Agenda

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C. 41

To:	Board of Supervisors
From:	Jeff Carman, Chief, Contra County Fire Protection District
Date:	January 21, 2014

Contra

Costa

County

Subject:

REFERRAL TO FINANCE COMMITTEE VEHICLE LEASE, MAINTENANCE, AND FLEET MANAGEMENT PROGRAM & REVIEW OF EMS FIRST RESPONDER FEE IMPLEMENTATION

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 01/21/2014

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Mary N. Piepho, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

Lewis Broschard, 941-3520

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: January 21, 2014
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

1. REFER to the Finance Committee a proposal to enter into a long-term vehicle leasing, maintenance, and fleet management program for the Contra Costa County Fire Protection District’s light vehicle fleet, and

2. REFER to the Finance Committee a review of implementation of an EMS First-Responder Fee to offset expenses incurred while providing Emergency Medical Services on over 35,000 incident annually.

BACKGROUND:

Fleet Management Referral:

FISCAL IMPACT:

There is no direct cost related to examination of the proposal by the Committee. The estimated $275,000-$350,000 annual cost of the proposed program at full implementation would be funded within the authorized operating budget of the Fire District. Full implementation of the proposed program would result in estimated light vehicle fleet maintenance savings of approximately $80,000 per year annually as well as provide predictable annual costs to support, maintain, and replace the light vehicle fleet in subsequent years.

BACKGROUND: (CONT'D)

The Fire District operates a fleet of approximately 80 light vehicles to fulfill its emergency response and support functions including supply, maintenance, and facilities, as well as administration and fire prevention activities. The fleet has been significantly reduced in size from over 100 light vehicles since 2010. Historically, the Fire District purchased light vehicles and maintained them with private sector vendors. With very few exceptions, there have been no purchases made or replacements scheduled to the aging light vehicle fleet since 2007. The majority of our light vehicles are in excess of County replacement guidelines for age and/or mileage and are presenting increased costs for operation, fuel, and unpredictable maintenance. Reliability of our emergency response and support functions is compromised because of increased age and maintenance issues.

The management of the light vehicle fleet was coordinated and performed by a dedicated position that was eliminated in 2010 due to budget cuts. This function is now performed by the Fire Marshal as an additional adjunct duty.

The Fire District has researched several innovative programs in the public and private sector for the replacement, maintenance, and management of our light vehicle fleet. Due to the quantity of vehicles needing replacement, coupled with insufficient capital to meet this need, a long-term leasing strategy is proposed. The leasing concept will provide acquisition of light vehicles with no initial capital outlay and manageable monthly leasing costs. In addition, the leasing program includes a maintenance program which will dramatically reduce our annual maintenance costs and eliminate unpredictable costs in the future. The maintenance program allows for flexibility and convenience in locating and selecting vendors for routine maintenance. The program includes a fleet management component with online fuel consumption tracking, consultation on appropriate and economical vehicle selection based on anticipated needs and use, and monitoring of maintenance programs and service intervals for compliance with the manufacturer’s recommended service for each vehicle.

EMS Responder Fee Referral:

The Fire Protection District Law of 1987 provides clear direction on fiscal management and case law in California offers logical solutions such as EMS cost recovery for advanced life support (ALS) first responder fees. Insurance companies throughout the State currently pay reimbursements to first responder agencies for these services. EMS cost recovery is a reasonable mechanism for the District to recoup some of its operating expenses for providing these essential services to the community. Based on a conservative collection expectation, the Fire District estimates there is a potential to generate over one-million dollars annually. Insurance companies will provide reimbursement for emergency medical services and there will be no impact to those patients who are uninsured. These fees are currently being collected by other fire agencies within Contra Costa County and around the state and the program has proven to be very successful.

CONSEQUENCE OF NEGATIVE ACTION:

The referrals will not be made to the Finance Committee and will not become part of the Committee work-plan for 2014.

CHILDREN'S IMPACT STATEMENT:

No impact.