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HomeMy WebLinkAboutAgenda Report - December 18, 2002 I-04CITY OF LODI COUNCIL COMMUNICATION AGENDA TITLE: Approve Suspending Negotiations With The Mokelumne Rural Fire District For Fire Protection Services (FD) MEETING DATE: December 18, 2002 PREPARED BY: Fire Chief RECOMMENDED ACTION: That Council approve staff's recommendation to suspend negotiations with the Mokelumne Rural Fire District for fire protection services. BACKGROUND INFORMATION: The City of Lodi was approached by the Mokelumne Rural Fire District in April 2002 to open discussions concerning the possibility of developing a contract for fire protection or consolidation with the Lodi Fire Department. Subsequent to the initial meeting, Council authorized two Council members to participate in the negotiations. Council members Howard and Hitchcock took part in two meetings to develop the ground work for future discussions. Chief Dan Leary and I have continued to meet and discuss issues that must be resolved before contract negotiations can be finalized. By way of background, I have provided Council with a brief synopsis of the Mokelumne Fire District. The Mokelumne Fire District covers 65 square miles, north and east of the City. The District is bordered by the Mokelumne River to the North, through the Town of Lockeford to the Clements Fire District border on the East, to Live Oak Road on the South, and the City of Lodi limits on the West. The Mokelumne Fire District has experienced financial difficulties due to the inability to secure increased funding. The failure of Measure M resulted in the reduction of services to the District and surrounding areas. The Mokelumne Fire District has already closed the Victor Station located on Victor Road. The City of Lodi Fire Department relies on the Mokelumne Fire District to provide mutual aid. The Fire District employs a staff of 9 firefighters, a part-time fire chief, and part-time administrative staff. The District owns two fire stations and currently operates out of the Brandt Station in Lockeford. The Victor Station, on Victor Road, currently houses an ambulance from Houghson Ambulance. The District owns 5 pieces of fire apparatus including a 3000 -gallon water tender and a medium duty urban search and rescue vehicle with a cascade breathing air system. The District has an assessed valuation of $509,240,615.00 (2000) and receives tax revenues in excess of $686,763.00 per year (2000). In addition, the District receives approximately $25,000.00 annual revenue from fire prevention fees and fire facility fees. District revenues for 2001 and 2002 have increased 2.7% and 2.4% respectively. Current tax revenue projections indicate tax revenues of $750,172 in 2002. Total expenditures for 2002 are projected to be $713,356 leaving an excess of $36,816. APPROVED: L �� ynn -- City Manager Approve suspending negotiations with the Mokelumne Rural Fire District for fire protection services December 18, 2002 Page Two The Lodi Fire Department held preliminary discussions with the District and has continued gathering financial information as well as other pertinent data. The Mokelumne Fire District has proposed a contractual agreement whereby; the City of Lodi provides fire protection and emergency medical services to the District. In return for fire and emergency medical services, the assets and revenue of the District would be remitted to the City. The City would employ all of the members of the department with the exception of the current Fire Chief who will be retiring soon. The City would continue to staff the Brandt Station and over the next several years, eventually staff the Victor Station. The Victor Station could be used to house Lodi Fire Station #2 staff during the remodeling of the station. By using the Victor Station to house Fire Station #2 personnel, the City would realize savings in housing during the remodel. Utilization of the District's equipment would also reduce duplication and allow funds to be diverted to other department projects. For example, utilization of the medium duty rescue equipment would facilitate the consolidation of Lodi Fire's rescue equipment into one unit. Recently, San Joaquin County Planning Department has approved construction of a 376 home development east of the Brandt Fire Station. In addition, a traffic study to build a by-pass for the town of Lockeford is under consideration. A by-pass will have an as yet unknown impact on the Mokelumne Fire District operations as will new construction. Regional planners have suggested that the area east of Lodi is ripe for development. Providing fire and emergency medical services to the area may become an important factor in future development. The District and City have held meaningful discussions concerning the proposed contract and the future of fire and emergency medical services. However, due to the many pressing needs within the Lodi Fire Department, I would like to suspend negotiations with the Mokelumne Fire District until after the 2003-2005 Budget has been approved. In the interim, we will continue to hold discussions with the Mokelumne Fire District administration, develop operational plans, and continue to monitor financial documents for future discussions. If I can be of any assistance, do not hesitate to contact me. FUNDING: No funding necessary. Mic el E. Pretz Fir Chief