Speaking About Big Bear Fire Authority
City of Big Bear
Lake Councilman Dave Caretto 
I have been asked to expand upon my
comments that I made at the Fire Authority Board meeting, Wednesday, April 17, 2019,
regarding the current distribution of revenue between the Big Bear Fire
Protection District (Big Bear Lake) and the Big Bear Community Services
District (Big Bear City CSD).
Here is the information from the
proposed Fire Authority Budget for 2019-2020:
CSD Property tax revenue 7.5%
$2,058,800
CSD Fire Parcel tax $130+
$2,421,800
Total CSD
$4,480,600
Fire Protection District Property Tax Revenue 15% $5,506,100
Total FPD
$5,506,100
As you can see from the above
numbers, despite the fact that the Fire Protection District includes less than
half of the number of residents and a much smaller geographic area and many
fewer parcels, the Fire Protection District produces significantly more revenue
currently than the CSD service area. This is because of several
factors. 15% of the ad valorem property tax in the FPD is directed
specifically to the FPD, while in the CSD only 7.5% of the property tax goes
currently to the Fire Authority. This is because when Proposition 13 came
into effect many years ago, the CSD ended up receiving less property tax
revenue than the already established FPD. Therefore, the CSD has had to
implement a parcel tax specifically for the Fire Department which currently is
something over $130 per parcel. One other factor is that the property
valuations in the City of Big Bear Lake are much higher than in the CSD service
area. This is due to the many hotels, restaurants, lodges, commercial
structures and larger homes on the lake which all pay larger property tax
payments than the largely residential nature of the CSD area.
So, to say that the FPD is somehow not contributing equally or enough, as one
speaker indicated last night, is just incorrect and misleading. I have
made an attempt to correct this misinformation each time it is said. It
is true that the commercial structures require more fire personnel to fight a
fire. However, the main focus of the fire department at this time
is EMS service (over 95%) of calls which are distributed between the CSD, FPD and
visitors.
Now, under the Community Facilities District proposal now under consideration,
all developed residential parcels will pay a fire service tax (anywhere from
$60 to $150 per year—the amount still to be determined). In this
scenario, because the CSD has so many more parcels, the income from the new
tax, if approved, will favor the CSD area over the FPD. However, the proposal
also includes new fire service taxes on commercial properties, private home
rentals and the mountain resorts, in addition to a likely increase in the City
TOT for the benefit of the fire department. As most of the commercial
properties, the mountain resorts, hotels, lodges and private home rentals, etc.
are in the City of Big Bear Lake (the FPD), a large portion of the new
anticipated revenue will come from inside the City limits of Big Bear Lake.
Unfortunately, our consultants have
done polling twice now on the parcel tax proposals, and the results are not
very encouraging. Folks in this very conservative, tax averse community
seem to want continuing and even improved fire services, but results seem to
indicate that they are not really very willing to pay more for these
services. Only 53% of those polled appear willing to pay the $150 fee
while only 62% are willing to pay $60. Both are far short of the 66 2/3%
needed to pass a tax measure. It is my hope that when people realize that
the Fire Authority Board is suggesting that a large portion of the new revenue
come from the resorts, commercial businesses, lodges and private home rentals (visitor
related services), that the percentages will increase significantly so that a
tax measure will be successful. We will have to make a very significant
effort to educate the voters, so that in March 2020, they will be willing and
able to support the fire department appropriately.
Also, it bears repeating again, that if a CFD tax proposal is unsuccessful, one
alternative is to annex to the County Fire Protection District for fire
service. Not only do we lose local control in that instance, but a $157
parcel tax is immediately implemented without any vote of residents.
Also, there is no guarantee that the
services provided will be improved under the County. In fact, a reduction
of services or station closing is a real possibility (not that the County would
tell us that before annexation).
APRIL 2019
