Escambia County
Clerk's Original

STATE OF FLORIDA

COUNTY OF ESCAMBIA

INTERLOCAL

AGREEMENT

BETWEEN

ESCAMBIA

COUNTY,

FLORIDA AND ESCAMBIA COUNTY SHERIFF'S OFFICE RELATING

TO
THE
ANNUAL
BUDGET
FOR
IMPLEMENTATION OF HIS PAY PLAN

THE

SHERIFF

AND

THIS AGREEMENT is made and entered into by and between Escambia County Board
of County Commissioners, a political subdivision of the State of Florida, with administrative
offices located at 221 Palafox Place, Pensacola, Florida 32502 (hereinafter referred to as
"Coimty"), and the Escambia Coimty Sheriff's Office, with administrative offices located at 1700
West Leonard Street, Pensacola, Florida 32501 (hereinafter referred to as "Sheriff') (each at times
also being referred to as a "Party" or collectively as "Parties").
WITNESSETH;

WHEREAS, County and Sheriff are authorized by §163.01, Florida Statutes, to enter into
Interlocal Agreements and Aereby cooperatively utilize their governmental powers and available
resources in the most efficient manner possible; and
WHEREAS, Sheriff filed an appeal of his Fiscal Year (FY) 2017-18 budget allocation to
the Administration Commission; and

WHEREAS, it is the parties' intent to enter into this Agreement to put into effect the
Mediation Agreement signed on April 21,2018.
NOW, THEREFORE, in consideration of the mutual covenants contained herein and of
the mutual benefits to flow each unto the other, and for other good and valuable consideration.
County and Sheriff agree as follows:
Section 1. Purpose of Agreement.

1.1
The recitals contained in the Preamble ofthis Agreement are declared to be true and correct
and are incorporated into this Agreement.

1.2
Pursuant to §163.01, Florida Statutes, this Agreement establishes the conditions, extent,
and mechanisms whereby County will fund Sheriffs budget through September 30, 2021, and
County and Sheriff will resolve the appeal of Sheriffs FY 2017-18 budget.
Section 2. Responsibilities of the Parties.

2.1

TheParties agreeto implement the termsof the Mediation Agreement, signed by theParties

on Saturday, April 21,2018 and approved by the Board of County Commissioners onAfJiilL LU,

2018. A copy of the Mediation Agreement is attached as Ej^bit "A" and incorporated by
reference.

 2.2
County covenants and agrees to appropriate in its annual budgets from legally available
revenues sufficient to ftmd the annual budget obligations in this Agreement.
Section 3. Term and Termination.

3.1

The term of this Agreement shall commence upon the Effective Date and remain in effect

through September 30,2021.
3.2
This Agreement may only be terminated for cause by either party upon providing thirty
(30) days' written notice pursuant to Section 8 of this Agreement.
Section 4. Survival.

All other provisions, which by their inherent character, sense, and context are
intended to survive termination of this Agreement, shall survive the termination of this
Agreement.
Section 5. Interpretation.

5.1
For the purpose of this Agreement, the singular includes the plural and the plural shall
include the singular. References to statutes or regulations shall includeall statutory or regulatory
provisions consolidating, amending, or replacing the statute or regulation referred to. Words not
otherwise defined that have well-known technical or industry meanings, are used in accordance
with such recognized meanings.

5.2
References to persons include their respective permitted successors and assigns and, in the
case of governmental persons, persons succeeding to their respective functions and capacities.
This Agreement shall not be more strictly construed against either party hereto by reason of the
fact that one party may have draftedor prepared any or all of the terms and provisions hereof.
Section 6. Severabilitv.

The invalidity or non-enforceability of any portion or provision of this Agreement shall
not affect the validity or enforceability of any other portion or provision. Any invalid or
unenforceable portion or provision shall be deemed severed from thisAgreement and the balance
hereof shall be construed and enforced as if this Agreement did not contain such invalid or
unenforceable portion or provision.
Section 7. Further Documents.

Theparties shall execute and deliver all documents and perform further actions that may
be reasonably necessary to effectuate the provision of this Agreement.

 Section 8. Notices.

All notices required to be given under this Agreement shall be in writing, and shall be sent

by first class United States mail, unless some other form of notice is established by the County
Administrator, to the respective parties as follows;
Notices shall be sent to:

County Administrator
Escambia County

Sheriff
Escambia County Sheriffs Office

221 Palafox Place, Suite 420
Pensacola, Florida 32502

1700 West Leonard Street
Pensacola, Florida 32501

Section 9. Prior Agreements Superseded.

This document incorporates and includes all prior negotiations, correspondence,
conversations, agreements, or understandings applicable to the matters contained herein, and the

parties agreethat there are no commitments, agreements, or understandings concerning the subject
matter of this Agreement, that are not contained in this document. Accordingly, no deviations
from the terms and conditions hereof shall be predicated upon any prior representations or
agreements, whether oral or written.
It is further agreed that no modification, amendment, or alteration in the terms and
conditions contained herein shall be effective unless contained in a written document executed

with the same formality and of equal dignity herewith.
Section 10. Governing Law.

The Agreement shall be interpreted under and its performancegoverned by the laws ofthe
State of Florida. The parties agree Aat any action relating to this Agreement shall be instituted
and prosecuted in the courts of Escambia County, Florida, and therefore, each party to this
Agreement hereby waives the right to any change of venue.
Section 11. No Waiver.

The failure of either partyto enforce at any time or for any periodof time any one or more
of the provisions of the Agreement shall not be construed to be and shall not be a waiver of any
such provision or provisions or of its right thereafter to enforce each and every such provision.
Section 12. Effective Date.

This Agreement, after being properly executed by all parties named herein, shall become

effective upon itsfiling with the Clerk oftheCircuit Court ofEscambia County, Florida. Escambia
County shall be responsible for filing this document upon receipt of the executed Agreement from
the Sheriff.

 IN WITNESS WHEREOF, the Parties hereto have made and executed this Agreement on
the respective dales under each signature: Escambia County, Florida through its Board of County
Commissioners, signing by and through its duly authorized Chairman and the Escambia County
Sheriffs Office, signing by and through its duly authorized Sheriff.
BOARD OF COUNTY COMMISSIONERS

OF ESCAMBU Ce)UNTYc3='L0R?DA
ATTEST:

PAM CHILDERS

Clerk of theCircuit Court

i^r 6sh/ci{^irman

Date Executed

APPROVED AS TO FORM:

Charles V. Peppier
Deputy Coimty Attorney

Signature certified as below':

ESCAMBIA COUNTY

SHERIFF'S OFFICE

Chief Deputy Eric Haines

By:
David Morgan, Sheriff
Date:

G^ld E. Champagne

h. s//g

APPROVED AS TO FORM:

General Counsel for

David Morgan, Sheriff

CERTIFIED TO BE ATRUE COPY (^F WE
ORIGINAL ON FILE IN THIS Off

WITNESS MY HAND AND OFFICIAL SWU

^ ^
Gerald E. Champagne
General Counsel for

David Morgan. Sheriff

PAM CHILDERS

CLERK OF THE CIRCUIT COURT &COMPTROLLER
I ^CAMBIA COUNTC^LORIDA
DATE

iL

BCC

D^3.(-<S.olk^

' Pursuant to Section 92.18, Fla.Stat., both Chief Deputy Haines and General County Champagne hereby certify that
Sheriff David Morgan authorized and approved the use of his signature stamp to this Agreement as evidence of his
full assent to the terms of this Agreement. This stamp shall be prima facie evidence of an official act as described
in the foregoing statute.

 '

. ¥

Mediation Settlement Agreement
Mediation; April 21. 2018

In consideration of the promises, covenants and conditions agreed upon by the
Parties at the mediation conference held on April 21, 2018, Escambia County Board of
County Commissioners (the "County"), and Sheriff David Morgan ("Sheriff), by and

through his undersigned representatives, the Parties agree to the Following:
1.

Formal Approval of Agreement All the terms of this Agreement are

conditioned upon and subject to "Formal Approval" (as hereinafter defined) by the

County and Sheriff. Formal Approval is defined to be approval of all of the terms
contained in this Agreement by the County after formal meeting, vote and approval by
the Escambia County Board of County Commissioners and the Sheriff signing the
Interlocal Agreement. By signing this Agreement, the Chairman, County Administrator
and Chief Deputy make no representation or warranty as to the likelihood of an
Interlocal Agreement being reached, and only agree to present this Agreement to the
Escambia Board of County Commissioners and Sheriff for Formal Approval.
2.

County's Obligations.

County shall agree to do the following in

furtherance of a four year pay plan requested by Sheriff:

a.

In the first year, payment of One Million Dollars ($1,000,000) for Fiscal

Year 2018 to be paid according to the standard formula commencing in May for a five-

month period of time consisting of five equal installments. This payment shall
completely resolve the Sheriff's budget request for the Rscal Year 2018.

b.

Beginning October 1,2018 and ending September 30,2021 fora period of

three years, Sheriff shall be paid a sum of Two Million Rve Hundred Thousand Dollars

($2,500,000) for Rscal Year 2019; the sum of Two Million Six Hundred Thousand

bSSIbit
"A"

 Dollars ($2,600,000) for Fiscal Year 2020 and a sum of Two Million Nine Hundred

Thousand Dollars ($2,900,000) for Fiscal Year 2021 of this period inclusive of all

personnel services and costs for each Fiscal Year of the four-year pay plan. Each
annual payment described above shall be in addition to Sheriffs personnel services
budget adopted by County for the immediate preceding Fiscal Year of the four-year pay
plan. For the purpose of this Agreement, the term "adopted" budget for FY 2018 will

include the additional $1,000,000 above which shall be added to the original adopted
Sheriffs FY 2018 personnel budget.

3.

Sheriff's Obligations. In consideration of the implementation of the four-

year plan described in paragraph 2 above, Sheriff agrees that he will not request,
demand or appeal to the Administration Commission any further budget allocations for
personnel services or costs either during or for each Fiscal Year described in paragraph
2 above. Such personnel services or costs are defined according to § 30.49(2)(c)1, Fla.
Stat. and the Uniform Accounting System prescribed by the Department of Rnancial
Services and shall include any and all contingencies such as increases in employer

contributions required by Florida Retirement System, increases In employer provided

group health, dental, vision care plans and life insurance for Sheriff employees and
increases in Workers' Compensation insurance policies or self-insurance funds
purchased or sponsored by Sheriff. While the Sheriff does not anticipate the need to

add additional personnel at this time, nothing herein shall preclude Sheriff from
requesting budget allocations In addition to the amounts in paragraph 2 for additional

personnel positions starting Fiscal Year 2020 and Fiscal Year 2021, when. In the
judgment of the Sheriff, unforeseen or extraordinary circumstances require the hiring of

 additional personnel.

4.

Sheriff's Mediated Reserve. In order to effectuate the implementation of

the pay plan as described in paragraphs 2 and 3 above, the Parties have agreed to the
creation of a fund to be named Sheriffs Mediated Reserve (SMR), which shall be
funded by the Parties as described below with the following restrictions and uses:
FY18

FY19

FY20

FY21

$750,000

$750,000

$500,000

$1,000,000

$1,000,000

Board's Additional
Reserve

$0

Total

Total SMR Reserve

a.

$2,500,000

The SMR shall be funded as follows:

By October 31, 2018 the Sheriff will return to the Board of County
Commissioners a minimum of $500,000 from the FY2018 budget

aliocation.

By October 31, 2019 the Sheriff will return to the Board of

County Commissioners a minimum of $250,000 from their FY 2019 budget
allocation.

By October 31, 2020, the Sheriff will return to the Board of

County Commissioners a minimum of $250,000 from their FY 2020 budget
allocations. These residual equity transfers shall be used to fund the SMR
and shall only be utilized as described as follows.

ECSO will not use or request any portion of SMR until FY 2020 at the
earliest.

 c.

iffunds from the SMR become necessary for any allowable reason, the

ECSO portion of this fund shall be utilized first and the BCC portion shall
only be utilized when the ECSO portion of the fund has been exhausted.

d.

The SMR shall only be utilized for the following purposes:
i. to offset the difference in required FRS rate increases in FY 2020

and/or FY 2021.

The required FRS rate shall be the net change

realized when the combined sworn and non-sworn rate exceeds the

baseline aggregate as established by the rates effective July 1, 2018.
ii.

healthcare costs if and only If the BCC budgets more than $10,000 per
employee for life, health, and dental in FY19, FY20, and/or FY21. The
amount ECSO may utilize for life, health, dental and vision from the

SMR shall be limited to the amount per employee which exceeds the
$10,000 budgeted allocation.
iii.

an amount that equals 50% of the net increase in the Workers'
Compensation Insurance rate in FY20 and/or FY21. The Workers'

compensation rate shall be the net change realized when the
combined sworn and non-sworn Workers' Compensation Rate

exceeds the baseline aggregate rate as established with the actual
FY19 Workers' Compensation Rate. BCC exposure to Workers'
Compensation Rate increases under this agreement shall be limited to
no more than $200,000 total annually for FY20 and/or FY21.
f.

BCC shall reserve $750,000 yearly in FY20 and FY21 respectively for a

maximum total of $1,500,000 to be used only as described above and only after

 the ECSO's portion of the SMR is exhausted. Any funds remaining in SMR shall

revert to BCC at the end of FY 2021 or an earlier date ifagreed upon by Sheriff.
5.

Interlocal Agreement.

No later than 15 calendar days from notice of

Formal Approval, the Parties shall execute and exchange an Interlocal Agreement (lA)

as the formal instrument for the implementation of the four-year pay plan described
herein. A proposed Interlocal Agreement is attached for consideration by the Parties
should Formal Approval of this Agreement occur as described in paragraph 1 above.

The lA shall also be subject to approval by the Board of County Commissioners and
Sheriff. The lA will not vary or modify the terms of the settlement as reflected in this

Agreement. Once the lA is approved and executed by both Parties, the Shenff shall

request the Administration Commission to withdraw the appeal pending under Case No.
SBA-17-003.

The Parties agree to abide by any requirements imposed by the

Administration Commission as to form of the withdrawal. Nothing agreed herein shall

waive or release the rights of County to pursue enforcement of the settlement reflected

in the mediation agreement of March 9, 2018 until such time as both Formal Approval
has been made by the Board of County Commissioners and the lA has been approved
and executed by both Parties.
6.

Due Dates Falling on Weekends or Holidavs. In the event that the date

of any act required to be performed by this Agreement (inciuding, but not limited to, the

payment of any money) falls on a weekend or a federal holiday, then the same shall not
be required to be performed until the next business day thereafter.
7.

Entire Agreement. This Agreement sets forth the entire understanding of

the Parties and no verbal or written warranties or representations have been made or

 have been relied upon which do not appear in writing within this Agreement. Any
reliance on verbal or other representations which do not appear within this Agreement
shall be deemed unjustifiable reliance. Each Party hereto is represented by that Party's
own counsel (or has had the opportunity to confer with counsel of their own choosing)

and has had the benefit of (or the opportunity to have the benefit of) such counsel's

advice in reviewing, commenting upon, and modifying this Agreement.

The BCC

hereby withdraws its request that 50% of LEFT funds be used for school resource
officers. The ECSO hereby withdraws its request that the BCC utilize outside agency
funds and commissioner discretionary funds to contribute to the pay plan.

8.

Modification. None of the terms in this Agreement may be amended or

modified except by written instrument signed by all of the Parties hereto, and the Parties
agree that this provision may not be waived except in writing.
9.

Coooeration. The Parties hereto agree to cooperate fully in the execution

of any documents or performance in any way which may be reasonably necessary to

carry out the purposes of this Agreement and to effectuate the Intent of the Parties
hereto.

10.

Headings.

The headings used in this Agreement are for convenience

and reference only and in no way, define, describe, extend, or limit the scope or intent
of this Agreement or the intent of any provision in it.

11.

Severabilitv.

If any provision of this Agreement shall be held by a court

of competent jurisdiction to be illegal, invalid or unenforceable for any reason, whether
on its face or as applied, the remaining provisions shall remain in full force and effect

unless the provision(s) rendered illegal. Invalid, or unenforceable result in the failure of

 the essential purpose of the Agreement.

12.

Benefit and Binding Effect.

This Agreement shall inure to the benefit

of and be binding upon the Parties, their heirs, successors and assigns. The individuals
signing below on behalf of Sheriff represent and warrant that they have the full authority
to bind Sheriff to all of the provisions hereof. Signatures by facsimile transmission or
other electronic transmission of this Agreement shall be acceptable and binding upon

the Parties. A copy hereof shall be as binding as the executed original.
13.

Governing Law.

This Agreement shall be governed by the laws of the

State of Florida, without regard to its principies of conflicts of law.
14.

Attorneys' Fees and Costs.

All Parties shall bear their own attorneys

fees and costs incurred in connection with this matter.

[REMAINDER OF THIS PAGE iNTENTiONALLY LEFT BLANK]

 15.

ConfidentiaUtv.

Until there Is Formal Approval, the amount and the

terms of the settlement described in this Agreement shall not be disclosed or discussed

with anyone who is not a Party or a Party representative without the prior written
consent of the other Party.

IN WITNESS WHEREOF, the Parties have executed this Agreement as indicated
below.

ESCAMBIA COyj^^ppAf^O

)UNTY COMMISSIONERS, BY AND THROUGH

ITS COUNTY.

Print Nam

eraosh
of County Commissioners

Title: Ch

Date:

Print Name: Jack Brown
Title: CountvJ\dminlstrator

By: f

^^rles V. PepplerTDebJ^d;^County Attorney

Date:

^

^

Counsel for the County
SHERIFF DAVID MORGAN

By:

Date:

Print Name: Eric Raines

Title: Chief Deputy Sheriff

By:_^

—

Date:

Gerald Champagne. Esq

Counsel for David Morgan, Sheriff

8

j