Fire District May Disband After Tax Levy Rejected

At the conclusion of a 4-hour voting period - the second vote regarding the Central Coventry Fire District's proposed fiscal 2012-2013 budget and tax levy in six weeks - taxpayers decided by a 1,357 to 484 vote margin to reject the budget and the accompanying tax levy of $2.99 per thousand of assessed property value. 

When voting began at 6 p.m. - one hour before Special Master Rick Land's revised budget presentation - hundreds of residents waited to vote in a line that wrapped around Coventry High School and traffic turning onto Reservoir Road was backed up in both directions. Despite the throng of voters, the school auditorium did not fill quickly with residents interested in hearing the presentation before casting their vote, as many checked their ballot in the front foyer and left just as quickly. 

Around 7:20 p.m., Town Council President Gary Cote began the meeting with an explanation regarding the repercussions if the fire district is shut down.

"If you have not already voted, what you're going to be asked to do is vote for the lesser of two evils," he started. "That's the truth and that's where we are tonight." 

He briefly touched upon the controversial fire service contingency plan organized by chiefs from neighboring fire districts that Superior Court Judge Brian Stern refused to release publicly during a hearing on Monday.

"There is no specific plan in place," he said. "There is a concept that has been discussed between the other three fire chiefs, Chief (Andy) Baynes, Special Master Land and myself. If the budget fails tonight and liquidation is ordered, the other three districts will do their very best to provide emergency services to the taxpayers of Coventry. But if the concept has to be implemented, we're looking at a 6 to 8 month period before that concept can be put into action."

He spoke of the optimism he felt regarding pieces of legislation currently being considered that would allow the fire district to return to a multi-tier taxation system, making for higher commercial tax rates and lower residential.

"The legislature is going to act on your behalf, I believe that."

"The Union made concessions because you asked them to, but I don't think they had any choice because they didn't want to end up in the unemployment line, which is what will come should this budget fail,"  Cote continued. "You wanted the board of directors gone, they're gone. You wanted the budget to be reduced, it's been reduced, and don't forget you'll get another crack at it in October when next year's budget is voted on."

In addition, Cote said he would continue working with chiefs from neighboring districts, along with CCFD Chief Baynes to develop a five-year plan to merge the entire fire service industry in Coventry into one fire district, still independent from the Town - an idea which garnered a round of applause from voters.

Special Master Land reviewed the made by the firefighters' union, which included suspensions in holiday pay and clothing allowances, reduced health-care contributions and a salary freeze, among other items, which will provide an estimated $1.4 million in savings across three years. Despite the fact that the first year of the proposed budget, if approved, would not work towards paying off the district's $2.2 million in accrued debt and liabilities, Land once again assured residents that the five-year financial plan for the district that he has been preparing would pay down remaining debt, consider utilizing volunteers, include a review of the CCFD charter as well as the election of a new board of directors.

Land explained the monetary effect that approval of the $2.99 tax rate would have had on tax bills compared to the current rate of $1.82 per thousand, by using the example of a home assessed at $100,000, which would have an approximate annual increase of $72. 

"People have to make an assessment as to whether or not that amount of money is meaningful to them relative to the risk of what public safety may or may not look like if the budget is not approved," he said.

For the majority of the meeting, Moderator Jeff Cianciolo turned the floor over to members of the audience who had questions for Land. One topic of discussion focused on how neighboring districts would provide automatic aid to Central Coventry in the event of liquidation, to which both Land and Cote agreed that residents throughout Coventry would not receive the same level of service they have been receiving. This outcome would be the result of only three local rescues being available for CCFD's 64 sq. miles in addition to the rest of the Town, which currently averages between 17 and 22 rescue calls a day.

Other topics included the question as to why CCFD residents are responsible for the entire deficit when their firefighters and apparatus respond to many calls in other districts. Chief Baynes explained how the majority of fire districts in Rhode Island rely upon one another on a "minute by minute basis year-round" and that the practice is a widely used one.

Resident Bob Gunnip confirmed with Land, Baynes and Cote that the proposed $2.99 tax levy and the increased bill associated with the new rate, would still cost taxpayers less than what they would need to pay for if the fire district closes its doors. This point would be due to a financial obligation to weekly unemployment for 46 firefighters, liquidation costs, increased insurance rates and outstanding debt, in addition to the current tax bill.

"When we're talking about a $2.99 tax rate, we'll be paying a lot more than that and have no fire service," said Gunnip. "Am I right?"

"I would say that you accurately assessed the situation," replied Land. "Those are significant and real risks that are facing the district in the absence of an approved budget."

Dozens of taxpayers were still lined up to vote at 10 p.m. when the polls were scheduled to close and after the last vote was cast, members of the Coventry Board of Canvassers tallied the numbers and reported the rejection of the budget by 873 votes.

"I will be meeting with the judge tomorrow or Thursday to see what the next steps are. I don't have an exact plan in place but we will likely begin the process of liquidation," said Land in regards to what his next step would be. "I don't expect to shut down today or tomorrow, but one of the fundamental problems about not passing a budget is that there is no money coming in to pay people. We just need to speak with the court and figure out what our options are."

Council President Cote expressed his disappointment with the outcome of the meeting.

"What bothers me the most about it is that we're now at the mercy of the judge and the special master, we're no longer in control of our own destiny and that bothers me," said Cote after hearing the final vote count. "I wasn't surprised with the margin between the votes, but what surprised me was the number of people who didn't come in to hear the presentation. Not that I think the outcome would have been different but the margin would have been. I think many people voted tonight based on not enough information or erroneous information so the majority of the votes cast tonight were uneducated ones, but I  respect the taxpayers' votes and we'll just have to move forward from here."

Cote also said that regardless of the rejected budget, he still plans to work with Coventry emergency officials to implement a town-wide independent fire district over the course of five years to provide service to the residents of Coventry.

Check back with Coventry Patch for continued coverage of the troubled Central Coventry Fire District.