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Commission tables 15‑year lease for 107‑foot ladder truck; asks staff to return with non‑fire‑assessment funding options
Summary
After extended debate on a proposed 15‑year lease to acquire a 107‑foot ladder truck, the Panama City Commission voted 5‑0 to table the measure to the June 10 meeting and asked staff to present property‑sale or other funding options that would avoid relying on the city's reduced fire assessment.
The Panama City Commission voted unanimously on May 27 to table a proposed 15‑year lease agreement to acquire a 107‑foot Pierce ladder truck for the Fire Department and directed staff to return to the June 10 meeting with alternative funding options that would not rely on the city's fire assessment.
Fire Chief David Collier and City Manager Jonathan Hayes presented the request, which would have committed the city to a 15‑year lease with annual payments of $179,322.39 and a total contract price of $1,907,008.00. Chief Collier told the commission the department's existing ladder truck was placed in service in 2012 and has reached the end of its recommended 15‑year service life; staff said higher maintenance costs and reduced reliability had driven the replacement request. Chief Collier cited coverage needs for multi‑story buildings, the port and college, and said the truck was designed to meet the city's anticipated operational needs for the next 15 years.
Commission discussion centered on timing and funding. Several commissioners and staff acknowledged the equipment need but raised concerns about adding a long‑term payment during a tight budget season while the commission continues work to reduce the fire assessment. Commissioners requested staff identify parcels that could be sold and other financing approaches, including whether the purchase could be prepaid or funded from sales proceeds rather than the fire assessment. Jonathan Hayes said staff would bring back a parcel list and funding scenarios at the June 10 meeting and noted the current quote was good for 60 days.
Chief Collier said the city maintains a reserve fleet to preserve service when apparatus are out of service but emphasized reserve pumpers cannot replicate aerial capability; the ladder truck provides both pumping and aerial reach for multi‑story responses. Collier also noted the department's budget contains other planned reductions and that the replacement is not expected again until 2030. The memo provided to commissioners included details about out‑of‑service days, replacement schedule, and the absence of prepayment penalties in the sample term sheet.
After extended discussion of budgetary tradeoffs and the public policy objective of eliminating the fire assessment over time, the commission voted to table the item to the June 10 meeting with unanimous support. Staff was directed specifically to return with options that avoid relying on the fire assessment (for example, proceeds from property sales) and with a clear implementation and debt‑service plan.
