Configure two servers as follows.
Configure XNTPD to obtain time from the external NTP time source and mark it as Prefer.
Add a local clock as the second server with a stratum value greater than external NTP source.
server IP_address_of_external_time_source-1 prefer
server 127.127.1.0
fudge 127.127.1.0 stratum 4
Configure XNTPD to obtain time from the external NTP time source and mark it as Prefer.
Add Server1 as peer to Server2.
server IP_address_of_external_time_source-2 prefer
peer IP_address_of_Server1
Figure 10-1 Fault Tolerance Configuration
Server1 and Server2 provide time to all other servers in the network.