Why is Central Whidbey Island Fire and Rescue asking for 10 cents?
Three reasons……
10 cents is needed because Initiative 747, passed in 2001, limits property tax increases from year to year to 1 percent.
10 cents is needed to avoid financing fire engines with expensive voted bonds.
10 cents is needed because the 1 percent is not keeping up with the cost of operating the Fire Department.
It’s a given that tax increases are rarely popular. Five or six years ago, voters elected to reduce their tax bill by approving an initiative lowering license tabs. In 2001, voters again spoke, by endorsing I-747 which limited property tax increases from year to year to 1 percent.
This 1 percent property tax limit impacts fire districts particularly hard. Why? The simple reason is that a fire district’s operating revenue comes almost exclusively from property taxes. Fire districts do not receive any sales taxes, gas taxes, utility taxes, impact fees, or state revenue sharing. Charging for services was soundly discouraged by residents of Central Whidbey during the June 16 and June 30 “Fire Hall Focus Group” meetings.
The last time property owners of Central Whidbey were asked to approve a tax increase for the fire department was in 1992 when they did approve a 25 cent request. As a result, the fire district has been able to continue to execute its long range plan. The plan strives to provide quality and timely service to its customers; and to protect for the welfare of its volunteer and full-time personnel.
The plan is designed to balance daily operations and equipment replacement plans by putting money aside each year for expensive fire engine replacement. (A fire engine costs $200,000 to $300,000.)
Since its inception in 1989, the plan accrued sufficient money to purchase three fire engines, two water tenders and helped build three fire stations (Race Road Station in 1992, Day Road Station in 2000, and the NEW Station started in Coupeville 2004). The cumulative cost of these assets is nearly $3 million. These necessary improvements were bought and paid for without asking for more taxes.
The plan worked as emergency calls climbed 64 percent; and as volunteer firefighters become harder to find and retain; and with the district providing more services than ever. The plan worked as the population grew 33 percent and when part-time and full-time personnel were needed to fill in when volunteers are hard pressed to respond.
Another sign the plan worked is the amount of money saved by not having to use voter approved bonds. By not financing fire engines purchases, conservative estimates show savings of nearly $1 million in interest alone. In other words, by having an equipment replacement plan and not financing vehicles, the district purchased three engines for the price of two. The price of a new fire engine increases at about three percent per year. Imagine tacking election fees and 6 percent financing on top of it.
The effect of I-747 jeopardized the fire district’s ability to provide for future needs. To meet the rising costs of operating the district on a daily basis, some of the money earmarked for the equipment replacement was used. Rising health care premiums for employees, rising fuel costs and just the rising costs of goods and services out-strip the 1 percent limit.
Tuesday, Sept. 14, voters of Central Whidbey Island Fire and Rescue (Fire Protection District 5) are being asked to consider raising property taxes 10 cents per thousand of assessed value. If approved, a home valued at $200,000 will pay $20 more in 2005 than in 2004.
I’m asking people to exercise their right to vote on this important issue Sept. 14.
Joe Biller is a captain in Central Whidbey Fire & Rescue.