Fire district considers fiscal plan

“We will present this information in a factual, objective and open process.”– Fire chief Christopher Carleton.

In an hour and half-long presentation by fire chief Christopher Carleton, district attorney Brian Snure and bond consultant Jim Nelson, fire commissioners and around 20 members of the public were briefed on the district’s deteriorating fiscal situation and the steps that would be required to place it on a sound financial basis.

Carleton first ran through the fire district’s draft Capital Facilities Plan (CFP) which is an update to the CFP which can be found on the district’s website. From 2023–2036, the district has anticipated capital expenditures of approximately $4.2 million.

These expenditures include replacement of emergency vehicles, renovations to the fire hall and replacement of the hall’s parking lot, among other items. Given the district’s current income, the district could expect to incur a deficit of around $200,000 if capital expenditures are made as scheduled.

Carleton described how a community’s fire insurance rating is affected by the standards attained by the local fire department. “I want to improve the district’s rating at 5 or even better,” he told commissioners.

Carleton provided a history of the district, saying that currently, there are only six local volunteers and two of them are older than 70. “Back in 1980, there were 40 local volunteers, it’s totally reversed now. Volunteers can’t drink or do drugs,” he said. At some point, the district will have to consider paying for part-time firefighters, he said.

The parking lot needs to be replaced due to the alligatoring of the surface and the wear and tear it causes to the fire apparatuses. Apparently, a proper base wasn’t installed when it was paved, most likely due to cost concerns.

The district is limited to 1 percent increases every year, which means it is failing to keep up with inflation. Carleton gave the example of Engine 5802 which was purchased for around $300,000 in 1991 and now costs $650,000. Lead times from placing orders ranges from 24-30 months.

Fire districts in Washington can levy up to $1.50 per $1,000 assessed value. Of the 12 fire districts in Whatcom County, only fire districts 4 (Van Wyck) and 18 (South Lake Whatcom) have lower tax rates at $0.625 and $0.652, respectively. Point Roberts fire levy is currently $0.693.

Five county districts levy in excess of $1.00 per $1,000 and five are $0.80 or higher.

The Snure Law Office has been a long-time attorney for the fire district beginning with Clark Snure and now his son, Brian. The law firm specializes in fire district matters and Snure presented a number of options the district could pursue in seeking a more solid financial footing.

In order to raise the district’s levy above the 1 percent allowed annually, it would have to seek voter approval of levy lid lift of up to six years. To pass, a levy lift requires a simple majority (RCW) 84.55.050.) The district could seek a temporary levy lift for 1-6 years for a specific purpose eg. buy a new piece of apparatus in which case the levy would drop down to the former level once the time was up.

It could also ask for a permanent levy lift in which case the district would use the new levy as the basis for future 1 percent annual increase.

The district could also seek voter approval of a bond to pay wholly or partially for capital infrastructure. There are a number of ways the district could go about seeking excess bond money but in any case a bond measure requires 60 percent approval from a minimum 40 percent of the number of voters who participated in the last general election.

The district intends to hold public planning and educational sessions throughout the coming months. The board would have to approve a levy measure before August 1 to make it for the November election.