6. Joint Fire Department Discussion

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Subdivision 3. Termination shall not act to discharge any liability incurred by the District or the Parties during the term of this Agreement. Such liability shall continue until discharged by law,this Agreement or any other agreement. Subdivision 4. If the Parties do not agree on the fair market value of a non-liquid asset,the District may submit the item to a professional appraiser,whose written opinion of the fair market value shall be conclusive. Subdivision 5. Withdrawal of a Party. A Party may withdraw from this Agreement by providing at least twelve(12)months prior written notice of its intent to withdraw to the other Parties. Withdrawal shall not act to discharge any liability incurred by the Party prior to withdrawal. Such liability shall continue until discharged/by law or agreement of the remaining Parties. If a Party withdraws from the District,and the remaining Parties decide to continue the operations of the District under the terms of this Agreement,including any amendment(s)thereto to change the allocation formula,the withdrawing Party shall be entitled to distribution under this and the remaining Parties shall pay the withdrawing Party for its interest in the District's assets and funds in proportion to the percentage of annual contribution of funds by the Party to the District at the time of withdrawal. If the Parties do not agree on the fair market valueof a non-liquid asset, the District may submit the item to a_professional appraiser, whose written opinion of the fair market value shall be conclusive. The distribution to the withdrawing Party shall be reduced by the amount of unfunded liabilities or unpaid expenses as of the end of said fiscal year,unless the withdrawing Party assumes responsibility to pay such unfunded liabilities or unpaid expenses. If the withdrawing Party wishes to sell its share,the remaining Party or Parties shall have the right to purchase said share at its current value before it is offered to any other potential purchaser and in any case shall have a right of first refusal at a price equal to that offered by the selling Party by any third party. Subdivision 6. Withdrawals may be accomplished by the Party filing notice with the Secretary'of the Board. ARTICLE XVI EMPLOYEES AND OTHER DUTIES,OBLIGATIONS AND AUTHORITY Subdivision 1. The Board shall ensure continuance of a strong District and Fire Services. Subdivision 2. On the Fire Services Commencement Date, all employees of the City of Pequot Lakes Fire Departmentshallbecome employees of the District.The only exception shall be for employees that either stated that they are voluntarily resigning from employment with the City of Pequot Lakes Fire Department on such date or do not take the normal and reasonable steps to effectuate their employment with the District as specified by the Board.The Board shall act on or after the Effective Date, but prior to the Fire Services Commencement Date, to effectuate appointment of said employees to the District in order that the same are employees of the District upon the Fire Services Commencement Date.The District shall be solely responsible for all aspects of appointing individuals upon the Effective Date and for all aspects related to employment of such individuals upon the Fire Services Commencement Date, including but not limited to compensation and benefits,if any. Joint Powers Agreement to Provide Fire Services Page 14 of 23