The ownership structure of the Inter-Township Fire Department (ITFD) could be changing soon as a draft agreement has been drawn up which would see Meaford sell its stake in the department to Georgian Bluffs.
If passed by both councils, Georgian Bluffs would pay Meaford $488,000 for its 25 per cent stake of the physical assets of the fire department and become the sole operator as of Jan. 1, 2021.
Meaford would continue to receive fire protection for the western part of its municipality from the Inter-Township Fire Department under a new service agreement with Georgian Bluffs.
The proposed five-year service agreement would see Meaford pay an $86,000 stand-by fee in year one. It would drop incrementally each year until it reaches $68,000 by 2025.
Meaford would also pay fees for calls. A Georgian Bluffs staff report estimates that would be around $55,000 annually, but is impossible to accurately predict as it’s dependent on volume.
In all, the projected cost for Meaford under the proposed five-year service agreement is $677,000.
A Meaford staff report estimates the municipality will save about $245,000 in operating costs over the course of the five-year contract, as the annual stand-by fee it is paying to ITFD has lowered significantly under the draft agreement with Georgian Bluffs.
According to a Georgian Bluffs staff report, the township taking sole ownership of ITFD will not impact the tax levy.
“Cost savings will be realized with the elimination of board meetings, the elimination of a separate audit for ITFD financial statements, improved procurement practices and the elimination of administrative fees that the ITFD board currently pays Georgian Bluffs,” a report by Georgian Bluffs interim CAO Kassandra Rocca explains.
Nothing is official yet as bylaws still have to be passed in Meaford and Georgian Bluffs. They’re expected to come forward for approval in late November or early December.
Meaford is planning a public information session about the draft agreement on Nov. 17 at Woodford Hall before it passes a bylaw.
Discussions between the two municipalities about Georgian Bluffs potentially taking over sole ownership of the fire department began in 2019.
According to a Georgian Bluffs staff report, concerns were raised in 2017 about the ITFD agreement. A legal opinion sought by Georgian Bluffs to determine if the joint board of management was established and operated in compliance with the Municipal Act identified roles, duties and expectations of the board were not fully defined.
The joint board of management will be dissolved as part of the ITFD changes in the draft agreement.
Meaford also invited the Office of the Fire Marshal and Emergency Management to conduct a voluntary review of fire services in the municipality in 2017. One takeaway from that was Meaford council must ensure the same level of fire services are provided in all areas of the municipality.
In 2019, Meaford council approved a Master Fire Plan that included the recommendation to make significant changes to the ITFD service or replace it.
After an update was presented to both councils in July 2019 in closed session, staff in both municipalities recommended the dissolution of the existing ITFD partnership and Georgian Bluffs taking sole ownership while Meaford would enter a fee-for-service agreement to continue to provide fire suppression services in the geographic former township of Sydenham, based on a closest hall response model.
A coverage map is currently being developed and will be validated by the fire chiefs of the Inter-Township and Meaford fire departments.
The Inter-Township Fire Department was established prior to amalgamation in 2001 as a joint-venture between the former townships of Sydenham, Keppel, Derby and Sarawak.
