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Home My WebLink AboutSacramento Metropolitan Fire District - Public Financial ReportPROUDLY SERVING THE CALIFORNIA COUNTIES OF SACRAMENTO AND PLACER Sacramento Metropolitan Fire District COMMUNITY ANNUAL REPORT 2021 For the Fiscal Year Ended June 30, 2021 Prior to the purchaseof the headquarters building at Mather,California at the end of2010, Metro Fire’sadministrative divisionswere spread across multiple locations in theSacramento area.Today seven divisionsare together, includingthe Office of the Fire Chief. The building alsoprovides training spacefor government and community groups andthe formal boardroomcan be reserved by thepublic at no cost. Core Values Integrity ꞏ Professionalism ꞏ Teamwork ꞏ Devotion to Duty 1 Message from the Fire Chief 2 At a Glance 3 District History 5 Behind the Badge 6 By the Numbers 7 Behind the Engine 9 Financial Highlights 12 Capital Spending 13 Debt Service 13 Awards TABLE OF CONTENTS The Community Annual Report (CAR) provides summarized financial information in an easily understood format. The CAR is derived from the Annual Comprehensive Financial Report (ACFR), which is a detailed report showing Metro Fire's financial condition. The CAR is presented in conformity with Generally Accepted Accounting Principles but is not intended to be a substitute for the ACFR. To obtain a copy of the ACFR, visit: https://metrofire.ca.gov/departments/Finance/acfr equipped As 2021 comes to a close we are again facing a surge of coronavirus cases unlike any we’ve seen since the pandemic began. Nevertheless, we have learned much over the last two years and I’m heartened by the unwavering commitment of the entire Metro Fire team, and I am pleased to focus this year’s Community. Message from the FIRE CHIEF Dear Residents of the Sacramento Metropolitan Fire District, The dual threats of a continuing worldwide pandemic and record‐breaking wildfires tested the men and women of Metro Fire again this year and I am proud to share how they persisted and prevailed. Our staff on the front lines endured extended shifts and family separations, and overcame grave risks in the communities where they serve and were deployed. Notwithstanding their extraordinary efforts, none of it is possible without the exceptional cadre of professional staff supporting them. In this year’s community annual report I would like to recognize the teams “behind the badge,” who ensure our suppression and field staff are equipped, funded, and in all other ways resourced to do their job successfully. Elected Board of Directors Todd Harms Fire Chief 1 As of June 30, 2021 Community Annual Report on our support teams. Finally, I am also deeply grateful to our Board of Directors who has provided the District and me with the guidance needed to ensure the District is properly supported and well led. the Today, Metro Fire is the largest fireagencyintheCountyof Sacramento and one of the largest in the State. The combined District provides fire suppression and emergency medical services along with various other public safety and hazard mitigation community services to 720,000 residents in approximately 359 square miles. The District’s service area includes two cities, most of the unincorporated area of Sacramento County, and a portion of Placer County. Within the boundaries of Metro Fire are wildland areas, single and multi‐family residential units, commercial and light industrial occupancies, hotels, regional hospitals, institutional buildings, local airfields, numerous convalescent and assisted living facilities, equestrian areas, and open space areas including several major hiking trails. Numerous AT A GLANCE sSacramento Metropolitan Fire District was established on December 1, 2000throughthemergerofthe American River and Sacramento County Fire Protection Districts, which brought together 16 predecessor fire agencies. Metro Fire is governed by a nine‐member Board of Directors duly elected by citizens from the nine geographical divisions in Metro Fire’s area of responsibility. 2 It takes 181 people to fully staff all emergency vehiclesthroughout the District every single day! That’s 108 seats on 36engines, 28 seats on 7 trucks, 5 battalion chiefs, 1 shiftcommander, 3 seats on 1 aircraft rescue vehicle, and 36 medical personnel for 18 ambulances and other medical vehicles.vehicles. Now take those seats and multiply them by THREE, as most positions have three shifts –each working in a 2-days on, 4-days off rotation. Numerous main interstate highways also traverse Metro Fire’s jurisdiction, along with the American River, a major recreation resource for residents and visitors alike. Metro Fire provides all‐hazard emergency services to the communities it serves through 41 stations strategically located across its service area in order to effectively respond to any emergency within its goal of 4‐minute travel time. DISTRICT Rio Linda Outpost of Fire Protection Elverta Fire District Orangevale Volunteer Fire Dept. Citrus Heights Fire District McClellan Air Force Base Fire Dept. Arcade Fire Protection District Fair Oaks Fire District Mills Fire Dept. 1922 1938 1918 1923 1925 1933 1935 1942 Mather Air Force Base Fire Dept. Florin Fire District Carmichael Fire District 3 Consolidation of Citrus Heights FD and Orangevale Volunteer FD into Citrus Heights FPD Rancho Cordova Fire Protection District Sloughhouse Fire Protection District North Highlands Village Fire District Consolidation of Arden FPD and Carmichael FD into American River FPD Merger of North Highlands Village FD into Citrus Heights FPD Sacramento Metropolitan Fire District Consolidation of all 16 historic fire districts Consolidation of Rancho Cordova FPD, Fair Oaks FD and Citrus Heights FPD into Sacramento County FPD 1951 1989 194719451943 1983 1958 1984 2000 Arden Fire District HISTORY 4 procure Wildfire season also put an enormous strain on the vehicles that carry our firefighters to the scene and the men and women of Fleet Division found new ways to quickly repair and service vehicles so they could be re‐dispatched to the fires. During the pandemic the Fleet Division adapted two ambulances from the District’s reserve medic fleet to be used to as dedicated COVID response units. BEHIND THE BADGE The year 2021 was another challenging one, and for Metro Fire two particular challenges stretched our capacity to respond and serve. The pandemic persisted and Sacramento County saw as many as 500 hospitalizations per day and nearly 1 in 6 residents infected with the coronavirus. The 2021 wildfire season was among the worst in California’s history, with nearly 2.6 million acres burned. Whether Sacramento or statewide, Metro Fire’s support teams behind the badge kept our front line firefighters equipped, resourced, and ready to carry out their critical service. . Adaptable -Firefighter service at the Caldor Fire and other megafires required rapid adaptation to ensure deployed staff were paid and compensation made it to loved ones at home. Finance Division staff ensured all regular and special supplemental pays continued and that District staff had access to credit anywhere, so they could quickly procure necessities like food and water. 5 BEHIND THE BADGE, YOU’LL FIND A TEAM THAT’S… Innovative -The modern firefighting service runs on high‐performance technology and the District’s ability to keep up was tested during the pandemic. Information Technology Division kept pace with new innovations like expanded video conferencing capabilities, remote support and equipment for teleworking and quarantining staff. To reduce COVID threats to responding personnel Communications Division technicians updated the Mobile Data Computers in fire apparatus to facilitate real‐time communication to help field personnel take necessary precautions before treating patients. Dedicated -After COVID forced the cancellation of the annual Fire Academy for new recruits, Human Resources didn’t stop trying to refill the ranks, hiring more than 90 employees by year end, many on accelerated timelines. These recruitments included Lateral Firefighters with prior firefighting experience, Single Role Paramedics, EMTs, a Fleet Mechanic and a Business Applications Analyst. Steadfast -Logistics Division was preparing for wildfire season well before it arrived, outfitting new Type III and Type V wildland engines and inventorying and restocking approximately 20 other in‐service Type III and Type V engines. By bringing on new suppliers in order to keep up with supply chain issues, the Logistics Division was always able to fulfill personnel protective equipment (PPE) orders and maintain an ample supply of PPE for surge needs. Within the firehouses, offices, and other District buildings, Facilities DivisionDivision provided critical operability during COVID and wildfire seasons, such as ensuring all fire stations have functioning air conditioners and ice machines. Finally, Metro Fire’s Community Risk Reduction Division didn’t let a pandemic keep them from educating the public about fire safety, including wildfire risks, holding safety lessons for 764 children, performing 19 general safety presentations, and participating in 27 community events. 19,530 Inspections and Plan Reviews 27330+ Apparatus and Other Vehicles BY THE NUMBERS fire family public safety community For the year ended June 30, 2021 6 11 Average Years Working at Metro Fire Chief– 22 years Captain– 16 years Engineer – 13 years Firefighter – 7 years Paramedic/EMT – 2 years Support Staff – 9 years 660 100,160 Emergency Calls 7 of 10 Medical Calls 3,981 Fires Extinguished 41 Fire Stations 11 Deployments 9 California, 2 National Metro Fire Employees 552 Fire, Medical And Rescue 33 Fire Prevention, Safety and Training 75 Admin And Support 4m 12s Average Response Time to Reach Structure Fires 6m 9s Average Response Time to Provide Medical Aid 9,117 Code Enforcement Inspections 3,225 Plan Reviews 6,451 Construction Inspections 145 Fireworks Inspections 592 Weed Abatement Inspections Trucks, engines, rescues, medics, and cars Community Events Attended 19 General Fire Safety Education Presentations 764 Kids attended 60 Adults attended 43 6:7 Average Age, Support Staff Ratio of Women to Men, Support Staff 2 Community Care Response Units Activated for COVID-19 Testing 12,711 COVID-19Tests Administered to the Public 7 BEHIND firefighter captain engineer Have you ever wonderedwhat that tiny device is that’smounted on stoplights at majorintersections? Although it is not uncommon to see a cameramounted here beside it, thisspecific device is actually areceiver that’s part of a trafficcontrol system. Metro Fire’s CommunicationDivision installs an Opticomdevice on all its emergencyvehicles which then emitsinfrared signals. Within two seconds of activation at anintersection, the receiver cyclesall lights to red, except for thedirection the emergency vehicleis traveling, which cycles to green. Not only does this clearthe intersection keeping otherdrivers safe, it helps crewsarrive on scene faster and safer! 8THE ENGINE It takes a team working behind the scenes to bring everything on an engine together: ECONOMIC DEVELOPMENT Forecasts and plans station location and type of fire apparatus the station will house FLEET Formulates specs of fire engine, selects the manufacturer and also maintains the engine through its service life PURCHASING Creates the RFP and orders the fire engine, equipment, and supplies LOGISTICS Collects all needed equipment and supplies; stocks the apparatus according to its purpose. FINANCE – ACCOUNTS PAYABLE Pays the engine manufacturer and equipment vendors COMMUNICATIONS Equips the engine and its crew with radios that allow continuous communication with 911 dispatch HUMAN RESOURCES Determines the qualifications and hires the captain, engineer, and firefighter who will man the fire engine. STAFFING Fills all firefighting seats to keep the engine fully staffed all year‐round. PAYROLL Pays the engine crew for their life‐ saving work FACILITIES Maintains the station and surrounding properties that house the crew and its enginefirefighter The government‐wide Statement of Net Position provides a “snapshot” of where the District stood financially at the close of the fiscal year. Over time, increases or decreases in net position serves as a useful indicator of whether the District’s financial position is improving or deteriorating. The largest portion of the Metro Fire's net position reflects its net investment of $81 million in capital assets, net of related outstanding debt used to acquire those assets. Metro Fire uses these capital assets to provide services toto provide services to citizens; consequently, these assets are not available for future spending. Although Metro Fire's net investment in capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be liquidated for these liabilities. Metro Fire's negative unrestricted net position is largely due to the recognition of the liability owed to its employees as they retire from Metro Fire, which includes pension liability and post‐retirement medical liability. NET POSITION What We Own & What We Owe 9 MetroFirerespondsto911 calls dispatched by theSacramento RegionalFire/EMS CommunicationsCenter (SRFECC), which alsoserves 9 other fire agencies in the region. In 2020, SRFECC answered350,000 calls anddispatched close to 200,000fire and medical incidents. Metro Fire responded toapproximately 97,000 ofthose calls. Net Position (in thousands) Assets ‐ What is owned by Metro Fire Cash and other assets 89,392$ 87,429$ Includes cash and investments, receivables, and inventories Capital assets 101,312 100,225 Land, buildings, and equipment net of accumulated depreciation Deferred Outflows 125,736 117,410 Total assets and outflows 316,440 305,064 Current and other liabilities 11,287 10,773 Payables, payroll, and unearned revenue Long‐Term liabilities 805,573 762,216 Bonds, other post‐employment benefits, pensions, and other obligations Deferred Inflows 77,619 102,952 Income received applicable to a future year Total liabilities and inflows 894,479 875,941 Net investment in capital assets 81,259 77,153 Capital assets less accumulated depreciation and any outstanding debt used to acquire these assets. Restricted 7,333 8,691 What is not available for use because it is set aside for a particular use. Unrestricted (666,631) (656,721) Funds available to use for general operations. (578,039)$ (570,877)$ Total net position Liabilities ‐ What Metro Fire owes 2021 2020 Net Position ‐ Metro Fire's net worth Expenses incurred but applicable to a future year For every dollar paid by a resident in Metro Fire's jurisdiction, about 21.68 cents go to Metro Fire. The average assessed value of a detached single family residential home in Metro Fire's jurisdiction is $284,646, which means that a homeowner typically contributes about $617 per year in property taxes to Metro Fire. Property tax revenue is the main source of Metro Fire's funding and provides support for its fire suppression activities. REVENUE Where the Money Came From 10 Others 2% Property Taxes 68% Charges for Services 30% Others Charges for Services Property Taxes During the most recent recession, annual property taxes declined from its peak of $129 million to $105 million in 2012/13. Since then, it experienced 8 straight years of growth in assessed property values. In the current fiscal year, property taxes were at $167 million, an increase of 5% from last year.While management expects to see modest growth in property taxes, it continues to find ways to diversify its revenue base. These efforts successfully yielded better cost recovery on its emergency medical services. As can be seen on the graph to the left, property taxes contributed 80% of total funding sources ten years ago; that portion now composed 68% of all sources. Charges for services and other revenues now amount to $75 million in the current fiscal year. 2021 $247M 78.32¢ to Sac County and other agencies 21.68¢ Metro Fire SOURCES (in thousands) the taxpayers Charges for services 75,311$ 67,196$ Fees charged for ambulance transports, deployments to other jurisdictions, and similar charges Grants 189 5,200 Resources received through federal and state grant awards Total Program Revenues 75,500 72,396 Property taxes 167,482 159,601 Taxes received from property owners based upon the assessed valuation and tax rate. Miscellaneous / Other Income 4,150 5,323 All other revenue such as resources reeceived from other agancies, investment and rental income Total General Revenues 171,632 164,924 247,132$ 237,320$ required to be reported as program 2021 2020 derived directly from operations, not Program Revenues ‐ Revenues that are General Revenues ‐ Revenues not program revenues Total Revenues EXPENSES Where the Money Went 11 Asapublicsafetyprovider,themajorityofMetroFire’s operating expense relates to personnel costs, which comprise about 81% of total expenses. The 7% or $16 million increase is mainly due to an increase in the estimates for Metro Fire's obligation for post‐retirement pension benefits. The other significant expense is services and supplies which comprise about 14%. The $1.2 million increase is due to several factors including higher insurance costs, vehicle maintenance, and dispatch fees. Metro Fire begins its budget process in Spring each year and adopts a preliminary budget in June, a final budget in September, and a mid‐year adjustment. The overriding goals of eachbudgetprocessistooptimizeservicestothegreatest extent possible, ensuring that the ongoing all‐risk fire, rescue and emergency medical needs of the citizens are met, and to provide adequate reserves for future contingencies. Acylinderfor the self-containedbreathing apparatus (SCBA)supplies up to 35 minutes ofclean room air to a firefighter in a fire. OurLogistics Division fills up to40 cylinders a day. Eachcylinder weighs 13.9 lbs. andtakes up to 5 minutes to fill. That’s over 10,000 cylindersand 1,300 hours a year! EXPENSES (in thousands) Public Protection ‐ Direct cost of services provided Personnel 206,496$ 190,010$ Salaries and benefits such as pension and medical costs Services and Supplies 34,936 33,719 Fees paid to external vendors for various services and supplies Other 4,026 6,211 Includes assessments paid to other local agencies Depreciation 6,418 5,762 Interest and Others 2,418 2,523 254,294$ 238,225$ Allocated cost of capital assets over their useful life Includes interest and other miscellaneous expenses 2021 2020 Total Expenses The District’s reserve policy calls for a minimum of 15% of budgeted General Fund operating expenditures to be set aside to cover unexpected costs or revenue shortfalls. Labor 81%Services & Supplies 14% Others 5% 6AMBULANCES ($1.3 million) Investing in reliable firefighting apparatus is a crucial step in building a better fire service. Not only does each apparatus have to be maintained in the highest state of readiness to respond to emergencies, it must also take advantage of better technology that will allow efficient and safe operation. CAPITAL SPENDING Taking into account the operational needs, current fleet status, and available resources, Metro Fire invested in the following significant capital assets in the most recent year: 1 AIR UNIT ($520,000) Designed to fill the new higher pressure SCBAs and carry rehabilitation equipment for firefighter recovery during fires. 3 TYPE I ENGINES ($2.1 million) 6 TYPE III AMBULANCES ($1.3 million) These smaller ambulances are fully equipped yet have a lower initial cost, increased fuel economy, and longer service intervals. This is a smaller 4‐seater off‐road unit to fight brush fires. It has the ability to pump while moving and a water capacity of 400 gallons. It runs in tandem with a Type I fire engine. One firefighter drives the Type V while the captain and engineer ride in the bigger Type I engine when going on a call together.. a 2 TYPE V ENGINES ($420,000)FIRE STATION #68 ($3.3 million spent in FY2021) Continued construction of the new Station 68 located in the Sunridge area within the City of Rancho Cordova. Did you know? 12 For the year ended June 30, 2021 In the upcoming year, the following are the significant planned acquisitions: For the upcoming year ending June 30, 2022 Transporting more than 2,000 gallons of water, these are mainly used to fight fires in rural areas where there are no working fire hydrants within reach. 1 WATER TENDER ($575,000) 1 AERIAL TRUCK ($950,000) With no hose or water, this “truck” can still respond to most emergency and medical calls. The large ladder stored across the top extends up to 105 feet (7 stories) making it valuable in special emergencies. The most common engine type here at Metro Fire with up to 36 in service daily District‐wide. 2 TYPE III ENGINES ($1 million) FIRE STATION #68 ($5.3 million) Building completion of the new Station 68 located in the Sunridge area within the City of Rancho Cordova. 3 TYPE I ENGINES ($2.1 million) These engines hold 700 gallons of water and have a larger pump to provide higher water flows for fighting structure fires. A new fire station is planned up to 20 years into the future.It then takes about 3 years for design and constructionplans, and 3 more years to purchase property and build the…station. Over 30 contractors will be involved and the ….......overall cost can easily be over $14 million once the.apparatus and furnishings are included. DEBT SERVICE Metro Fire uses debt to spread the cost of larger purchases over time. Metro Fire’s debt policy requires that the maturity of a debt issue be consistent with the economic or useful life of the asset being financed, generally level annual debt services payments, and preferences for fixed interest rates and optional redemption at a reasonable call date. This policy prohibits the issuance of long‐term debt to fund District operating costs. Metro Fire has three major debt types: pension bonds, lease revenue bonds, and capital equipment financing. Pension bond proceeds were used to reduce the unfunded actuarial liabilities of its pension plans. Lease revenue bonds were used to purchase the headquarters building, make building improvements, and acquire fire‐fighting and computer equipment. Proceeds of capital equipment financing have been used mainly for ongoing apparatus and equipment needs. AWARDS Metro Fire received the Award for Outstanding Achievement in Popular Financial Reporting from the Government Finance Officers Association (GFOA) for the 3 rd straight year for its Community Annual Report for the fiscal year ended June 30, 2020. This prestigious national award recognizes conformance with the highest standards for the preparation of creative popular annual financial reports specifically designed to be easily understandable to the general public. Metro Fire has also been awarded the Certificate of Achievement for Excellence in Financial Reporting by the GFOA for the 7 th straight year for its Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2020. 13 Indicates an extremely strong capacity to meet financial commitments on its pension bonds resulting in lower borrowing costs. Metro Fire’s S&P Global Credit Rating. Did you know? Through the efforts of the economicdevelopment grant team, Metro Fire wasawarded $11.5 million to cover the cost toaddadd 21 firefighters to the staff for 3 years. Thisgrant marks the largest grant ever awarded to MetroFire and the 35th grant received since the grantteam was formed in 2010. Mission Statement “To provide professional and compassionate protection, education and service to our community.” metrofire.ca.gov