2026A003- IGA-FOUNTAIN HILLS SPAP FY26 SPAP 699.26.30.DOC

Maricopa County — Formal (2026-04-22)

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IGA FCD 2026A003
PCN 699.26.30
PAGE 1 OF 14
Intergovernmental Agreement
for the
Design, Rights-of-Way Acquisition, Utility Relocations, Construction, 
Construction Management and Operation and Maintenance
of the
Love Court Storm Water Pipe Improvement Project               
between the
Town of Fountain Hills
and the
Flood Control District of Maricopa County
IGA FCD 2026A003
Agenda Item _____________________
This Intergovernmental Agreement (this “Agreement”) is entered into by and 
between the Flood Control District of Maricopa County, a political subdivision of the 
State of Arizona, acting by and through its Board of Directors (the “DISTRICT”), and 
the Town of Fountain Hills, a municipal corporation, acting by and through its Mayor 
and TOWN Council, (the “TOWN”).  The TOWN and the District are collectively 
referred to as the PROJECT PARTNERS and as a PROJECT PARTNER.
This Agreement shall become effective as of the date it has been executed by all 
PROJECT PARTNERS. 
STATUTORY AUTHORIZATION
1.
The DISTRICT is empowered by Arizona Revised Statutes (A.R.S.) § 48-3603, as 
revised, to enter into this Agreement and has authorized the undersigned to 
execute this Agreement on behalf of the DISTRICT.

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2.
The TOWN is empowered by A.R.S. § 9-240(B) and A.R.S. §11-952, as amended, to 
enter into this Agreement and has authorized the undersigned to execute this 
Agreement on behalf of the TOWN.
BACKGROUND
3.
On October 19, 2022 the Board of Directors of the DISTRICT (the Board) adopted 
Resolution FCD 2022R003 (C-69-23-013-X-00) authorizing the DISTRICT to cost-
share in projects recommended under the DISTRICT’s Small Project Assistance 
Program.
4.
Under the DISTRICT’s Small Project Assistance Program for Fiscal Year 2026, 
the TOWN proposed the Love Court Storm Water Pipe Improvement Project (the 
“PROJECT”) to provide the following benefits:
4.1
Reduce the flood hazard to properties that have experienced historic 
flooding.
5.
The PROJECT has been recommended by DISTRICT staff for the Fiscal Year 
2026 program.
PURPOSE OF THE AGREEMENT
6.
The purpose of this Agreement is to identify and define the responsibilities of the 
DISTRICT and the TOWN for the design, rights-of-way acquisition, utility 
relocations, construction, construction management, and operation and 
maintenance of the PROJECT.
TERMS OF AGREEMENT
7.
The PROJECT shall mean the features required to accomplish the benefits 
enumerated in paragraph 4 of this Agreement. Features of the PROJECT, as 
envisioned at the time of this Agreement, are represented in Exhibit A but are 
subject to change without amendment to this Agreement.

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8.
PROJECT DESIGN AND CONSTRUCTION COST shall mean the actual amount of 
money required to complete the flood control features of the PROJECT that are 
completed and invoiced by the TOWN to the DISTRICT between July 1, 2025 and 
June 30, 2027. 
8.1
The following costs are expressly excluded from the PROJECT DESIGN AND 
CONSTRUCTION COST shared under this Agreement:
8.1.1
Costs 
associated 
with 
rights-of-way 
acquisition, 
permitting, 
construction management (including materials testing and survey 
work), operations and maintenance.
8.1.2
Costs associated with multi-use, landscaping or aesthetic features.
8.1.3
Costs associated with utility conflicts and utility relocations.
8.2
The PROJECT DESIGN AND CONSTRUCTION COST is estimated to be 
$145,000, but is subject to change without amendment to this Agreement.
9.
The DISTRICT shall:
9.1
Fund seventy-five percent (75%) of the PROJECT DESIGN AND 
CONSTRUCTION COST incurred and invoiced between July 1, 2025 and 
June 30, 2027, with the funding from the DISTRICT limited to a maximum of 
$1,000,000 in accordance with the DISTRICT’s Small Project Assistance 
Program. The DISTRICT’s current estimated funding share is $108,750.  
DISTRICT funds will be from the DISTRICT’s secondary tax levy revenues 
and DISTRICT funding shall be contingent upon the availability of DISTRICT 
Capital Improvement Program Budget funding. This term shall not be 
amended.
9.2
Reimburse the TOWN per the terms of this Agreement within thirty (30) 
days of receipt of an approvable invoice from the TOWN for its share of the 
PROJECT DESIGN AND CONSTRUCTION COST.  
9.3
Participate in a final inspection of the completed PROJECT with the TOWN.

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10. The TOWN shall:
10.1 Fund the full PROJECT DESIGN AND CONSTRUCTION COSTS not 
reimbursed by the DISTRICT, making the TOWN’s estimated PROJECT 
DESIGN AND CONSTRUCTION COST share $36,250 and TOWN will fully 
fund all PROJECT costs for any work completed and invoiced before July 1, 
2025 or after June 30, 2027. 
10.2 Fully and solely pay any payment required that does not fall within the 
definition of PROJECT DESIGN OR CONSTRUCTION COST.
10.3 Serve as the lead agency for all aspects of PROJECT implementation.
10.4 Invoice the DISTRICT as follows:
10.4.1 Within thirty (30) days of award of a PROJECT construction contract 
for one-half (1/2) of its share of the PROJECT DESIGN AND 
CONSTRUCTION COSTS.
10.4.2 Within thirty (30) days of completion of construction of the PROJECT, 
but no later than June 30, 2027, prepare a final accounting including 
change order costs not previously paid, and invoice the DISTRICT for 
the remainder of its share of the PROJECT DESIGN AND 
CONSTRUCTION COST incurred, if any, to date.
10.5 Reimburse the DISTRICT for any previous over-payments.
10.6 Design the PROJECT, provide PROJECT plans and specifications to the 
DISTRICT (including interim submittals as appropriate) for review and 
comment.  The DISTRICT shall provide, within three (3) weeks of receipt of 
the plans and specifications from the TOWN, comments on the plans and 
specifications, if any.  The TOWN shall incorporate the comments provided 
by the DISTRICT into the PROJECT as appropriate.
10.7 Coordinate and staff any necessary public involvement activities related to 
the PROJECT.
10.8 Obtain all permits required for the PROJECT.

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10.9 Obtain rights-of-way required for the PROJECT.
10.10
Relocate conflicting utilities.
10.11
Construct the PROJECT, provide construction management (including 
materials testing and survey work), and provide any proposed construction 
change orders to the DISTRICT for concurrence.
10.12
Coordinate a final inspection of the completed PROJECT with the 
DISTRICT.
10.13
Own the completed PROJECT and be responsible for operation and 
maintenance of the completed PROJECT. The maintenance activities to be 
performed include, but are not limited to, maintaining the flood control 
function of the PROJECT, including sediment and vegetation removal and 
any and all aesthetic, park, and public use features, maintenance of 
landscaping, irrigation, multi-use trails and berms, removal of trash and 
debris, electricity and other operation costs for the facilities, vandalism 
repair and replacement, and structural repair and replacement of the flood 
control structures. The TOWN may delegate this responsibility to a third 
party but will remain ultimately accountable to the DISTRICT under this 
Agreement.  
10.14
On an annual basis, commencing on the first anniversary date of the 
completion and acceptance of the project, provide written notification to the 
DISTRICT that the project has been properly maintained by the Town of 
Carefree over the past year in accordance with the project design intent and 
to ensure proper hydraulic function.
10.15
Require that any contractor selected for the PROJECT:
10.15.1 Warrant its compliance with all federal immigration laws and 
regulations that  relate to its  employees and their compliance with 
A.R.S. § 23-214(A).
10.15.2   Warrant and certify that it does not currently, and agrees for the 
duration of the    contract that it will not, use:

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The forced labor of ethnic Uyghurs in the People's Republic of China.
Any goods or services produced by the forced labor of ethnic 
Uyghurs in the People's Republic of China
Any contractors, subcontractors or suppliers that use the forced 
labor or any goods or services produced by the forced labor of ethnic 
Uyghurs in the People's Republic of China.
If the TOWN becomes aware during the term of the Agreement that 
any Contractor is not in compliance with this paragraph, the TOWN 
shall notify the DISTRICT within five business days after becoming 
aware of the noncompliance. Failure of TOWN to provide a written 
certification that the appropriate contractor has remedied the 
noncompliance within one hundred eighty (180) days after notifying 
the public entity of its noncompliance, this Agreement shall 
terminate unless the Term of this Agreement shall end prior to said 
one hundred eighty (180) day period. Warrant its compliance with all 
federal immigration laws and regulations that relate to its employees 
and their compliance with A.R.S. § 23-214(A);
10.15.3
Agree that a breach of the warranty under paragraph 10.15.1 
shall be deemed a material breach of contract and is subject to 
penalties up to and including termination of the contract;
10.15.4
Agree that the DISTRICT retains the legal right to inspect the 
papers of the contractor or subcontractor employee(s) who work(s) 
on this Agreement to ensure that contractor or subcontractor is 
complying with the warranty under paragraph 10.15.1;
11. Any local permits required for the PROJECT that are issued by either PROJECT 
PARTNER shall be issued at no cost to the PROJECT.
12. Either PROJECT PARTNER may, with mutual written agreement of all PROJECT 
PARTNERS, delegate responsibilities to another party.  Any delegation, however, 
shall not relieve the delegating PROJECT PARTNER of its original responsibilities 
as defined herein.

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13. Each PROJECT PARTNER certifies that it has disclosed to the other PROJECT 
PARTNER any known ongoing or anticipated litigation (to which it is a party) 
related to the PROJECT or PROJECT-affiliated flooding hazards, and shall 
continue to make such disclosures through the duration of this Agreement.
14. In the case of any dispute over any items in this Agreement, the PROJECT 
PARTNERS agree to use their best efforts and enter into good faith negotiations 
to resolve the disputed matters.  However, this shall not limit the rights of the 
PROJECT PARTNERS to seek any remedies provided by law.
15. Each PROJECT PARTNER shall take reasonable and necessary actions within its 
authority to ensure that only storm water is discharged into the PROJECT, and 
that such discharges into the PROJECT comply at the point of discharge with any 
applicable requirements of the U.S. Environmental Protection Agency, Clean 
Water Act, Arizona Pollutant Discharge Elimination System or any other 
applicable discharge requirements, including any permit requirements.
16. The PROJECT PARTNERS agree to equally share the cost of a PROJECT 
compliance and cost audit to be initiated within sixty (60) days of PROJECT 
completion, if requested by either PROJECT PARTNER.  An independent auditing 
firm on contract to the DISTRICT and agreeable to the PROJECT PARTNERS will 
perform the audit.  Any payments or reimbursements necessary to bring the 
PROJECT into compliance with the audit findings shall be made within 45 days of 
acceptance by all PROJECT PARTNERS of the audit report.
17. Each PROJECT PARTNER (indemnitor) shall, to the extent permissible by law, 
indemnify, defend and save harmless the others (indemnitees) including agents, 
officers, directors, governors and employees thereof, from and against any loss or 
expense incurred as a result of any claim or suit of any nature whatsoever, which 
arises out of indemnitor’s negligent or wrongful acts or omissions pursuant to 
this Agreement.  The TOWN shall further, to the extent permissible by law, 
indemnify, defend and save harmless the DISTRICT including agents, officers, 
directors, governors and employees thereof, from and against any loss or 
expense incurred as a result of any claim or suit of any nature whatsoever, which 
arises out of recreational use of the PROJECT in the event that it elects to invite 
such use (with or without DISTRICT concurrence). Such indemnification

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obligations shall encompass any personal injury, death or property damages 
resulting from the indemnitor’s negligent or wrongful acts or omissions, as well 
as reasonable attorney fees, court costs, and other expenses relating to the 
defense against claims or litigation, incurred by the indemnitee.  Indemnitee shall 
be liable for its own negligence or wrongful acts as provided by law.
18. Each PROJECT PARTNER
18.1 Shall comply with A.R.S. §§ 41-4401 and 23-214(A). Failure by either 
PROJECT PARTNER to comply with A.R.S. §§ 41-4401 and 23-214(A) shall 
be deemed a breach of this Agreement and is subject to penalties up to and 
including termination of the Agreement.
18.2 Retains the legal right to inspect the records of the other PROJECT 
PARTNER’s and any contractors’ or subcontractors’ employees performing 
work under this Agreement to verify compliance with A.R.S. §§ 41-4401 and 
23-214(A).
19. All notices or demands upon any PROJECT PARTNER shall be in writing and shall 
be delivered in person, by express delivery service for which a receipt is obtained 
or sent by mail addressed as follows:
Flood Control District of Maricopa CountyTown of Fountain Hills
Chief Engineer and General Manager 
Town Manager
2801 West Durango Street
16705 E. Ave. of the Fountains
Phoenix, Arizona 85009-6399
Fountain Hills, AZ  85268
20. This Agreement shall expire either (a) June 30, 2027, or (b) upon both completion 
of the PROJECT and satisfaction of all funding obligations and reimbursements 
associated with this Agreement, whichever is the first to occur.  However, by 
mutual written agreement of all PROJECT PARTNERS, this Agreement may be 
amended or terminated except as expressly stated in this Agreement. The

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operation and maintenance and indemnification provisions of this Agreement 
shall survive the expiration of this Agreement.
21. This Agreement is subject to the provisions of A.R.S. § 38-511.
22. Attached to this Agreement or contained herein are the written determinations by 
the appropriate attorneys for the PROJECT PARTNERS, that these agencies are 
authorized under the laws of the State of Arizona to enter into this Agreement 
and that it is in proper form.
23. If legislation is enacted after the effective date of this Agreement that changes 
the relationship or structure of one or more PROJECT PARTNERS, the PROJECT 
PARTNERS agree that this Agreement shall be renegotiated at the written 
request of either PROJECT PARTNER.

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FLOOD CONTROL DISTRICT OF MARICOPA COUNTY
A Political Subdivision of the State of Arizona
Recommended by:
Chief Engineer and General Manager
Date
Approved and Accepted:
By:
Chair, Board of Directors
Date
Attest:
By:
Clerk of the Board
Date
The foregoing Intergovernmental Agreement FCD 2026A003 has been reviewed 
pursuant to A.R.S. Section 11-952, as amended, by the undersigned General Counsel,

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who has determined that it is in proper form and within the powers and authority 
granted to the Flood Control District of Maricopa County under the laws of the State 
of Arizona.
General Counsel
Date

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TOWN OF FOUNTAIN HILLS
A Municipal Corporation
Approved and Accepted By:
Town Manager             
 Date
Attest:
By:
Town Clerk 
    Date
The foregoing Intergovernmental Agreement FCD 2026A003 has been reviewed 
pursuant to A.R.S. Section 11-952, as amended, by the undersigned attorney who 
has determined that it is in proper form and within the power and authority granted 
to the Town of Fountain Hills under the laws of the State of Arizona.
 
Town Attorney
Date

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Exhibit A: Love Court Storm Water Pipe Improvement

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