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By Ashley Lavallee-Koenig

A "WIN-WIN"

Town of Blackfalds and Lacombe County upgrade fire services agreement

Oct 23, 2024 | 4:55 PM

Lacombe County and the Town of Blackfalds have both approved a new Fire Services Agreement, which would move payments to Blackfalds to a fee for service model and improve cost recovery for the Town.

As a part of the agreement, Lacombe County will be purchasing a 50 per cent stake in the Blackfalds Fire Hall to the tune of $1.37 million; Blackfalds Director of Corporate Services Justin de Bresser said this revenue will be put into a reserve account in the event the agreement is terminated in the future, as the Town would need to purchase it back.

Tim Timmons, Lacombe County Manager, called purchasing a stake in the fire hall a “critical element” of the agreement, as it addresses the fact that 50 per cent of the calls for Blackfalds fire department services are for Lacombe County residents and businesses.

Another stipulation of the contract is that the Town buys out equipment that is currently jointly owned by it and the County at a cost of $195,115. This expense will be taken from the General Capital Reserve.

Gaining full ownership of the equipment and the transition to a fee for service model allows the Town to charge the County hourly for services based on provincial rates, as opposed to the lower internal rates that have been used up to this point.

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“Previously, the rates were a lot lower because we had internal rates that we [used with] the county,” said de Bresser. “We charged personnel plus equipment, and now it’s just all-encompassing it into one lump sum per unit.”

Blackfalds’ report, prepared by de Bresser, explained how this change should increase revenue and benefit cost recovery for the Town.

“The current revenue from the county amounts to around $68,500 per year, depending on calls. The new agreement is comprised of two parts: one is the fixed cost of running the fire hall, estimated at $82,000. Secondly, the fire call response rates within the county will be billed at provincial rates, which is estimated to be $113,000 (Based on 2023 fire calls),” he explained in the report.

The county and the town have had standalone agreements for services for at least 25 years, said Timmons, including the purchase of firefighting equipment, rental of the fire hall facilities, and the actual provision of the services.

He called the new agreement a “win-win” for both parties and explained that it consolidates these various elements into one document and formalizes the new funding model.

Overall, the County’s report outlined the benefits of the new funding model and agreement as such:

• Simplified administration and accounting. Currently, the delivery of fire services under the hybrid fire department model is administered by three separate operation and funding agreements.
• Simplified command structure. The Town Fire Chief will be responsible for all equipment, staff, and tactics in accordance with Lacombe County standards.
• Reduction in liability. Under the Fee for Service model, the Town assumes all liabilities associated with the fire department. These liabilities include actions and conditions associated with equipment, operations, and personnel.

Lacombe County council approved the agreement on their end in the regular council meeting on Oct. 10, and Blackfalds’ town council approved it on Oct. 22. Now that it has been approved, finances will be exchanged and implementation will begin.

The agreement’s termination date is December 31, 2044, with formal reviews set to take place every three years and termination clauses in place.