Holbrook Fire DistrictCapital Project Proposal

Special Mandatory Public ReferendumCommunity Vote – Tuesday September 9th 2014

Holbrook Main Fire House9 a.m. to 9 p.m.

Compliant with Town Law Section 179

Electronic information can be downloaded on and after 8/21/2014 www.Holbrookfd.org

https://www.facebook.com/HolbrookFireDistrict

Printed materials and absentee ballots will be available Monday thru Friday 8am to 5pm

Main Fire House 390 Terry Blvd. Holbrook, NY 11741

Your Holbrook Fire Commissioners –631.588.0099

Joel Vetter, Chairman

Charles Vermilyea, Vice Chairman

Mike Barhold

Joseph Williams

Mike Tarantino

District Manager Tom Pelio

District Treasure /Secretary Ronald Schnall

District Counsel Stanley E. Orzechowski

Bond Counsel – Hawkins Delafield & Woods LLP.

District Schedule PLEASE TAKE FURTHER NOTICE that the Board of Fire Commissioners of the Holbrook

Fire District, in the Town of Islip and County of Suffolk, State of New York, has scheduled regular meetings for the 1st Thursday following the 2nd Tuesday and the last Tuesday of each month, all at 7 PM. All meetings are held at the office of the Board of Fire Commissioners located at 390 Terry Blvd, Holbrook, New York. All meetings of the Holbrook Fire District are open to the public. PLEASE TAKE FURTHER NOTICE this information is provided to newspapers and other news media to comply with the requirements of Section 104 of the Public Officers Law of the State of New York PLEASE TAKE FURTHER NOTICE that a copy of posted notice is at the Fire District Office. BY ORDER OF THE BOARD OF FIRE COMMISSIONERS OF THE HOLBROOK FIRE DISTRICT.

Next BOFC meeting Tuesday August 26th.

Public Special Election September 9th from 9am to 9pm

September Meeting September 11th and September 30

Budget Workshops and public hearings will be scheduled for September and October

Professional Services

Fire District Department Formed 1927 - District Formed September 1st 1932

Building history

1st fire house Broadway Ave 1927 to 1955 – 38 years of service

2nd fire house Terry Blvd HQ

Constructed 1950 to 1955

Occupied 1955 to 1991 - extension in 1967 – 36 yrs

Current Main Fire House – 23 years+

Constructed October 1989 to 1991

Occupied 1991 to present

Extensions 2006, modifications, renovations and updates

Station 1 – Church Street 1973 to present – 41 years+

Station 2 – Patchogue Holbrook Road 1973 to present – 41 years+

Growth past 20+/- yrs.Future Growth

Your Fire District of Today for Tomorrow!

Cooperative Agreements and Programs – Shared Communication; Fuel disbursement; Laundry Service;

Disaster Recovery; NYS Fire Chief Association Flashover trailer.

Shared Services – Medical Supply Chain;

Cost Avoidance – Utility Containment & Conversion; Reduction through E.O.S.L.

Consortium Purchasing – Medical Supplies

Revenue Generation – Cellular Site lease; Protection District;

Future establishment of; Industry Tax zones and Mitigation Funds

Cost Containment – Medical Waste; Real Time ordering; Inventory Control

Administrative & Technology Advancements

Dispatching realignment – Reduction in ISO fire rating, processing time.

EMS enhancements – Full capacity Paramedic Service – survivability rates above national average

Greener foot print – minimizing reoccurring costs

Disaster Recovery Plan (DRP) – NYS Comptroller

Understanding your Fire District Funding Operational Budget

Real Property tax + PILOT Program + Revenues = Annual Municipal funding

Statutory Spending Limitations

Negative Influencing factors:

Heavily regulated with new End-of-Service-Life standards

Prevailing wage laws; Regulatory Authorities and Standards (OSHA, DOH, NFPA, etc.)

Tax-Cap and Tax Freeze Formulas – 2015 estimate .0140 to .0166 (49K – 58K)

National Drug Shortage & Manufacture Price Increase

Utility escalating costs

Unfunded Mandates & Taxes – i.e. Obamacare; MTA Payroll Tax

Your Fire District remains aggressive for alternate funding sources. Grant Funding

State

2005 - $41,000 (Mobile Flashover Training Trailer)

Federal

2010 - $171,000 (EMS ALS Equipment and Portable Radios)

2011 - $112,500 + $12,500 Match (Fire Alarm System)

2014 - $600,000 + $150,000 Match (New Communication Center)

Collateral project - Building & Grounds at Main Fire House: Extension, Certificate of Compliancy and regulator requirements for HQ (i.e. RPZ valve, IT infrastructure Harding, Site security) ($250,000)

Revenues (based on last 5 years)

Consistently increasing $100,000 per year and growing. (Historically used for offset of growth of Real Property Tax)

Your Fire District in Action! Operational and Capital Reserve snapshot

Last 10 years of funding built and utilized for: Sta. 1 storage/renovation; cascade machine; roof replacement;

Ambulances, engine, quint, pager conversion, ALS equipment, support vehicles, phone system, radio room, RPZ valve sta.1.

2014-2017

End-Of-Service Life / Response regulation requirements (To be funded from grants and/or future operational budgets $800K)

Personnel Protective Clothing / Equipment, Self Contained Breathing Apparatus, Personal Escape Rope systems,

H.Q.’s (Future needs of $425K to be funded from future operational budget) built in 1989

Ramp repair / replacement Fuel Pump Fire Suppression System

Roof top AC units Computer Aid Dispatch System Upgrade

Truck room lighting conversation Domestic Hot water

Building Siren Security enhancements

Cleanroom Outside Storage

Church Street - Sta. 1 (Future needs of $190K to be funded from future operational budget) built in 1973

Tank compliancy Station 1 – site mitigation Security enhancements

Conversion of Generator and fuel storage

Exterior preventative maintenance

Fire Alarm building wide system

Building Siren

Traffic Light pre-emptive device(s)

Your Fire District Bonding & Municipal Financing History

Current Main Fire House (1989) was 15 Year Bond

Bonding Final Payment 2003 $375,000 Principal / $25,125 Interest

Vehicle Replacement

7/2008 for two (2) Quint Fire Suppression Vehicles – defeated

Outcome: 8/08 Operational funding converted to Capital project for One Single Vehicle ~$692,132

5 Year Municipal Financing for 2 ambulances & related EMS equipment 2013-2017 $85K/yr.

State Legislative Negative Factors

NON-EXCLUSION FROM STATUTORY SPENDING LIMITATION “TAX CAP”

TAX- CAP FREEZE – 2015 & 2016

Straw Poll of commissioner “approval of Year one commitment to tax cap and freeze with a yes vote on all three proposals”. On 7/26/14 unanimously voted to reduce the 2015 debt service by $150,000.

Tax Freeze state rebate eligibility

Your Fire District is Financially Strong and very lean!

Year -2- Year

Minor increases based on revenue growth

Significant actual growth with federal grants

Budget – within cap through equalization

General Reserves – Have remain flat

Employees

Newly eligible will contributing to health coverage

Currently on salary freeze since fall of 2013

Reduced through attrition and privatization of services

Fire Department Answering the Call

YEAR FIRE EMS Total

Estimate 2014 615 1680 2295

2013 612 1514 21262012 736 1480 22162011 620 1518 21382010 694 1448 21422009 671 1471 2142

Future Capital projections meets Bonding 5-25-5 Rule

Prevents long term debt services against traditional operational expenses and or planned capital expenses. Further it limits maintenance not significantly extending the useful life of an assets.

5-25-5Cost more than $5,000Aggregate cost at least $25,000Lifespan of 5 years or more

Proposition – Priority #1 DEC Ground Spill & Site Mitigation Plan Funding can only be used for expenses with the mitigation and site

restoration directly associated with buried fuel tanks located at 355 Patchogue Holbrook Road (Sta. 2.)

Demolition and removal of ground contamination

Re-installation of Ground water clean out wells

Reoccurring ground water cleanup & ongoing monitoring

Ground site renovation and re-installation of engineered fuel storage systems.

Corrective ground site restoration (paving, landscaping restoration, etc.)

Bonds will be sold and funded in a 6-12 month window of projected expenses. Funds cannot be used for other activities.

$600,000 bond – estimate $88.99 for life of bond or $8.90 per year**

$600,000 bond – estimate $88.99 for life of bond or $8.90

per year**

Proposition - Priority #2 - Building & Ground 355 Patchogue-Holbrook RoadRenovation and extension

Official Opened October 7, 1973 Vehicles (Fire Engine, Quint, Ambulance and Brush Unit)

Structural Needs

Masonry work

Bathroom Renovation

Fire Alarm and ADA compliancy

Plumbing and utility upgrades

RPZ valve replacement and re-engineering

Critical compliance needing long term solution

Truck room floor space

Siren

Storage

Training / Meeting Space

Site work and security enhancements

$1,600,000 bond – estimate $261.18 for life of bond or $17.41 per year**

$1,600,000 bond – estimate $261.18 for life of bond or $17.41 per year

Proposition – Priority #3Vehicle replacement- Tower Ladder

Current vehicle placed in service 1997 ($700,000 – depreciation 50% 1st 5 yrs.)

Annual Operating Costs exceeds $25,000+

Why Refabricating is bad!! (NFPA 1901-09; 1914-02; 1912-11)

Level I vs. Level II

Major Repairs and conditions exceed its wholesale value.

Introduction of better technology

Decrease in operational and repair costs, maximized in-service time

Trouble Maintaining in-service time

American LaFrance's LTI Ladder Series - 05/23/2011

Smeal Fire Apparatus Acquires LTI Aerial Assets - 06/12/2014$1,300,000 bond – estimate $183.74 for life of bond or $26.25 per year**

Proposition – Priority #3Vehicle replacement- Tower Ladder

$1,300,000 bond – estimate $183.74 for life of bond or $26.25 per year**

19982000

20022004

20062008

20102012

20142016

2018

-$200,000.00-$100,000.00

$0.00$100,000.00$200,000.00$300,000.00$400,000.00$500,000.00$600,000.00$700,000.00$800,000.00

Current Vehicle Life Cycle Cost Analysis

YOUR CAR per year FIRE TRUCKS linear 20 year Total Mileage

$1,600,000 bond – estimate $261.18 for life of bond or $17.41 per year **

SNAPSHOT into your Tax Bill and Distribution

60.5

1.1

13.2

4.6

3.7

0.4 5.9

4.22 3.3

Your 2014 Tax $ Distribution

School District County General Fund Police District Fire District

General Town Street Lighting Garbage Removal Library

Combined Highway NYS Real Prop Tax Law

School District $5051Library $ 352

County General Fund $90County Police $1100General Town $308

Combined HWY $168NYS Real Prop Tax Law $277

Fire District $385Street Lighting $35

Garbage $493

Where does your Tax dollars go 2014?Revenues 4,072,025.00

Real Property Tax 3,362,025.00

other tax items20,000.00

Fire Protection Services 10,000.00Interest & Earnings 3,000.00Rental of Real Property 34,000.00Sale of Equipment 25,000.00Refund Prior Year

Misc

State Sources

Insurance Recoveries

Fuel Sales18,000.00

Federal Sources600,000.00

Prior Year unexpected balance

Expenditures 4,081,238.00Personal Services $834,304.00

Equipment & Cap outlay $302,346.00

Fire Protection $1,804,100.00

State Retirement $129,716.00

Service Award $250,000.00

Social Security $65,249.00

Workers' Compensation $185,650.00

Life Insurance $87,054.00

Disabilty Insurance $22,831.00Medical & Dental Insurance $158,026.00

Debt Service ‘15 $150,000.00

Principal -EMS $84,625.00

Interest - EMS $7,337.00

5 Year Budget to

Budget2010 +1.1%2011 +.7%2012 +3%

2014 +2.3%2015 +1.4%

Tax bill of 48.1 index

was increased

$28.13 total

What will it cost the District?

2015 2016 2017 Total life of bond

Proposal 1 – 10yrs

$59,000 $66,500 $65,000 $669,000

Proposal 2 – 15yrs

$28,000 $149,337.50 $149,337.50 $2,047,125

Proposal 3 – 7yrs $19,500 $236,375 $230,375 $1,440,250

Committed Debt reduction by Fire Commissioner of

$150,000 7/29/14

Committed Debt reduction by Fire Commissioner of trade in value or private sale of

truck

Budgeted Debt reduction T.B.D. based on final funding draw

down.

Offset by future revenue

generation, future mitigation

funding, and decreased tax

rate

Proposed Tax increase

1.4% or lessAmounts to

$45,000

$452,212.50

$302,212.50**

Value of the BONDS utilized

$4,156,375($686,375 interest)

What will it cost the average home?** based on Estimated tax/rate index of 48.1

2015Estimated DS

DISTRICT WIDE

2016Estimated DS

DISTRICT WIDE

2017Estimated DS

DISTRICT WIDE

Total life of bond

Per Home

Yearly Life

/Home/YR

Proposal 1 – 10yrs

$0.00 $66,500 $65,000 $88.99 $8.90

Proposal 2 – 15yrs

$0.00 $149,337.50 $146,012.50 $261.18 $17.41

Proposal 3 – 7yrs

$0.00 $236,375 $230,375 $183.74 $26.25

Committed Debt reduction by Fire Commissioner of

$150,000 - 7/29/14

Committed Debt reduction by Fire Commissioner of trade in value or

private sale of truck - $216,073.88

$441,387.50$533.91 $52.56

Proposed Tax increase

1.4% or lessAmounts to $45,000

1.4 or lessAmounts to

$45,000

Based Value of the BONDS

utilized

Total for Period Yearly ~Monthly daily0

50

100

150

200

250

300

350

400

Your Cost – Based on 48.1 AVR

2016-2022 2023-2025 2025-2030Total for Period Yearly ~Monthly Daily

2016-2022 355.42 59.23 4.93 0.162023-2025 85.13 28.37 2.36 0.0772025-2030 90.43 18.08 1.50 0.049

FIND YOUR TAX RATE Visit http://www.townofislip-ny.gov/departments/assessor/assessment-roll

Accept Terms

Enter Address information select and enter.

To figure out your 2016 additional rates for proposals, multiply by your accessed vale / 1000

Proposal 1 – DEC 0.18 Tax Rate for 2016

Proposal 2 – Station 2 0.40 Tax Rate for 2016

Proposal 3 - Tower Ladder 0.63 Tax Rate for 2016

AV x TR = Your Portion Annual Woodgate Village 21.9 x .018 = $2.54/yr

21.9 x .40 = $8.76/yr

21.9 x .63 = $13.80/yr

Public Education Sessions

Will be posted on the Department website, message boards, Facebook and within the building.

Questions?

TUESDAY SEPTEMBER 9th, 2014

9 a.m. to 9 p.m.

HOLBROOK

“Public Vote to address the 2015 Capital Project Bond Resolutions”