By K. L. Klein
Milwaukee Journal Sentinel
GERMANTOWN, Wis. — After about 20 years, the town has severed its contract with the village for fire protection services, switching to the Richfield Volunteer Fire Company.
However, Germantown village officials expect the town to change its mind after residents discover they likely will have to pay more in homeowners insurance because of the difference in the two department’s ISO ratings.
ISO, a property/casualty insurance company, uses a rating system to review the fire-fighting capabilities of individual communities. ISO assigns a Public Protection Classification from 1 to 10. Class 1 generally represents superior property fire protection; Class 10 indicates that the area’s fire-suppression program doesn’t meet ISO’s minimum criteria.
The Germantown Fire Department is a Class 4; Richfield is a Class 6.
Homeowners’ insurance rates for town residents could increase because of the difference in ratings, Village Administrator David Schornack said.
Also, the village will charge town residents the nonresident rate if the Germantown Fire Department has to send an ambulance to the town through mutual aid, he said. Nonresidents pay $100 more per call, or $450.
Village wanted more money
A town official cited financial reasons for the switch. Village officials said they were asking for a slight increase to recover some of the department’s costs in providing service to the town.
According to a Richfield Volunteer Fire Company news release, the town began contracting with the department for fire and emergency medical services Jan. 1, solely for financial reasons.
“The town of Germantown desired to stay with the Germantown Fire Department, but had to investigate other options when confronted with rising costs and an inability to raise its property tax levy,” the news release states.
“The village wanted us to pay more,” Town Chairman Paul Metz said.
The town sought bids from Richfield — a private, nonprofit company — and the Jackson Fire Department, according to the news release.
Town officials were unavailable to comment on the financial details of the contract with Richfield; Richfield officials also declined to comment on the financial details.
Village budgeted $10,000
Germantown Finance Director Kim Rath said the village charged the town about $9,400 for fire and emergency medical services using a formula based on equalized values. The town also turned over to the village about $765 in fire dues it received from the state, she said.
The other cost, paid by village and town residents, is for ambulance runs.
“I am surprised this happened,” Schornack said. “We felt they (town residents) were getting a good deal.”
Germantown Village President Thomas Kempinski said the village was asking for 5 percent more a year, compounded each year, until the town hit about $11,000. The village also was asking for a 1 percent contribution for capital purchases. Currently, the town does not contribute to capital purchases.
Rath said the village had built its 2010 budget with the $10,000 in estimated revenue from the town and likely will have make up the loss within the budget.
Richfield covers wider area
The Richfield news release stated the department is capable of responding to emergencies within the 1-square-mile town while also providing continued protection to the residents in its current coverage area — 48 square miles covering Richfield and portions of the towns of Erin and Polk.
The Washington County Sheriff’s Department will receive the town’s 911 calls and dispatch the Richfield Volunteer Fire Company, according to the release.
Richfield has about 58 firefighters, emergency medical technicians and firefighter/EMT personnel.
The Germantown Fire Department covers 35 square miles and has 36 paid-on-call firefighters, and a mix of eight full- and part-time firefighter/EMTs, including the chief and deputy chief.
“I don’t think this issue is going to go away,” Schornack said of the possibility of the town returning to the village for service.
Copyright 2010 Journal Sentinel Inc.