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Wauwatosa committee reviews draft joint fire agreements, flags financial and Social Security questions

Wauwatosa City Government Affairs Committee · January 20, 2026
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Summary

The committee reviewed updated draft agreements to form a joint fire department with West Allis that name the body the Metro Milwaukee Joint Fire Commission, include McMahon-based cost estimates and billing language, and identify remaining issues including vehicle financing, facilities allocation and whether Social Security enrollment would raise city costs by roughly 10%.

Wauwatosa City officials reviewed updated draft agreements on a proposed joint fire department with West Allis on a committee call, receiving new cost estimates and raising questions about financing and retirement obligations.

Staff and legal counsel told the committee the documents now include a formal name for the governing body — the Metro Milwaukee Joint Fire Commission — and contain estimated operating costs and proposed grant figures drawn from the McMahon report. City Attorney Jen Tate said billing language and director appointments were tightened and that work remains on splitting facilities responsibilities between the two departments.

Interim Chief Barb Kadrich said staff and the two fire unions solicited name suggestions and that the departments received multiple submissions; she described the choice of a regional professional name that reflects the department’s service area. “We wanted to identify a professional regional name that reflects who we are now and who will be moving into the future,” Kadrich said.

The committee heard that vehicles currently owned by the cities will continue to be city‑owned and leased to the joint department, while any new vehicles will be purchased by the joint department. Staff said the goal is to transition to cash financing and that cities would likely need to capitalize a fund to enable that change. Staff also described technical changes needed to the cities’ financial systems — likely including a separate bank account and programming work to ensure payroll and accounts-payable transactions are posted correctly to the joint department’s accounts.

A key outstanding fiscal issue involves the Wisconsin Retirement System and Social Security. Staff reported that initial guidance from the retirement system suggested creating a new bargaining unit could require members to be enrolled in Social Security. Staff estimated that enrolling the bargaining unit and making employees whole for the 6.2 percent Social Security deduction could increase city costs by about 10 percent, though they said the analysis is not final and they are continuing to work with state authorities to clarify options.

Alder Moldenhauer and others pressed staff on whether any items remain “red” (critical) in the project schematic; staff replied that two items identified earlier — vehicle ownership transition and financial system integration — have moved from red to yellow or are being mitigated but noted ongoing diligence is required. City staff said the next major step will be completing the innovation grant application and a separate facilities agreement after the main documents are finalized.

The committee did not take a final vote on the agreements; staff said work would continue with West Allis and that more detailed fiscal and implementation language will be provided in subsequent drafts.