A new Regional Fire Authority for Olympia and Tumwater?

An election this April could impose the biggest increase ever in property tax bills for people in these two cities

Olympia and Tumwater voters will decide in a special election this April whether to merge their fire departments into a new Regional Fire Authority (RFA, Authority). Proposition 1 requires approval by 60% of the Olympia and Tumwater voters who cast a ballot in the April election.

If approved, the RFA will bring increases in costs for everyone who pays a property tax bill, with very large increases for rental apartments–which landlords will likely pass on to renters. All fire stations, fire engines, other equipment and personnel currently belonging to the two cities would transfer to the new Fire Authority.

Public involvement was lacking

Officials from the two cities created a committee of Councilmembers, fire chiefs, and firefighter union members (the RFA Committee) two years ago. Members reviewed a proposal from staff and approved a final RFA Plan in December. Despite an emphasis on public participation contained in authorizing legislation, only two public hearings were scheduled with no special notice. The result was attendance by just five members of the public questioning the proposal plus two firefighters supporting it.

The rationale for creating this independent taxing authority is 1) it is needed to provide additional funding for fire services, and 2) that merging the Olympia and Tumwater fire departments will produce economies of scale.

The RFA would be funded by shifting much of the property tax now going to the two cities to the Authority, and giving it the power to impose an additional “Fire Benefit Charge” (FBC, Benefit Charge) on everyone who pays property taxes. The FBC is calculated using a formula based on the “square root of the square-feet” of all properties subject to property tax. It is technically a fee, not a tax, so it is not subject to restrictions that otherwise limit property tax increases.

The combined City/RFA property tax doesn’t change the amount of property tax a property owner will pay. The Benefit Charge imposes a new, additional fee to be collected via the property tax bill, on top of property taxes.

If the RFA is created, each city would see a reduction in expenses beyond the amount of property tax transferred to the Authority. Council members in each jurisdiction would be free to spend this “RFA dividend” as they wished. Property taxes do not go down. The Benefit Charge is a new source of revenue to be collected for the RFA in addition to the existing property tax .

How will the new Fire Benefit Charge affect property tax bills?

The initial FBC in the Plan to be put before voters would collect $10.5 million per year from property owners. It would amount to the largest increase on property tax bills in the history of either city.

The design of the FBC raises concerns both in terms of equity and how the amount to be charged can be increased. In terms of equity, single-family homes will pay about $.09/sq.ft., but apartments will pay $.24/sq.ft. An 800 square foot apartment ($195) will pay more than a 2,000 square foot house ($189). When landlords pass this through in rent, the biggest impacts will fall on some of the people least able to afford an increase in the cost of housing.

The Regional Fire Authority, if approved by voters in April, will have the power to raise the Benefit Charge another $15 million/year in addition to the initial $10.5 million from the public for a total of $25 million without another public vote. Someone paying a $400 Benefit Charge fee the first year, could pay as much as $1,000 per year after that.

After six years, the Authority is required to seek voter re-approval for continuation of the Benefit Charge beyond 2030.

Here is a closer look at claims put forth in support of the Fire Authority:

Creation of the new Regional Fire Authority would have additional important yet little noted consequences

Emergency response costs will be left to the cities. Currently, if an earthquake, flood, or other non-fire disaster strikes, the two city fire departments respond, together with the public works and police departments. Under the RFA Plan, the cost for the “emergency response” function remains with the cities, but much of the personnel and equipment would be transferred to the RFA.

Loss of local control. The RFA will be controlled by a separate board, not the two City Councils. Experience with the Port of Olympia and other “special purpose” government agencies shows that special purpose government agencies tend to be captured by those with a vested interest in the outcome of such little-watched elections.

Higher costs for current firefighters. The state “binding arbitration” process uses “comparable” fire agency pay. Bigger departments pay higher wages. Instead of being compared to smaller cities like Kelso and Bremerton, wages in the combined RFA will be compared to larger and more urbanized cities with higher costs of living like Auburn.

The table above shows examples of the 2024 compensation schedule as contained in the work papers presented to the RFA Committee. It represents about a 20% increase above 2022 compensation levels (a little more for Tumwater firefighters, currently paid less than Olympia firefighters).

Olympia and Tumwater have other funding alternatives

Currently, if these two cities need more money for fire or EMS services, they have many funding options. A voter-approved “levy lid lift” could raise property taxes which are based on property value. Cities also have many tax options they can use to support fire and medical response. They can issue bonds to pay for fire engines and new fire stations.

A YES vote in April will approve the formation of the Regional Fire Authority including the imposition of the new Fire Benefit Charge.

A NO vote in April will reject the formation of the RFA, leaving the Tumwater and Olympia Fire Departments intact, as part of the annual budgeting process carried out by the two City Councils.

Jim Lazar is an economist and former Thurston Co. Public Utility District Commissioner. Larry Dzieza is a local advocate for good government. For more information. go to Save Our Fire Departments.

What’s in it for the City of Olympia?

The answer is millions of dollars in savings and costs off-loaded to the RFA – if it’s voted in.

At a Jan. 23 meeting on annexing an area around Indian Summer Wilderness, an EcoNorthwest consultant told Olympia Councilmembers that revenue even with the new tax base would fall short of costs by $69 million over 20 years – IF no RFA is formed and the Olympia Fire Department serves the new population. Regardless of impact fees, growth will not pay for growth.

On the other hand, if the RFA is approved, it will supply the new area and the City of Olympia will gain $11 million in net revenue over the period.

To supply the new area, the RFA can increase its Fire Benefit Charge fee to taxpayers in both Olympia and Tumwater, with no requirement for a vote. For the City of Olympia to pursue a levy lift for the funds, would require a vote and a discussion of how this benefits current residents.

One Comment

Jim Lazar March 11, 2023

The additional bit about the annexation at the end of this article is missing an important point: the people in the annexation area will have terrible fire and emergency medical service if the annexation goes through and the RFA is approved. The new RFA will have no faciliites or personnel to serve that area. The existing service from Lacey Fire District 3 and East Olympia Fire District 6 is generally OK. So they will pay more, and receive less, at least until the RFA can finance, build, and staff a new fire station. That is NOT funded in their 7-year strategic plan.

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Community Spotlight – September Through October 2024

Open Book Club: Offsite Event at The Brotherhood 119 Capitol Way N – September 3 & October 1- 7-8:30pm Come and talk about whatever you’ve been reading and hear about what others are reading in a casual bar environment (21+only) with other book appreciators. Meets every first Tuesday in the back left corner of The Brotherhood Lounge

10 Ways to Age in Place -Olympia library 313 8th Ave SE – September 5 4:30-5:45pm
Most people plan on staying their homes as they age. Find out what you need to know. Presented by Lewis Mason Thurston Area Agency on Aging

Listen Here: A Lunch Break Story Time for Adults – Olympia library 313 8th Ave SE – September 6 12-1 pm In-person or via Zoom Register for event

Automotive Basics Workshop – Olympia library 313 8th Ave SE – September 7 2-:4:30 pm Learn the basics of vehicle maintenance from the mechanic team at Busy Bee Automotive. Click to register .

2 Films for Palestine – A Benefit for the Middle East Children’s Alliance – Olympia Film Society 206 5 Ave SE Olympia – September 8 6pm doors 7 pm first film Olympia fFlm Society, Palestinian Action of South Sound and the Rachel Corrie Foundation for Peace and Justice present 2 films: Imprisoning a Generation (50 minutes) and Returning to Zarnouqa (14 minutes) with Q&A with the director to follow. $10 suggested donation (no one turned away for lack of funds)

Tenants’ Rights Workshop – Olympia library 313 8th Ave SE – September 10 6:30-7:45 pm Join us for a special presentation about tenants’ rights in Olympia and WA State. Learn how to protect your rights from the legal experts at Northwest Justice Project.

Cover Crops in the Garden – Community Court Garden 909 8th Ave SE Olympia- September 12 5-7 pm . Join the Thurston Conservation District for a hands on workshop to learn more about the benefits of cover crops in the home garden. Register on the website https://www.thurstoncd.com/education/upcoming-events/

Lantern Lights the Library:Live Music – Olympia library 313 8th Ave SE –
September 13 7-9pm Come experience local music and get loud at the library. Thank you to Lantern Records

OlyEcosystems 10 year anniversary celebration – West Bay Woods – Rogers & Dickinson St. West Olympia near the Westside Food Coop
September 14 1-4pm We will celebrate our 10-year anniversary and first 500 acre conservation milestone in the West Bay Woods where it all began. Treats provided.

South Sound Sierra Club monthly meeting – Olympia Center, 222 Columbia St NW Olympia – 3rd Tuesday September 17 5:30 meet & greet 6pm -program. Hope springer, Recycling & Waste reduction Specialist with Thurston County Solid Waste will answer questions about what can be recycled

Places We Call Home: Claudia Castro Luna -Olympia library 313 8th Ave SE- September 18 6:30-8:30pm Join us for an evening exploring the rich tradition and tapestry of Latino poetry with WA State Poet Laureate (2018-21) Claudia Castro Luna. Refreshments provided. Stay for a hands on poetry writing exercise.

Stream Team Fall Events – Visit Stream Team info :

2024 Washington Low Income Housing Alliance Lunch & Learn Series –
Equity, Racial Justice, and Culture September 19, October 17 and November 14
11:30 am-1pm Register at https://www.wliha.org/24Lunch%26Learn

50 Years of Interfaith Works – Lutheran Church of the Good Shepherd – September 21 4-7 PM Join us for a time of storytelling through interactive audio exhibits as we celebrate 50 years of Interfaith Works. Hors d ’ oeuvres, Desserts, and Beverages will be served. Event Tickets—$100 Faith/Spiritual Community Leader Event Tickets—$50 If the ticket price is out of range for you, please get in touch!
https://www.interfaith-works.org/events.html

Death Cafe – Olympia library 313 8th Ave SE – September 23 5:30-6:30 pm
At a Death cafe, people, often strangers, gather to eat cake, drink tea and discuss death. A Death Cafe is a group directed discussion of death with no agenda, objectives or themes. It is a discussion group rather than a grief support or counseling session.

Olympia Parks, Arts and Recreation registration open for Fall classes .
Check website for activities and classes

Tumwater Falls Fest – Tumwater Falls@ Brewery Park 110 Deschutes Way SW Tumwater September 28 10am-4pm Enjoy the sounds of local musicians, children’s activities and demonstrations. Local artists and local food options. Explore the scenic half-mile loop trail along the Deschutes River and welcome the return of wild salmon.

Energize Olympia Workshop – Olympia library 313 8th Ave SE – September 30 6:30-7:30pm The City of Olympia is launching Energize Olympia – a new program to connect Olympia residents to discounted ductless heat pump installations through a group purchase program. Come learn about the program at this free workshop.

Discovery Speaker Series Olympia library 313 8th Ave SE – October 3 6:30-7:45pm –
Join Puget Sound Estuarium for our Discovery Speaker Series every last Thursday of the month learn about current environmental research or sustainability projects.

Olympia Fall Arts Walk October 4 ( 6-10pm) October 5 ( 12-6 pm)
Artists, makers and performers will showcase art of all forms at more than 100 neighboring business locations in downtown Olympia. Live performances. 5 block downtown street closure to create a pedestrian-friendly space

Harvest Festival South Union Grange Hall (10030 Tilley Rd SW #860, Olympia 98512)
October 5 10-3pm Come join Thurston Conservation District and friends as we celebrate the harvest. This family friendly event will feature pie baking contest, cider pressing, soil test drop-off and information, native bulb and seed sale pick-up, kids arts & crafts activities, food trucks, live music and more! https://www.thurstoncd.com/harvest-festival/

Medicare and You:The Who, What, How and Why about Medicare and Medicaid
Olympia library 313 8th Ave SE October 7 10:30-11:30 am – The Centers for Medicare and Medicaid Services is providing a free workshop about Medicare and Medicaid information, enrollment options and other services.

Permaculture Rising Grow Your own Produce Workshop Series-Online with Zoom
Wednesday, September 4: Putting Up the Harvest
Wednesday, October 9: Garlic, Cover Crops, and Compost
Wednesday, November 6: Nourishing Soups, Wildlife in the Garden, Planning for the Coming Year

Indigenous Peoples’ Day – Squaxin Park 2600 East Bay Drive NE – October 14
Time to be determined – Speakers, performances, education, food https://www.olympiawa.gov/community/events___activities/index.php

Advocating for social justice since 1990