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Commission tables $1.9 million ladder‑truck lease; chief warns current unit at end of service life
Summary
After public and commissioner questioning about financing and timing, the commission voted 5-0 to table a proposed 15‑year, $1,907,008 lease for a 107‑foot aerial ladder truck and asked staff to return on June 10 with alternative funding options, including property sales and non‑fire‑assessment sources.
The Panama City Commission on May 27 voted to table a proposed 15‑year lease to acquire a 107‑foot Pierce aerial ladder truck after several commissioners raised concerns about the timing amid a tight budget season.
Fire Chief David Collier told the commission the department’s Ladder 2 entered service in 2012 and has reached the end of its recommended 15‑year service life. “It’s right at the end of its end of service life,” Collier said, adding the vehicle has become increasingly costly to maintain and that Station 2 covers a large response area including multi‑story residences and the port.
Staff presented terms for a $1,907,008 purchase under a 15‑year lease with annual payments of $179,322.39, with the first payment due Nov. 1, 2025. The package included a staff memo that summarized funding steps the fire department had taken to allocate funds and noted a net reduction in the department’s overall FY26 budget despite the new lease payment. The proposal cited NFPA 1911 guidance on apparatus service life and projected the truck wouldn’t be replaceable again for several years after this procurement.
Multiple commissioners expressed support for replacing the apparatus on public‑safety grounds but said they were not comfortable committing to a long‑term financing decision before the upcoming budget season. Commissioner Granger moved to table the item to the next commission meeting and asked staff to return on June 10 with options that would avoid relying on the fire assessment as collateral, including identifying city properties that could be sold to cover the cost.
Chief Collier said the city’s reserve fleet provides a pumper as a temporary replacement when the ladder is out of service but does not include an aerial reserve. He told commissioners mutual‑aid agreements with Bay County and Panama City Beach exist, but that third‑party aerial units may take 15–20 minutes to arrive on large incidents. Staff said the quoted apparatus lead time is currently two to four years.
The motion to table passed 5-0. Staff was directed to return June 10 with a list of parcel sale candidates and any alternate financing strategies; commissioners noted the 60‑day quote window and asked staff to determine whether vendors will extend pricing if the commission needs more time to decide.
