Res 1325 - Agrmt Wbn Ambulance
COUNCIL BILL NO. 1671
RESOLUTION NO. 1325
A RESOLUTION AUTHORIZING THE MAYOR TO SIGN A MEMORANDUM OF
AGREEMENT WITH WOODBURN AMBULANCE SERVICE, INC.
WHEREAS, City has previously granted to Woodburn Ambulance a franchise,
pursuant to Ordinance 2015, to operate an ambulance service within the corporate
boundaries of the city, and
WHEREAS, said franchise, as originally granted, required Woodburn Ambulance
to pay a franchise fee to City based upon a percentage of the gross receipts collected
by Woodburn Ambulance for patients transported within the corporate limits of the
city, and
WHEREAS, Woodburn Ambulance objected to the percentage method of
calculating said franchise fee as formulated in the franchise ordinance on the basis
that payment of such fee may violate the terms and provisions of the Federal Anti-
Kickback Statute as found in 42 U.S.C. 1320a -7(b)(b)(1). As a result thereof,
Woodburn Ambulance terminated the payment of the percentage franchise fee on or
about October 1, 1994, and
WHEREAS, Woodburn Ambulance subsequently negotiated with City a
successorlrenewal franchise which includes a flat administrative fee payable to the
City as compensation for the City's ongoing cost of monitoring franchise activities,
processing rate changes, investigating citizen's complaints or inquiries and other
actual overhead costs incurred by the City in allowing the use by Woodburn
Ambulance of city streets and facilities, NOW, THEREFORE
THE CITY OF WOODBURN RESOLVES AS FOLLOWS:
Section 1. That the Mayor is authorized to sign, on behalf of the City, a
memorandum of Agreement with Woodburn Ambulance, Inc.
Section 2. That a copy of said Memorandum of Agreement is attached to this
resolution and by this reference is incorporated herein.
Approved as to form:
City Attorney
Date
APPROVED:
~~& ~/
Nancy A. Kir sey, Mayor .
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COUNCIL BILL NO. 1671
RESOLUTION NO. 1325
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Passed by the Council
Submitted to the Mayor
Approved by the Mayor
Filed in the Office of the Recorder
ATTEST:
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(l/~ --P~4-
Mary ennant, City Recorder
City of Woodburn, Oregon
COUNCIL BILL NO. 1671
RESOLUTION NO. 1325
T
September 25. 1995
September 26, 1995
September 26, 1995
September 26. 1995
MEMORANDUM OF AGREEMENT
DATED:
September
...;tCo
, 1995
PARTIES: CITY OF WOODBURN, a municipal corporation "City"
270 Montgomery Street
Woodburn, Oregon 97071
and
WOODBURN AMBULANCE SERVICE, INC., an Oregon corporation
"Woodburn Ambulance:
1040 N. Boones Ferry Road
Woodburn, Oregon 97071
RECITALS:
A. City has previously granted to Woodburn Ambulance a franchise,
pursuant to Ordinance 2015, to operate an ambulance service within
the corporate boundaries of the city.
B. Said franchise, as originally granted, required Woodburn
Ambulance to pay a franchise fee to City based upon a percentage of
the gross receipts collected by Woodburn Ambulance for patients
transported within the corporate limits of City.
C. Woodburn Ambulance obj ected to the percentage method of
calculating said franchise fee as formulated in the franchise
ordinance on the basis that payment of such fee may violate the
terms and provisions of the Federal Anti-Kickback Statute as found
in 42 U.S.C. 1320a - 7(b)(b)(1). As a result thereof, Woodburn
Ambulance terminated the payment of the percentage franchise fee on
or about October 1, 1994.
D. Woodburn Ambulance subsequently negotiated with City a
successor/renewal franchise which includes a flat administrative
fee payable to the City as compensation for the City's ongoing cost
of monitoring franchise activities, processing rate changes,
investigating citizen's complaints or inquiries and other actual
overhead costs incurred by the City in allowing the use by Woodburn
Ambulance of city streets and facilities.
NOW, THEREFORE, in consideration of the mutual covenants and
conditions contained herein, the parties do hereby stipulate and
agree as follows:
1. Woodburn Ambulance shall pay to City upon execution and
approval of this agreement, the sum of $8,000 as an
administrative fee in lieu of percentage franchise fee claimed
by the City under the prior franchise agreement for the period
October 1, 1994 through September 30, 1995.
Page 1 - MEMORANDUM OF AGREEMENT
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2. city accepts said administrative fee in full and final
settlement of any claim for unpaid franchise fees for the
period October 1, 1994 through September 30, 1995, and
stipulates and agrees that said fee represents reimbursement
to City for costs and overhead incurred by City in monitoring
the activities of Woodburn Ambulance, processing rate changes
for Woodburn Ambulance and investigating citizen complaints
and inquiries and other reasonable overhead and expenses
relating thereto. In the event of federal audit of Woodburn
Ambulance books and records relating to the issues addressed
in this agreement , City will, upon request of Woodburn
Ambulance, provide to any federal auditor reasonable
documentation and justification of the assertions and
assurances set forth in this agreement.
This agreement is executed by the undersigned upon approval of
the Woodburn City Council at a regular meeting held on September
~ , 1995, with quorum present, and upon approval of the
Board of Directors of Woodburn Ambulance Service, Inc. at a special
meeting duly called and noticed on September d0 , 1995.
CITY OF WOODBURN
BY:~~ /l ~~
NANCY A. KIRKSEY, MAY,
!
WOODBURN AMBULANCE
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By: (,- a.'
a/l.~^--
PRESIDENT
Page 2 - MEMORANDUM OF AGREEMENT
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