Wauwatosa committee reviews term sheet for proposed joint fire department with West Allis; no vote taken

Wauwatosa City’s Government Affairs Committee spent its meeting reviewing a proposed term sheet to form a joint fire department with the City of West Allis, but members stopped short of taking action and asked staff for more detail before returning the item in December. City Administrator James Archambault framed the proposal as an iterative process and said staff wanted committee feedback rather than an immediate vote.

The committee heard presentations on how the new entity would be structured, measured and financed. Chief Case outlined six initial performance metrics the joint department would track — call processing time, total response time, containment of fire spread, annual fire inspections, fire-related deaths and workplace injuries — saying those measures come from industry standards and accreditation processes. "We really look at the data," Chief Case said, adding the list will be refined as the departments harmonize their procedures.

City Attorney Jennifer Tait told members the partners are considering organizing the joint department as a nonstock corporation under Wis. Stat. ch. 181 and preparing an intergovernmental agreement, articles of incorporation and separate service agreements. Tait said the state’s new "innovation grant" program (cited under Wis. Stat. §79.038(1) in staff materials) is intended to support consolidated public-safety services; she told the committee the application deadline staff is targeting is March 31, 2026, and that awards could be structured as up to five annual payments during 07/01/2025–06/30/2030.

Finance Director John Ugini said Wauwatosa would provide financial oversight for the new entity and walked through a color-coded list of about 11 fiscal and operational issues that need resolution before a contract is finalized — items he described as ranging from straightforward to complex. Ugini singled out ownership and payment of existing debt on buildings and vehicles, how to allocate future capital costs, retiree-health liabilities, payroll and federal tax filings for a separate entity, and billing procedures to avoid duplicative overhead.

Archambault and staff emphasized the potential fiscal benefits of consolidation tied to the innovation grant: "We estimate, or actually McMahon estimated, that each municipality may stand to gain about $22,000,000 over five years," Archambault said, adding that some grant timing is critical. Staff told the committee they will seek clarification from the Wisconsin Department of Revenue about what counts as "up and running" for the grant so the partners can maximize the award.

A number of alderpersons raised questions and cautions. Alder Moldenhauer said he supports moving quickly and "keeping the ball rolling." Other members pressed staff on key points: whether the 10-year initial contract term is necessary when the grant requires a minimum of three years, how savings would be realized and shared, how to protect Wauwatosa taxpayers if cities’ relative tax bases change, and the likely effects on union contracts and employee benefits. Several members said cultural fit and ensuring rank-and-file firefighter input deserve attention.

A formal motion to "hold for another month" was made on the floor but later withdrawn amid procedural clarification; instead the committee verbally directed staff to continue refining the term sheet and report back at the December meeting. No formal vote or approval was recorded.

Next steps identified by staff include meeting with the Department of Revenue for grant interpretive guidance, continuing subcommittee work on finance, HR, legal and operations issues, completing the dispatch study and producing a revised term sheet that more fully addresses red-flag items. The committee adjourned with the item left for further staff work and review in December.