6. MayScandiaFire18 (002)TOWN }�
Of
MAY
(
Est. L893
December 29, 2017
CHAIRMAN
SUPERVISOR
Bill Voedisch
John Adams
14625 Old Guslander Trail
14035 Oldfield Road N.
Marine on Se Croix, MN 55047
Stillwater, MN 55082
(651)433-5976
(651)430-8134
TOWN CLERK
TREASURER
Linda L. Kirin
Cheryl D. Bennett
13519 May Ave. No.
16624 Square Lake Trail N.
Stillwater, MN 55082
Stillwater, MN 5508.2
(651) 439-1706 • Fax (651) 43o-0107
(651) 439-8599
To: Scandia Mayor and City Council
Neil Soltis, City Administrator
From: Bill Voedisch, May Town Board Chair
Re: Fire Contracts, 2018 and Beyond
SUPERVISOR
John Pazlar
16601 Orwell Road N.
Marine on St. Croix, MN 55047
(651) 433-5013
PLANNING COMMISSION
John r A.rnason
15149 Old Guslander Trail
Marine on Sr. Croix, MN 55047
(651)433-8510
Staff between our two municipalities have been discussing a new fire contract since our current
one expires at the end of the year. At the heart of discussion is the formula used to calculate
May Township's share of Scandia's fire expenses.
The formula for calculating May's share of Scandia's fire expenses
The issue being discussed is the formula used to allocate Scandia's fire expenses across our two
municipalities and thus calculate May Township's share. Up to now we have used population as
the sole measurement:
Pop (May) = Population of May's service area
Pop (Scandia) = Population of Scandia
May's % Share = Pop (May) / (Pop (May) + Pop (Scandia))
We have mutually used this formula for many years however at this point May Township has
proposed using the Minnesota State Formula to calculate our respective shares.
What is the State Formula?
Years ago the State of Minnesota adopted a formula based on "Guidelines for Minnesota Fire
Protection Contracts" (rev. November, 2001) as drafted by the Fire/ EMS/ Safety Center. The
formula uses three measurements to determine the share of fire expenses:
Population
Assessed value of property
Number of runs
The formula goes beyond just using population, to include two other factors that can be
predictors of potential stress on the fire and rescue resource, namely assessed property value and
the number of runs. This formula has been adopted by the Minnesota Association of Townships
(MAT) as well as the League of Minnesota Cities (LMC). The MAT sample contract is attached
and you will note that all three of the factors are part of formula.
Assessed value of propertX
Just as population as a formula factor recognizes that the number of people is a predictor of
resource use, so assessed value of property as a formula factor recognizes that the amount of real
property (structures) is also a predictor of resource use. Clearly buildings of an accessory or
commercial nature, when serviced by utilities (electrical and/or gas) are candidates to become
involved in fire, just as homes are.
Number of runs
This factor recognizes that in addition to the first two factors, the actual number of runs should
also be considered in the formula. Using number of runs is a way to account for a particular
segment within either municipality generating more than a fair share of calls, such as the Vet's
Rest Camp in May Township, with its sometimes elderly and infirmed user community.
The recommendation here is that the parties use a 3 -year rolling average for the number of runs
since a single year for either party may be abnormally high or low, and would skew the results if
that was the year used to set new 3 -year contract terms.
Where is the State Formula used locally?
The City of Stillwater has provided fire and rescue services to three other communities for many
years: May Township, Stillwater Township and Grant. Stillwater has always used the State
Formula in calculating fire contracts for their three "customer" communities. Early on,
Stillwater described the basic fairness of the State Formula, and we all agreed to use it.
Next steps
The Town would like to discuss this matter and receive feedback from you. here so we know
where we are at. To assist matters we can make ourselves available to come to a Scandia City
Council meeting in January.
In the meantime, since we are still negotiating in good faith yet we will be going past the end of
the year, we respectfully ask that the 5% extension penalty be waived until we can get the matter
resolved. We propose to continue under the same contract terms with a 3% increase.
Thank you for your consideration.