Item Coversheet
City of Independence
AGENDA ITEM COVER SHEET
BILL NO. 21-708Failed

Agenda Title:

21-708 - A resolution authorizing the purchase of the Jackson County Animal Shelter by the City of Independence.
Recommendations:

Staff recommends approval
Executive Summary:

Approval of this Resolution will signal the City Council's intention to purchase the Jackson County Animal Shelter, and direct the City Manager to bring forward for Council approval a contract with Jackson County and a plan of finance for the purchase.  
Background:

In 2012, Jackson County constructed the Animal Shelter in cooperation with the City, with the City retaining ownership of the land under the building and Jackson County owning the structure.  Pursuant to an agreement signed in 2019, the City operates the Shelter and provides sheltering services to the County at no cost in exchange for free rent.  The City pays utilities and other costs of operation, while the County pays debt service and is responsible for facility maintenance.  While this was a laudable effort of intergovernmental cooperation, it has often proven to be unworkable in actual practice.  The City is responsible for a facility it isn't authorized to maintain, is not building any equity interest in the structure, and has no guarantee that it will be available in the long-term.  It appears it would be in the best interests of both parties for the City to assume ownership, and provide services to the County on a fee-for-services basis.  As set forth in the Resolution, the City can thus assume, with little financial risk, ownership of a better facility than it can build for a comparable cost, situated in an advantageous location.  


Fiscal Impact:

It's anticipated that the net annual cost to the Animal Services Department will be between $25,000 and $65,000 depending on the number of animals housed for Jackson County. This does not reflect potential growth in business revenue which might be developed. It's anticipated that the Shelter debt will be paid off on a 20 year schedule. The sources of funding will be the Animal Services portion of the the Use Tax Fund and Health/Recreation Fund. One-time cost to address deferred maintenance issues is expected to be $25,000 - $78,000.  This expense will come out of the accumulated fund balances of the Animal Services portion of the Use Tax Fund and Health/Recreation Fund. 

Department:          City ManagerContact Person:          Mark Randall


REVIEWERS:
DepartmentAction
City Managers OfficeApproved
City Clerk DepartmentApproved
Finance DepartmentApproved
City Managers OfficeApproved
City Clerk DepartmentApproved

Council Action:          Council Action:         

ATTACHMENTS:
DescriptionType
ResolutionResolution