shows the
distribution of the City's investments by maturity.
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its
obligation to the holder of the investment. This is measured by the assignment of a rating
by a nationally recognized statistical rating organization. Minimum ratings required by
(where applicable) the California Government Code and the City of Costa Mesa's
Investment Policy and the actual ratings as of year -end for each investment type are
provided by disclosures in the notes to the basic financial statements of the City of Costa
Mesa.
Concentration of Credit Risk
Investments in any one issuer (other than U.S. Treasury securities, mutual funds and
investment pools) that represent 5% or more of total investments for the entire entity (or
for each separate major fund or for nonmajor funds in the aggregate) are disclosed in the
notes to the basic financial statements of the City of Costa Mesa.
Custodial Credit Risk
ABLE does not have any significant certificates of deposit or demand accounts that are
subject to disclosabie custodial credit risk (as defined by GASB Statement No. 40).
ABLE does not have direct investments in securities subject to disclosabie custodial
credit risk (as defined by GASB Statement No. 40).
is
AIRBORNE LAW ENFORCEMENT SERVICES
Notes to the Basic Financial Statements
(Continued)
(3) Capital Assets
A summary of changes in capital assets for the year ended June 30, 2010 is as follows:
Balance at Balance at
Governmental Activities: July 1, 2009 Additions Deletions June 30, 2010
Capital assets being depreciated:
Helicopters
$3,227,076
- - 3,227,076
Helicopter equipment
1,487,096
(136,610) 1,350,486
Automotive equipment
22,930
22,930
Total capital assets
136,610 (3,459,218)
Governmental activities capital
being depreciated
4,737,102
- 13( 6,610) 4,600,492
Less accumulated depreciation for:
Helicopters
(2,126,775) (322,708)
- (2,449,483)
Helicopter equipment
(985,227) (138,188)
136,610 (986,805)
Automotive equipment
(22,930) -
- (22,930)
Total accumulated depreciation-(a,134 ,932) 46( 0.896)
136,610 (3,459,218)
Governmental activities capital
assets being depreciated, net
1 602 170 460 896
- 1
Depreciation expense of $460,896 was charged to the law enforcement function in the
Statement of Activities.
19
REQUIRED SUPPLEMENTARY INFORMATION
21
AIRBORNE LAW ENFORCEMENT SERVICES
General Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Revenues:
Charges to other agencies
Contributions from
member agencies
Reimbursements from
County of Orange
Investment income
Other
Total revenues
Expenditures:
Financial and administrative
Labor and maintenance
Insurance
Fuel
Education and training
Supplies, tools and materials
Rent
Total expenditures
Excess (deficiency)
of revenues over
(under) expenditures
Fund balances at
beginning of year
Fund balances at end of year
For the year ended June 30, 2010
Variance with
Final Budget
Original Final Positive Prior Year
Budget Budget Actual (Negative) Actual
$ 350,294
350,294
320,293
(30,001)
277,374
1,193,072
1,193,072
1,193,072
24,143
1,268,366
588,506
588,506
431,133
(157,373)
491,432
12,000
12,000
17,662
5,662
-
28,274
28,274
67,436
39,162
85,473
2,172,146 2,172,146 2,029,596 (142,550) 2,122,645
16,415
16,415
11,931
4,484
20,805
1,123,418
1,123,418
1,099,275
24,143
1,134,732
189,131
189,131
177,755
11,376
94,751
536,366
536,366
321,784
214,582
415,885
47,045
47,045
141,004
(93,959)
70,840
18,121
18,121
9,900
8,221
12,168
161,233
161,233
159,424
1,809
159,408
2,091,729 2,091,729 1,921,073 170,656 1,908,589
80,417
80,417
108,523
28,106 214,056
890,442
890,442
890,442
- 676,386
$ 970,859
970,859
998,965
28,106 890,442
22
AIRBORNE LAW ENFORCEMENT SERVICES
Note to Required Supplementary Information
Year ended Tune 30, 2010
(1) Budgetary Reporting
ABLE adopted an annual budget prepared on the modified accrual basis for the General
Fund, which is consistent with generally accepted accounting principles.
23
AMENDED JOINT POWERS AGREEMENT FOR
AIRBORNE LAW ENFORCEMENT SERVICES
This Agreement is made and entered into by and between the City of Costa
Mesa ( "Costa Mesa ") and the City of Newport Beach ( "Newport Beach "), collectively
referred to as "Member Agencies." This Agreement is dated January 1, 2001 for
reference purposes.
RECITALS
WHEREAS, the Member Agencies have and possess the power and
authorization to finance, acquire and maintain a public law enforcement helicopter
service and facilities for the benefit of the lands and inhabitants within their
respective boundaries; and
WHEREAS, the Member Agencies propose to join together to establish,
operate and maintain a helicopter service for the benefit of their respective lands and
inhabitants; and
WHEREAS, it is in the public interest to provide a means by which other public
agencies acquire helicopter service for the benefit of their lands and inhabitants.
NOW, THEREFORE, for and in consideration of the mutual promises and
covenants contained herein the parties hereto agree as follows:
1
PURPOSE
1.01 The purpose of this Agreement is to cooperate with each Member
Agency in the exercise of some or all of their powers to establish a regional air
support unit in the manner set forth in this Agreement.
1.02 Each Member Agency expressly retains all rights and powers to finance,
plan, develop, construct, equip, maintain, repair, manage, operate, and control
equipment, facilities, properties, and projects that it deems in its sole discretion to be
necessary or desirable and that are authorized by the laws governing it. This
Agreement shall in no way impair any of the Member Agencies' respective rights,
powers or title to such equipment, facilities, properties and projects.
1.03 Each Member Agency expressly retains all rights and powers to use
other funds or funding sources to finance, plan, develop, construct, equip, maintain,
repair, manage, operate and control equipment and facilities for a law enforcement
helicopter service system.
i
•
11
CREATION OF REGIONAL AIR SUPPORT UNIT
2.01 By this Agreement, the Member Agencies hereby create a separate legal
entity to be known as the Airborne Law Enforcement Services ( "ABLE "). The
Member Agencies may agree on a different call name for ABLE.
2.02 ABLE shall possess in its own name and the Member Agencies delegate
to it the following enumerated powers:
(a) To make and enter into
Agreement, including, bu
purchase and /or dispose
including helicopters;
contracts consistent with this
not limited to, contracts to
of supplies and equipment,
(b) To receive compensation, gifts, contributions and
donations of property, funds, services and other forms of
financial assistance from persons, firms, corporations, and
any governmental entity;
(c) To sue and be sued in its own name;
(d) To apply for an appropriate grant or grants under any
Federal, State, or local programs for assistance in
developing any of its programs or providing helicopter
services to other public entities;
(e) To adopt rules, regulations, policies, by -laws and
procedures governing the operation of ABLE;
(f) To add Member Agencies to ABLE which contribute flight
crews and aircraft equipment and execute agreements and
resolutions consistent with the terms of this Agreement;
(g) To contract with public entities to provide helicopter
services to their land and residents;
IN To appoint officers, employees or agents.
(i} It is the intent of the parties to this agreement that ABLE
shall constitute a separate legal entity separate and apart
from the member agencies, and that its debts, obligations
and liabilities are its own and not that of the member
agencies, except as specifically provided for herein.
2.03 Said powers shall be exercised in the manner provided in the California
law, Joint Exercise of Powers, Government Code section 6500, at seq., and, except
as expressly set forth herein, shall be subject to the restrictions upon the manner of
Joint Powers Agreement — AirBorne Law Enforcement Program
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exercising such powers as are imposed upon the Member Agency whose employee or
officer is designated as ABLE Treasurer /Controller pursuant to section 3.12 below.
2.04 Costa Mesa and Newport Beach each agree as an initial contribution to
ABLE to transfer to ABLE one helicopter and any associated equipment and supplies free
and clear of any other ownership or security interests for its use in fulfilling the purposes
of this Agreement. These two helicopters and associated equipment and supplies and all
new supplies and equipment purchased by ABLE shall be owned by ABLE as its sole and
separate property.
III
ORGANIZATION
3.01 The membership of ABLE shall be the original Member Agencies, and
any additional Member Agencies, which are public entities that contribute aircraft,
equipment, flight crews and /or other employees and /or funding for aircraft,
equipment, flight crews and /or other employees to ABLE and have executed this
Agreement, and any subsequent amendments thereto, and which have not
withdrawn from ABLE.
3.02 ABLE shall be managed by a Board consisting of the Chiefs of Police of
Costa Mesa and Newport Beach and one additional appointee from each Member
Agency for a total of four (4) Board Members. The Chiefs of Police of Costa Mesa
and Newport Beach shall each appoint from his respective city one Board member
and his or her alternate. Each Board member, or in the absence of a Board member,
the alternate shall have one vote on all matters before the Board. The members of
the Board appointed by the Chiefs of Police may be replaced from time to time at the
appointing Chief's discretion.
3.03 Each Board member and alternate shall hold office until a successor is
selected, elected or appointed, as the case may be, under the powers of each
Member Agency. The term of the Board member or alternate who is a public official
or employee of a Member Agency shall terminate upon such Board Member or
alternate leaving office and the vacancy shall be filled by selection, election or
appointment, as the case may be, under the powers of each Member Agency.
3.04 Board members and alternates shall not receive additional compensation
for the service on ABLE Board, but may be reimbursed by ABLE for reasonable
expenses incurred in conducting the business of ABLE, as provided in this
Agreement, when the expenses are not paid by the employing Member Agencies.
3.05 The principal office of ABLE shall be established by the Board and shall
be located within the County of Orange. The Board may change the principal office
from one location to another within the County of Orange. Any change of address
shall be noted by the Board but shall not be considered an amendment to this
Agreement.
Joint Powers Agreement — Airl3orne Law Enforcement Program
3
3.06 The Board shall meet at a location as may be designated by the Board.
The time and place of regular meetings of the Board shall be determined by resolution
adopted by the Board. A copy of such resolution shall be furnished to the Member
Agencies. All meetings of the Board, including regular, adjourned, and special
meetings, shall be called and held in a manner as provided in the Ralph M. Brown
Act, Chapter 9, Division 2, Title 5 of the California Government Code commencing
with section 54950 at seq., as amended.
3.07 All of the powers and authority of ABLE shall be exercised by the Board
unless specifically delegated to the extent permitted by law or reserved to the
Member Agencies under this Agreement. Unless otherwise provided herein, each
Board Member shall be entitled to one (1) vote. Except as otherwise provided herein,
an affirmative majority vote of the full membership of the Board, or their alternate,
may adopt any motion, resolution, or order and take any other action appropriate to
carry forward the objectives of ABLE pursuant to this agreement. In the event there
should be a tie vote, then the presiding officer shall have the right to cast the
deciding vote.
3.08 The Board shall designate a recording secretary to keep the minutes of
all open meetings of the Board, and shall cause a copy of such minutes to be
forwarded to each Member Agency within a reasonable time after each meeting.
3.09 The Board may adopt from time to time policies, rules and regulations
for the conduct of its affairs and that of ABLE as may be required and consistent
with this Agreement.
3.10 Where this Agreement requires an approval of a resolution by Member
Agencies in any matter, the approval shall be evidenced by a certified copy of the
resolution of the governing body of such Member Agency filed with ABLE. It shall be
the responsibility of the Board to obtain certified copies of said actions.
3.11 On an annual basis, the Board shall appoint a Board member to be the
presiding officer for the purpose of conducting the Board meetings.
3.12 The Board shall appoint an officer or employee of a Member Agency to
hold the offices of Treasurer and Controller ( "Treasurer /Controller "), whose duties
shall be in conformance with Government Code sections 6505 and 6505.5. The
Treasurer /Controller shall also administer all contracts subsequent to the Board's
approval and shall contract with a certified public accountant to make an annual audit
of the accounts and records of ABLE as provided in Government Code section 6505.
The annual audit shall be submitted to the Board and each Member Agency when
completed. The budget, covering a budget cycle set by the Board, shall be prepared
by the Treasurer /Controller for the approval by the Board. ABLE's investment policies
shall be the policies of the Member Agency of the Treasurer /Controller as those may
be modified by the Board of ABLE. The cost of the Treasurer's services shall be
reimbursed by ABLE.
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3.13 The Board shall have the power to appoint additional officers,
employees, or agents. Any officer, employee or agent of ABLE shall also be an
officer, employee or agent of any of the Member Agencies, provided, however, that
ABLE may appoint employees of ABLE that are subject to the personnel system of
ABLE and said employees would not be employees of the Member Agencies. The
appointment by the Board of such a person from a Member Agency shall be evidence
that the two positions are compatible.
3.14 The City Attorneys or their Deputies of the Member Agencies shall serve
jointly as counsel to ABLE, to the extent permitted by such waivers of conflict of
interests to authorize such representation as may be executed by the Member
Agencies and ABLE Board.
and:
3.15 The officers shall perform all duties normal to their respective offices
(a) The presiding officer shall sign all contracts on behalf of
ABLE board.
(b) The secretary shall perform such duties as assigned by the
Board and shall keep minutes of the board meetings. .
(c) The Treasurer /Controller shall be bonded in the amount to
be determined by the Board and the bond fee shall be paid
by ABLE. The Treasurer /Controller shall perform the duties
as set forth in Sections 3.12, 4.02, 4.03, 4.04, 4.05,
4.09 and 4.10.
3.16 The Board shall appoint a Commander to manage and oversee day -to-
day operations of ABLE. The Commander shall be a sworn police officer of a
Member Agency and of a rank of at least a sergeant. Each Member Agency shall
appoint a liaison officer ( "LO ") to ABLE and the LO shall be a sworn police officer
and of a rank of at least a Captain. The LO's of each Member Agency shall meet
collectively, as needed, to advise the Board on the levels of service and methods of
operation of ABLE, and supervision of ABLE Commander. The Commander shall
manage the daily operations of ABLE and supervision of the other employees
appointed by ABLE Board, the helicopter crews and mechanics of ABLE and
mechanics of other Member Agencies as directed by ABLE.
3.17 All of the privileges and immunities from liability, exemption from
laws, ordinances and rules, all relief, pension, disability, worker's compensation,
and other benefits which apply to the activity of officers, employees, or agents of
any of the Member Agencies when performing their respective functions for their
respective Member Agency shall apply to them to the same degree and extent
while they are assigned to ABLE to perform any of the functions and other duties of
ABLE under this Agreement. None of the officers, agents or employees of a
Member Agency appointed to the Board or performing services at the direction of
Joint Powers Agreement — AirBOrne Law Enforcement Program
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ABLE shall be deemed by reason of their appointment or service to be employed by
any of the other Member Agencies or ABLE or be subject to any of the
requirements of the other Member Agencies.
IV
BUDGET AND DISBURSEMENTS
4.01 The Board shall adopt a budget for the ensuing fiscal year(s) pursuant
to procedures developed by the Board. At the conclusion of each fiscal year, the
Treasurer /Controller shall make a report to the Board regarding the excess or
deficiency of revenues over (or under) expenditures. Such report shall include
"budget to actual" comparisons based upon the adopted budget. Upon receipt of
the report, the Board shall determine what extent, if any, unexpended budgetary
appropriations shall be re- appropriated or whether any excess of revenues over
expenditures shall be allocated or expended.
4.02 The Treasurer /Controller shall draw warrants upon the approval and
written order of the Board or the Board's designated LO. The Board shall
requisition the payment of funds only upon approval of such claims or
disbursements and such requisition for payment in accordance with rules,
regulations, policies, procedures, and by -laws adopted by the Board.
4.03 All funds received by the Treasurer /Controller for helicopter services
provided by ABLE, will be placed in object accounts, and the receipt, transfer, or
disbursement of such funds during the term of this Agreement shall be accounted
for in accordance with generally accepted accounting principles applicable to
governmental entities. There shall be strict accountability of all funds. All revenues
and expenditures shall be reported to the Board on a quarterly basis.
4.04 All expenditures within the approved budget shall be made upon the
approval of the Treasurer /Controller in accordance with the rules, policies and
procedures adopted by the Board. No expenditure in excess of those budgeted
shall be made without the unanimous approval of the Board and the budget shall
thereafter be revised and amended.
4.05 The records and accounts of ABLE shall be audited annually by an
independent certified public accountant and the cost of the audit shall be paid by
ABLE. The minimum requirements shall be those prescribed by the State Controller
under California Government Code section 26909 and in conformance with
generally accepted auditing standards. Copies of such audit report shall be filed
with the County Auditor and each Member Agency no later than fifteen (15) days
after receipt of said audit by the Board.
4.06 The Member Agencies have agreed by resolution through their
respective City Councils to fund on an equal basis ABLE helicopter operations fund
through annual budget appropriations. The subject resolutions shall not limit the
authority of each Member Agency to cease appropriations for ABLE helicopter
Joint Powers Agreement — AirBorne Law Enforcement Program
6
operations as determined by their respective City Councils, provided, however, that
a decision to cease appropriations shall be subject to the terms of Section 6.2,
below.
4.07 The Member Agencies acknowledge and agree that ABLE will act as a
conduit for the management, direction and provision of law enforcement helicopter
services to the Member Agencies and to other public agencies that contract with
ABLE for such services. The Commander shall keep a written account of the actual
flight hours of the services provided to each Member Agency, each contracting
agency, and the Regional Narcotics Suppression Program ( "RNSP "). The written
account of such flight hours shall be provided to the Board on a monthly basis.
4.08 Based on information provided by the Commander, the
Treasurer /Controller shall keep a written account of services provided to other
public agencies by ABLE. All revenues, except those derived from narcotic
surveillance support, received from other public agencies contracting or receiving
services from ABLE for helicopter services shall be used to offset each Member
Agency's obligation to fund ABLE's operations pursuant to sections 4.06 and
4.10. Such revenues shall be applied equally against the monthly invoice to each
Member Agency for said funding for the month following the month in which the
revenues are received.
4.09 In establishing rates for helicopter services to public agencies, the
Board shall assure that the contracts for such services provide for the
reimbursement of the actual expenses of providing the services, insurance coverage
for ABLE's personnel and equipment, and administrative expenses of ABLE.
Payment for ABLE helicopter services by contracting public agencies shall be made
on a monthly basis to the Treasurer /Controller of ABLE. The Treasurer /Controller
shall provide a written monthly account of all revenues and expenses of ABLE
services to other public agencies to the Board.
4.10 ABLE budget shall include provision for a Capital Replacement fund
that will provide for, among other things, the replacement of the helicopters owned
and operated by ABLE and other associated equipment. Provided funds are available
for appropriation, the Member Agencies agree to budget the necessary funds in
equal amounts to purchase such aircraft and equipment for ABLE as mutually
agreed upon by the Member Agencies based upon recommendations by the Board.
Said funds shall be transferred to ABLE monthly by the Member Agencies for
deposit in ABLE's Capital Replacement fund. The actual purchase of new
helicopters and equipment and disposal of unneeded helicopters shall be done
whenever determined appropriate and justified by the Board.
4.11 All revenues derived from either narcotic asset forfeiture or service
contracts with other public agencies for narcotic related surveillances shall be
maintained in a separate revenue account for ABLE. The Treasurer /Controller shall
be responsible for accounting for all State and Federal asset forfeiture fund receipts.
Joint Powers Agreement — AirBorne Law Enforcement Program
7
The Board shall be responsible for determining the appropriate allocation of such
funds as part of the budget adoption process.
V
LIABILITIES
5.01 ABLE and the Member Agencies agree that the Member Agencies
should be fully protected from any loss, injury, liability, damage, claim, lawsuit,
cost or expense arising out of, or in any way related to, the performance of this
Agreement by ABLE. Accordingly, the provisions of this Agreement should be
broadly construed in favor of protection for the Member Agencies and interpreted to
provide the fullest possible protection to the Member Agencies and Member
Agency's officers and employees. ABLE acknowledges that the Member Agencies
would not have entered into this Agreement in the absence of the commitments of
ABLE as specified in this Article V.
5.02 The Member Agencies acknowledge that each agency is assigning its
own personnel to a cooperative pool of personnel to be managed by ABLE. ABLE
shall be solely responsible for and retain all debts, liabilities, and other obligations
for all activities for which ABLE has insurance coverage in effect at the time of any
such claim, loss, liability or obligation. The Member Agencies shall equally share
and retain all debts, liabilities, insurance, and other obligations for its personnel
assigned to ABLE and for any claims or liabilities for which ABLE does not have
insurance coverage.
5.03 ABLE shall protect, defend, indemnify and hold free and harmless the
Member Agencies and their respective elected and appointed boards, officers, and
employees from and against any and all liabilities, damages, claims, expenses,
actions or proceedings of any kind or nature, including, but not by way of
limitation, claims for personal injury by ABLE employees, and attorney fees and
costs, for injury to or death of any person, and for injury or damage to any
property, including consequential damages, resulting or arising out of or in any way
connected with the negligent acts or failure to act in the performance of this
Agreement by ABLE and for which ABLE has insurance coverage in effect at the
time of any such claim, loss, liability or obligation.
5.04 Any contract with a non - member public agency receiving services
pursuant to this Agreement shall include a mutual indemnification provision wherein
AGENCY and ABLE shall agree to defend and indemnify the other in an amount
equal to its proportionate share of liability on a comparative fault basis. The
contract shall also provide: 1) That the indemnity obligation shall exist with respect
to any claim, loss, liability, damage, lawsuit, cost, or expense that arises out of, or
is in any way related to, the performance of services by ABLE pursuant to the
contract; and 2) The obligation of AGENCY and ABLE pursuant to the
indemnification provision will extend, without limitation, to an injury, death, Ioss or
damage which occurs in the performance of the contract and which is sustained by
any third party, any agent or contractor of AGENCY or ABLE.
Joint Powens Agreement — AirElorne Law Enforcement Program
8
5.05 Member Agencies shall be responsible for the continued provision of
worker's compensation coverage for the officers or agents of the Member Agencies
that are assigned to ABLE to perform this Agreement and /or serve as officers or
employees of ABLE. In this regard, each Member Agency shall defend, indemnify
and hold harmless ABLE and any other Member Agencies, and their respective
officers, employees, contractors, agents and representatives with respect to any
claim, loss, liability, damage, lawsuit, cost or expense that arises out of, or is in
any way related, to any industrial /worker compensation injury sustained by an
employee of the indemnifying Member Agency during the performance of service by
ABLE or the responding Member Agencies under this Agreement.
5.06 ABLE shall employ the principles of sound risk management in its
aviation operations. Risks of loss shall be identified, evaluated, and treated in a
manner that protects ABLE and each Member Agency from adverse financial
consequences. This shall be accomplished in part through the purchase of
appropriate commercial insurance.
The Risk Manager, or his /her designee, of one Member Agency shall be
designated by the Board as the "ABLE Risk Manager" and shall act in an advisory
capacity to ABLE Board to provide guidance in the area of risk management, loss
control, insurance procurement, and claims management. ABLE Risk Manager will
be responsible for maintaining the original insurance policies and other risk
management and insurance documents.
During the term of this Agreement, ABLE shall purchase and maintain, at a
minimum, the following commercial insurance coverage:
AIRPORT Owners and Operators General Liability Insurance, including
• Bodily Injury and Property Damage
• Personal Injury
• Premises Liability
• Advertising Injury
• Products and Completed Operations
• Hangarkeepers Liability
• Contractual Liability
AIRCRAFT Liability Insurance, including
• Bodily Injury and Property Damage, including passengers
• Personal Injury
• Non -owned Aircraft Physical Damage
• Non -owned Aircraft Liability
• Owned Aircraft Physical Damage
CRIME Insurance, including
• Employee Dishonesty
• Faithful Performance of Duties
Joint Powers Agreement — AirBorne Law Enforcement Program
9
9 •
• Forgery and Alteration Coverage
• Theft, Disappearance, and Destruction
• Robbery and Safe Burglary
• Computer Fraud, including Funds Transfer, Money Orders, and Counterfeit
Paper Currency
The limits, retention levels, deductibles, policy forms, and carriers providing
the above required insurance coverages shall be recommended by the ABLE RISK
Manage to the board for its approval.
VI
ADMISSION AND WITHDRAWAL OF PARTIES
6.01 Additional public agencies that contribute personnel and aircraft
equipment may become Member Agencies to ABLE upon such terms and conditions
as provided by the Board and upon the unanimous consent of the existing Member
Agencies as evidenced by approval of resolutions therefore and the execution of a
written amendment to this Agreement by all of the Member Agencies, including the
additional Member Agency.
6.02 The withdrawal of any Member Agency, either voluntarily or
involuntarily shall, unless otherwise provided for by the Board, be conditioned as
follows:
(a) Involuntary withdrawal shall mean those circumstances
where a Member Agency must withdraw due to fiscal or
budgetary impacts which discontinue the funding of flight
crews or aircraft;
(b) In the case of a voluntary withdrawal, written notice shall
be given one hundred twenty (120) days prior to the end
of a fiscal year except that such notice may be shortened
by unanimous approval of the Board;
(c) Neither voluntary or involuntary withdrawal shall relieve
the withdrawing Member Agency of its proportionate
share of any debts or other liabilities incurred by ABLE
prior to the effective date of the Member Agency's
withdrawal, nor any liabilities imposed upon or incurred
by the Member Agency pursuant to this Agreement prior
to the effective date of the Member Agency's
withdrawal;
(d) Withdrawal shall not result in the forfeiture of that
Member Agency's rights and claims relating to revenues
received by ABLE during the time period that the Member
Agency provided services under ABLE direction; and
Joint Powers Agreement — AirBorne Law Enforcement Program
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(e) The withdrawing Member Agency shall be entitled to
remove its personnel and any equipment whose title was
not transferred to ABLE from the possession and direction
of ABLE. ABLEABLE The withdrawing Member Agency
may also recover any other equipment no longer needed
by ABLE, including a helicopter it previously transferred to
ABLE, according to the terms and conditions determined
by the Board in its sole discretion to be fair and equitable.
VII
TERMINATION AND DISPOSITION OF ASSETS
7.01 ABLE shall continue to exist and exercise the powers herein until this
Agreement is terminated by action of the Member Agencies; provided, however,
that no termination shall be complete and final until ABLE has satisfactorily
disposed of all financial obligations and claims, distributed all assets, and
performed all other functions deemed necessary by the Board to conclude the
affairs of ABLE.
7.02 Termination shall occur upon the written consent of all Member
Agencies, upon the withdrawal from ABLE of a sufficient number of the Member
Agencies to leave fewer than two (2) Member Agencies remaining in ABLE and full
satisfaction of all outstanding financial obligations of ABLE. However, no such
termination shall occur until all other contractual obligations of ABLE have been
satisfied.
7.03 In the event of the
termination of this Agreement, any
funds
remaining following the discharge
of all obligations shall be disposed
of
by
returning to each current Member
Agency of ABLE immediately prior
to
the
termination of this Agreement, a
share of such funds proportionate
to
the
contribution made to ABLE by said
Member Agency, to the extent determined
by
the Board in its sole discretion to be
fair and equitable.
7.04 Notwithstanding other provisions in the Agreement, the Member
Agencies Costa Mpsa and Newport Beach agree to abide by the following
procedure for selling of equipment and aircraft in the event the Agreement is
terminated. The equipment and aircraft shall be given a fair market value by an
appraiser mutually agreed upon by Costa Mesa and Newport- Beach. Before the
equipment and aircraft are sold on the open market, Costa Mesa and Newport
Beach each shall have the right to purchase the equipment and aircraft at a price
and under terms as mutually agreed upon by Costa Mesa and Newport Beach
which may include a financing arrangement for the purchaser and a leasing
arrangement for the non - purchasing Member Agency to allow for a transition
period after the termination of this Agreement. If an agreement cannot be reached
concerning a purchase of the equipment, then it shall be sold on the open market.
Proceeds from the sale of equipment and aircraft upon termination of the
Agreement shall be equally distributed (50/50) to Costa Mesa and Newport Beach.
Joint Powers Agreement — AirBome Law Enforcement Program
11
vul
MISCELLANEOUS
8.01 Amendments.
This Agreement may be amended with the unanimous approval of all
Member Agencies; provided, however, that no amendment may be made which
would adversely affect the interests of the owners of bonds, letters of credit or
other financial obligations of ABLE.
8.02 Notices.
Any notice or instrument required to be given or delivered by depositing the
same in any United States Post Office, registered or certified, postage prepaid,
addressed to the Member Agencies, shall be deemed to have been received by the
Member Agency to whom the same is addressed at the expiration of seventy -two
(72) hours after deposit of the same in the United States Post Office for
transmission by registered or certified mail as aforesaid.
8.03 Effective Date.
This Agreement shall be effective at such time as this Agreement has been
executed by any two or more of the Member Agencies enumerated in the
introduction of this Agreement.
8.04 Conflicts of Interest.
No officer or employee of ABLE or any Member Agency shall have any
financial interest, direct or indirect, in ABLE. Nor shall any such officer or employee
participate in any decision relating to ABLE which affects his or her financial
interests or those of a corporation, partnership, or association in which he or she is
directly or indirectly interested, in violation of any State law or regulation.
8.05 Arbitration.
(a) Any controversy or claim between any two or more
Member Agencies, or between any such Member Agency
or Member Agencies and ABLE, with respect to ABLE's
operations, or to any claims, disputes, demands,
differences, controversies, or misunderstandings arising
under, out of, or in relation to this Agreement, shall be
submitted to and determined by arbitration. To the
extent not inconsistent herewith, the rules of the
American Arbitration Association shall apply.
Joint Powers Agreement — AirBorne Law Enforcement Program
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(b) The Member Agency desiring to initiate arbitration shall
give notice of its intention to arbitrate to every other
Member Agency and ABLE. Such notice shall designate
such other Member Agencies as the initiating Member
Agency intends to have bound by any award made
therein.
(c) The decision of the arbitrator shall be binding upon all
Member Agencies involved in the arbitration. Each
Member Agency to the arbitration shall bear its own legal
costs, including attorney fees.
8.06 Partial Invalidity.
If any one or more of the terms, provisions, sections, promises, covenants or
conditions of this Agreement shall to any extent be adjudged invalid, unenforceable
or void for any reason whatsoever by a court of competent jurisdiction, each and all
of the remaining terms, provisions, sections, promises, covenants and conditions of
this Agreement shall not be affected thereby and shall be valid and enforceable to
the fullest extent permitted by law.
8.07 Successors.
This Agreement shall be binding upon and shall inure to the benefit of the
successors of the Member Agencies hereto.
8.08 Assianment.
A Member Agency shall not assign any rights or obligations under this
Agreement without the written consent of all other Member Agencies.
8.09 Execution.
The legislative bodies of the Member Agencies enumerated herein have each
authorized execution of this Agreement, as evidenced by the authorized signatures
below, respectively.
8.10. Entire Agreement.
This Agreement, supersedes any and all other agreements whether oral or
written, between the parties hereto with respect to the subject matter hereof and
contains all of the covenants and agreements between the parties with respect to
said matter, and each party to this Agreement acknowledges that no
representations, inducements, promises or agreements, orally or otherwise, have
been made by any party, or anyone acting on behalf of any party, which are not
Joint Powers Agreement — AirElorne Law Enforcement Program
13
embodied herein, and that any other agreement or modification of this Agreement
shall be effective only if executed in writing and signed by ABLE and all Member
Agencies.
CITY OF COSTA MESA
Fb:?�
ul MIN " Mdwain, Mayor
ATTEST:
By: i
Mary Eliot Deputy City Clerk
CITY OF NEWPORT BEACH
Dated: 3- 3 o- o l
APPROVED AS TO FORM:
E
By: —` Dated:
Garold B. Adams. Mavor
AT'
in
LaVonne Harkless, City Clerk
F:\users\cat\shared\da\Ag\Able\030201 final.doc
APPROVED AS TO FORM:
4 By:
Daniel K. Ohl, Deputy City Attorney
Joint Powers Agreement - AirBorne Law Enforcement Program
14
( -30i l
r
JOINT POWERS AGREEMENT FOR
AIRBORNE LAW ENFORCEMENT SERVICES
This Agreement is made and entered into this �5M day of OC16bc r
1999, in the County of Orange, State of California, by and between the City of Costa
Mesa ( "Costa Mesa ") and the City of Newport Beach ( "Newport Beach "), collectively
referred to as "Member Agencies."
RECITALS
WHEREAS, the Member Agencies have and possess the power and
authorization to finance, acquire and maintain a public law enforcement helicopter
service and facilities for the benefit of the lands and inhabitants within their
respective boundaries; and
WHEREAS, the Member Agencies propose to join together to establish,
operate and maintain a helicopter service for the benefit of their respective lands and
inhabitants; and
WHEREAS, it is in the public interest to provide a means by which other public
agencies acquire helicopter service for the benefit of their lands and inhabitants.
NOW, THEREFORE, for and in consideration of the mutual promises and
covenants contained herein the parties hereto agree as follows:
I
PURPOSE
1.01 The purpose of this Agreement is to cooperate with each Member
Agency in the exercise of some or all of their powers to establish a regional air
support unit in the manner set forth in this Agreement.
1.02 Each Member Agency expressly retains all rights and powers to finance,
plan, develop, construct, equip, maintain, repair, manage, operate, and control
equipment, facilities, properties, and projects that it deems in its sole discretion to be
necessary or desirable and that are authorized by the laws governing it. This
Agreement shall in no way impair any of the Member Agencies' respective rights,
powers or title to such equipment, facilities, properties and projects.
1.03 Each Member Agency expressly retains all rights and powers to use
other funds or funding sources to finance, plan, develop, construct, equip, maintain,
repair, manage, operate and control equipment and facilities for a law enforcement
helicopter service system.
Ah
a
CREATION OF REGIONAL AIR SUPPORT UNIT
2.01 By this Agreement, Costa Mesa and Newport Beach agree to cooperate
with each other in the provision of helicopter service in the manner and under the
terms of this Agreement. The cooperative provision of helicopter services shall be
known as the Airborne Law Enforcement Services ( "ABLE ") and the Member
Agencies may agree on a different call name for ABLE.
2.02 The ABLE shall possess in its own name and the Member Agencies
delegate to it the following enumerated powers:
(a) To make and enter into contracts consistent with this
Agreement;
(b) To receive compensation, gifts, contributions and
donations of property, funds, services and other forms of
financial assistance from persons, firms, corporations, and
any governmental entity;
(c) To sue and be sued in its own name;
(d) To apply for an appropriate grant or grants under any
Federal, State, or local programs for assistance in
developing any of its programs or providing helicopter
services to other public entities;
(e) To adopt rules, regulations, policies, by -laws and
procedures governing the operation of the ABLE;
(f) To add Member Agencies to the ABLE which contribute
flight crews and aircraft equipment and execute
agreements and resolutions consistent with the terms of
this Agreement;
(g) To contract with public entities to provide helicopter
services to their land and residents;
(h) To appoint officers, employees or agents.
(i) It is the intent of the parties to this agreement that ABLE
shall constitute a separate legal entity separate and apart
from the member agencies, and that its debts, obligations
and liabilities are its own and not that of the member
cities.
2.03 Said powers shall be exercised in the manner provided in the California
Joint Powers Act subject to the restrictions upon the manner of exercising such
2
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powers as are imposed upon the city of the presiding officer. It is understood that
the chief of police of the city of Costa Mesa and the chief of police of the city of
Newport Beach shall alternate as the presiding officer on an annual basis.
III
ORGANIZATION
3.01 The membership of the ABLE shall be the Member Agencies, public
entities which contribute flight crews, funding for aircraft equipment, and ABLE
employees and have executed or hereafter execute this Agreement, or any
subsequent amendments thereto, and which have not withdrawn from the ABLE.
3.02 The ABLE shall be managed by a Board consisting of the Chiefs of
Police of Costa Mesa and Newport Beach and one appointee for each Member
Agency for a total of four (4) Board Members. The Chiefs of Police of Costa Mesa
and Newport Beach shall each appoint one Board member and their alternate. Each
Board member, or in the absence of a Board member, the alternate shall have one
vote on all matters before the Board. The members of the Board may be
supplemented or amended from time to time.
3.03 Each Board member and alternate shall hold office until a successor is
selected, elected or appointed, as the case may be, under the powers of each
Member Agency. The term of the Board member or alternate who is a public official
or employee of a Member Agency shall terminate upon such Board Member or
alternate leaving office and the vacancy shall be filled by selection, election or
appointment, as the case may be, under the powers of each Member Agency.
3.04 Board members and alternates shall not receive additional compensation
for the service on the ABLE Board, but may be reimbursed by the ABLE for
reasonable expenses incurred in conducting the business of the ABLE, as provided in
this Agreement, when the expenses are not paid by the employing Member Agencies.
3.05 The principal office of the ABLE shall be established by the Board and
shall be located within the County of Orange. The Board may change the principal
office from one location to another within the County of Orange. Any change of
address shall be noted by the Board but shall not be considered an amendment to this
Agreement.
3.06 The Board shall meet at a location as may be designated by the Board.
The time and place of regular meetings of the Board shall be determined by resolution
adopted by the Board. A copy of such resolution shall be furnished to the Member
Agencies. All meetings of the Board, including regular, adjourned, and special
meetings, shall be called and held in a manner as provided in the Ralph M. Brown
N
Act, Chapter 9, Division 2, Title 5 of the California Government Code commencing
with section 54950 et seq., as amended.
3.07 All of the powers and authority of the ABLE shall be exercised by the
Board unless specifically delegated to the extent permitted by law or reserved to the
Member Agencies under this Agreement. Unless otherwise provided herein, each
Board Member shall be entitled to one (1) vote. Except as otherwise provided herein,
an affirmative majority vote of the full membership of the Board, or their alternate,
may adopt any motion, resolution, or order and take any other action appropriate to
carry forward the objectives of the ABLE pursuant to this agreement. In the event
there should be a tie vote, then the presiding officer shall have the right to cast the
deciding vote.
3.08 The Board shall designate a recording secretary to keep the minutes of
all open meetings of the Board, and shall cause a copy of such minutes to be
forwarded to each Member Agency within a reasonable time after each meeting.
3.09 The Board may adopt from time to time policies, rules and regulations
for the conduct of its affairs and that of the ABLE as may be required and consistent
with this Agreement.
3.10 Where this Agreement requires an approval of a resolution by Member
Agencies in any matter, the approval shall be evidenced by a certified copy of the
resolution of the governing body of such Member Agency filed with the ABLE. It
shall be the responsibility of the Board to obtain certified copies of said actions.
3.11 On an annual basis, the Board shall appoint a Board member to be the
presiding officer for the purpose of conducting the Board meetings.
3.12 The Board shall appoint an officer or employee of a Member Agency to
hold the offices of Treasurer and Controller ( "Treasurer /Controller "), whose duties
shall be in conformance with Government Code sections 6505 and 6505.5. In
performing the duties of Treasurer /Controller, he /she shall follow the Member
Agencies' policies and procedures. The Treasurer /Controller shall also administer all
contracts subsequent to the Board's approval and shall contract with a certified
public accountant to make an annual audit of the accounts and records of the ABLE
as provided in Government Code section 6505. The annual audit shall be submitted
to the Board and each Member Agency when completed. The annual budget shall be
prepared by the Treasurer /Controller for the approval by the Board. The ABLE's
investment policies shall be the Member Agencies' investment policies as those may
be modified by the Treasurers of the Member Agencies and approved by the Board of
the ABLE. The cost of the Treasurer's services shall be reimbursed by the ABLE as
provided in this Agreement.
3.13 The Board shall have the power to appoint additional officers,
employees, or agents. Any officer, employee or agent of the ABLE shall also be an
4
• •
officer, employee or agent of any of the Member Agencies, provided, however, that
the ABLE may appoint employees of the ABLE that are subject to the personnel
system of the ABLE and said employees would not be employees of the Member
Agencies. The appointment by the Board of such a person from a Member Agency
shall be evidence that the two positions are compatible.
3.14 The City Attorneys or their Deputies of the Member Agencies shall serve
jointly as counsel to the ABLE, to the extent permitted by such waivers of conflict of
interests to authorize such representation as may be executed by the Member
Agencies and the ABLE Board.
and:
3.15 The officers shall perform all duties normal to their respective offices
(a) The presiding officer shall sign all contracts on behalf of
the ABLE board.
(b) The secretary shall perform such duties as assigned by the
Board and shall keep minutes of the board meetings.
(c) The Treasurer /Controller shall be bonded in the amount to
be determined by the Board and the bond fee shall be paid
by the ABLE. The Treasurer /Controller shall perform the
duties as set forth in Sections 3.12, 4.02, 4.03, 4.04,
4.05, 4.09 and 4.10.
3.16 The Board shall appoint a Commander to manage and oversee day -to-
day operations of the ABLE. The Commander shall be a sworn police officer of a
Member Agency and of a rank of at least a sergeant. Each Member Agency shall
appoint a liaison officer ( "LO ") to the ABLE and the LO shall be a sworn police
officer and of a rank of at least a Captain. The LO's of each Member Agency shall
meet collectively, as needed, to advise the Board on the levels of service and
methods of operation of the ABLE, and supervision of the ABLE Commander. The
Commander shall manage the daily operations of the ABLE and supervision of the
other employees appointed by the ABLE Board, the helicopter crews and mechanics
of the ABLE and mechanics of other Member Agencies as directed by the ABLE.
3.17 All of the privileges and immunities from liability, exemption from
laws, ordinances and rules, all relief, pension, disability, worker's compensation,
and other benefits which apply to the activity of officers, employees, or agents of
any of the Member Agencies when performing their respective functions shall apply
to them to the same degree and extent while they are engaged in the performance
of any of the functions and other duties under this Agreement. None of the
officers, agents or employees of a Member Agency appointed to the Board or
performing services at the direction of the ABLE shall be deemed by reason of their
61
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appointment or service to be employed by any of the other Member Agencies or the
ABLE or be subject to any of the requirements of the other Member Agencies.
IV
BUDGET AND DISBURSEMENTS
4.01 The Board shall adopt an annual budget for the ensuing fiscal year
pursuant to procedures developed by the Board.
4.02 The Treasurer /Controller shall draw warrants upon the approval and
written order of the Board or the Board's designated L0. The Board shall
requisition the payment of funds only upon approval of such claims or
disbursements and such requisition for payment in accordance with rules,
regulations, policies, procedures, and by -laws adopted by the Board.
4.03 All funds received by the Treasurer /Controller for helicopter services
provided by the ABLE, will be placed in object accounts, and the receipt, transfer,
or disbursement of such funds during the term of this Agreement shall be
accounted for in accordance with generally accepted accounting principles
applicable to governmental entities. There shall be strict accountability of all funds.
All revenues and expenditures shall be reported to the Board on a quarterly basis.
4.04 All expenditures within the approved annual budget shall be made
upon the approval of the Treasurer /Controller in accordance with the rules, policies
and procedures adopted by the Board. No expenditure in excess of those budgeted
shall be made without the unanimous approval of the Board and the budget shall
thereafter be revised and amended.
4.05 The records and accounts of the ABLE shall be audited annually by an
independent certified public accountant and the cost of the audit shall be paid by
the ABLE. The minimum requirements shall be those prescribed by the State
Controller under California Government Code section 26909 and in conformance
with generally accepted auditing standards. Copies of such audit report shall be
filed with the County Auditor and each Member Agency no later than fifteen (15)
days after receipt of said audit by the Board.
4.06 The Member Agencies have agreed by resolution through their
respective City Councils to fund on an equal basis the ABLE helicopter operations
fund through annual budget appropriations. The subject resolutions shall not limit
the authority of each Member Agency to cease appropriations for the ABLE
helicopter operations as determined by their respective City Councils provided,
however, that a decision to cease appropriations shall be subject to the terms of
Section 6.2. below.
4.07 The Member Agencies acknowledge and agree that the ABLE will act
as a conduit for the management, direction and provision of law enforcement
6
helicopter services to the Member Agencies and to other public agencies that
contract with the ABLE for such services. The Commander shall keep a written
account of the actual flight hours of the services provided to each Member Agency,
each contracting agency, and the Regional Narcotics Suppression Program
( "RNSP "). The written account of such flight hours shall be provided to the Board
on a monthly basis.
4.08 Based on information provided by the Commander, the
Treasurer /Controller shall keep a written account of services provided other public
agencies by the Member Agencies at the direction of the ABLE. All revenues
received from other public agencies contracting with the ABLE for helicopter
services shall be shared equally on a monthly basis by each Member Agency.
4.09 In establishing rates for helicopter services to public agencies, the
Board shall assure that the contracts for such services provide for the
reimbursement of the actual expenses of providing the services, insurance coverage
by the Member Agencies for their personnel and equipment, and administrative
expenses of the ABLE. Payment for the ABLE helicopter services by contracting
public agencies shall be made on a monthly basis to the Treasurer /Controller of the
ABLE. The Treasurer /Controller shall provide a written monthly account of all
revenues and expenses of the ABLE services to other public agencies to the Board.
4.10 Provided funds are available for appropriation, the Member Agencies
agree to budget the necessary funds to purchase such aircraft for the ABLE as
mutually agreed upon by the Member Agencies.
V
LIABILITIES
5.01 The Member Agencies acknowledge that each agency is contributing
its own personnel and equipment to a cooperative pool of personnel and equipment
to be managed by the ABLE. Each Member Agency shall retain all debts, liabilities,
insurance, and other obligations for its personnel and the ABLE shall retain all
debts, liabilities, insurance, and other obligations for the helicopter equipment and
the ABLE appointed employees subject to the ABLE personnel system. Where
necessary, and at the direction of the ABLE Board, each Member Agency agrees to
add the ABLE as an additional insured on their respective insurance or self -
insurance coverage for their personnel and equipment. In the event that the costs
of each Member Agency's personnel and equipment contributed to the ABLE for
each fiscal year exceeds the amount of funds to be reimbursed by the ABLE for
such costs, the Member Agencies agree to waive all rights to be reimbursed for
such costs by the ABLE from funds received by the ABLE in subsequent fiscal
years. Each Member Agency agrees to expressly waive any and all rights to be
reimbursed by the other Member Agencies for personnel and equipment contributed
to the ABLE to the extent that revenues received by the ABLE are not sufficient for
YI
the ABLE to reimburse the Member Agency for the costs of its personnel and
equipment contributed to the ABLE.
5.02 Each Member Agency hereto agrees to defend, indemnify and hold
harmless the ABLE and the other Member Agencies from any liability for damages,
costs or attorney fees, actual or alleged, to persons or property arising out of or
resulting from defective equipment owned or leased by the indemnifying Member
Agency or from negligent acts or omissions of the indemnifying Member Agency or
its officials or employees in the performance of this agreement. In the event of
liability. imposed upon any of the Member Agencies, or upon the Board created by
this Agreement, for injury which is caused by defective equipment or the negligent
or wrongful act or omission of any of the Member Agencies in the performance of
this Agreement, the Member Agency or Member Agencies that own or lease such
defective equipment or are directly responsible for the negligent or wrongful acts or
omissions shall indemnify, defend, and hold harmless the ABLE and all other
Member Agencies from any liability for personal injury or property damage arising
out of the performance of this Agreement.
5.03 Member Agencies agree that the ABLE and Member Agencies should
be fully protected from any loss, injury, liability, damage, claim, lawsuit, cost or
expense arising out of, or in any way related to, the performance of services
pursuant to this Agreement. Accordingly, the .provisions of this Agreement should
be construed and interpreted to provide the fullest possible protection to the ABLE,
Member Agencies and Member Agency's officers and employees. Member
Agencies acknowledge that the ABLE would not provide services pursuant to this
Agreement or related agreements in the absence of the commitments of each
Member Agency as specified in this section. Member Agencies acknowledge that
the ABLE Board, Commander and LO may be subject to liability for decisions,
management and actions in the supervision and direction of the ABLE. In this
regard, Member Agencies agree that the ABLE shall obtain directors and officers
insurance for the ABLE directors and officers, and that the cost of such insurance
coverage shall be deducted from funds distributed by the ABLE to the Member
Agencies on a pro rata basis equal to the number of Member Agencies, i.e., fifty
percent (50 %) for two (2) Member Agencies, etc.
5.04 Except as provided herein, each Member Agency waives and gives up
any claim against or right to sue the ABLE, any Member Agency, or any of their
officers, employees or representatives, for any loss, damage or injury that arises
out of, or is in any way related to the performance of services pursuant to this
Agreement to the extent that said claim or right is not covered by insurance. This
waiver extends to liability for death, bodily injury, or property damage that may be
sustained by the ABLE, any Member Agency, or its officers, employees,
contractors, or agents and which was proximately caused, in whole or in part, by
the negligent act, conduct, or omission of the ABLE, any Member Agency, and/or
their respective officers, employees, agents, contractors, representatives, or any
third party. This waiver does not extend to death, bodily injury or property damage
8
caused by fraudulent or willful conduct, or any act which constitutes a violation of
a penal statute, and to a Member Agency's right to bring a legal action against
other Member Agencies who refuse or fail to honor its requirement to defend and/or
indemnify the ABLE and other Member Agencies as set forth in Sections 5.02 and
5.06.
5.05 Any public agency, other than the Member Agencies, receiving
services pursuant to this Agreement, and /or any other contract with the ABLE, shall
be required to agree as follows: AGENCY and ABLE (including its member agencies
and their respective officers, employees, contractors, agents and representatives)
shall mutually defend and indemnify the other in an amount equal to its
proportionate share of liability on a comparative fault basis. This indemnity
obligation shall exist with respect to any claim, loss, liability, damage, lawsuit,
cost, or expense that arises out of, or is in any way related to the performance of
services by ABLE within the public agency's jurisdiction. The obligation of each
public agency pursuant to his section extends, without limitation, to an injury,
death, loss or damage which occurs within that public agency's jurisdiction and
which is sustained by any third party, any employee or contractor of the public
agency, or the contractor's employees. The terms of this section shall be
contained in any agreement by ABLE with non - member public agencies.
5.06 Member Agencies shall be responsible for the continued provisions of
worker's compensation for the officers or agents of the Member Agencies that
serve as officers or employees of the ABLE. In this regard, each Member Agency
shall defend, indemnify and hold harmless the ABLE and any other Member
Agencies, and their respective officers, employees, contractors, agents and
representatives with respect to any claim, loss, liability, damage, lawsuit, cost or
expense that arises out of, or is in any way related, to any industrial /worker
compensation injury sustained by an employee of the indemnifying Member Agency
during the performance of service by the ABLE or the responding Member Agencies
under this Agreement.
VI
ADMISSION AND WITHDRAWAL OF PARTIES
6.1 Additional public agencies that contribute personnel and aircraft
equipment may become Member Agencies to the ABLE upon such terms and
conditions as provided by the Board and upon the unanimous consent of the
existing Member Agencies as evidenced by approval of resolutions therefore and
the execution of a written amendment to this Agreement by all of the Member
Agencies, including the additional Member Agency.
6.2 The withdrawal of any Member Agency, either voluntarily or
involuntarily shall, unless otherwise provided for by the Board, be conditioned as
follows:
9
(a) Involuntary withdrawal shall mean those circumstances
where a Member Agency must withdraw due to fiscal or
budgetary impacts which discontinue the funding of flight
crews or aircraft;
(b) In the case of a voluntary withdrawal, written notice shall
be given one hundred twenty (120) days prior to the end
of a fiscal year except that such notice may be shortened
by unanimous approval of the Board;
(c) Neither voluntary or involuntary withdrawal shall relieve
the withdrawing Member Agency of its proportionate
share of any debts or other liabilities incurred by the ABLE
prior to the effective date of the Member Agency's
withdrawal, nor any liabilities imposed upon or incurred
by the Member Agency pursuant to this Agreement prior
to the effective date of the Member Agency's
withdrawal;
(d) Withdrawal shall not result in the forfeiture of that
Member Agency's rights and claims relating to revenues
received by the ABLE during the time period that the
Member Agency provided services under the ABLE
direction; and
(e) The withdrawing Member Agency shall retain all rights
and title to its personnel and shall remove such personnel
from the direction of the ABLE. The helicopter equipment
shall be held in title by the ABLE and subject to
reasonable sale upon termination of the ABLE.
VII
TERMINATION AND DISPOSITION OF ASSETS
7.01 The ABLE shall continue to exercise the powers herein until the
termination of this Agreement and any extension thereof as provided in this
paragraph or until the Member Agencies have mutually rescinded this Agreement;
provided, however, that the ABLE shall continue to exist for the purposed of
disposing of all claims, distribution of assets and all other functions necessary to
conclude the affairs of the ABLE.
7.02 Termination shall occur upon the written consent of all Member
Agencies, upon the withdrawal from the ABLE of a sufficient number of the
Member Agencies to leave fewer than two (2) Member Agencies remaining in the
ABLE and full satisfaction of all outstanding financial obligations of the ABLE.
ion
• •
However, no such termination shall occur until all other contractual obligations of
the ABLE have been satisfied.
7.03
In the event of the
termination of this Agreement, any
funds
remaining following the discharge
of all obligations shall be disposed
of by
returning to
each current Member Agency of the ABLE immediately prior
to the
termination
of this Agreement, a
share of such funds proportionate
to the
contribution
made to the ABLE by
said Member Agency, to the extent
legally
possible.
7.04 Notwithstanding other provisions in the Agreement, the Member
Agencies Costa Mesa and Newport Beach agree to follow a procedure for selling of
equipment and aircraft in the event the Agreement is terminated. The equipment
and aircraft shall be given a fair market value by an appraiser mutually agreed upon
by Costa Mesa and Newport Beach. Before the equipment and aircraft are sold on
the open market, Costa Mesa and Newport Beach each shall have the right to
purchase the equipment and aircraft at a price and under terms as mutually agreed
upon by Costa Mesa and Newport Beach which may include a financing
arrangement for the purchaser and a leasing arrangement for the non - purchasing
Member Agency to allow for a transition period after the termination of the
Agreement. Proceeds from the sale of equipment and aircraft upon termination of
the Agreement shall be equally distributed (50/50) to Costa Mesa and Newport
Beach.
Vlll
MISCELLANEOUS
8.01 Amendments.
This Agreement may be amended with the unanimous approval of all
Member Agencies; provided, however, that no amendment may be made which
would adversely affect the interests of the owners of bonds, letters of credit or
other financial obligations of the ABLE.
8.02 Notices.
Any notice or instrument required to be given or delivered by depositing the
same in any United States Post Office, registered or certified, postage prepaid,
addressed to the Member Agencies, shall be deemed to have been received by the
Member Agency to whom the same is addressed at the expiration of seventy -two
(72) hours after deposit of the same in the United States Post Office for
transmission by registered or certified mail as aforesaid.
0 0
8.03 Effective Date.
This Agreement shall be effective at such time as this Agreement has been
executed by any two or more of the Member Agencies enumerated in the
introduction of this Agreement.
8.04 Conflicts of Interest.
No officer or employee of the ABLE or any Member Agency shall have any
financial interest, direct or indirect, in the ABLE. Nor shall any such officer or
employee participate in any decision relating to the ABLE which affects his or her
financial interests or those of a corporation, partnership, or association in which he
or she is directly or indirectly interested, in violation of any State law or regulation.
8.05 Arbitration.
(a) Any controversy or claim between any two or more
Member Agencies, or between any such Member Agency
or Member Agencies and the ABLE, with respect to the
ABLE's operations, or to any claims, disputes, demands,
differences, controversies, or misunderstandings arising
under, out of, or in relation to this Agreement, shall be
submitted to and determined by arbitration. To the
extent not inconsistent herewith, the rules of the
American Arbitration Association shall apply.
(b) The Member Agency desiring to initiate arbitration shall
give notice of its intention to arbitrate to every other
Member Agency and the ABLE. Such notice shall
designate such other Member Agencies as the initiating
Member Agency intends to have bound by any award
made therein.
(c) The decision of the arbitrator shall be binding upon all
Member Agencies involved in the arbitration. Each
Member Agency to the arbitration shall bear its own legal
costs, including attorney fees.
8.06 Partial Invalidity.
If any one or more of the terms, provisions, sections, promises, covenants or
conditions of this Agreement shall to any extent be adjudged invalid, unenforceable
or void for any reason whatsoever by a court of competent jurisdiction, each and all
of the remaining terms, provisions, sections, promises, covenants and conditions of
this Agreement shall not be affected thereby and shall be valid and enforceable to
the fullest extent permitted by law.
12
8.07 Successors.
This Agreement shall be binding upon and shall inure to the benefit of the
successors of the Member Agencies hereto.
8.08 Assignment.
A Member Agency shall not assign any rights or obligations under this
Agreement without the written consent of all other Member Agencies.
8.09 Execution.
The legislative bodies of the Member Agencies enumerated herein have each
authorized execution of this Agreement, as evidenced by the authorized signatures
below, respectively.
Dated: F. fS t!
City Council Approved On:
ATTEST:
Deputy City Jerk
of the City Costa Mesa
Dated:
ATTEST:
<�Fo Nor
City Clerk of the
City of Newport Beach
IN
CITY OF COSTA MESA
By: C4. --
Mayor
APPROVED AS TO FORM:
City Attorney,
CITY OF NEWPORT BEACH
By:
APT VED AS TO FORM:
City Attorney
JPA AGR 050699
ADDENDUM NO. 3 TO
MEMORANDUM OF UNDERSTANDING
This Addendum is entered into on November Via`, 1996, by and between the
City of Costa Mesa ( "Costa Mesa "), a municipal corporation, and the City of Newport
Beach ( "Newport Beach "), a municipal corporation, to amend the Memorandum of
Understanding ( "MOU "), dated August 3, 1995, and, as amended by Addendums No. ,.
1 and No. 2 on August 1, 1996.
RECITALS
WHEREAS, Costa Mesa and Newport Beach approved the reorganization of the
Airborne Law Enforcement Services Agency ( "ABLE ") upon the withdrawal of the City
of Huntington Beach ( "Huntington Beach ") and County of Orange ( "County"); and
WHEREAS, this Addendum will amend the MOU to reflect the reorganizatin plan
approved by Costa Mesa and Newport Beach and to address the provision and disposal
of helicopterfaircraft by ABLE should the amended MOU be terminated.
NOW, THEREFORE, for and in consideration of the mutual promises and
covenants contained herein the parties agree as follows:
1. Paragraph 4.11 is added to the MOU to read as follows:
"Provided funds are available for appropriation, the member
agencies Costa Mesa and Newport Beach agree to budget for fiscal year
1997 -98, and thereafter, the necessary funds to purchase the aircraft as
identified in the letter of intent, attached hereto and incorporated herein
by this reference -and marked as Exhibit 1, and such other aircraft for
ABLE as mutually agreed upon by Costa Mesa and Newport Beach."
2. Paragraph 4.12 is added to the MOU to read as follows:
"Revenues received by ABLE from LoJack Corporation shall be
disbursed in equal amounts four (4) ways between Costa Mesa, Newport
Beach, Huntington Beach and Orange County Sheriff's Department.
ABLE shall be the primary contractor for LoJack and may execute
subcontracts to Huntington Beach and Orange County and other public
agencies as determined by the Board."
3. The provisions of Subparagraph (B) of Paragraph 6.02 of the MOU is
amended to read as follows:
"(B) In the case of voluntarily withdrawal, written notice shall be
given one hundred twenty days (120) prior to the end of a fiscal year,
except that such notice may be shortened by unanimous approval of the
Board."
4. Paragraph 7.04 is added to the MOU to read as follows:
"Notwithstanding other provisions in the MOU, the member
agencies Costa Mesa and Newport Beach agree to follow a procedure for
selling of equipment and aircraft in the event the MOU is terminated.
The equipment and aircraft shall be given a fair market value by an
appraiser mutually agreed upon by Costa Mesa and Newport Beach.
Before the equipment and aircraft are sold on the open market, Costa
Mesa and Newport Beach, each, shall have the right to purchase the
equipment and aircraft at a price and under terms as mutually agreed
upon by Costa Mesa and Newport Beach which may include a financing
arrangement for the purchaser and a leasing arrangement for the non -
purchasing member agency to allow for a transition period after the
termination of the MOU. Proceeds from the sale of equipment and
aircraft upon termination of the MOU shall be equally distributed (50/50)
to Costa Mesa and Newport Beach."
5. The provisions of Subparagraph (c) of Paragraph 4.09 of the MOU is
deleted.
6. The provisions of this Addendum shall supercede all other amendments
to the MOU by Addendums Nos. 1 and 2. In the event of a dispute concerning the
provisions of this Addendum, the parties agree to submit the matter to binding
arbitration before a retired judge mutually agreed upon by the parties.
7. Except as provided herein, all other provisions of the MOU Addendum
Nos. 1 and 2 shall remain in full force and effect.
8. The legislative bodies of Costa Mesa and Newport have each authorized
execution of this Addendum as evidenced by the authorized signatures below,
respectively.
Dated: !I (�'` 9 CITY OF COSTA MESA
C.v
y r of the City of Costa Mesa
ATTEST:
Deputy City0CIerk
of the City of Costa Mesa
Dated
ATTEST:
City Clerk of the City of
Newport Beach,`.
ie{�
lg,a }
'"ode.,_ �- % � f l �''� f`, .a✓�
APPROVED AS TO FORM:
City Attorney of the City of
Costa Mesa
CITY OF NEWPORT BEACH
Mayor of the City of Newport Beach
APPROVED AS TO FORM:
'y Attorney of the City of
wport Beach
! c 3oli
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF COSTA MESA, CALIFORNIA, APPROVING
ADDENDUM NO. 3 TO THE MEMORANDUM OF
UNDERSTANDING FOR AIRBORNE LAW ENFORCEMENT
SERVICPS.
THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY
RESOLVE AS FOLLOWS:
WHEREAS, the public agencies of the City of Costa Mesa and the City of
Newport Beach desire to cooperate with each other to exercise some or all of their
powers to establish, operate, and maintain the regional AirBorne Law Enforcement
Services Agency ( "ABLE ") consistent with the Memorandum of Understanding
( "MOU ") dated August 3, 1993; and
WHEREAS, the City of Costa Mesa and the City of Newport Beach have and
possess the power and authorization to finance, acquire, and maintain a public law
enforcement helicopter service and facilities for the benefit of the lands and
inhabitants within their respective boundaries and such services by ABLE have
benefitted their respective lands and inhabitants; and
WHEREAS, the City of Costa Mesa and the City of Newport Beach have the
authority to adopt Addendum No. 3 to formalize the reorganization of ABLE pursuant
to California Government Code Sections 6500 at seq.;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Costa
Mesa, California, pursuant to the aforesaid authority, hereby adopts and approves
0
r- -I
u
Addendum No. 3 to the MOU, attached hereto as Exhibit "A" and incorporated herein
by this reference.
BE IT FURTHER RESOLVED that the City Manager is hereby authorized to
take the necessary steps consistent with Addendum No. 3 to effectuate the
reorganization of ABLE.
PASSED AND ADOPTED this 18th day of November, 1996.
ATTEST:
Deputy City Jerk of the City of Costa Mesa
STATE OF CALIFORNIA }
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
Ma of the City of Costa Mesa
PR VED AS TO FORM
CITY ATTORNEY
I, MARY T. ELLIOTT, Deputy City Clerk and ex- officio Clerk of the City Council
of the City of Costa Mesa, hereby certify that the above and foregoing
Resolution No. 9 - 00 was duly and regularly passed and adopted by the said City
Council at a regular meeting thereof held on the 18th day of November, 1996.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of
the City of Costa Mesa this 19th day of November, 1996.
Deputy y Clerk and ex- officio Clerk of
the City Council of the City of Costa Mesa
WORANDUM OF UNDERSTANDI`
FOR AIRBORNE LAW ENFORCEMENT SERVICES
This agreement is made and entered into this � day of 4!�-� • , 19 5, in the
County of Orange, State'of California, by and between the City of Costa Mesa ( "Costa
Mesa "), the City of Huntington Beach ( "Huntington Beach "), City of Newport Beach
( "Newport Beach "), the County of Orange ( "County "), and the Orange County Fire
Authority ( "OCFA "), collectively referred to as "Member Agencies."
RECITALS
WHEREAS, the Member Agencies have and possess the power and authorization
to finance, acquire and maintain a public safety helicopter service and facilities for the
benefit of the lands and inhabitants within their respective boundaries; and
WHEREAS, this Agreement supercedes the Memorandum of Understanding
adopted on August 3, 1993; and
WHEREAS, the Member Agencies propose to join together to establish, operate
and maintain a cooperative program of management for a helicopter service for the
benefit of their respective lands and inhabitants; and
WHEREAS, it is in the public interest to provide a means by which other public
agencies acquire helicopter service for the benefit of their lands and inhabitants.
NOW, THEREFORE, for and in consideration of the mutual promises and
covenants contained herein the parties hereto agree as follows:
I
PURPOSE
1.01 The purpose of this Agreement is to cooperate with each Member
Agency in the exercise of some or all of their powers to establish a regional air support
unit in the manner set forth in this Agreement.
1.02 Notwithstanding, each Member Agency expressly retains all rights and
powers to finance, plan, develop, construct, equip, maintain, repair, manage, operate,
and control equipment, facilities, properties and projects that it deems in its sole
discretion to be necessary or desirable and that are authorized by the laws governing
it. The Agreement shall in no way impair any of the Member Agencies' respective
rights, powers or title to such equipment, facilities, properties and projects.
1.03 Notwithstanding, each Member Agency expressly retains all rights and
powers to use other funds or funding sources to finance, plan, develop, construct,
equip, maintain, repair, manage, operate and control equipment and facilities for a
public safety helicopter service system.
1
® II
CREATION OF REGIONAL AIR SUPPORT UNIT
2.01 By this Agreement, Costa Mesa, Huntington Beach, County, Newport
Beach and OCFA agree to cooperate with each other in the provision of helicopter
service in the manner and under the terms of this Agreement. The cooperative use of
the Member Agencies helicopter services shall be known as the Airborne Law
Enforcement Services ( "ABLE ") the Member Agencies may agree on a different call
name for ABLE.
2.02 ABLE shall possess in its own name, and the Member Agencies delegate
to it the following enumerated powers:_
(A) To make and enter into contracts consistent with this
Agreement;
(B) To receive compensation, gifts, contributions and donations
of property, funds, services and other forms of financial assistance from
persons, firms, corporations and any governmental entity;
(C) To sue and be sued in its own name;
(D) To apply for an appropriate grant or grants under any
federal, state, or local programs for assistance in developing any of its
programs or providing helicopter services to other public entities;
(E) To adopt rules, regulations, policies, by -laws and procedures
governing the operation of ABLE;
(F) To add Member Agencies to ABLE which contribute flight
crews and aircraft equipment and execute agreements and resolutions
consistent with the terms of this Agreement;
(G) To contract with public entities to provide helicopter
services to their land and residents;
2.03 Said power shall be exercised in the manner provided in the California
Joint Powers Act, and except as expressly set forth herein, subject to restrictions on
the manner of exercising such powers as are imposed upon Member Agencies in the
exercise of similar powers.
2
m
ORGANIZATION
3.01 The membership of ABLE shall be the Member Agencies, public entities
which contribute flight crews and aircraft equipment and have executed or hereafter
execute this Agreement, or amendment thereto, and which have not withdrawn from
ABLE.
3.02 ABLE shall be managed by a Board consisting of the Chiefs of Costa
Mesa, Huntington Beach, Newport Beach, OCFA and the Sheriff of the County, and
one appointee for each Member Agency for a total of ten (10) Board Members. The
Chiefs of Costa Mesa, Huntington Beach, OCFA and the Sheriff of the County shall
each appoint one Board member and their alternate. Each Board member, or in the
absence of a Board member, the alternate shall have one vote on all matters before the
Board.. The members of the Board may be supplemented or amended from time to
time.
3.03 . Each Board member and alternate shall hold office until a successor is
selected, elected or appointed as the case may be under the powers of each Member
Agency. The term of the Board member or alternate who is a public official or
employee of a Member Agency shall terminate upon such Board Member or alternate
leaving office and the vacancy shall be filled by selection, election or appointment as
the case may be under the powers of each Member Agency. The Sheriff, or his or her
designee, will always be a representative for the County of Orange.
3.04 Board members and alternates shall not receive additional compensation
for the service on the ABLE Board, but may be reimbursed by ABLE for reasonable
expenses incurred in conducting the business of ABLE as provided in this Agreement,
when the expenses are not paid by the employing Member Agencies.
3.05 The principal office of ABLE shall be established by the Board and shall
be located within the County of Orange. The Board may change the principal office
from one location to another within the County of Orange. Any change of address
shall be noted by the Board but shall not be considered an amendment to this
Agreement.
3.06 The Board shall meet at a location as may be designated by the. Board.
The time and place of regular meetings of the Board shall be determined by resolution
adopted by the Board. A copy of such resolution shall be furnished to the Member
Agencies. All meetings of the Board, including regular, adjourned, and special
meetings, shall be called and held in a manner as provided in the Ralph M. Brown Act,
Chapter 9, Division 2, Title 5 of the California Government Code commencing with
Section 54950 et seq., as amended.
3.07 All of the powers and authority of ABLE shall be exercised by the Board
unless specifically delegated to the extent permitted by law or reserved to the Member
Agencies under this Agreement. Unless otherwise provided herein, each Board
Member shall be entitled to one vote. Except as otherwise provided herein, an
3
affirmative unanimous0te of the full membership of the B *d, or their alternate, may
adopt any motion, resolution, or order and take any other action appropriate to carry
forward the objectives of ABLE pursuant to this Agreement.
3.08 The Board shall designate a recording secretary to keep the minutes of all
open meetings of the Board, and shall cause a copy of such minutes to be forwarded
to each Member Agency within a reasonable time after each meeting.
3.9 The Board may adopt from time to time policies; rules and regulations for
the conduct of its affairs and that of ABLE as may be required and consistent with this
Agreement.
3.10 Where this Agreement requires an approval of a resolution by Member
Agencies in any matter, the approval shall be evidenced by a certified copy of the
resolution of the governing body of such Member Agency filed with ABLE. 'it shall be
the responsibility of the Board to obtain certified copies of said actions.
3.11 -On an annual basis, the Board shall appoint a board member to be the
presiding officer for the purpose of conducting the board meetings.
3.12 The Board shall appoint an officer or employee of a Member Agency to
hold the offices of Treasurer and Controller whose duties shall be in conformance with
Government Code Sections 6505 and 6505.5. In performing the duties of Treasurer
and Controller, he /she shall follow the Member Agencies' policies and procedures. The
Treasurer /Controller shall also administer all contracts subsequent to the Board's
approval and shall make or contract with a certified public accountant to make an
annual audit of the accounts and records of ABLE as provided in Government Code
Section 6505. The annual audit shall be submitted to the Board and each Member
Agency when completed. The Annual Budget shall be prepared by the
Treasurer /Controller for the approval by the Board. ABLE's investment policies shall
be the Member Agencies' investment policies as those may be modified by the
treasurers of the Member Agencies and approved by the Board of ABLE. The cost of
the Treasurer's services shall be reimbursed by ABLE as provided in this Agreement.
3.13 The Board shall have the power to appoint additional officers, employees
or agents. Any officer, employee or agent of ABLE shall also be an officer, employee
or agent of any of the Member Agencies. The appointment by the Board of such a
person shall be evidence that the two positions are compatible.
3.14 The City Attorneys and County Counsel of the Member Agencies, or such
persons deputy shall serve jointly as counsel to ABLE, to the extent permitted by such
waivers of conflict of interests to authorize such representation as may be executed
by the Member Agencies and the ABLE Board.
3.15 The officers shall perform all duties normal to their respective offices and:
4
(A) The&cretary shall countersign all coacts and other
written documents and perform such other duties as assigned by the
Board and shall keep minutes of the Board meetings.
(B) The Treasurer /Controller shall be bonded in the amount to
be determined by the Board, and the bond fee shall be paid by ABLE.
The Treasurer /Controller shall perform the duties as set forth in Sections
3.12, 4.02, 4.03, 4.04, 4.05, 4.09 and 4.10.
3.16 The Board shall appoint a Commander to manage and oversee day -to -day
operations of ABLE. The Commander shall be a sworn officer of a Member Agency
and of a rank of at least Lieutenant or Battalion Chief. Each Member Agency shall
appoint a liaison officer ( "LO ") to the ABLE and the LO shall be a sworn police officer
and of a rank of at least a Captain. The LO's of each Member Agency shall meet
collectively, as needed, to advise the Board on the levels of service of ABLE, methods
of operation of ABLE and supervision of ABLE Commander. The Commander shall
manage the daily operations of the ABLE and supervision of the helicopter sergeants
from each respective Member Agency. The helicopter Sergeants will directly supervise
their respective helicopter crews and mechanics and crews and mechanics of other
Member Agencies as directed by ABLE:
3.17 All of the privileges and immunities from liability, exemption from laws,
ordinances and rules, all relief, pension, disability, worker's compensation and other
benefits which apply to the activity of officers, employees, or agents of any of the
Member Agencies when performing their respective functions shall apply to them to
the same degree and extent while they are engaged in the performance of any of the
functions and other duties under this Agreement.. None of the officers, agents or
employees of a Member Agency appointed to the Board or performing services at the
direction of ABLE shall be deemed by reason of their appointment or service to be
employed by any of the other Member Agencies or ABLE or be subject to any of the
requirements of the other Member Agencies.
IV
BUDGET AND DISBURSEMENTS
4.01 The Board shall adopt an annual budget for the ensuing fiscal year
pursuant to procedures developed by the Board.
4.02 The Treasurer /Controller shall draw warrants upon the approval and
written order of the Board. The Board shall requisition the payment of funds only upon
approval of such claims or disbursements and such requisition for payment in
accordance with rules, regulations, policies, procedures and bylaws adopted by the
Board.
4.03 All funds received by the Treasurer /Controller for services provided by
ABLE will be placed in object accounts; and the receipt, transfer, or disbursement of
such funds during the term of this Agreement shall be accounted for in accordance
with generally accepted accounting principles applicable to governmental entities.
5
There shall be strict accountability of all funds. All revenues and expenditures shall
be reported to the Board on a quarterly basis.
4.04 All expenditures within the approved annual budget shall be made upon
the approval of the Treasurer /Controller in accordance with the rules, policies and
procedures adopted by the Board. No expenditures in excess of those budgeted shall
be made without the unanimous approval of the Board, and the budget shall thereafter
be revised and amended.
4.05 The records and accounts of the ABLE shall be audited annually by an
independent certified public accountant and the cost of the audit shall be paid by
ABLE. The minimum requirements shall be those prescribed by the State Controller
under Section 26909 of the California Government Code and in conformance with
generally accepted auditing standards. Copies of such audit report shall be filed with
the County Auditor and each Member Agency no later than fifteen (15) days after
receipt of said audit by the Board.
4.06 The Member Agencies acknowledge that the County of Orange provides
law enforcement helicopter services to incorporated municipal public agencies.
4.07 The Member Agencies acknowledge and agree that ABLE will act as a
conduit for the management, direction and provision of law enforcement helicopter
services to the Member Agencies and to other public agencies that contract with ABLE
for such services. The Commander shall keep a written account of the actual flight
hours of the services provided to each Member Agency, each contracting agency, and
the Regional Narcotics Suppression Program ( "RNSP "). The written account of such
flight hours shall be provided to the Board on a monthly basis.
4.08 All revenues received by the Member Agencies from the RNSP program
shall be divided equally among the Member Agencies regardless of which agency flew
a particular shift for RNSP except OCFA.
4.09 Based on information provided by the Commander, the
Treasurer /Controller shall keep a written account of services provided other public
agencies by the Member Agencies at the direction of ABLE. The crews and equipment
of the Member Agencies shall be rotated as directed by the Board in providing services
to the other public agencies. All revenues received from other public agencies
contracting with ABLE for helicopter services shall be distributed on a quarterly basis
to each Member Agency under the following formula:
(A) First, to reimburse the actual direct costs for the Member
Agency's providing Treasurer /Controller and Secretary services to the
ABLE.
(B) Second, to reimburse each Member Agency for crew and
equipment costs based upon the percentage of law enforcement flight
hours produced by each Member Agency during the fiscal year.
Revenues received as reimbursement for "light helicopter" (Type III) fire
9
suppression acti *s shall also be shared utilizing thoame formula for
all Member Agencies with the exception of the OCFA. Any
reimbursement revenues resulting from the activity of OCFA helicopters
or crews shall be distributed directly back to the OCFA. The percentage
of flight hours shall be based on the total flight time produced by ABLE
divided into the amount of flight hours produced by each Member
Agency.
4.10 In establishing rates for helicopter services to public agencies, the Board
shall assure that the contracts for such services provide for the reimbursement of the
actual expenses of providing the services, insurance coverage by the Member Agencies
for their personnel and equipment, and administrative expenses of ABLE. Payment for
ABLE helicopter services by contracting public agencies shall be made on a monthly
basis to the Treasurer/ Controller of ABLE. The Treasurer /Controller shall provide a
written monthly account of all revenues and expenses of ABLE services to other public
agencies to the Board.
V
LIABILITIES
5.01 The Member Agencies acknowledge that each agency is contributing its
own personnel and equipment to a cooperative pool of personnel and equipment to be
managed by ABLE. Each Member Agency shall retain all debts, liabilities, insurance
obligations and other obligations for its personnel and equipment. Where necessary
and at the direction of ABLE Board, each Member Agency agrees to add ABLE as an
additional insured on their respective insurance or self- insurance coverage for their
personnel and equipment. In the event that the costs of each Member Agency's
personnel and equipment contributed to ABLE for each fiscal year exceeds the amount
of funds to be reimbursed by the ABLE for such costs, the Member Agencies agree to
waive all rights to be reimbursed for such costs by ABLE from funds received by ABLE
in subsequent fiscal years. Each Member Agency agrees to expressly waive any and
all rights to be reimbursed by the other Member Agencies for personnel and equipment
contributed to ABLE to the extent that revenues received by the ABLE are not
sufficient for ABLE to reimburse the Member Agency for the costs of its personnel and
equipment contributed to ABLE.
5.02 Each Member Agency hereto agrees to indemnify and hold ABLE and the
other Member Agencies harmless from any liability for damages, costs or attorney
fees, actual or alleged, to persons or property arising out of or resulting from defective
equipment owned or leased by the indemnifying Member Agency or from negligent
acts or omissions of the indemnifying Member Agency or its officials or employees.
In the event of liability imposed upon any of the Member Agencies or upon the Board
created by this Agreement, for injury which is caused by defective equipment or the
negligent or wrongful act or omission of any of the Member Agencies in the
performance of this Agreement, the Member Agency or Member Agencies that own
or lease such defective equipment or are directly responsible for the negligent or
wrongful acts or omissions shall indemnify, defend, and hold ABLE and all other
Member Agencies harmless from any liability for personalury or property damage
arising out of the performance of this Agreement.
5.03 Member Agencies agree that ABLE and Member Agencies should be fully
protected from any loss, injury, liability, damage, claim, lawsuit, cost or expense
arising out of, or in any way related to, the performance of services pursuant to this
Agreement. Accordingly, the provisions of this Agreement should be construed and
interpreted to provide the fullest possible protection to ABLE, Member Agencies and
Member Agency's officers and employees. Member Agencies acknowledge that ABLE
would not provide services pursuant to this Agreement or related Agreements in the
absence of the commitments of each Member Agency as specified in this section.
Member Agencies acknowledge that ABLE board, Commander and LO may be subject
to liability for decisions, management and actions in the supervision and direction of
ABLE. In this regard, Member Agencies agree that ABLE shall obtain Directors and
Officers insurance for ABLE directors and officers, and that the cost of such insurance
coverage shall be deducted from funds distributed by ABLE to the Member Agencies
on a prorata basis equal to the number of Member Agencies (i.e., 33-1/3% for 3
Member Agencies, etc.).
5.04 Except as provided herein, each Member Agency waives and gives up any
claim against or right to sue ABLE, any Member Agency, or any of their officers,
employees or representatives, for any loss, damage or injury that arises out of, or is
in any way related, to the performance of services pursuant to this Agreement. This
waiver extends to liability for death, bodily injury, or property damage, that may be
sustained by ABLE, any Member Agency, or its officers, employees, contractors or
agents and which was proximately caused, in whole or in part, by the negligent act,
conduct or omission of ABLE, any Member Agency, and /or their respective officers,
employees, agents contractors, representatives, or any third party. This waiver does
not extend to death, bodily injury or property damage caused by the fraudulent or
willful conduct or any act which constitutes a violation of a penal statute, and to a
Member Agency's right to bring a legal action against other Member Agencies who
refuse or fail to honor its requirement to defend and /or indemnify ABLE and other
Member Agencies as set forth in Section 5.02 and 5.06.
5.05 Any public agency, other than the Member Agencies, receiving services
pursuant to this Agreement, and /or any other contract with ABLE, shall defend,
indemnify and hold harmless the ABLE, the responding Member Agency, and their
respective officers, employees, contractors, agents and representatives, with respect
to any claim, loss, liability, damage, lawsuit, cost or expense that arises out of, or is
in any way related, to the performance of services by ABLE or the responding Member
Agencies within the public agency's jurisdiction. Prior to ABLE providing services, the
public agency shall provide written proof of insurance or self- insurance coverage in
amounts approved by the Board which covers the scope and type of services provided
by ABLE to the public agency. The obligations of each public agency pursuant to this
section extends, without limitation, to any injury, death, loss or damage which occurs
within that public agency's jurisdiction and which is sustained by any third party, any
employee or contractor of the public agency, or the contractor's employees. The
N
-terms of this section sh be contained in any agreement IJWBLE with non - member
public agencies.
5.06 Member Agencies shall be responsible for the continued provision of
workers' compensation for the officers or agents of the Member Agencies that serve
as officers or employees of ABLE. In this regard, each Member Agency shall defend,
indemnify and hold harmless ABLE and any other Member Agencies, and their
respective officers, employees, contractors, agents and representatives with respect
to any claim, loss, liability, damage, lawsuit, cost or expense that arises out of, or is
in any way related, to any industrial /worker compensation injury sustained by an
employee of the indemnifying Member Agency during the performance of service by
ABLE or the responding Member Agencies under this Agreement.
5.07 In the event that joint and several liability is imposed upon ABLE and /or
among and between the Member Agencies for any act or omission that occurs while
performing services for a non - member public agency, the public agency contracting for
services under Section 4.10 shall be responsible to fully satisfy any such judgment or
award and shall fully indemnify ABLE and the Member Agencies and their respective
officers, employees, contractors, agents and representatives for any such liability. The
terms of this section shall be contained in any agreement by ABLE with non - member
public agencies.
VI
ADMISSION AND WITHDRAWAL OF PARTIES
6.01 Additional public agencies that contribute personnel and aircraft
equipment may become Member Agencies to ABLE upon such terms and conditions
as provided by the Board and upon the unanimous consent of the existing Member
Agencies as evidenced by approval of resolutions therefore and the execution of a
written amendment to this Agreement by all of the Member Agencies, including the
additional Member Agency.
6.02 The withdrawal of any Member Agency, either voluntarily or involuntarily
shall, unless otherwise provided for by the Board, be conditioned as follows:
(A) Involuntary withdrawal shall mean those .circumstances
where a Member Agency must withdraw due to fiscal or budgetary
impacts which discontinue the funding of flight crews or aircraft.
(B) In the case of a voluntary withdrawal, written notice shall
be given one hundred and twenty 0 20) days prior to the end of a fiscal
year;
(C) Neither voluntary or involuntary withdrawal shall relieve the
withdrawing Member Agency of its proportionate share of any debts or
other liabilities incurred by ABLE prior to the effective date of the Member
Agency's withdrawal, nor any liabilities imposed upon or incurred by the
E
Member Agency pursuant to this Agreement prior the effective date
of the Member Agency's withdrawal;
(D) Withdrawal shall not result in the forfeiture of that Member
Agency's rights and claims relating to revenues received by ABLE during
the time period that the Member Agency provided services under ABLE
direction; and
(E) The withdrawing Member Agency shall retain all rights and title
to its personnel and aircraft equipment and shall remove such personnel
and aircraft equipment from the direction of ABLE.
ki.gWiliff-I •R � • • •
7.01 ABLE shall continue to exercise the powers herein until the termination
of this Agreement and any extension thereof as provided in this paragraph or until
the Member Agencies have mutually rescinded this Agreement provided, however,
ABLE shall continue to exist for the purposes of disposing of all claims, distribution of
assets and all other functions necessary to conclude the affairs of ABLE.
7.02 Termination shall occur upon the written consent of all of the Member
Agencies, upon the withdrawal from ABLE of a sufficient number of the Member
Agencies to leave less than two (2) Member Agencies remaining in ABLE and full
satisfaction of all outstanding financial obligations of ABLE. However, no such
termination shall occur until all other contractual obligations of ABLE have been
satisfied.
7.03 In the event of the termination of this Agreement, any funds remaining
following the discharge of all obligations shall be disposed of by returning to each
Member Agency that is a member of ABLE immediately prior to the termination of this
Agreement, a share of such funds proportionate to the contribution made to ABLE by
said Member Agency, to the extent legally possible.
VIII
MISCELLANEOUS
8.01 Amendments.
This Agreement may be amended with the unanimous approval of all Member
Agencies; provided, however, that no amendment may be made which would
adversely affect the interests of the owners of bonds, letters of credit or other financial
obligations of ABLE.
8.02 Notices.
Any notice or instrument required to be given or delivered by depositing the
same in any United States Post Office, registered or certified, postage prepaid,
10
addressed to the Mer>tr Agencies, shall be deemed to a been received by the
Member Agency to wh the same. is :addressed at the exp tion of seventy -two (72)
hours after deposit of the same in the United States Post Office for transmission by
registered or certified mail as aforesaid.
8.03 Effective Date.
This Agreement shall be effective at such time as this Agreement has been
executed by any two or more of the Member Agencies enumerated in the introduction
of this Agreement.
No officer or employee of ABLE or any Member Agency shall have any financial
interest, direct or indirect, in. ABLE. Nor shall any such officer or employee participate
in any decision relating to ABLE which affects his or financial interests or those of a
corporation, partnership, or association in which he or she is directly or indirectly
interested, in violation of any State law or regulation.
8.05 Arbitration.
(A) Any controversy or claim between any two or more Member Agencies,
or between any such Member Agency or Member Agencies and ABLE, with respect
to the ABLE's operations, or to any claims, disputes, demands, differences,
controversies, or misunderstandings arising under, out of, or in relation to this
Agreement, shall be submitted to and determined by arbitration. To the extent not
inconsistent herewith, the rules of the American Arbitration Association shall apply.
(B) The Member Agency desiring to initiate arbitration shall give notice of its
intention to arbitrate to every other Member Agency and ABLE. Such notice shall
designate such other
Member Agencies as the initiating Member Agency intends to have bound by any
award made therein.
(C) The decision of the.arbitrator shall be binding upon all Member Agencies
involved in the arbitration. Each Member Agency to the arbitration shall bear its own
legal costs including attorneys fees.
ADD
insiongil-NM ti4=lfC:ti4►�
If any one or more of the terms, provisions, sections, promises, covenants or
conditions of this Agreement shall .to any extent be adjudged invalid, unenforceable,
void or voidable for any reason whatsoever by a court of competent jurisdiction, each
and all of the remaining terms, provisions, sections, promises, covenants and
conditions of this Agreement shall not be affected thereby and shall be valid and
enforceable to the fullest extent permitted by law.
8.07 Successors.
11
This Agreement shall be binding upon and shall inure to the benefit of the
successors of the Member Agencies hereto.
8.08 Assignment.
A Member Agency shall not assign any rights or obligations under this
Agreement without the written consent of all other Member Agencies.
8.09 Execution.
The legislative bodies of the Member Agencies enumerated herein have each
authorized execution of this Agreement, as evidenced by the authorized signatures
below, respectively.
Dated CITY OF COSTA MESA
W2
Mayor
ATTEST APPROVED AS TO FORM
Deputy City Clerk City Attorney
of the City of Costa Mesa
Dated
ATTEST
City Clerk of City of
Huntington Beach
CITY OF HUNTINGTON BEACH
By:
Mayor
APPROVED AS TO FORM
City Attorney
Dated CITY OF NEWPORT BEACH
12
ATTEST
City Clerk of City .v
Newport
13
By
j
Mayor
APPROVED AS TO FORM
lftu-11�1� -
Cit , Attorney
Dated 0
ATTEST: Signed and certified
that a copy of this document
has been delivered to the
Chairman, Board of Supervisors
Phyllis A. Anderson
Clerk, Board of Supervisors
Dated:
A9LEWA A9LE.MOU (7 -14 -951
14
COUNTY OFOANGE, a Political
Subdivision of the State of
California
By:
Chairman, Board of Supervisors
APPROVED AS TO FORM
Terry C. Andrus, County Counsel
ORANGE COUNTY FIRE AUTHORITY
22
0
ADDENDUM AGREEMENT NO. 2
This agreement is made and entered into this isr day of
C, , 1994, in the County of Orange, State of California, by
and between .the City of Costa Mesa ( "Costa Mesa "), the City of
Huntington Beach ( "Huntington Beach "), the City of Newport Beach
( "Newport Beach "), and the County of Orange ( "County "),
collectively referred to as "Member Agencies."
RECITALS
WHEREAS, the Member Agencies have entered into the Memorandum
of Understanding for Airborne Law Enforcement Services
( "Agreement ") to establish a regional air support unit in the
manner set forth in the Agreement; and
WHEREAS, the Member Agencies by this Addendum Agreement intend
to amend the Agreement to more fully set forth, their rights and
obligations concerning the provision of law enforcement helicopter
services to public agencies other than the Member Agencies as
provided in paragraph 5.05 of the Agreement.
NOW THEREFORE, for and in consideration of the mutual promises
and covenants contained herein the parties hereto agree as follows:
1.01 The provisions of paragraph 5.05 of the Agreement are
amended as follows:
"Any public agency, other than the Member Agencies,
receiving services pursuant to this Agreement, and /or any
other contract with the ABLE, shall defend, indemnify and
hold harmless the ABLE, the responding Member Agency, and
their respective officers, employees, contractors, agents
and representatives, with respect to any claim, loss,
liability, damage, lawsuit, cost or expense that arises
out of, or is in any way related, to the performance of
services by the ABLE or the responding Member Agencies
within the public agency's jurisdiction. Prior to the
ABLE providing services, the public agency shall provide
written proof of insurance or self- insurance coverage in
amounts approved by the Board, or oarticinate in
insurance coverage obtained by ABLE, which covers the
scope and type of services provided by the ABLE to the
public agency. The obligations of each public agency
pursuant to this section extends, without limitation, to
any injury, death, loss or damage which occurs within
that public agency's jurisdiction and which is sustained
by any third party, any employee or contractor of the
public agency, or the contractor's employees. The terms
of this section shall may be contained in any agreement
by ABLE with non - member public agencies.
1.02 Except as provided herein, all other provisions of the
Agreement shall remain in effect.
1.03 The legislative bodies of
herein have each authorized the
Agreement as evidenced by the
respectively.
Dated /
ATTEST
&-L�
Deputy C' y Clerk of the
City of osta Mesa
Dated
ATTEST
the Member Agencies enumerated
execution of this Addendum
authorized signatures below,
CITY OF COSTA MESA
By:
Mayor
APPROVED AS TO FORM
-4�' tel'zt-e-
City Attorney
CITY OF HUNTINGTON BEACH
7
Mayor
APPROVED AS TO FORM
i
City Clerk of City of City Attorney
Huntington Beach
Dated //-/� -q CITY OF NEWPORT BEACH
By:
Mayor
2
�1ranVy
ATTEST }.~�
City Clerk of City o
Newport Beach
Dated
MAY 2 3 W5
ATTEST4 Signed and certified
that a copy of this document
has been delivered to the
Chairman, Board of Supervisors
1� &T44"Z�
W.A11;1 Fi" i € - GQQII�NQ, P, ri IPlC
Clerk, Board of Supervisors
ABLEADEN.AGR (1-5-95)
COUNTY OF ORANGE, a Political
Subdivision of the State of
California
Y
Chairman,
Board of Supervisors
APPROVED AS TO FORM
Terry C. Andrus, County Counsel
Dated: '/ v J
"
0 0
ADDENDUM AGREEMENT NO. 1
dl
This agreement is made and entered into this I day of
UCN 19 CJ in the County of Orange, State of California, by
and between the City of Costa Mesa ( "Costa Mesa "), the City of
Huntington Beach ( "Huntington Beach ") , the City of Newport Beach
( "Newport Beach") and the County of Orange ( "County "), collectively
referred to as "Member Agencies."
RECITALS
WHEREAS, Costa Mesa, Huntington Beach and County have entered
into the Memorandum of Understanding ( "MOU") to create the Airborne
Law Enforcement Services Agency ( "ABLE "); and
WHEREAS, Newport Beach has decided to join ABLE as a Member
Agency of ABLE as provided in the MOU; and
WHEREAS, this Addendum Agreement will amend the MOU to reflect
the addition of Newport Beach as a Member Agency of ABLE.
NOW THEREFORE, for and in consideration of the mutual promises
and covenants contained herein the parties hereto agree as follows:
1.01 Paragraph 2.01 of the MOU is amended to read as
follows:
"2.01 By this Agreement, Costa Mesa, Huntington
Beach, Newport Beach and County agree to cooperate with
each other in the provision of helicopter services in the
manner and under the terms of this Agreement. The
cooperative use of the Member Agencies helicopter
services shall be known as the Airborne Law Enforcement
Services ( "ABLE "). The Member Agencies may agree on a
different call name for ABLE."
1.02 Paragraph 3.02 of the MOU is amended to read as
follows:
"3.02 The ABLE shall be managed by a Board consisting
of the Chiefs of Police of Costa Mesa, Huntington Beach
and the Sheriff of Orange County and one appointee for
each Member Agency for a total of eight (8) Board
Members. The Chiefs of Police of Costa Mesa, Huntington
Beach, Newport Beach . and the Sheriff of Orange County
shall each appoint one Board member and their alternate.
Each Board member, or in the absence of a Board member,
the alternate shall have one vote on all matters before
the Board. The members of the Board may be supplemented
or amended from time to time."
1.03 Except as provided herein, all other provisions of
the MOU shall remain in full force and effect, which MOU is
attached hereto as Exhibit A and incorporated herein by this
reference.
1.04 The legislative bodies of the Member Agencies
enumerated herein have each authorized execution of this Agreement,
as evidenced by the authorized signatures below, respectively.
Dated 1
ATTEST
CITY OF COSTA MESA
B
Ma
APPROVED AS TO FORM
City erk of the City of City Attorney
Costa esa
Dated CITY OF HUNTINGTON BEACH
Mayor
ATTEST APPROVED AS TO FORM
City Clerk of City ofv City Attorney
Huntington Beach Ad 0 o-5'vGc-/-/
Dated //-�� 9�
PC)
ATTEST
City Clerk of Cit f
Newport Beach
2
CITY OF NEWPORT BEACH
By: — Ab
Mayor
APPROV AS TO FORM
City Attorney
Dated
ATTEST:ASigned and certified
that a copy of this document
has been delivered to the
Chairman, Board of Supervisors
AkLAA.)E GWS
KATHLEEN E. GOODNO, ACTING
Nancy H. Smanson I-1=M.'±staT&
Clerk, Board of Supervisors
ABLE-ADD.NB (1-5-95)
COUNTY OF ORANGE, a Political
Subdivision of the State of
California
BVQ
�g
Chairman,
Board of Supervisors
APPROVED AS TO FORM
Terry C. Andrus, County Counsel
IF
1 1. WE
1124�122/- -!, 16
Dated: a J
MEMORANDUM OF UNDERSTANDING
FOR AIRBORNE LAW ENFORCEMENT SERVICES
Th s agreement is made and entered into this 3 '" day of
It iiIL3, in the County of orange, State of California, by
and between the City of Costa Mesa ( "Costa Mesa "), the City of
Huntington Beach ( "Huntington Beach "), and the County of Orange
( "County "), collectively referred to as "Member Agencies."
RECITALS
WHEREAS, the Member Agencies have and possess the power and
authorization to finance, acquire and maintain a public law
enforcement helicopter service and facilities for the benefit of
the lands and inhabitants within their respective boundaries; and
WHEREAS, the Member Agencies propose to join together to
establish, operate and maintain a cooperative program of management
for a helicopter service for the benefit of their respective lands
and inhabitants; and
WHEREAS, it is in the public interest to provide a means by
which other public agencies acquire helicopter service for the
benefit of their lands and inhabitants.
NOW, THEREFORE, for and in consideration of the mutual
promises and covenants contained herein the parties hereto agree as
follows:
I
PURPOSE
1.01 The purpose of this Agreement is to cooperate with each
Member Agency in the exercise of some or all of their powers to
establish a regional air support unit in the manner set forth in
this Agreement.
1.02 Notwithstanding, each Member Agency expressly retains
all rights and powers to finance, plan, develop, construct, equip,
maintain, repair, manage, operate, and - control equipment,
facilities, properties and projects that it deems in its sole
discretion to be necessary or desirable and that are authorized by
the laws governing it. The Agreement shall in no way impair any of
the Member Agencies' respective rights, powers or title to such
equipment, facilities, properties and projects.
1.03 Notwithstanding, each Member Agency expressly retains
all rights and. powers to use other funds or funding sources to
finance, plan, develop, construct, equip, maintain, repair, manage,
operate and control equipment and facilities for a law enforcement
helicopter service system.
004. A
i
II
CREATION OF REGIONAL AIR SUPPORT UNIT
2.01 By this Agreement, Costa Mesa, Huntington Beach and
County agree to cooperate with each other in the provision of
helicopter service in the manner and under the terms of this
Agreement. The cooperative use of the Member Agencies helicopter
services shall be known as the Airborne Law Enforcement Services
( "ABLE ") the Member Agencies may agree on a different call name for
ABLE.
2.02 The ABLE shall possess in its own name, and the Member
Agencies delegate to it the following enumerated powers: ,
(A) To make and enter into contracts consistent
with this Agreement;
(B) To receive compensation, gifts, contributions
and donations of property, funds, services and other
forms of financial assistance from persons, firms,
corporations and any governmental entity;
(C) To sue and be sued in its own.name;
(D) To apply for an appropriate grant or grants
under any federal, state, or local programs for
assistance in developing any of its programs or providing
helicopter services to other public entities;
(E) To adopt rules, regulations, policies, by -laws
and procedures governing the operation of the ABLE;
(F) To add Member Agencies to the ABLE which
contribute, flight crews and aircraft equipment and
execute agreements and resolutions consistent with the
terms of this Agreement;
(G) To contract with public entities to provide
helicopter services to their land and residents;
2.03 Said power shall be exercised in the manner provided in
the California Joint Powers Act, and except as expressly set forth
herein, subject to restrictions on the manner of exercising such
powers as are imposed upon Costa Mesa in the exercise of similar
powers. -
III
3.01 The membership of the ABLE shall be the Member Agencies,
public entities which contribute flight crews and aircraft
equipment and have executed or hereafter execute this Agreement, or
amendment thereto, and which have not withdrawn from the ABLE.
2
• •
3.02 The ABLE shall be managed by a Board consisting of the
Chiefs of Police and Sheriff of Costa Mesa, Huntington Beach and
County and one appointee for each Member Agency for a total of six
(6) Board Members. The Chiefs of Police and Sheriff of Costa Mesa,
Huntington Beach and County shall each appoint one Board member and
their alternate. Each Board member, or in the absence of a Board
member, the alternate shall have one vote on all matters before the
Board. The members of the Board may be supplemented or amended
from time to time.
3.03 Each Board member and alternate shall hold office until
a successor is selected, elected or appointed as the case may be
under the powers of each Member Agency. The term of the Board
member or alternate who is a public official or employee. of a
Member Agency shall terminate upon such Board Member or alternate
leaving office and the vacancy shall be filled by selection,
election or appointment as the case may be under the powers of each
Member Agency. The Sheriff, or his or her designee, will always be
a.representative for the County of Orange.
3.04 Board members and alternates shall not receive
additional compensation for the service on the ABLE Board, but may
be reimbursed by ABLE for reasonable expenses incurred in
conducting the business of the ABLE as- provided in this Agreement,
when the expenses are not paid by the employing Member Agencies.
3.05 The principal office of the ABLE shall be established by
the Board and shall be located within the County of Orange. The
Board may change the principal office from one location to another
within the County of Orange. Any change of address shall be noted
by the Board but shall not be considered an amendment to this
Agreement.
3.06 The Board shall.meet at a location as may be designated
by the Board. The time and place of regular meetings of the Board
shall be determined by resolution adopted by the Board. A copy of
such resolution shall be furnished to the Member Agencies. All
meetings of the Board, including regular, adjourned, and special
meetings, shall be called and held in a manner as provided in the
Ralph M. Brown Act, Chapter 9, Division 2, Title 5 of the
California Government Code commencing with Section 54950 et seq.,
as amended.
3.07 All of the powers and authority of the ABLE shall be
exercised by the Board unless specifically delegated to the extent
permitted by law or reserved to the Member Agencies under this
Agreement. Unless otherwise provided herein, each Board Member
shall be entitled to one vote. Except as otherwise provided
herein, an affirmative unanimous vote of the full membership of the
Board, or their alternate, may adopt any motion, resolution, or
order and take any other action appropriate to carry forward the
objectives of the ABLE pursuant to this Agreement.
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3. 08 The Board shall designate a recording secretary to keep
the minutes of all open meetings of the Board, and shall cause a
copy of such minutes to be forwarded to each Member Agency within
a reasonable time after each meeting.
3.9 The Board may adopt from time to time policies, rules and
regulations for the conduct of its affairs and that of the ABLE as
may be required and consistent with this Agreement.
3.10 Where this Agreement requires an approval of a
resolution by Member Agencies in any matter, the approval shall be
evidenced by a certified copy of the resolution of the governing
body of such Member Agency filed with the ABLE. It shall be the
responsibility of the Board to obtain certified copies of. said
actions.
3.11 On an annual basis, the Board shall appoint a board
member to be the presiding officer for the purpose of conducting
the board meetings.
3.12 The Board shall appoint an officer or employee of a
Member Agency to hold the offices of Treasurer and Controller whose
duties shall be in conformance with Government Code Sections 6505
and 6505.5. In performing the duties of Treasurer and Controller,
he /she shall follow the Member Agencies'-policies and procedures.
The Treasurer/ Controller shall also administer all contracts
subsequent to the Board's approval and shall make or contract with
a certified public accountant to make an annual audit of the
accounts and records of ABLE as provided in Government Code Section
6505. The annual audit shall be submitted to the Board and each
Member Agency when completed. The Annual Budget shall be prepared
by the Treasurer /Controller for the approval by the Board. The
ABLE's investment policies shall be the Member Agencies' investment
policies as those may be modified by the treasurers of the Member
Agencies and approved by the Board of the ABLE. The cost of the
Treasurer's services shall be reimbursed by the ABLE as provided in
this Agreement.
.3.13 The Board shall have the power to appoint additional
officers, employees or agents. Any officer, employee or agent of
the ABLE shall also be an officer, employee or Agent of any of the
Member Agencies. The appointment by the Board of such a person
shall be evidence that the two positions.are compatible.
3.14 The City Attorneys and County Counsel of the Member
Agencies, or such persons deputy shall serve jointly as counsel to
the ABLE, to the extent permitted by such waivers of conflict of
interests to authorize such representation as may be executed by
the Member Agencies and the ABLE Board.
3.15 The officers shall perform all duties normal to their
respective offices and:
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(A) The Secretary shall countersign all contracts
and other written documents and perform such other duties
as assigned by the Board and shall keep minutes of the
Board meetings.
(B) The Treasurer /Controller shall be bonded in the
amount to be determined by the Board, and the bond fee
shall be paid by the ABLE. The Treasurer /Controller
shall perform the duties as set forth in Sections 3.12,
4.02, 4.03, 4.04, 4.05, 4.09 and 4.10.
3.16 The .Board shall appoint a Commander to manage and
oversee day -to -day operations of the ABLE. The Commander shall be
• sworn police officer of a Member Agency and of a rank of at least
• Lieutenant. Each Member Agency shall appoint a liaison officer
( "LO") to the ABLE and the LO shall be a sworn police officer and
of a rank of at least a Captain. The IA's of each Member Agency
shall meet collectively, as needed, to advise the Board on the
levels of service of ABLE, methods of operation of ABLE and
supervision of the ABLE Commander. The Commander shall manage the
daily operations of the ABLE and supervision of the helicopter
sergeants from each respective Member Agency. The helicopter
Sergeants will directly supervise their respective helicopter crews
and mechanics and crews and mechanics of other Member Agencies as
directed by the ABLE.
3.17 All -of the privileges and immunities from liability,
exemption from laws, ordinances and rules, all relief. pension,
disability, worker's compensation and other benefits which apply to
the activity of officers, employees, or agents of any of the Member
Agencies when performing their respective functions shall apply to
them to the same degree and extent while they are engaged in the
performance of any of the functions and other duties under this
Agreement. None of the officers, agents or employees of a Member
Agency appointed to the Board or performing services at the
direction of the ABLE shall be deemed by reason of their
appointment or service to be employed by any of the other Member
Agencies or the ABLE or.be subject to any of the requirements of
the other Member Agencies.
IV
BIIDUT .AND DISBURSEMENTS
4.01 The Board shall adopt an annual budget for the ensuing
fiscal year pursuant to procedures developed by the Board.
4.02 The Treasurer /Controller shall draw warrants upon the
approval and written order of the Board. The Board shall
requisition the payment of funds only upon approval of such claims
or disbursements and such requisition for payment in accordance
with rules, regulations, policies, procedures and bylaws adopted by
the Board.
5
• •
4.03 All funds received by the Treasurer /Controller for
helicopter services provided by the ABLE, except funds from the
City of Santa Ana, will. be placed in object accounts; and the
receipt, transfer, or disbursement of such funds during the term of
this Agreement shall be accounted for in accordance with generally
accepted accounting principles applicable to governmental entities.
There shall be strict accountability of all funds. All revenues
and expenditures shall be reported to the Board on a quarterly
basis.
4.04 All expenditures within the approved annual budget shall
be made upon the approval of the Treasurer /Controller in accordance
with the rules, policies and procedures adopted by the Board. No
expenditures in excess of those budgeted shall be made without the
unanimous approval of the Board, and the budget shall thereafter be
revised and amended.
4.05 The records and accounts of the ABLE shall be audited
annually by an independent certified public accountant and the cost
of the audit shall be paid by the ABLE. The minimum requirements
shall be those prescribed by the State Controller under Section
26909 of the California Government Code and in conformance with
generally accepted auditing standards. Copies of such audit report
shall be filed with the County Auditor and each Member Agency no ..
later than fifteen (15) days after receipt of said audit by the
Board.
4.06 The Member Agencies acknowledge and agree that the Costa
Mesa currently contracts law enforcement helicopter services to the
Santa Ana. This will continue until July, 1994. The Member
Agencies acknowledge that the County of Orange provides law
enforcement helicopter services to incorporated municipal public
agencies.
4.07 The Member Agencies acknowledge and agree that the ABLE
will act as a conduit for the management, direction and provision
of law enforcement helicopter services to the Member Agencies and
to. other public agencies that contract with the ABLE for such
services. The Commander shall keep a written account of the actual
flight hours of the services provided to each Member Agency, each
contracting agency, and the Regional Narcotics Suppression Program
( "RNSP "). The written account of such flight hours shall be
provided to the Board on a monthly basis.
4.08 All revenues received by the Member Agencies from the
RNSP program shall be divided equally among the Member Agencies
regardless of which agency flew a particular shift for RNSP.
4.09 Based on information provided by the Commander, the
Treasurer /Controller shall keep a written account of services
provided other public agencies by the Member Agencies at the
direction of the ABLE. The crews and equipment of the Member
6
Agencies shall be rotated as directed by the Board in providing
services to the other public agencies. All revenues received from
other public agencies contracting with ABLE for helicopter
services, except for revenues from Santa Ana to Costa Mesa, shall
be distributed on a quarterly basis to each Member Agency under the
following-formula:
(A) First, to reimburse the actual direct costs for
the Member Agency's providing Treasurer /Controller and
Secretary services to the ABLE.
(B) Second, to reimburse each Member Agency for
crew and equipment costs based upon the percentage of
flight hours produced by each Member Agency during the
fiscal year. The percentage of flight hours shall be
based on the total flight time produced by the ABLE
divided into the amount of flight hours produced by each
Member Agency.
(C) The County and Huntington Beach are each to
receive reimbursement equal to the value of the Santa Ana
contract ($200,000) before Costa Mesa shares in any
reimbursement for expenses described in paragraph (B).
When this reimbursement level is attained, all three
agencies will share reimbursement by their percentage of
scheduled flight hours flown .thereafter., The flight
hours spent by Costa Mesa servicing the Santa Ana
contract will not be included in determining their
percentage of scheduled "flight hours.
4.10 In establishing rates for helicopter services to public
agencies, the Board shall assure that the contracts for such
services provide for the reimbursement of the actual expenses of
providing the services, insurance coverage by the Member Agencies
for their.personnel and equipment, and administrative expenses of
the ABLE. Payment for ABLE helicopter services by contracting
public agencies shall be made on a monthly basis to the Treasurer/
Controller of the ABLE. The Treasurer /Controller shall provide a
written monthly account of all revenues and expenses of ABLE
services to other public agencies to the Board.
V
LIABILITIES
5.01 The Member Agencies acknowledge that each agency is
contributing its own personnel and equipment to a cooperative pool
of personnel and equipment to be managed by the ABLE. Each Member
Agency shall retain all debts, liabilities, insurance obligations
and other obligations for its personnel and equipment. Where
necessary and. at the direction of the ABLE Board, each Member
Agency agrees to add the ABLE as an additional insured on their
respective insurance or self - insurance coverage for their personnel
7
and equipment. In the event that the costs of each Member Agency's
personnel and equipment contributed to the ABLE for each fiscal
year exceeds the amount of funds to be reimbursed by the ABLE for
such costs, the Member Agencies agree to waive all rights to be
reimbursed for such costs by the ABLE from funds received by the
ABLE in subsequent fiscal years. Each Member Agency agrees to
expressly waive any and all rights to be reimbursed by the other
Member Agencies for personnel and equipment contributed to the ABLE
to the extent that revenues received by the ABLE are not sufficient
for the ABLE to reimburse the Member Agency for the costs of its
personnel and equipment contributed to the ABLE.
5.02 Each Member Agency hereto agrees to indemnify and hold
the ABLE and the other Member Agencies harmless from any liability
for damages, costs or.attorney fees, actual or alleged, to persons
or property arising out of or resulting from defective equipment
owned or leased by the indemnifying Member Agency or from negligent
acts or omissions of the• indemnifying Member Agency or its
officials or employees. In the event of liability imposed upon any
of the Member Agencies or upon the Board created by this Agreement,
for injury which is caused. by. defective equipment or the negligent
or wrongful act or omission of any of the Member Agencies in the
performance of this Agreement, the Member Agency or Member Agencies
that own or lease such defective equipment or are directly
responsible for the negligent or wrongful acts or omissions shall
indemnify, defend, and hold the ABLE and all other Member Agencies
harmless from any liability for personal injury or property damage
arising out of the performance of this Agreement..
5.03 Member Agencies agree that the ABLE and Member Agencies
should be fully protected from any loss, injury, liability, damage,
claim, lawsuit, cost or expense arising out of, or in any way
related to, the performance of services pursuant to this Agreement.
Accordingly, the provisions of this Agreement should be construed
and interpreted to provide the fullest possible protection to the
ABLE, Member Agencies and Member Agency's officers and employees.
Member Agencies acknowledge that the ABLE would not provide
services pursuant to this Agreement or related Agreements in the
absence of the commitments of each Member Agency as specified in
this section. Member Agencies acknowledge that the ABLE board,
Commander and LO may be subject to liability for decisions,
management and actions in the supervision and direction of the
ABLE. In this regard, Member Agencies agree that the ABLE shall
obtain Directors and Officers insurance for ABLE directors and
officers, and that the cost of such insurancb coverage shall be
deducted from funds distributed by the ABLE to the Member Agencies
on a prorata basis equal to the number of Member Agencies (i.e.,
33 -1/3& for 3 Member Agencies, etc.).
5.04 Except as provided herein, each Member Agency waives and
gives up any claim against or right to sue the ABLE, any Member
Agency, or any of their officers, employees or representatives, for
8
• •
any loss, damage or injury that arises out of, or is in any way
related, to the performance of services pursuant to this Agreement.
This waiver extends to .liability for death, bodily injury, or
property damage, that may be sustained by the ABLE, any Member
Agency, or its officers, employees, contractors or agents and which
was proximately caused, in whole or in part, by the negligent act,
conduct or omission of the ABLE, any Member Agency, and /or their
respective officers, employees, agents contractors,
representatives, or any third party. This waiver does not extend
to death, bodily injury or property damage caused by the fraudulent
or willful conduct or any act which constitutes a violation of a
penal statute, and to a Member Agency's right to bring a legal
action against other Member Agencies who refuse or fail to honor
its requirement to defend and /or indemnify the ABLE -and :other
Member Agencies as set forth in Section 5.02 and 5.06.
5.05 Any public agency, other than the Member Agencies,
receiving services pursuant to this Agreement, and /or any other
contract with the ABLE, shall defend, indemnify and hold harmless
the ABLE, the responding Member Agency, and their respective
officers, employees, contractors, agents and representatives, with
respect to any claim, loss, liability, damage, lawsuit, cost or
expense that arises out of, or is in any way related, to the
performance of services. by the ABLE or the responding Member
Agencies within the public agency's jurisdiction. Prior to the
ABLE providing services, the public agency shall provide written
proof of insurance or self- insurance coverage in amounts approved
by the Board which covers the scope and type of services provided
by the ABLE to the public agency. The obligations.of each public
agency pursuant to this section extends, without limitation, to any
injury, death, loss or damage which occurs within that public
agency's jurisdiction and which is sustained by any third party,
any employee or contractor of the .public agency, or the
contractors employees. The terms of this section shall be
contained in any agreement by ABLE with non - member public agencies.
5.06 Member Agencies shall be responsible for the continued
provision of workers' compensation for the officers or agents. of
the Member Agencies that serve as officers or employees of the
ABLE. In this regard, each Member Agency shall defend, indemnify
and hold harmless the ABLE and any other Member Agencies, and their
respective officers, employees, contractors, agents and
representatives with respect to any claim, loss, liability, damage,
lawsuit, cost or expense that arises out of, or is in any way
related, to any industrial /worker compensation'injury sustained by
an employee of the indemnifying Member Agency during the
performance of service by the ABLE or the responding Member
Agencies under this Agreement.
5.07 In the event that joint and several liability is imposed
upon the ABLE and /or among and between the Member Agencies for any
act or omission that occurs while performing services "_for a non-
9
• •
member public agency, the public agency contracting for services
under Section 4.10 shall be responsible to fully satisfy any such
judgment or award and shall fully indemnify the ABLE and the Member
Agencies and their respective officers, employees, contractors,
agents and representatives for any such liability. The terms of
this section shall be contained in any agreement by ABLE with non-
member public agencies.
VI
ADMISSION AND WITHDRAWAL OF PARTIES
6.01 Additional public agencies that contribute personnel and
aircraft equipment may become Member Agencies to the ABLE upon such
terms and conditions as provided by the Board and .upon, the
unanimous consent of the existing Member Agencies as evidenced by
approval of resolutions -therefore and the execution of a written
amendment to this Agreement by all of the Member Agencies,
including the additional Member Agency.
6.02 The withdrawal of any Member Agency, either voluntarily
or involuntarily shall, unless otherwise provided for by the Board,
be conditioned as follows:
(A) Involuntary withdrawal shall mean those
circumstances where a Member Agency must withdraw due to
fiscal or budgetary impacts which discontinue the funding
of flight crews or aircraft.
(B) In the case of a voluntary withdrawal, written
notice shall be given one hundred and twenty (120) days
prior to the end of a fiscal year;
(C) Neither voluntary or involuntary withdrawal
shall relieve the withdrawing Member Agency of its
proportionate share of any debts or other liabilities
incurred by the ABLE prior to the effective date of the
Member Agency's withdrawal, nor any liabilities.imposed
upon or incurred by the Member Agency pursuant to this
Agreement prior to the effective date of the Member
Agency's withdrawal;
(D) Withdrawal shall not result in the forfeiture
Of that Member Agency's rights and claims relating to
revenues received by the ABLE during the time period that
the Member Agency provided services under. ABLE direction;
and
(E) The withdrawing Member Agency shall retain all
rights an& title to its personnel and aircraft equipment
and shall.remove such personnel and aircraft equipment
from the direction of the ABLE.
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VII
TEX'INATION AND DISPOSITION OF ASSETS
7.01 The ABLE shall continue to exercise the powers herein
until the termination of this Agreement and any extension thereof
as provided in this paragraph or until the Member Agencies have
mutually rescinded this Agreement provided, however, that the ABLE
shall continue to exist for the purposes of disposing of all
claims, distribution of assets and all other functions necessary to
conclude the affairs of the ABLE.
7.02 Termination shall occur upon the written consent of all
of the Member Agencies, upon the withdrawal from the ABLE of a
sufficient number of the Member Agencies to leave less than two (2)
Member Agencies remaining in the ABLE and full satisfaction of all
outstanding financial obligations of the ABLE. However, no such
termination shall occur until all other contractual obligations of
the ABLE have been satisfied.
7.03 In the event of the termination of this Agreement, any
funds remaining following the discharge of all obligations shall be
disposed of by returning to each Member Agency that is a member of
ABLE immediately prior to the termination of this Agreement, a
share of such funds proportionate to the contribution made to ABLE
by said Member Agency, to the extent legally possible.
VIII
8.01 Amendments.
This Agreement may be amended with the unanimous approval of
all Member Agencies; provided, however, that no amendment may be
made which would adversely affect the interests of the owners,of
bonds, letters of credit or other financial obligations of the
ABLE.
8.02 Notices.
Any notice or instrument required to be given or delivered by
depositing the same in any United States Post Office, registered or
certified, postage prepaid, addressed to the Member Agencies, shall
be deemed to have been received by the Member Agency to whom the
same is addressed at the expiration of seventy -two (72) hours after
deposit of the same in the United States Post Office for
transmission by registered or certified mail as aforesaid.
8.03 Effective Date.
This Agreement shall be effective at such time as this
Agreement has been executed by any two or more of the Member
Agencies enumerated in the introduction of this Agreement.
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8.04 Conflicts of Interest.
No officer or employee of the ABLE or any Member Agency shall
have any financial. interest, direct or indirect, in the ABLE. Nor
shall any such officer or employee participate in any decision
relating to the ABLE which affects his or financial interests or
those of.a corporation, partnership, or association in which he or
she is directly or indirectly interested, in violation of any State
law.or regulation.
8.05 Arbitration.
(A) Any controversy or claim between any two or more Member
Agencies, or between any such Member Agency or Member Agencies and
ABLE, with respect to the ABLE's operations, or to any claims,
disputes, demands, differences, controversies, or misunderstandings
arising under, out of, or in relation to this Agreement, shall be
submitted to and determined by arbitration. To the extent not
inconsistent herewith, the rules of the American Arbitration
Association shall apply.
(B) The Member Agency desiring to initiate arbitration shall
give, notice of its intention to arbitrate to every other Member
Agency and the ABLE. Such notice shall designate such other Member
Agencies as the initiating Member Agency intends to have bound by
any award made therein.
(C) The decision of the arbitrator shall be binding upon all
Member Agencies involved in the arbitration. Each Member Agency to
the arbitration shall bear its own legal costs including attorneys
fees.
8.06 Partial Invalidity.
If any one or more of the terms, provisions, .sections,
promises, covenants or conditions of this Agreement shall to any
extent be adjudged invalid, unenforceable, void or voidable for any
reason whatsoever by a court of competent jurisdiction, each and
all of the remaining terms, provisions, sections, promises,
covenants and conditions of this Agreement shall not be affected
thereby and shall be valid and enforceable to the fullest extent
permitted by law.
8.07 successors.
This Agreement shall be binding upon and shall inure to the
benefit of the successors of the Member Agencies hereto.
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A Member Agency shall not assign any rights or. obligations
under this Agreement without the written consent of all other
Member Agencies.
8.G9 Execution.
. The legislative bodies of the Member Agencies enumerated
herein have each authorized execution of this Agreement, as
evidenced by the authorized signatures below; respectively.
11 . IN
1
City Council App.-Owed On:
0-u ib� � qq3
ATTEST
CITY OF COSTA MESA
APPROVED AS TO FORM
4- 18 -%3
City C erk of the City o City Attorney
Costa esa
ATTEST
� d� ya;a�
Cit Clerk of City of
Huntington Beach 411,
/13
13
CITY OF HUNTINGTON BEACH
By: N .
Mayor
APPROVED AS TO FORM
�,
City Attorney
Dated_ ��f�s�i % sn /9193
ATTEST: Signed and certified
that a copy of this document
has been delivered to the
Chairman, Board of Supervisors
Phyl t'Henderson'
Cle k, Board of Supervisors
&�'=-3 -g3 -
14
COUNTY OF ORANGE, a Political
Subdivision of the State of
California
Y=
Chairman,
Board of Supervisors
APPROVED AS TO FORM .
Terry C. Andrus, County Counsel
wil MWA
Dated; y 7