DATE: May 20, 2025
TO: Board of Supervisors
SUBMITTED BY: Nathan Magsig, District 5 Supervisor
Board of Supervisors
Steven E. White, Director
Department of Public Works and Planning
SUBJECT: Amendment 1 to Agreement No. 21-227 with the Auberry Volunteer Fire Department for structural fire protection and first responder medical services for County Service Area No. 50 - Auberry.
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize Chairman to execute Amendment 1 to Agreement No. 21-227 with the Auberry Volunteer Fire Department, increasing the total maximum compensation by $50,000 for a total amount not to exceed $446,000; and
2. Adopt Budget Resolution increasing FY 2024-25 appropriations for County Service Area 50 - Auberry Volunteer Fire and Emergency Medical Services Org 9248 in the amount of $25,000 for increased operational costs (4/5 vote).
REPORT
Approval of the first recommended action will amend Agreement No. 21-227 with the Auberry Volunteer Fire Department (AVFD) to increase the annual maximum compensation to $104,200 for Fiscal Years (FY) 2024-25 and 2025-26. This increase is necessary due to rising operating costs associated with the recent purchase of a water tender and essential equipment upgrades.
Approval of the second recommended action increases FY 2024-25 appropriations by $25,000 for County Service Area 50 - Auberry Volunteer Fire and Emergency Medical Services (CSA 50), Org 9248, to align with the amended agreement.
Both items pertain to a location in District 5.
ALTERNATIVE ACTION(S):
If the Board rejects the recommended actions, AVFD may not have sufficient funding to maintain current service levels. A new agreement would need to be developed, potentially delaying reimbursements and increasing administrative costs.
If the Board rejects only Recommended Action 2, remaining appropriations for CSA 50 will be exhausted before the end of FY 2024-25, and the district will be unable to cover its operational expenditures.
FISCAL IMPACT:
There is no Net County Cost associated with the recommended actions. Services are funded by CSA 50 through fund balance, interest income, and annual assessments levied on benefitted property owners. The proposed budget resolution will increase appropriations using $25,000 of funds from reserves in the FY 2024-25 Adopted Budget.
DISCUSSION:
First Recommended Action
County Service Area 50 (CSA 50) was established in 2003 to provide essential fire protection and emergency medical services for the Auberry community. The AVFD, a California non-profit corporation, has provided these services since 1957. CSA 50 was formed to create a stable revenue stream to support these services, reducing reliance on financial donations from the community. AVFD continues to provide fire protection and emergency medical services at cost.
CSA 50’s budget includes some administrative costs but primarily consists of appropriations to reimburse AVFD under Agreement No. 21-227. This agreement, approved by the Board of Supervisors on June 22, 2021, originally provided for an annual base reimbursement of $72,000, with the potential for up to a 10% increase ($79,200) based on actual costs and available funds.
Due to rising expenses associated with the purchase of a new water tender and essential equipment upgrades, AVFD’s actual service costs now exceed the reimbursement cap. In response, staff recommends an amendment to the agreement to increase the annual compensation limit by $25,000 from $79,200 to $104,200 for both FY 2024-25 and FY 2025-26, resulting in a total increase of $50,000 to the agreement.
Second Recommended Action
To align with the amended agreement, the proposed budget resolution would increase FY 2024-25 appropriations by $25,000 for CSA 50, using available fund balance to support ongoing operations, maintenance, and administrative costs.
For the reasons outlined above, the staff recommends increasing the district’s appropriations for FY 2024-25 to ensure continued service delivery and financial stability.
REFERENCE MATERIAL:
BAI # 62, June 22, 2021
ATTACHMENTS INCLUDED AND/OR ON FILE:
Exhibit A
On file with the Clerk - Amendment 1 to Agreement 21-227
On file with the Clerk - Resolution (Org 9248)
CAO ANALYST:
Maria Valencia