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Fire chief paints bleak picture for department

By Staff | May 12, 2009

Commissioners study reports: Grim looking commissioners listen to Lehigh Acres Fire Chief explain how the department will have to make layoffs if a $9 million shortfall is not met. Three of the five are shown here from left to right, Joel Guzman, Jeff Berndt and Ralph Hemingway. The other two commissioners are David Adams and Julie Barrett. Photo by Mel Toadvine

Dozens of employees are wondering today if they will have a job at the Lehigh Acres Fire and Rescue District after October. The dim news of a layoff of firefighters and the closure of fire stations and the likelihood that some ambulances will have to sit idle was presented to the Lehigh Acres Fire and Rescue District’s Board of Commissioners last week at a special meeting which was attended by at least 150 people. The meeting was held in the meeting room of the Veterans Park Community Center and an extra adjoining smaller room had to be opened to accommodate the public.

The bleak news came from Fire Chief Donald Adams who has been telling his commissioners for several months that the anticipated lack of tax revenue from the public may mean layoffs of firefighters. Despite rumors that firefighters are facing immediate job layoffs, the only two people who may be leaving the department are two assistant fire chiefs who have handed in their resignations to Adams. But the chief did not announced the resignations of the two chiefs during the meeting.

Adams sat at a table surrounded by about 20 people sitting at tables that formed a large square. At the table were local fire officials, the five-member board of commissioners, county officials, including John Wilson, the county’s public safety director, EMS personnel, other fire chiefs and representatives of the two local unions representing employees of the Lehigh Acres Fire Dept.

Adams told the group that an anticipated $9 million shortfall in revenue could would cause loss of jobs. He said he based that information on word from Lee County Property Appraiser Ken Wilkinson who has reported that the drop in Lehigh revenue could be around 40 percent.

Lehigh taxpayers could be facing a 9 percent tax rate hike, Adams said, or layoffs due to the lack of funding coming from properties that have lost value during the current recession. Adams presented several scenarios to the commissioners showing what would have to happen with losses of revenue from 24, 35 and 40 percent in revenue.

Commissioner Joel Guzman said he believes the property appraiser’s estimate is more likely to be the reality than the lower percentages. The board listened but took no action at the workshop. They listened to business people in Lehigh who said the department had to retain the status quo for the public’s safety to one who said the fire board had to “tighten its belts.”

The scenarios reported how the budget would be affected from a tax rate hike from the present $2.75 per $1,000 of taxable value to $3. Worded in millage rates, the cap is 3 mills. A special referendum would have to be held to go over that cap.

Adams said the budget figures have to be presented to the state by July and a new budget would not take effect until Oct. 1 of this year.

“On April 1, a memorandum was sent out to all personnel after the prediction that revenue in Lehigh Acres could drop as much as 40 percent,” Adams said.

“After that announcement reality began to set in with many of our personnel. We all know these current economic challenges are taking a toll on our nation, local government and each of us, as we are faced with some tough fiscal decisions in the next few months,” he said.

He asked those around the table to share their ideas while keeping in mind that the department’s core services and mission critical programs.

In a memorandum sent out on April 1 to all employees of the fire district, Adams wrote in part the following:

“… the housing market has plummeted causing property values to decrease dragging down the property tax receipts. Now that property values are at an all time low, many homes and properties are selling. Unfortunately, the selling price is much lower than two years previous. As a result, several fire departments are experiencing a significant reduction in tax revenue affecting the level of service now and in the years to come.

“Lehigh … is one of those departments with anticipated reductions in tax revenue from 12 percent to 40 percent depending on who is forecasting future tax receipts.

“As a result, many of our personnel are anticipating the reduction in our staffing levels and are even expressing this concern to others … I wish I could tell each of you everything will be all right in the future and I would like to assure everyone that at this point and time, there is no plan to make any changes.”

He went on to express that since he has been with the department, they have strived to build reserves in case of a disaster. He said many citizens in Lehigh criticized him and the department for having (financial) reserves.

“The reserves we have today, as well as some adjustments made to the budget will currently carry us through these challenging times. However if we do not make some additional adjustments, we will be several million dollars in deficit,” he wrote. The complete memo can be found on Page 4 in today’s Lehigh Acres Citizen.

At the meeting, Adams said before the different scenarios were discussed, he wanted to assure everyone that there was no secret plan. He said no decision would be made now and that “we need to move very cautiously through this process.”

Essentially, the booklet passed out to those around the table painted several scenarios from expenditures staying at the status quo, to the loss at first to nine line personnel and two administration people and then to 12 line personnel being laid off in addition to four administration people.

On purple sheets, the chief showed budgets where nine line personnel would be lost plus four administration people.

The scenarios got worse. On brown sheets the budget figures showed a loss of 24 line personnel and on the final pages, the loss of 44 line personnel. Copies of the booklet may be seen by the public at the firehouse on Milwaukee Blvd. by calling the department’s public information officer, Patrick Commer, the chief said.

Public Safety Director John Collins said the county could help out with ambulance and EMT service but couldn’t promise arrival times. He asked the board members to get back with his department when they decide how they may have to cut ambulance service from five vehicles to two or three in Lehigh.

Chairman Jeff Berndt asked for legal help from counsel about borrowing against the two new fire houses in Lehigh that were built over the past year and completely paid for. Attorney Richard Pringle said he would look into the legality of such a move which would mean a line of credit being extended to the department. It could also be compared to a reverse mortgage.

More meetings will be held and announced to the public.

“We need the ideas of everyone. If you have thoughts, get in touch with us and the board. We want input from the public,” the chief said.

Those who have attended meetings in the past two years and called for the return of reserve funds to the public did not speak at this forum. At the end of the meeting, some got up and praised the department and its personnel.