Senate subcommittee hears that rising prices and long backlogs are hobbling U.S. fire fleets; FTC, DOJ urged to investigate

Chairman Hawley opened a Senate Homeland Security and Governmental Affairs Subcommittee on Disaster Management hearing saying: "Since 2020, prices for fire trucks have doubled and delivery times have in some cases quadrupled." The panel heard testimony from fire chiefs, union leaders, an antitrust attorney and manufacturers about rising costs, multi‑year delivery backlogs and how industry consolidation may be affecting public safety.

Why it matters: Witnesses and several senators said delays and higher prices for pumpers and ladder trucks have left some departments responding with older or improvised vehicles, increasing response times and risking both civilian and firefighter safety. Multiple witnesses urged federal enforcement agencies to investigate the industry’s market structure and contracting practices.

Chief Dennis Rubin, fire chief of Kansas City, Kansas, described an episode in mid‑2023 when 5 of 15 frontline engines were out of service because original‑equipment manufacturer repair parts were unavailable. "The wait of 3 to 5 years for replacement is unacceptable," Rubin said, and he told the committee his department temporarily answered some calls with loaned brush trucks and SUVs lacking hoses and ladders.

Edward Kelly, general president of the International Association of Fire Fighters, said the problem is nationwide and tied in part to private‑equity rollups. "This market manipulation has created a clear and present danger," Kelly said, arguing that consolidation has left municipalities and military installations with limited buying options and stretched budgets.

Antitrust counsel Basil (Basel) Musharbish (introduced as principal attorney at Anti‑Monopoly Counsel) told senators that Rev Group and Pierce Manufacturing have amassed market power through acquisitions and exclusive supplier or dealer arrangements. He recommended a three‑part federal response including a Federal Trade Commission 6(b) inquiry and prompt Justice Department and FTC enforcement action to restore competition.

Manufacturers on the panel disputed allegations of anticompetitive conduct while acknowledging longer lead times since the pandemic. "We source 98% of our materials from American suppliers," said Mr. Verneig, identified on the record as a Rev Group executive, adding Rev Group has increased production and built semi‑custom lines it says can be delivered more quickly. Dan Meyer, vice president of sales at Pierce Manufacturing, said Pierce has invested roughly $50 million to increase throughput and plans another $100 million, and that the company "shipped more trucks last quarter than any other quarter in Pierce's history."

Senators pressed executives about company earnings, backlogs and documented examples. Chairman Hawley and others cited statements and investor materials in which companies described multi‑billion‑dollar backlogs as a financial asset and discussed higher prices in backlogs that would boost margins. Senator Warren summarized the concern: "They know they can hike prices and nobody can afford to walk away."

Committee members and witnesses provided quantitative examples and clarifications from the hearing record: Chief Rubin testified that a Kansas City, Kansas pumper averaged $627,000 pre‑pandemic with a typical delivery of about 10 months; he said his most recent comparable pumper purchase rose to $857,500 and delivery time lengthened to 29 months. Witnesses cited other examples: a Watertown, N.Y., ladder truck order that a local chief told the committee was placed in 2021 and had not been delivered years later; union and counsel testimony cited industry backlogs reported in investor calls and in litigation filings.

Musharbish recommended targeted federal action: a public FTC 6(b) inquiry into market conduct and barriers to entry, Justice Department review of potential monopolization or exclusionary tactics, and legislative reforms to strengthen antitrust enforcement. Several senators, including Richard Blumenthal and Elizabeth Warren, publicly urged the FTC and DOJ to open or expand investigations.

Manufacturers defended their record and described steps they say will reduce lead times: investments in plants and automation, hiring skilled labor, additions of semi‑custom or stock product lines offered at lower price points and faster delivery, and guarantees on contract pricing. Rev Group and Pierce representatives said they are cooperating with FTC inquiries and providing requested information.

Committee outcomes and next steps: No formal votes occurred at the hearing. Senators closed the record for statements and questions and indicated they will press for further information from manufacturers and federal enforcers. Chairman Hawley said he hopes the hearing "will result in real changes." The subcommittee left the record open for 15 days for additional submissions.

The testimony highlighted ongoing tensions between fire departments’ operational needs and the apparatus market: witnesses documented higher prices and longer waits, manufacturers described supply‑chain and labor pressures and recent capacity investments, and antitrust counsel and union representatives urged federal scrutiny of industry structure and contract practices.