Rural Fire needs support

Times Contributor

 

Strathmore and Carseland Rural Fire Association approached the County of Wheatland for an operations loan on March 6, 2012.

The loan would allow the Association to refinance their existing loan at a lower interest rate and address some financial issues within the fire department.  Councillors asked Brad Walls, spokesperson for the association, what the worst-case scenario would be if the county refused the loan.

“By April, we won’t be able to operate,” said Walls.

Although the issue seems straight forward, there are many complicated factors involved in the decision, such as who provides what funding and how to provide adequate services equally, within a limited funding pool.

The province legislates in the Forest and Prairie Protection Act and the Municipal Government Act that the county provide fire service to the residents within its borders, and determine the level of service as well. 

There is no guaranteed funding from the province directly for each rural fire association, however the province issues Municipal Services Initiatives of approximately $900 million, that competitively all cities and municipal districts try to access. Through a formula calculation, the County of Wheatland gets $3.6 million in capital and operating funds from the government to add to its tax-based income. This keeps everything in the county running. They allocate parts of those funds to fire association support. The county currently subsidizes funding for nine fire locations with three of those halls (Strathmore, Rockyford, Standard) receiving additional taxation funds from their town taxes.

The Associations contribute money to their own budgets from various community fundraising efforts. Last year the Strathmore/Carseland Rural Association contributed $12,000 fundraised funds to the budget. One fundraiser is its Ladies Night Out fundraiser held in the fall.

They can also apply for grants, but there is no guarantee the grant is awarded. Individual services must compete with multiple applicants and 14 other interest groups, for over $25 million in $75,000 Community Initiative Plan operations grants, and $75,000 project based funding and International grants, province wide www.culture.alberta.ca/cip .  Grant money was awarded in the past for the Gleichen water tower restoration and the food bank.

“Community Initiatives Program grants for Strathmore shows that 40 grants totaling of $735,231 have been provided between 2002 and 2011,”said Beryl Cullum Communications Officer for Alberta Culture and Community Services

There is also a Rural Community Adaption Grant www.municipalaffairs.alberta.ca/municipalgrants-ministry.cfm offered by the Alberta Government. It has a pool of $15 million which includes provisions for unique community solutions for other adaptation activities driven by rural communities and regions, which can demonstrate a lasting impact that might not otherwise be included in Assessment and Planning, Capacity Building, or Rural Economic Development and Economic Diversification. 

Most rural fire departments are largely volunteer staffed and receive only minimal honorariums ($30 regardless of hours worked) for time spent training and deployed. For most volunteers, it is a labour of love and necessity, to provide protection for families and neighbours, who would otherwise have no protection or help.

 “We have tried to do everything under our control to generate funding. We have given it our number one shot,” said Walls.

He outlined over $50,000 in reductions that the Association made available through restructuring.  If the county refinanced their 15-year equipment loan from the bank, the interest savings reduction is close to $4,000 per month. The Association felt this would allow them to start a reserve fund as well.

“We have taken a tighter approach,” said Walls. “We are not being reactive; we are trying to be proactive.

In order to have a working hall, capable to fight fire effectively, there is a high equipment cost.  The Strathmore/Carseland Rural halls have two bush buggies to fight grass fires valued at about $110,000 each. There are two tenders which haul water in areas that don’t have water supplies and cost $186,000 (1500gal.) and $480,000(3000) respectively. The frontline engine, which also hauls accident extrication equipment, costs $435,000 and the chief’s vehicle, necessary for insurance purposes, is about $40,000. The life expectancy of the fire vehicles is approximately 10 years. There is no trade-in value and if a purchaser can’t be found for old equipment, the cost is lost to the department. The Association was offering collateral of the fire equipment for the loan; however, the county already holds part ownership of the vehicles. 

“We already own 65 per cent of the vehicles. To make them collateral wouldn’t make sense,” said Councillor Ben Armstrong about the vehicles offered by Strathmore/Carseland Rural Fire Association for collateral.

Because the vehicles depreciate, it wasn’t the best collateral in the long term. Walls suggested caveats on property or any other type of arrangement the county felt appropriate to cement the loan.

The County councillors voiced their concerns and extended their personal support for the Association’s dilemma.

“It is a concern, we want to keep them in operation, but if we took collateral, it is a losing situation. It would be a PR nightmare if we had to foreclose,” said Councillor Don Vander Velde.

 “We can see the urgency in your faces,” said Councillor Ken Sauve, of the six representatives present.

“We want you to know we appreciate all the time and devotion that fire crews expend in the county,” said Councillor Bernice Bland.

“Years ago it was just about fighting fires, but now it is about accident and vehicle extraction and much more. Costs are driven up by insurance and legal systems,” said Councillor Armstrong. “Alberta Government guidelines are killing rural services.”

There are 8285 people and 2941 residences in Wheatland County as of 2011 (not including the three town centres). Coverage would average responsibility for 1380 people or 490 residences per hall. The further the hall is from the call, the longer it takes to respond and the severity of the emergency often increases.  Each association has mutual agreements to help other halls in emergencies, but that also results in longer response times. However, population is not distributed evenly around the halls. Halls close to urban areas and highways receive greater call volume. 

The Strathmore/Carseland Rural Association doubled its calls to 101 calls in 2011. The money the hall can recover for those calls has dropped 42 per cent, because the Association agreed for the county to distribute money evenly between other halls with lower volumes to keep them viable. The Association feels they would not be in this place now, had that not occurred. Halls with lower call volumes received increased funding.

Councillors were also concerned about the effects granting this request on all departments under their jurisdiction. 

“We don’t oversee them,” said Councillor Armstrong. Fire sources say the county has indicated they would prefer not to oversee them. The decision-making process stays in the hands of the people living around and supporting the halls.

Councillors felt the issue is complex and perhaps in the past decisions were reactive and not proactive. They moved to advance $75,000 funding to the Strathmore/Carseland Rural Association, from the current 2012 budget paid in June. They also want to discuss the issue further and consider reorganization measures at a meeting on March 15, at which all the fire hall and association representatives will be present. They tabled the loan decision to a later meeting.