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Home My WebLink AboutAgenda - 04-23-2013 - 7aORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: April 23, 2013 Action Agenda Item No. 7 -a 1 SUBJECT: Establishment of Three (3) New Fire Service Districts and Approve New Boundaries for Three (3) Existing Fire Insurance Districts — South Orange Fire Service District, Greater Chapel Hill Fire Service District and Southern Triangle Fire Service District DEPARTMENT: Emergency Services PUBLIC HEARING: (Y /N) No ATTACHMENT(S): 1) Resolution to Establish The South Orange Fire Service District and Map 2) Resolution to Establish The Greater Chapel Hill Fire Service District and Map 3) Resolution to Establish The Southern Triangle Fire Service District and Map 4) New North Chatham Fire Insurance District INFORMATION CONTACT: John Roberts, 245 -2318 Annette Moore, 245 -2317 Michael Talbert, 245 -2308 PURPOSE: To approve the establishment of the three new Fire Service Districts — the South Orange Fire Service District, the Greater Chapel Hill Fire Service District and the Southern Triangle Fire Service District; and approve new boundaries for three existing fire insurance districts — South Orange Fire Insurance District, Greater Chapel Hill Fire Insurance District and North Chatham Fire Insurance District. BACKGROUND: On September 13, 2011 the Board was presented options for changing fire districts to improve insurance ratings for the 1,156 properties located outside of six (6) road miles from the closest fire station located in their fire insurance district. A County Attorney's memorandum dated September 1, 2011 provided a legal opinion for fire protection tax districts, with the available options listed below: 1. Realign Fire Insurance District boundaries without changing Fire Tax Districts. 2. Change existing Fire Protection Districts, which would also change the Fire Tax District. 3. Establish one or more Fire Service Districts to replace or overlay existing Fire Protection Districts which could also change Fire Tax Districts. On March 13, 2012 the Board approved the request from the Orange Grove Fire Department to construct a new fire station #2 that is strategically located in the southeastern part of the Cane Creek Fire District. This newly constructed fire station is providing insurance district coverage for an estimated 400 property owners that were more than six (6) road miles from the Orange 2 Grove Station. The Orange Grove Fire Department is in the planning stages for a new fire station #3 to be strategically located in the western part of the Cane Creek fire district. That new fire station #3 will provide insurance district coverage for an estimated 250 property owners currently more than six (6) road miles from the Orange Grove Station. The Emergency Services Workgroup discussed all available options for the 1,156 properties located outside of six (6) road miles from the closest fire station located in their fire insurance district. With the new fire stations in the Cane Creek Fire District, over 600 property owners will be provided insurance district coverage and will be located less than 6 -road miles from the nearest Orange Grove Station. The Emergency Services Workgroup has recommended the creation of three (3) New Fire Service Districts to overlay and replace three (3) existing Fire Protection Districts. With input from the State Fire Marshal's office, the proposal is to modify existing fire insurance districts and create new Fire Service Districts that are exactly the same as the revised fire insurance districts. The three (3) Fire Service Districts are proposed to be the South Orange Fire Service District, Southern Triangle Fire Service District and Greater Chapel Hill Fire Service District. South Orange Fire Service District Attachment 2 of the new Greater Chapel Hill Fire Service District shows a detail map of the area and Chapel Hill Fire Station #5. Due to the Town of Chapel Hill annexations, the South Orange Fire Insurance District has been split. The Town of Carrboro provides fire protection for the South Orange Fire Insurance District and now has to travel through the Town of Chapel Hill to respond to a fire call off Mt. Carmel Church Road. The Town of Chapel Hill is better positioned and has agreed to provide fire protections for this area. Attachment 1 is a map of the proposed new South Orange Fire Service District. Total property value of $37,673,414 is estimated to be moved from the existing South Orange Fire Insurance District to the new Greater Chapel Fire Insurance District. The remaining property valuation for the new South Orange Fire Service District is $519,304,114. The estimated tax valuation reduction from the existing South Orange Fire Insurance District equals 6.8% of the total. On December 4, 2012 the Carrboro Board of Aldermen voted to approve a resolution to modify the existing South Orange Fire Insurance District. The Town will continue to contract to provide fire protection to the proposed new South Orange Fire Insurance District (see Attachment 1), with a new fire tax rate of 10 cents per $100 of real and person property value. Southern Triangle Fire Service District Orange County has received a letter from North Chatham Volunteer Fire Department indicating that the Department will request a tax rate of 8.8 cents beginning July 1, 2013. This is the same rate currently charged in Chatham County and a 76% increase over the existing five (5) cents. The existing Southern Triangle Fire District includes 112 homeowners located more than six (6) road miles from the nearest North Chatham Station, but less than three (3) road miles from Chapel Hill Fire Station #5. These homeowners have an insurance rating of 10. Several homeowners in this area have indicated that they cannot get fire insurance or that the rate has more than doubled. The Town of Chapel Hill is better positioned and may be willing to provide fire protections for this area in yellow. The Town of Chapel Hill is a municipal fire department which relies on hydrants as its water source to fight fires. Discussions have occurred involving the Town of 3 Chapel Hill Fire Chief and North Chatham Fire Department Chief concerning possible fire and insurance solutions for this area. Attachment 2 includes a map of the proposed new Greater Chapel Hill Fire Service District. The North Chatham Fire Chief has indicated that he is willing to recommend to the North Chatham Board of Directors that the 112 homeowners currently in the Southern Triangle Fire District would be better served by the Town of Chapel Hill. With a property tax increase from five (5) cents to 8.8 cents and a reduction of property covered by the district, the net impact for the new Southern Triangle Fire Service District is a revenue increase of $31,441 from $213,325 to $244,766. The North Chatham Fire Department provides fire service for both the Damascus and Southern Triangle Fire Districts. Attachment 3 is the proposed New Southern Triangle Fire District. Both the Damascus and New Southern Triangle Fire District make up the New North Chatham Fire Insurance District shown in Attachment 4. Greater Chapel Hill Fire Service District Attachment 2 includes a map of the proposed new Greater Chapel Hill Fire Insurance District that includes not only the area proposed to be deleted from South Orange, but additional property included in the Southern Triangle Fire District. With a proposed property tax increase from 7.5 cents to 15 cents and additional property covered by the district, the net impact for the new North Chatham Fire Insurance District is a revenue increase of $276,025 from $1,706 to $277,731. At its November 13, 2012 work session, the Board reviewed information regarding the possibility of establishing three (3) new Fire Service Districts and instructed staff to proceed with the steps necessary to establish the new Fire Service Districts. Listed below are actions taken to date concerning the possible creation of three (3) new Fire Service Districts: • On December 3, 2012 Orange County petitioned the Town of Chapel Hill to consider modifications to the existing Greater Chapel Hill Fire Insurance District as discussed in the background. • On December 4, 2012 the Carrboro Board of Aldermen voted to approve a resolution to modify the existing South Orange Fire Insurance District. • On January 14, 2013 the Chapel Hill Town Council voted unanimously not to provide Fire Protection for a proposed Greater Chapel Hill Fire Service and requested Orange County Government's assistance in encouraging the residents of the proposed Chapel Hill Fire Service District to seek annexation into the Town of Chapel Hill. • On February 11, 2013 the Chapel Hill Town Council again considered the County petition to the Town to consider modifications to the existing Greater Chapel Hill Fire Insurance District as discussed in the background. Several members of the Town Council still consider annexation as the preferred method of providing fire protection and all other Town services to these residents. There was discussion about the 15 cent rate being the maximum rate allowed and the Town Council discussed how the tax rate could be increased. The Chapel Hill Town Council voted unanimously to enter into a service agreement to extend the Town's current fire district into the affected neighborhoods for a period of two (2) years and initiate conversations with the County about how the changes in annexation laws affect the rational planning model established within Orange County. • On February 19, 2013 the Board of Commissioners voted to approve a recommendation for a five -year contract with the Town of Chapel Hill, with a 15 cent tax levy per one - hundred dollar valuation of real and personal property rate, and for this recommendation to go back to the Chapel Hill Town Council for discussion; ask staff to clearly lay out the "opt out" provisions in the contract; for the County to agree to work collaboratively with the Town to explore ways to equitably provide and fund services to residents in and around ETJ areas over the next 2 years, and to ask staff to come back with suggestions to how to effectively implement this; to establish a public hearing, after the Town of Chapel Hill has discussed this recommendation, to consider the establishment of the three new Fire Service Districts - the South Orange Fire Service District, the North Chatham Fire Service District and the Greater Chapel Hill Fire Service District. • On February 27, 2013 the Chapel Hill Town Council voted unanimously to enter into a service agreement to extend the Town's current fire district into the affected neighborhoods for a period of five (5) years with a 15 cent tax levy per one - hundred dollar valuation of real and personal property. • On April 17, 2013 the Board of Commissioners held a public hearing to consider establishment of three (3) new Fire Service Districts. The Board received comments from eighteen (18) individuals that were generally in support of the three (3) new Fire Service Districts. Listed below are actions that need to be taken before three (3) new Fire Service Districts can be created and included in the County's Fiscal Year 2013/2014 annual budget. • Approval by the Orange County Board of Commissioners after holding a public hearing on April 17, 2013 • Approval by the North Chatham Fire Department Board of Directors • Approval by the State Fire Marshal's Office • Approval by the Orange County Board of Commissioners of new Fire Protection and Emergency Services Agreements before July 1, 2013 for the three (3) new Fire Service Districts FINANCIAL IMPACT: There is no financial impact to the County, but there is a financial impact on all property owners in the three (3) proposed new Fire Service Districts with higher Fire District Tax rates for the property owners. RECOMMENDATION(S): The Manager recommends that the Board approve and authorize the Chair to sign as necessary: 1. The three resolutions establishing of the three new Fire Service Districts; The South Orange Fire Service District and Map The Greater Chapel Hill Fire Service District and Map The Southern Triangle Fire Service District and Map 5 2. New boundaries for three (3) existing fire insurance districts — South Orange Fire Insurance District, Greater Chapel Hill Fire Insurance District and North Chatham Fire Insurance District. RES- 2013 -029 Attachment 1 ORANGE COUNTY BOARD OF COMMISSIONERS RESOLUTION ESTABLISHING THE SOUTH ORANGE FIRE SERVICE DISTRICT WHEREAS, the Orange County Board of County Commissioners ( "Board ") has determined there is a need to establish a fire service district in order to provide fire protection to the residents of the area shown on Attachment A hereto that being the South Orange Fire Service District ( "District "); and WHEREAS, in accordance with Article 16 of Chapter 153A of the North Carolina General Statutes the Board conducted a public hearing on the establishment of the District; and WHEREAS, during the public hearing and in determining whether to establish the District the Board considered the resident or seasonal population and population density of the proposed District, the appraised value of property subject to taxation in the proposed District, the present tax rates of the county and any cities or special districts in which the District or any portion thereof is located, he ability of the proposed District to sustain the additional taxes necessary to provide the services planned for the District, and the need for fire protection services in the District. NOW, THEREFORE, BE IT RESOLVED, the Board finds that there is a demonstrable need for providing fire protection in the District as authorized by N.C.G.S. 153A- 301(a)(2), it is impossible or impracticable to provide those services on a countywide basis, it is economically feasible to provide the proposed services in the District without unreasonable or burdensome annual tax levies, and there is a demonstrable demand for the proposed services by persons residing in the District. BE IT FURTHER RESOLVED that for all the foregoing reasons the Orange County Board of Commissioners hereby establishes the South Orange Fire Service District Passed the day of , 2013 and having an effective date of July 1, 2013. Barry Jacobs, Chair Orange County Board of Commissioners Attest: Clerk to the Board of Commissioners ment A New South Orange Fire Insurance District • .�1 X11 ►, ��,,�:.7� LEGEND rI New South Orange Fire Insurance District Parcel boundary . �� 111 � "O`�-•- Streets ORANGE CARRBORO CARL N wE 1 inch = 4,150 feet s Map made 0i orange Count prof\ S Division <OC770i O: \gishome\gisproj \EServ\ N Ch atham_SouthemTnangle.m.d> M Jones 10/30/2012 } z 0 c� 0 RES- 2013 -030 Attachment 2 ORANGE COUNTY BOARD OF COMMISSIONERS RESOLUTION ESTABLISHING THE GREATER CHAPEL HILL FIRE SERVICE DISTRICT WHEREAS, the Orange County Board of County Commissioners ( "Board ") has determined there is a need to establish a fire service district in order to provide fire protection to the residents of the area shown on Attachment A hereto that being the Greater Chapel Hill Fire Service District ( "District "); and WHEREAS, in accordance with Article 16 of Chapter 153A of the North Carolina General Statutes the Board conducted a public hearing on the establishment of the District; and WHEREAS, during the public hearing and in determining whether to establish the District the Board considered the resident or seasonal population and population density of the proposed District, the appraised value of property subject to taxation in the proposed District, the present tax rates of the county and any cities or special districts in which the District or any portion thereof is located, he ability of the proposed District to sustain the additional taxes necessary to provide the services planned for the District, and the need for fire protection services in the District. NOW, THEREFORE, BE IT RESOLVED, the Board finds that there is a demonstrable need for providing fire protection in the District as authorized by N.C.G.S. 153A- 301(a)(2), it is impossible or impracticable to provide those services on a countywide basis, it is economically feasible to provide the proposed services in the District without unreasonable or burdensome annual tax levies, and there is a demonstrable demand for the proposed services by persons residing in the District. BE IT FURTHER RESOLVED that for all the foregoing reasons the Orange County Board of Commissioners hereby establishes the Greater Chapel Hill Fire Service District Passed the day of , 2013 and having an effective date of July 1, 2013. Barry Jacobs, Chair Orange County Board of Commissioners Attest: Clerk to the Board of Commissioners Min 11211MIPW KIM ��L �'/ o� �►� �� All lob ., NIT 01,��;;;;•` +�,1i •��.�► ate, �� :: •�� ■� 1r � ■0� � :ll � A-I Imp Q!, ... Ing ;■ 1�� ■ IN LEGEND 7 �� ,��.► ,��iw ,.� ■ . . 5 miles from Chapel Hill Station 5 -5 to 6 miles from from Chapel Hill Station 5 L Streets -�•� ��,�•�� Parcel boundary Greater Chapel Hill Fire Insurance District .. feet ■ .� �� r !� ... I/ �� ♦ . , . _ M Jones 10/30/2012 Greater Chaxel�lill Fire Insurance District 10 RES- 2013 -031 Attachment 3 ORANGE COUNTY BOARD OF COMMISSIONERS RESOLUTION ESTABLISHING THE SOUTHERN TRIANGLE FIRE SERVICE DISTRICT WHEREAS, the Orange County Board of County Commissioners ( "Board ") has determined there is a need to establish a fire service district in order to provide fire protection to the residents of the area shown on Attachment A hereto that being the Southern Triangle Fire Service District ( "District "); and WHEREAS, in accordance with Article 16 of Chapter 153A of the North Carolina General Statutes the Board conducted a public hearing on the establishment of the District; and WHEREAS, during the public hearing and in determining whether to establish the District the Board considered the resident or seasonal population and population density of the proposed District, the appraised value of property subject to taxation in the proposed District, the present tax rates of the county and any cities or special districts in which the District or any portion thereof is located, he ability of the proposed District to sustain the additional taxes necessary to provide the services planned for the District, and the need for fire protection services in the District. NOW, THEREFORE, BE IT RESOLVED, the Board finds that there is a demonstrable need for providing fire protection in the District as authorized by N.C.G.S. 153A- 301(a)(2), it is impossible or impracticable to provide those services on a countywide basis, it is economically feasible to provide the proposed services in the District without unreasonable or burdensome annual tax levies, and there is a demonstrable demand for the proposed services by persons residing in the District. BE IT FURTHER RESOLVED that for all the foregoing reasons the Orange County Board of Commissioners hereby establishes the Southern Triangle Fire Service District Passed the day of , 2013 and having an effective date of July 1, 2013. Barry Jacobs, Chair Orange County Board of Commissioners Attest: Clerk to the Board of Commissioners • • �� ■ O � ,r i�►' i •� s �` I O 0 1� 11 ' D- p �, �U � � � �■ / � � � � � •01”, m� :r_, i��!�il i p � ��I� `r� ,.,, .• I� +� ymea � IA% _ _� w w 1 1. . na.,t ��4 1�1�♦ 1/ 1 � = �q► ai'>:: m„p /r.�n! 11� `,► roF '� ? ` W 'j --ill . ,: ; . , �m �•-: „� � iP.jCc ■■ �� + /�� r _r - 1 WAI °' ' y tip` .. ��' ►�� - �� ,,, . su.; MENEM n r ♦ �i1-�� , NJ ikffigg, • J-) SPARROW ♦ •1 RUN •��II��► •/ i�� s *Ct • I LEGEND • F Fire Stations 0 to 5 miles from Chapel Hill Station 5 5 to 6 miles from from Chapel Hill Station 5 New Southern Triangle Fire District Streets � Parcel feet Map by Land Records/G IS Division O . U M Jones 3/1/2013 Southern Triangle 19 41711, 1 A NNW cam,- 1k, ��.i. .rr�� MIFF-. � . i ° �� ► emu• .•- �� ■Y1 iyC��:iV %'':p. ls fJ�� .:v-•��f n��f� ��iW ii +WW *�■ • MY �� .. �,■ � � .:.� gl /.� �� ♦Q� III - � ! ��= .�.�mfPl••, ��.��1,a��V•��1�I�� •I oil • LEGEND F Fire Stations r .. 5 miles from Chapel Hill Station 5 .. miles from Chapel Hill Station 5 Streets Parcel boundary 3,500 feet Map ' by Orange Count IT/GIS Division , a, M Jones New North Chatham Fire Insurance District