IFPD budget debate continues

The special meeting of the Idyllwild Fire Protection District (IFPD) commission resulted in no action and a continuation of the budget watching until next week’s meeting at 5:30 p.m., Tuesday, Jan. 12.

“I thought we’re here to address the budget,” said Commissioner Dr. Charles “Chip” Schelly. “I am quite frustrated to come to meeting and just go over the budget and don’t do anything.”

Schelly expressed this concern after Chairman Paul Riggi announced that the session would be only a budget review and without any action requiring a vote.

Despite the absence of Commissioner and Treasurer Ben Killingsworth, who has expressed strong concern about the district’s budget strength, Fire Chief Steve Kunkle said, “We’re [the budget] spot on.”

His current budget recommendations project a positive $1,400 balance on June 30, 2010, at the end of the current fiscal year. However, Kunkle admitted that good fortune had smiled on the district.

As a result of joining the county’s Teeter Plan which will provide some protection for future tax revenues, the county reviewed past years and discovered $138,000 of past due tax receipts.

“I was quite surprised,” Kunkle noted. “I’m gratified, but it is one time only.”

This unplanned windfall substantially insures the budget for the remainder of the year, according to Kunkle. He also recommended budget adjustments of about $14,000. The largest was a $30,000 reduction in the career salaries account due to former Capt. James Manietta’s retirement. He also recommended reducing his Contingency Account by $10,000 from $28,250 to $18,250, and paramedic training from $7,500 to $4,500.

His $14,000 in adjustments plus the unexpected $138,000 creates a budget projected to have $1,400 surplus. But, Kunkle’s proposal makes no provision for paying for the Zoll Medical equipment, if it is kept, or any other costs that may occur as a result of returning the equipment, such as a restocking fee or legal costs.

Since the commission did not yet know the final resolution and its concomitant cost, these funds could not yet be included in the budget process.

Questions were also raised about the status of the agency’s reserves. Since Dec. 2008, IFPD’s reserves have fallen almost $225,000 (or 40 percent). Much of that money, according to the Craig Coopersmith, IFPD’s financial officer, was used for cash until the property tax revenues were received last month. Those deposits will restore the previous levels.

But $170,000 has been “borrowed” from the Benefits and Capital Reserve Accounts without any prior discussion with the commission. In addition, nearly $32,000 of Benefit reserves was used to pay for unused vacation.

Earlier in the meeting, Schelly expressed his concern about the continuing growth of IFPD’s budget. He expressed doubt that tax revenues would continue to grow at the same rate as in the past three to five years.

“If we keep that projection, we won’t have revenues to meet the budget,” he warned. We can’t keep setting the budget higher and higher. We won’t have the revenues.”

In response, Kunkle said he felt very comfortable wit his current five-year projections and recommendations for additional staff.