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City staff recommends negotiating a new service contract rather than annexing to Tiburon Fire District
Summary
After financial modeling and review, staff and a joint task force concluded annexation to Tiburon Fire Protection District carries a risk to the city's fire parcel tax and is not practical now; the recommended path is to negotiate a revenue‑based service contract with clearer property definitions to improve predictability.
Staff presented an update on long‑term options to provide fire and emergency medical services, including a review of annexation to the Tiburon Fire Protection District. The report said the city has contracted with the district since 1980, but expenditure‑based contracts have become increasingly difficult to sustain and fire parcel taxes have not kept pace with contract costs. "In fiscal year 26, 27, the tax is projected to fund only about 47% of the city's $2,670,000 contract cost," staff said.
City staff recounted that voter polling for a supplementary special tax showed support well below the two‑thirds threshold required for a special tax and that Marin LAFCO advised annexation could increase the risk the fire parcel tax would be repealed over time. Based on financial and legal analysis, the joint task force recommended the city and the Tiburon Fire District negotiate an updated service contract that moves from an expenditure‑based to a revenue‑based model with clearer property‑coverage definitions and sustainability for both agencies; any proposed agreement will be reviewed by the finance committee before returning to council.
