Finance Committee

CITY OF HENDERSONVILLE FINANCE COMMITTEE February 27th, 2024, at 6:00 p.m. 101 Maple Drive North, Hendersonville, TN 37075 I. Call to Order by the Chairman II. Acceptance of agenda III. Minutes A. Approval of January 23rd, 2023, meeting minutes 2-4 IV. Public Comments V. Ordinances and Resolutions Clary 1. Reading of Ordinance 2024-05, an ordinance amending Budget Ordinance 5-11 Clary 2023-11 to reflect mid-year adjustments to the City’s 2024 fiscal year budget Goodwin 2. Reading of Resolution 2024-13, a resolution to apply for an Assistance to 12-14 and Collins Firefighters Grant (AFG) through the Federal Emergency Management Agency (“FEMA”) VI. Other Agenda Items 3. Update on FY24 health insurance plans (verbal update) 4. Sales Tax Analysis Report (to be provided under separate cover) 5. Hotel-Motel Tax Report (to be provided under separate cover) 6. Investment Earnings Analysis (to be provided under separate cover) 7. Stormwater Report (to be provided under separate cover) 8. Other Business VII. Adjournment Anyone needing accommodations due to disabilities, please contact the ADA Coordinator at 615-822-1016 at least 24 hours prior to the meeting.  FINANCE COMMITTEE MEETING MINUTES January 23, 2024 CONFERENCE ROOM 2 @ 6:00 pm Present: Karen Dixon, Mark Burgdorf, Jeffrey Sasse Absent: None Others Present: Mayor Jamie Clary, Jesse Eckenroth, Tamara Ingersoll, Andy Gilley, Lance Wray, Casey LaMarr, Terri Goodwin, Janna Garton, Eddie Roberson, Bob Garza Called to order at 6:00 pm Motion to amend the agenda to add an item between #4 and #5 for discussion with Sumner County regarding maintenance of the Hendersonville Library. Motion: Jeffery Sasse Second: Mark Burgdorf Vote: Approved unanimously 3-0 Motion to Accept the January 23, 2024, Finance Committee Agenda Motion: Jeffrey Sasse Second: Mark Burgdorf Vote: Approved unanimously 3-0 Motion to Approve the November 28, 2023, Finance Committee Meeting Minutes Motion: Mark Burgdorf Second: Jeffery Sasse Vote: Approved unanimously 2-0, Karen Dixon abstained Motion to Approve the January 9, 2024, Finance Committee Meeting Minutes Motion: Jeffery Sasse Second: Mark Burgdorf Vote: Approved unanimously 3-0 Citizens’ Comments None Ordinances and Resolutions Reading of Resolution 2023-53, a resolution to the General Assembly requesting statutory/constitutional authority to adopt a new property tax freeze program from increased real property taxes for residential homeowners Discussion: Alderman Sasse led the discussion. He explained that if this program was approved it would apply to owner occupied residents only. Property taxes would remain flat as long as the resident applies every year for this program. Other ways that the rate would change include if the home is sold or has a major improvement. This program would not apply to commercial property. This program would require a State law change. Motion to positively recommend Resolution to BOMA: Jeffrey Sasse Second: Mark Burgdorf Vote: 2 Ayes: Jeffery Sasse and Mark Burgdorf and 1 No: Karen Dixon Reading of Resolution 2024-05, a resolution pledging to freeze property taxes for a period of 4 years upon voter approval of referendum to increase local option sales tax on one-half (1/2) penny per dollar Discussion: Alderman Roberson led the discussion. He explained that this would treat all similarly situated tax payers the same and would put no additional impact on businesses. This resolution would be a pledge by BOMA to not increase property taxes if the sales tax referendum is passed by the voters. Motion to refer resolution to BOMA for consideration without a recommendation: Karen Dixon Second: Mark Burgdorf Vote: Approved unanimously 3-0 Reading of Resolution 2024-09, a resolution to waive 2024 beer permit fees for properties damaged by the December 9, 2023 tornado Alderman Skidmore led the discussion. This resolution came as a request from the Breer Board and would provide relief in the form of waived beer permit fees for 2024 for those businesses impacted by the December 9, 2023 tornado. Motion to refer to BOMA with a positive recommendation: Jeffery Sasse Second: Mark Burgdorf Vote: Approved unanimously 3-0 Other Agenda Items Discussion: Receive and File FY2023 Annual Comprehensive Financial Report Ken Youngstead and Julie Evans from Kraft CPAs presented the FY2023 audit. They gave a brief overview of the audit including a description of new accounting policies. There was nothing unusual to report. There were no findings. Discussion with County Commissioner regarding the Hendersonville Library County representatives began the discussion regarding maintenance of the Hendersonville Library. There is a resolution from 2015 that includes the responsibilities of the City and the County. This now seems too vague and City and County staff have agreed to work together to develop a new agreement that outlines the understanding of the responsibilities of both parties. Sales Tax Analysis This item was not discussed. Hotel-Motel Tax Analysis This item was not discussed. Investment Activity This item was not discussed. Stormwater Fund Report This item was not discussed. Motion to Adjourn Motion: Mark Burgdorf Second: Jeffery Sasse Vote: Approved unanimously 3-0 Adjourned 6:56 pm ______________________________ Karen Dixon, Chairwoman  ORDINANCE 2024-05 Sponsor: Clary AN ORDINANCE AMENDING BUDGET ORDINANCE 2023-11 TO REFLECT MID- YEAR ADJUSTMENTS TO THE CITY’S 2024 FISCAL YEAR BUDGET WHEREAS, on June 27, 2023, the City’s governing body passed Ordinance 2023-11 (the “Budget Ordinance”) adopting the City’s operating budget for Fiscal Year 2024; WHEREAS, the Budget Ordinance was based on projected revenues and anticipated expenditures for Fiscal Year 2024; WHEREAS, there have been over six (6) months of actual revenue, expenditure activity and other adjustments, and the City desires to amend the budget ordinance mid-year to reflect this activity and these adjustments: NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF MAYOR AND ALDERMEN OF THE CITY OF HENDERSONVILLE, TENNESSEE, that the City’s Fiscal Year 2024 Budget Ordinance, Ordinance 2023-11, is hereby amended in accordance with the mid- year budget adjustments set forth in the attached Exhibit A. This ordinance shall take effect on the earliest date allowed by law. First Reading: ______________________ Second Reading: APPROVED: JAMIE CLARY, Mayor ATTEST: ___________________________________ TAMARA INGERSOLL, City Recorder APPROVED AS TO FORM: ____________________________________ LANCE A. WRAY, City Attorney  LEGISLATIVE HISTORY Ordinance 2024-05 Sponsor: Clary Committee: Finance Date of Committee Meeting: February 27th, 2024 Committee Recommendation:  EXHIBIT A BUDGET AMENDMENT WORKSHEET BUDGET SUMMARY COMPARISON FY24 Original Combined Operating and Non-Operating Budget Surplus/(Deficit) $ (1,804,598.00) FY24 Mid-Year Combined Operating and Non-Operating Budget Amendment Surplus/(Deficit) $ 6,938.00 FY24 Combined Surplus/(Deficit) $ (1,797,660.00) Current Budget (Includes Requested Encumbrances Rolled Expenditure Requested Revenue Use of Fund Account Code Description Forward) Amendment Amendment Balance Adjusted Budget Justification GENERAL FUND OPERATING REVENUE BUDGET AMENDMENTS 1 110-000-00000-0000-0000-433510- STATE SALES TAX $ 6,798,313.00 $ 500,000.00 $ 7,298,313.00 Based on actual receipts 2 110-000-00000-0000-0000-431810- MINIMUM BUSINESS TAX $ 1,675,000.00 $ 75,000.00 $ 1,750,000.00 Based on estimated YE receipts 3 110-000-00000-0000-0000-432963- PLANNING - REVIEW FEES $ 52,000.00 $ 43,000.00 $ 95,000.00 Based on updated fee schedule 4 110-000-00000-0000-0000-432965- FIRE - REVIEW FEES $ 170,000.00 $ 80,000.00 $ 250,000.00 Based on updated fee schedule 5 110-000-00000-0000-0000-432962- PLANNING - PERMITS $ 18,000.00 $ 62,000.00 $ 80,000.00 Based on updated fee schedule 6 110-000-00000-0000-0000-432961- CODES - REVIEW FEES $ 210,000.00 $ 70,000.00 $ 280,000.00 Based on actual receipts 7 110-000-00000-0000-0000-436330- SALE OF EQUIPMENT $ - $ 100,000.00 $ 100,000.00 Auction proceeds from old equipment 8 110-000-00000-0000-0000-436100- INTEREST EARNINGS $ 900,000.00 $ 600,000.00 $ 1,500,000.00 Adjusted based on actual earnings 9 110-000-00000-0000-0000-434210- SPECIAL POLICE SERVICE $ 4,000.00 $ 15,000.00 $ 19,000.00 Based on actual receipts 10 110-000-00000-0000-0000-436350- INSURANCE RECOVERIES $ 950,000.00 $ 360,000.00 $ 1,310,000.00 Tornado damage reimbursement For properties (Fire Station 5 and Country Hills) 11 110-000-00000-0000-0000-436350- INSURANCE RECOVERIES $ 950,000.00 $ 69,000.00 $ 1,019,000.00 damaged in the winter freeze event 12 110-000-00000-0000-0000-433130-FEMA FEMA GRANTS $ 300,000.00 $ 125,000.00 $ 425,000.00 Tornado damage reimbursement 13 110-000-00000-0000-0000-436710- CONTRIBUTIONS FROM DEVELOPERS $ 25,000.00 $ 115,000.00 $ 140,000.00 Based on actual contributions received Donation for Parks to be used for temporary 14 110-002-00000-0000-0000-436700- CONTRIBUTIONS - PARKS SPONSORS $ 38,000.00 $ 25,000.00 $ 63,000.00 maintenance location Based on actual contributions received for Mary's 15 110-002-00000-0000-0000-436700-MMPLC CONTRIBUTIONS & DONATIONS $ - $ 30,000.00 $ 30,000.00 Magical Place 16 110-000-00000-0000-0000-436700- CONTRIBUTIONS & DONATIONS $ 10,000.00 $ 25,000.00 $ 35,000.00 Donation for PD, Citizen's Police Academy 17 110-000-00000-0000-0000-436700- CONTRIBUTIONS & DONATIONS $ 10,000.00 $ 18,098.00 $ 28,098.00 Donation from Hendersonville Rising for Parks $ 2,312,098.00 GENERAL FUND OPERATING EXPENDITURE BUDGET AMENDMENTS 18 110-000-43000-0033-0000-547300- REPAIR & MAINT - GUARDRAILS $ 30,000.00 $ 60,000.00 $ 90,000.00 Based on actual expenditures YTD 19 110-000-41690-0016-0000-536000- COMPUTERS $ 327,832.00 $ 143,000.00 $ 470,832.00 Tyler MUNIS renewal 20 110-000-42200-0043-0000-526100- REPAIR & MAINT - MOTOR VEHICLE $ 160,000.00 $ 50,000.00 $ 210,000.00 Based on increased Fire vehicle maint. EMAC Repayment - TEMA overpaid CoH in December 21 110-000-41920-0043-0000-574300- REFUND OF PY GRANT REVENUE $ - $ 15,000.00 $ 15,000.00 2019 22 110-000-41700-0022-0000-525400- LANDSCAPING SERVICES $ - $ 100,000.00 $ 100,000.00 Tree Bank expenditures 23 110-000-00000-0000-0000-326240-TREES RESTRICTED FUND BALANCE-TREE BANK $ 399,786.34 $ 100,000.00 $ 299,786.34 Use of Tree Bank 24 110-000-41620-0013-0000-512910- SALARIES - CENTRAL SERVICES $ 158,080.00 $ 14,000.00 $ 172,080.00 Based on actual hours (legal and judicial 25 110-000-41690-0017-0000-551100- GENERAL LIABILITY INSURANCE $ 990,000.00 $ 55,000.00 $ 1,045,000.00 Based on actual cost 26 110-000-41690-0017-0000-513800- RETIREE MEDICAL INSURANCE $ 111,000.00 $ 47,000.00 $ 158,000.00 Based on actual costs, additional retirees 27 110-000-42100-0042-0000-511100- SALARIES - PERM EMPLOYEE - REG $ 11,268,784.00 $ (300,000.00) $ 10,968,784.00 Police Department vacancies 28 110-000-42100-0042-0000-594000- MACHINERY AND EQUIPMENT $ 1,022,744.47 $ 400,000.00 $ 1,422,744.47 Police Department vehicles, up to 10  Current Budget (Includes Requested Encumbrances Rolled Expenditure Requested Revenue Use of Fund Account Code Description Forward) Amendment Amendment Balance Adjusted Budget Justification 29 110-000-42100-0042-0000-580000- NON-CAPITAL ASSETS $ 193,720.32 $ 200,000.00 $ 393,720.32 Equipment for up to 10 Police vehicles Two plows and two salt spreaders for existing dump 30 110-000-43000-0033-0000-594000- MACHINERY AND EQUIPMENT $ 299,919.19 $ 100,000.00 $ 399,919.19 trucks Donation for PD, Citizen's Police Academy, has 31 110-000-42100-0042-0000-532900- OTHER OPERATING SUPPLIES $ 74,245.00 $ 25,000.00 $ 99,245.00 offsetting donation revenue 32 110-000-41620-0013-0000-532900-BEAUT BEAUTIFUL HENDERSONVILLE SUPPL $ 10,500.00 $ 12,500.00 $ 23,000.00 Wreaths and pumps for Memorial Bridge Updated amounts for traffic signal repairs, playground equipment, turf cleaning and patching at Drakes Creek Park and sign replacement at City Hall related to the tornado. Offsetting revenues from 33 110-000-41620-0013-0000-550100- INSURANCE CLAIM - RECOVERABLE $ 950,000.00 $ 360,000.00 $ 1,310,000.00 insurance Updated amounts for debris and hazardous tree OTHER PROFESSIONAL SERVICES - removal related to the tornado. Offsetting revenues 34 110-000-41620-0013-0000-525900-FEMA RECOVERABLE $ 300,000.00 $ 125,000.00 $ 425,000.00 from FEMA 35 110-000-44700-0015-0000-526500-15004 MAINT - MARY'S MAGICAL PLACE $ 15,700.00 $ 30,000.00 $ 45,700.00 Inspections, maintenance and repairs of equipmnent For properties (Fire Station 5 and Country Hills) 36 110-000-41620-0013-0000-550100- INSURANCE CLAIM - RECOVERABLE $ 950,000.00 $ 70,000.00 $ 1,020,000.00 damaged in the winter freeze event For signal retiming on Main St, New Shackle Island Rd 37 110-000-43000-0033-0000-525900- OTHER PROFESSIONAL SERVICES $ 115,000.00 $ 50,000.00 $ 165,000.00 and Indian Lake Blvd/Drakes Creek Rd 38 110-000-43231-0048-0000-529300- DISPOSAL SERVICE $ 2,978,250.00 $ 50,000.00 $ 3,028,250.00 Based on actual costs and unit count growth Multiple HVAC replacement/repair, multiple roof maintenance/repair, janitorial and landscaping 39 110-000-41620-0013-0000-526600- REPAIR & MAINT - BLDGS $ 62,000.00 $ 60,000.00 $ 122,000.00 increase Purchase second set of turnout gear for 7 staff 40 110-000-42200-0043-0000-534500- EMERGENCY GEAR $ 142,905.40 $ 15,000.00 $ 157,905.40 members who have only one set issued to them Repair Annex Roof due to age and damage from 41 110-000-42100-0042-0000-526600- REPAIR AND MAINTENANCE BLDGS $ 44,500.00 $ 35,210.00 $ 79,710.00 Tornado (insurance is covering roughly $7k) 42 110-000-41690-0017-0000-521100- POSTAGE EXPENSE $ 500.00 $ 60,000.00 $ 60,500.00 Postage and mailers regarding trash contract 43 110-000-42200-0043-0000-575100- TRANSFER TO EQUIPMENT REPLACEM $ 180,000.00 $ (180,000.00) $ - To fund portion of fire engine 44 110-000-42200-0043-0000-594000- MACHINERY AND EQUIPMENT $ 819,089.32 $ 1,000,000.00 $ 1,819,089.32 Replacement fire engine $ 2,596,710.00 $ 100,000.00 FY24 Original Operating Budget Surplus/(Deficit) $ 592,903.00 FY24 Mid-Year Operating Budget Amendment Surplus/(Deficit) $ (184,612.00) Combined Surplus/(Deficit) $ 408,291.00  Current Budget (Includes Requested Encumbrances Rolled Expenditure Requested Revenue Use of Fund Account Code Description Forward) Amendment Amendment Balance Adjusted Budget Justification GENERAL FUND NON-OPERATING REVENUE ADJUSTMENTS 45 110-000-00000-0000-0000-433460-33027 WEST MAIN LED CONVERSION $ 135,000.00 $ (27,000.00) $ 108,000.00 Need to adjust to 80/20 rather than 100/0 46 110-000-00000-0000-0000-433480-15017 LPRF GRANT $ 625,000.00 $ 32,580.00 $ 657,580.00 Based on updated grant amount 47 110-000-00000-0000-0000-436710- CONTRIBUTIONS FROM DEVELOPERS $ 25,000.00 $ 390,000.00 $ 415,000.00 For Maple Row traffic signal Donations for ice machine $2,000 and TSSAA State Cross Country $2,000 for Sanders Ferry Park 48 110-002-00000-0000-0000-436700- CONTRIBUTIONS & DONATIONS $ 10,000.00 $ 4,000.00 $ 14,000.00 improvements 49 110-002-00000-0000-0000-436700- CONTRIBUTIONS & DONATIONS $ 38,000.00 $ 10,000.00 $ 48,000.00 TN United donation for rugby $ 409,580.00 GENERAL FUND NON-OPERATING EXPENDITURE ADJUSTMENTS 50 110-000-41920-0015-0000-593700-15022 PICKLEBALL CONSTRUCTION $ 567,131.50 $ (430,000.00) $ 137,131.50 Based on revised pickleball plan 51 TBD Drakes Creek Shop Plan $ - $ 45,000.00 $ 45,000.00 Drakes Creek shop plan 52 TBD Bradford Berry Temporary Protection $ - $ 20,000.00 $ 20,000.00 Bradford Berry maintenance Sanders Ferry Park Improvements. Funded with 53 110-000-41920-0015-0000-593700-15045 SANDERS FERRY PARK IMPROVEMENT $ 45,809.00 $ 4,000.00 $ 49,809.00 donations For project expenses. Offsetting donation revenue 54 110-000-41920-0015-0000-593700-15017 LPRF Grant - Drakes Creek Park & Rugby $ 1,265,053.00 $ 10,000.00 $ 1,275,053.00 from TN United Temp facility funded with donations, insurance line item savings from Parks doing some work in-house 55 TBD Parks Temporary Maintnance Operations $ - $ 75,760.00 $ 75,760.00 and Hendersonville Rising donations. Project cost less than expected so funds can be 56 110-000-41920-0033-0000-526800-33034 WALTON TR RRFB PEDESTRIAN CRX $ 40,000.00 $ (9,000.00) $ 31,000.00 released to general fund NEW PROJECT: Design & construction of new traffic signal. Has offsetting revenue from developer 57 TBD Traffic Signal Maple Row Blvd at East Main $ - $ 390,000.00 $ 390,000.00 contributions Project ready to bid; Opinion of probable cost 58 110-000-41920-0033-0000-526800-33015 SAUNDERSVILLE & AVONDALE INT $ 248,744.00 $ 112,270.00 $ 361,014.00 estimates $328K $ 218,030.00 FY24 Original Non-Operating Budget Surplus/(Deficit) $ (2,397,501.00) FY24 Mid-Year Non-Operating Budget Amendment Surplus/(Deficit) $ 191,550.00 Combined Surplus/(Deficit) $ (2,205,951.00) STATE STREET AID BUDGET AMENDMENTS Multiple major repairs needed this FY for aging 59 121-000-43190-0050-0000-526200- REPAIR & MAINT - MACH & EQUIP $ 30,000.00 $ 20,000.00 $ 50,000.00 equipment - State Street Aid 60 121-000-00000-0000-0000-436100- INTEREST EARNINGS $ 4,000.00 $ 20,000.00 $ 24,000.00 Increase Interest Earnings for State Street Aid DATE: February 27, 2024 ORDINANCE/RESOLUTION # Ordinance 2024-05 That the Board of Mayor and Alderman consider SPECIFIC REQUEST/ Ordinance 2024-05, a mid-year budget ordinance, RECOMMENDATION: amending the Fiscal Year 2023/2024 Budget for the City of STAFF Hendersonville. REPORT REPORT PREPARED BY: Tamara Ingersoll, Finance Director BACKGROUND: 1 On an annual basis the city appropriates funds to facilitate the orderly operations of local government services. The city’s budget year, or fiscal year, begins July 1st and ends June 30th. The budget is segregated between multiple funds, the General Fund being the primary fund used for the city’s operations. The General Fund is divided amongst the different departments and functions of the city. Each department within the General Fund in segregated into three groups of expenses: salaries/benefits, assets, and operations. The expense groups have itemized expense accounts (line items) within the group that serve as a budgeting guide, but the budget is ultimately constrained by the total group budget and not by the individual line items. The mid-year budget review serves as a time to review and revise the budget based on 6 months of actual activity and updated projections. DISCUSSION: 2 Fiscal Year 2023-2024 continues to yield revenue growth. The budgeted revenue numbers have been revised to reflect six months of actual revenues and the updated projections for the remaining six months. The revenue projections for the General Fund budget are expected to increase by approximately $2.7 million. The revenue growth is primarily driven by an increase of $600,000 in investment earnings, $185,000 in Planning fees due to the updated fee schedule, $500,000 in sales taxes and various other revenues. The primary additional expenses being proposed with the mid-year review: • Police and Fire equipment • Project prioritization (Signal timing, Sandersville Rd and Avondale intersection, Traffic Signal at Maple Row and East Main) • Repairs and Maintenance of buildings and equipment FISCAL IMPACT: 3 The additional General Fund revenue projections amount to $2,721,678 and the expenditures being proposed with the mid-year review are divided into several categories: • Operating expenses - $2,596,710 • Non-operating expenses - $218,030 • Use of reserved fund balance – $100,000  O23-03 Staff Report Page 2 The amendments result in a balanced operating budget and improve the overall financial position of the budget. The FY24 mid-year amendments will bring the General Fund from a $1,804,598 deficit to a $1,797,660 deficit. Special Revenue Fund State Street Aid has minor amendments that net to zero dollars and are included in the attached list of budget adjustments. ATTACHMENTS: 4 Exhibit “A” is attached to Ordinance 2024-05 and itemizes every proposed budget amendment.  RESOLUTION 2024-13 Sponsors: Goodwin, Collins, and Garton A RESOLUTION TO APPLY FOR AN ASSISTANCE TO FIREFIGHTERS GRANT (AFG) THROUGH THE FEDERAL EMERGENCY MANAGEMENT AGENCY (“FEMA”) WHEREAS, the Federal Emergency Management Agency (FEMA) provides Assistance to Firefighters Grants (AFG) for local agencies to assist with funding of critically needed resources, equipment, training and other support; WHEREAS, the AFG is a 90/10 matching grant with a maximum award of $1,000,000, meaning should the City be awarded the maximum amount the City’s obligation would be no more than $100,000; WHEREAS, the Hendersonville Fire Department has identified a number of vital uses for such funds which include updating critical exhaust systems at specified fire halls, updating and replacing various necessary extrication and other rescue tools, and providing additional EMT/AEMT and other training to personnel; NOW, THEREFORE, BE IT RESOLVED, BY THE BOARD OF MAYOR AND ALDERMEN OF THE CITY OF HENDERSONVILLE, TENNESSEE, that the Mayor is authorized to execute any necessary documents to make application for the Assistance to Firefighters Grant (AFG) through the Federal Emergency Management Agency (FEMA) to assist with critical expenses of the Hendersonville Fire Department, with the intent that the City will assume financial responsibility of ten percent (10%) of such grant award. ADOPTED this the _____ day of ________________, 2024. APPROVED: JAMIE CLARY, Mayor ATTEST: ___________________________________ TAMARA INGERSOLL, City Recorder APPROVED AS TO FORM: ____________________________________ LANCE A. WRAY, City Attorney  LEGISLATIVE HISTORY Resolution 2024-13 Sponsors: Goodwin, Collins, and Garton Committee: Finance Date of Committee Meeting: February 27th, 2024 Committee Recommendation: BOMA Reading: February 27th, 2024 DATE: February 27th,2024 ORDINANCE/RESOLUTION # Resolution 2024-13 This is a request for permission to apply for an Assistance SPECIFIC REQUEST/ RECOMMENDATION: to Firefighters Grant (AFG). The maximum amount is 1 million dollars and is a 90/10 split. STAFF REPORT REPORT PREPARED BY: Scotty Bush, Fire Chief BACKGROUND: 1 AFG safety grants fund critically needed resources and equip and train emergency personnel, enhance efficiencies and support community resilience. The grant period is open now until March 8, 2024, when it will close. We are seeking high priority considered items for this grant. DISCUSSION: 2 The Fire Department is looking to replace all our old exhaust systems at Stations 1, 3, 4, 5, and 6 at a cost of $224,000.00 which will protect our staff and stations from the carcinogens from diesel exhaust. We are also looking to replace our extrication tools on each of our truck companies at a cost of $246,462 to replace our current aging equipment. The remaining cost will be used to pay for an in-house EMT/AEMT and Paramedic class. That total would not exceed $529,538.00 for the EMS class. FISCAL IMPACT: 3 The AFG is a 90/10 split which translates into the city only paying 10% of the total cost, which would not exceed $100,000 if the maximum of $1 million was applied for. It is hard to provide a definitive amount until we see how many students will be placed into the EMS classes. It will be provided prior to the meeting. ADDITIONAL INFORMATION / PHOTOS: 4 Quotes for the exhaust systems can be provided per station and quotes can be provided for the extrication equipment for both trucks. With the two known costs for the exhaust systems and the extrication equipment the total is $470,462.00 which would leave up to $529,538.00 for the EMS training. ATTACHMENTS: 5 N/A