#3 Public hearing and action on Fire Department emergency response fees (File Revised Ord. #2010-448)
JANESVILLE FIRE DEPARTMENT MEMORANDUM
February 9, 2010
TO: City Council
FROM: Gerry Luiting – Deputy Fire Chief
SUBJECT: Second Reading, Public Hearing and Action on a Proposed Ordinance
Establishing Fire Department Emergency Response Fees
(File Revised Ord. 2010-448)
Summary:
The total emergency services response activity to incidents continues to increase each
year. The costs associated with providing those services also continue to grow while
revenues continue to fall. New approaches for revenue enhancement have been
encouraged. As discussed by the Council during the Fire Department budget review
study session, the Fire Department researched the potential to collect user fees for
motor vehicle accidents and motor vehicle fires. The Fire Department is proposing to
invoice $400 for motor vehicle accidents and $500 for motor vehicle fires for city
residents, and $500 for motor vehicle accidents and $600 for motor vehicle fires for non-
city residents. These fees are based on the current usual and customary charges as
billed by Fire Recovery USA, LLC (a specialty billing company). Revised File Ordinance
2010-448 provides a mechanism to recover some costs of providing emergency
services from the users instead of increasing property taxes. The adoption of an
ordinance is necessary to charge for these fees.
Recommendation:
The Fire Department supports Revised File Ordinance 2010-448 which will allow the
Fire Department to bill new user fees to residents and non-residents for specific
emergency responses. The specific emergency response billings are for motor vehicle
accidents and vehicle fires.
City Manager Recommendation:
While the City Manager and Fire Chief would ideally prefer not to implement this type of
charge, due to continuing budget pressures, I believe the costs of our services will
either continue to drive up property tax support at a higher rate or the City needs to
have the users of the service provide a portion of the funding.
This proposed fee intends to provide that balance.
Suggested Motion:
Move to adopt Revised File Ordinance 2010-448, an ordinance establishing a program
to charge user fees for the rendering of emergency services by the Janesville Fire
Department.
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Background:
The total emergency services response activity to incidents continues to increase each
year. The costs associated with providing those services have, and continue to grow, at
a rate exceeding that of the growth of revenues to provide these services involving
equipment and training. This creates additional demands on all operational aspects of
the fire department services. The fire department has explored different methods to
maintain a high level of quality in emergency service capability throughout times of
constantly increasing service demands. Raising property taxes to meet the increase in
service demands is not necessarily fair to the property owners, when many motor
vehicle incidents and other emergency services involve individuals not owning property
or paying taxes in the fire department’s service area. An option is to bill the user of the
emergency service and their respective insurance company. The ability of the fire
department to effectively respond decreases the liability of insurance companies by
saving lives and minimizing property and environmental damage.
Analysis:
Using 2008 response data, potentially $60,000 could be collected for motor vehicle
accidents and motor vehicle fires. A specialized billing company, such as Fire Recovery
USA LLC, would be utilized for billing and collections. Other area Fire Departments are
currently billing for a variety of emergency responses including Milton, Edgerton, Town
of Beloit, Orfordville, Footville, and City of Beloit.
Deputy Chief Gerry Luiting will be in attendance at the Council meeting to answer any
questions on this proposal that the Council may have.
cc: Eric J. Levitt, City Manager
Jay Winzenz, Director of Administrative Services
Chief Grorud, Fire Chief
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REVISED ORDINANCE NO. 2010- 448
An Ordinance establishing a program to charge user fees for the rendering of certain Emergency
Services by the City of Janesville Fire Department.
THE COMMON COUNCIL OF THE CITY OF JANESVILLE DO ORDAIN AS FOLLOWS:
SECTION I.
Chapter 8.28 of the Code of General Ordinances of the City of Janesville
is hereby created to read as follows:
CHAPTER 8.28
FIRE DEPARTMENT EMERGENCY SERVICES RESPONSE FEES
8.28.010 Purpose.
8.28.020 Emergency Services Response – Fee.
8.28.010Purpose.
In order to continue to provide quality emergency services
responses while minimizing the cost to the property taxpayer by recovering certain fees from the
users of those rendered emergency services, and cognizant that Janesville residents already pay
for these services through property taxes, the Janesville Common Council hereby desire and
create a fair and equitable procedure to collect user fees for emergency services responses
provided by the Janesville Fire Department.
8.28.020 Emergency services response – Fee.
A.
“Emergency services response” is any event in which the Janesville Fire
Department is required to and/or does respond and take action. Emergency services include, but
are not limited to, Fire Service and Emergency Medical Service.
B.
Every person, firm, corporation, and/or other entity who requires, receives, and/or
is provided an emergency services response by the Janesville Fire Department shall be
responsible for payment to the City for the following emergency services response fees:
Service Resident Non-Resident
1. Motor Vehicle Accidents: $400.00 $500.00
2. Motor Vehicle Fires: $500.00 $600.00
ADOPTED: Motion by:
Second by:
Councilmember Aye Nay Pass Absent
APPROVED:
Brunner
Loasching
McDonald
Eric J. Levitt, City Manager
Rashkin
Steeber
Truman
ATTEST:
Voskuil
Jean Ann Wulf, City Clerk-Treasurer
APPROVED AS TO FORM:
__+____
Wald Klimczyk, City Attorney
Proposed by: Fire Department
Prepared by: Assistant City Attorney & City
Attorney