County residents predict future ramifications from fire territory's use of taxpayer funds

ST. JOSEPH COUNTY — County residents voiced their disagreements over an increased operating budget, property taxes and firefighter salaries at the second of four public meetings for the St. Joseph County Fire Protection Territory proposal, on March 8. The next one takes place March 14.

The proposed St. Joseph County Fire Protection Territory projects a property tax levy of $5,446,794 with a tax rate of 90 cents. Residents don't understand why a tax rate for the fire coverage of two townships — Portage and Warren — would nearly double when the current Southwest Central Fire Territory, which covers two townships — Centre and Portage, along with portions of Greene Township — operates at 50 cents. Centre opted not to join the new territory and will go solo.

“For the proposal they're asking for” Greene township resident Todd Matthys said, "you're not really gaining much in service."

Warren Township Trustee Steve Downey told The Tribune, “It’s not so much about being a bigger geographical area, yes, we will be, but it’s the only way for townships to build fire departments that meet today’s needs and demands of the fire service.”

To that end, the proposal aims to deliver a quick and efficient fire service. The demands in the county have increased as call volumes have gone up in the past three years. Call volumes have increased by 15% for Portage Township's Station 41 and by 26% for Warren Township's two stations.

Additionally, the population in Portage and Warren townships has increased by 9% in the past 10 years, Portage Trustee Jason Critchlow said.

"That's significant," Critchlow said, "because the population growth in St. Joseph County as a whole was 2%. You are seeing one of the fastest growing areas in St. Joseph County. That all has an affect on fire protection and the fire services that need to be provided."

Greene Township resident Shane Whitmer said he was baffled by the 90-cent tax rate and said, “There’s not really a correlation between call volume and salary."

Portage resident Ken Lula agreed with him, saying, "I know they get a lot of false alarms. You need to be as tight as you possibly can be. If you have to make sacrifices, you make sacrifices.”

He acknowledged that few people own $50,000 to $100,000 properties, the ones whose tax rates would be affected by the formation of the new territory, but he remains worried because he has no idea what next year's taxes will be after the county's annual reassessment and whether, or by how much, that will increase his property tax bill.

"It's scary," he said.

Lula didn't qualify for the "Over 55 County Option Circuit Breaker Tax Credit," due to the stipulation of needing to reside in your homestead for 10 years. Lula said he's lived in his house for only five years and calls his disqualification unfair compared to his neighbors.

"We're coming up on another tax season already," Lula said, "and we still haven't addressed last year's taxes. That's crazy. I have no idea what I'm going to pay each year for taxes. My taxes tripled. So, how is that looking for me? It's not looking good. We're all in limbo."

Property tax increases for Portage Township residents

Portage residents can see a 13.22% increase. Property assessed at $100,600 and above will see no increase in the property tax due to being at the cap. "This only affects areas of Portage Township that are not within the city of South Bend," Portage trustee Jason Critchlow said. "That’s the only part that’s in the fire territory."

● A property valued at $50,000 could see an annual increase of $41.85

● A property valued at $75,000 could see an annual increase of $62.78

● A property valued at $100,000 could see an annual increase of $108.82

Property tax increases for Warren Township residents

Warren residents can see a 21.83% increase. Property assessed at $108,500 and above will see no increase in the property tax due to being at the cap.

● A property valued at $50,000 could see an annual increase of $68.55

● A property valued at $75,000 could see an annual increase of $102.83

● A property valued at $100,000 could see an annual increase of $183.63

Nichole A. Franklin, the Chief Operating Officer at Peters Franklin LTD, said these numbers are estimates and could change depending on the assessed value of the townships in 2025. Residents will see these changes on their 2025 property tax bill, she said.

All farmland and other residential properties, including apartments and townhomes, will not see a property tax increase, but all commercial properties will see a property tax increase for both Portage and Warren townships.

Circuit Breaker Projections

As residents of Greene, Whitmer's and Matthys' property taxes won't increase with the formation of the St. Joseph County Fire Territory, but they say it still affects them under the circuit breaker cap.

Tom Lindenman, who represents Centre Township, the provider unit of the SWCFT, described the circuit breaker as a pie. "When we collect money through taxes," he said. "if your township is up against the tax rate, the airport, the library, are all fighting for a piece of that pie. Since we are at or so close to that cap, everyone’s going to get a little less."

Lindenman said that last year the SWCFT got $50,000 less than it would have because of the limitation of the tax cap.

"A circuit breaker is revenue that an entity is not collecting," Franklin, who serves as the financial advisor for the proposed territory, said. “An increase in circuit breaker will create a reduction in property tax collected by other entities.”

In 2025, when circuit breaker will take effect for the St. Joseph County Fire Protection Territory, it will take a loss of $295,054.48. Although it will ask for $5,446,794 in property tax, it'll receive $5,151,739 due to "no one paying more than the 1% property tax cap," Franklin said. However, when the St. Joseph County Fire Protection Territory asks for a bigger slice of that "pie," all other entities — schools, airport, libraries — will get less, shown by the growth of their circuit breaker.

Downey told The Tribune the loss for other entities will be so small that it won’t be noticed because their budget is so large. He called the townships the "the small guy in the pool," saying, "if we get a bigger slice, we notice it a lot more because, proportionally, it’s a lot bigger compared to what our property tax slice was before.”

Whitmer and Matthys said the new territory will take away funds from under the county umbrella, which affects everyone in St. Joseph County, themselves included.

"Take South Bend schools," Whitmer gave as an example. "If you take, however much, out of their budget, how's that going to shape out? Are they going to pass another referendum and stick it to taxpayers that way?"

"There will be some ramifications," Matthys said. "No one is going to be happy to lose money."

Franklin said that South Bend schools have a $12,899,074 circuit breaker loss for 2023. By the formation of the territory, their circuit breaker will be impacted and will grow by $170,738.32, which Franklin said is not much compared to South Bend schools' overall circuit breaker.

Disputes over increased firefighter salaries

Portage and Warren trustees proposed an increase in firefighter salaries to promote retention and growth. But some residents find this increase unreasonable.

To Whitmer, the proposed salary for assistant fire chief is “pretty lucrative,” he said, referring to the $110,000 proposal. Firefighter salaries would increase from $53,000 with SWCFT to $75,000 under the new territory.

The trustees have a vision of making their fire territory more modern, which includes meeting modern expectations of a firefighter's service. "That correlates with the type of equipment they're given, with the type of ventilation they're receiving and the quality of care," Critchlow said, adding that modern equipment is expensive.

“Our goal is to have the best possible return for taxpayer dollars spent," Critchlow said, "by providing a high-quality response to residents."

County residents who oppose the new territory claim the proposed St. Joseph County Fire Protection Territory wants to be South Bend Fire, saying it wants to be the big dog on the block.

“I do want to be the best,” Critchlow told The Tribune. “Like any other business, there’s an increase in competition for these roles. The demand will increase. We will have the best. We will have our pick of the litter.”

According to data from the Professional Firefighter's Union of Indiana, St. Joseph County Fire Protection Territory's salary ranks 44th out of 133 Indiana fire departments. In comparison to the territory’s size, it’d rank ninth out of 55.

"There are eight other territories paying more than this," Critchlow said. “We want to be comparable with surrounding fire departments. It will put us on the same playing field as everyone else.”

SWCFT Public Information Officer Jesse Binns, who works at Station 41, said he would like the benefits and wages that the St. Joseph County Fire Protection Territory is trying for.

"It's a livable wage," Binns said. "There’s a lot of firefighters that work part time. Take in consideration that those guys are working 24 to 48 hours. A part time job, on top of that, is another 24 to 48 hours. That’s four of five days away from home." With more hours, Binns added that two-income households also have to pay more for childcare.

Though he admits working two jobs is taxing, he said, "Most of us do it. I really don’t know any of us who aren’t at another department somewhere, whether paid or a volunteer."

Binns is in support of a county-wide territory, calling it "an idea that everyone is slowly moving towards, with some moving faster than others." He sees the advantage a larger territory brings with more staff, combined budgets and better equipment, he said.

If the St. Joseph County Fire Protection Territory gets approved, Binns said, he doesn't know which firefighters will chose to work for the territory and which will remain with Centre. “There’s no set figures yet from either department," he said.

Lindenman said he does want to increase the firefighter salary for firefighters who stay with Centre township next year. He said he’s currently working on an employment package, but can’t say what the increased salary amount will be.

“It’ll be upgraded,” he said. “We understand we’re in competition, but I personally don’t think we’ll have trouble attracting and retaining some of the people we have.” Centre will be operating one station next year, Lindenman said, so it won’t need as many firefighters.

Binns added that scheduling does play a part. The SWCFT currently operates a 48 hours on, 96 hours off schedule. "It's a great schedule," Binns said, "but no one is set in stone yet. We’re waiting to see numbers, insurance and benefits. No one has committed one way or another."

Another change is that Warren Township offers the '77 Retirement Fund, which will extend into the new territory.

"The ‘77 fund is great," Binns said "It’s a huge benefit. That’s definitely a plus on our end."

Centre is looking into the '77 Fund but is not prepared to discuss its decision at this time. “If that’s your only source of income,” Lindenman said, “it’s definitely an attraction, I’m told, but most of these guys have other employment, too, on their off days. That’s an advantage we have,” he said. “Our guys really like the two days on, four days off (schedule), so we’re going to keep that.”

Public Hearings

Two more public hearings are scheduled at Portage's Fire Station #41, 23626 Fillmore Road, before the boards of Portage and Warren townships to decide on the future of the St. Joseph County Fire Protection Territory.

● March 14 at 6 p.m.

● March 28 at 6 p.m.

After public hearings are concluded, a final vote to adopt, reject or table the resolution takes place at Portage's Fire Station #41 on March 28 at 7 p.m.

Although public comment is encouraged at the meetings, it's the boards of Portage and Warren who will make the decision.

But residents who oppose the new fire territory feel their fate is already sealed, calling it a done deal.

"It doesn't matter," Lula said. "We can sit here and waste their time. That's basically what we're doing. We just wanted to hear from them."

Email Tribune staff writer Camille Sarabia at csarabia@gannett.com.

This article originally appeared on South Bend Tribune: 'Not gaining much,' County residents object cost of new fire service