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MDD votes to draft interlocal/professional-services agreement; city attorney clarifies representation limits
Summary
The Josephine MDD approved drafting an interlocal/professional-services agreement to define roles between the city and the district and agreed a separate engagement will be required if the city attorney is to represent the MDD directly.
The Josephine Municipal Development District voted to draft a comprehensive interlocal (or professional-services) agreement to set guardrails between city functions and MDD responsibilities, and discussed legal representation and reimbursement for city staff time.
Board members expressed concern about potential overlap between city services and MDD activities — particularly whether routine city-staff responsibilities or meeting attendance can be charged to MDD funds. Board members moved (and the motion passed 3–1) to draft an interlocal agreement and present it to City Council, with a volunteer offering to prepare the initial draft for review.
City attorney Sarah Ross explained she currently represents the city and not the MDD; to represent the MDD would require a separate engagement letter. Ross and staff also noted that any reimbursement of city staff time would need specific agreement language, precise timekeeping and project linkages to satisfy state-law constraints. The board discussed alternatives: a professional-services/reimbursement agreement or a broader interlocal detailing services, findings and reimbursement mechanics.
Next steps: The volunteer drafter will prepare a proposed agreement for board review; staff will provide templates or references and the MDD will present the draft to city council for consideration. The board acknowledged the city can accept or reject any interlocal agreement and that outside counsel may be needed once funds are available.
