Majority of county fire departments request tax increase for 2016 budget year

Published 12:15 am Wednesday, May 20, 2015

As budget talks begin, Rowan County’s Commissioners will have authority over what could be the most widespread fire district tax increase in the previous 15 years.

Commissioners have final authority each year to set the tax for individual fire districts outside of municipal limits, and a handful of tax increases occur each year in districts outside of towns and cities, which are largely protected by volunteer fire departments. This year is different. About 70 percent of volunteer fire protection districts outside of municipal limits — 16 total — are requesting an increase. Of the proposed increases, 12 are connected to a decline in revenue as a result of revaluation — occurring every four years.

Fire protection districts are usually tied directly to the name of a fire department. However, neighboring departments are responsible for the east and south Rowan districts. East Gold Hill and Pooletown fire departments split the east Rowan district. China Grove is entirely responsible for the south Rowan district.

When asked about increases, fire chiefs across Rowan County each mentioned issues specific to their district, but uniformly listed capital expenditures and operating costs in the face of increasing call volumes as reasons for tax increases.

The increase in call volume isn’t necessarily a result of more fires. The Atwell Township Fire Department, for example, has seen a spike in medical calls, according to Fire Chief Tim Beaver.

“Simply keeping the doors open is not what we are here for,” Beaver said in an email. “Our district expects us to come when they have an emergency.”

The Atwell Fire Department is proposing an increase of 2 cents per $100 for its district.

Cleveland Community Fire Department Chief Kenny Payne said tax revenue — the main funding source for most departments — directly translates into an improved fire rating. Updated gear and new equipment allows departments to meet fire protection standards, he said. Likewise, a new fire station would allow for greater coverage in a fire district.

Payne said an improved fire rating, in turn, results in lower insurance costs for businesses and residents of the district.

“As a chief, it doesn’t make me feel bad when we are able to turn around and put money back in people’s pockets,” Payne said.

Payne’s Department, which covers Cleveland and several miles surrounding the town, is proposing an increase of 2.4 cents per $100 for the 2015-2016 fiscal year. The increase would help the department save for a new fire station, Payne said.

Cleveland’s fire protection district taxes added to the county’s tax rate would result in residents paying 74.5 cents per $100 in property taxes.

With the increase, the Cleveland Community Fire Department’s district would be tied for the highest tax rate in Rowan County. The Locke Fire Department, which protects a large swath of land west of Salisbury, would be tied with Cleveland.

Locke is also proposing the highest tax increase in Rowan County for the 2015-2016 fiscal year at 3 cents per $100.

The term “volunteer” is quickly outgrowing fire departments outside of municipalities because of call volume. Departments such as Locke are becoming a combination of volunteer and paid personnel. Locke Fire Chief Rusty Alexander said adding five full-time firefighters is the main reason for his proposed budget increase.

“We’re running almost 1,200 calls per year, which is a lot,” Alexander said. “It’s killing our volunteers.”

Paid staff results in faster response times, Alexander said. Volunteers may have to drive to the station when a call comes in, he said. Drive time may be a few minutes, but adds to the response time.

“I’m one of the closer ones to the station and it takes me five minutes to get here,” Alexander said. “And, when a fire is burning, minutes make a difference.”

The second highest proposed increase is Bostian Heights — spanning an area from the city limits of China Grove to Faith — at 2.8 cents per $100. Bostian Heights’ total tax revenue would also be the second largest — behind Locke — with the increase.

Along with call volumes, Zimmerman said expenses for typical equipment has also increased. Zimmerman said he’s concerned about adding more full-time staff, paying for equipment and purchasing new fire trucks in the future. New trucks, depending on the intended use, can cost upward of $1 million. Used trucks can cost significantly less.

Getting one firefighter outfitted for duty can also be expensive, Zimmerman said. He estimated that a firefighter’s gear, a pager and worker’s compensation would be $36,000.

“And, that’s just to get him suited up, to get him in the door,” Zimmerman said.

Unlike some fire districts, revaluation had a positive affect on Bostian Heights. The total tax value of property in Zimmerman’s district increased by several thousand dollars. When compared to historical values of property in his district, however, Bostian Heights is just beginning to creep back to its pre-recession levels. The Locke Fire Department has a similar story, but its total value hasn’t yet reached pre-recession levels.

Atwell, Bostian Heights, Cleveland and Locke, however, are four of the largest six departments outside of municipalities in Rowan County. Budgets of the districts protected by the largest departments are three and four times greater than the smallest in the county.

The Scotch-Irish Fire District, for example, is only projected to generate $65,222 in Rowan County property tax in the coming fiscal year. That amount includes a 2 cent increase, which six total departments are requesting.

The increases across county fire departments, if approved, could be the most widespread since 2000, but it wouldn’t be unprecedented. In the previous revaluation year — 2011 — 11 departments received a tax increase. However, none were as large as some of the proposed rates for the 2015-2016 year.

Contact reporter Josh Bergeron at 704-797-4246.