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Committee agrees to recommend pass-through of state 2% fire dues to district; staff to notify district board
Summary
The committee recommended aligning village practice with state statute by passing 2% state fire-due receipts through to the fire district rather than retaining and offsetting assessments; staff will notify the fire district and return any fiscal impacts for the next budget cycle.
Committee members reviewed how the state’s 2% fire dues are currently handled and agreed staff should move toward a pass-through approach that sends the statutorily collected amount directly to the fire district.
Staff explained that state statute directs 2% fire-due money to the municipality but that, where a municipality is part of a fire district, practice in many places is to pass the funds right through to the district. The committee was told the village has sometimes kept the money and offset it against assessments; staff and members agreed a direct pass-through is a cleaner method and consistent with how other municipalities operate.
Committee members discussed likely operational effects: the fire district would show higher revenue and the village’s net assessment for fire services should fall accordingly. Members noted the district would then be responsible for verifying required inspections and eligible spending (pension, inspections, training) to qualify for the 2% funding. Staff said Justin would raise the issue with the fire district board and that the committee should expect to review any budget impact before the next budget cycle.
Why it matters: Moving to a pass-through could change how the village budgets for fire service costs and shift some administrative expenses and inspection responsibilities to the district.
Staff follow-up: Staff will notify the fire district (via Justin), request the district board consider the pass-through approach, and report back to the committee on any projected levy or budget impacts.
