The qathet Regional District has approved funds, and amendments to the budget, to help replace Northside Volunteer Fire Service’s fire engine.
A report was issued to the district in October asking the board for approval, after it was noticed that the fire service didn’t have the reserve funds to cover the cost of a new truck.
Directors were faced with two options including short-term borrowing of $150 thousand for the vehicle or providing the funds out of the Community Works Fund.
“Option 1 – Short Term Borrowing
As reserves are insufficient to complete the purchase of the Engine the 2025 budget was set at $526,000 from Northside Fire service reserves and $150,000 from short term borrowing, to be repaid over a 5 year period.
Potential Motion for Option 1:
THAT the Committee recommend to the Board that the Board authorize up to $150,000 be borrowed, under Section 403 of the Local Government Act, from the Municipal Finance Authority of BC, toward the purchase of a fire truck for the Northside Volunteer Fire Protection service;
and THAT the short-term borrowing of $150,000 be repaid within five years, with no rights of renewal;
and THAT the Committee recommend to the Board that the Board approve a 2025 budget amendment of $4,700, from the Northside Fire Protection service statutory reserve, to account for the unanticipated additional costs associated with replacement of Engine 13.
Option 2 – Community Works Funding
Fire trucks as a stand-alone purchase are an eligible project under the 2024-2034 Community Works Funding Agreement. The Board could consider funding the $150,000 funding shortfall from Community Works, rather than borrowing. At the end of 2025 the unallocated balance of Community Works Funds (including projected interest) is $1,512,177.
Potential Motion for Option 2:
THAT the Committee recommend to the Board that the Board approve an allocation of $150,000 of Community Works Funds toward replacement of Engine 13 for the Northside Volunteer Fire service; and
THAT the Committee recommend to the Board that the Board approve a 2025 budget amendment to account for the allocation of $150,000 of Community Works, rather than borrowing, toward the replacement of Engine 13 for the Northside Volunteer Fire service; and
THAT the Committee recommends to the Board that the Board approve a 2025 budget amendment of $4,700 from the Northside Fire Protection service statutory reserve to account for the unanticipated additional costs associated with replacement of Engine 13.”
During the board’s meeting on Nov. 12, the decided to provide funding through the Community Works Fund, rather than borrowing, as well as provide an amendment to the budget in the amount of $4,700 to serve as a contingency.
A staff report says the district has been planning to replace the engine since 2019 with several public engagement sessions and financial planning debates.
