Item 2 Fire Study1
November 21, 2022
FIRE AND EMERGENCY SERVICES
FINDINGS AND FACTS
A summary on the findings and recommendations pertaining to fire and rescue
services for the City of Otsego, Minnesota.
Item 2
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November 21, 2022
City of Otsego, Minnesota
Table of Contents
Purpose 3
Goal 3
Community Demographics 3
911 Alarm Notification and Communication 5
Information Gathering 6
Fire Service Options 9
Fire Service Options Pros & Cons 12
Final Comments 13
Next Steps 13
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PURPOSE:
Fire and Rescue services are critical to any community. Although there is no law
that requires one to exist, taxpayers expect a response to their emergency in the
quickest time possible. Having an effective emergency response plan that
includes law enforcement, fire, and ambulance, is an attractive feature to growing
communities. Like trails, parks, and good leadership, emergency response is
measured when determining where one would like to live.
For decades, the City of Otsego has been broken up into three response areas
and contract fire and rescue services from the cities of Albertville, Elk River, and
Rogers. Although that delivery model has worked well for a rural Otsego, it has
raised questions and concerns about the growing community of today. On May
21, 2021, the city contracted Capstone LLC, of Minneapolis, to assist them in
understanding their options for delivery of fire and rescue services and review
their community emergency operations plan.
GOAL
The City of Otsego set on this evaluation with the goal of establishing the best
model for delivering emergency services, focusing on both fire, rescue, and
community emergency management. The mission was to collect facts on the
current service delivery model, review the community’s emergency operations
plan, and offer options and recommendations to the City Council for review. It
was important to engage stakeholders and city staff to ensure all considerations
were reviewed and discussed. To date, the consultant and staff have over 250
hours dedicated to this evaluation over a sixteen-month period.
COMMUNITY DEMOGRAPHICS
At the time of this report, the City of Otsego has a population of 21,289
residents and growing. The City of Otsego covers an area of 30.65 square
miles in the northeast corner of Wright County. It rests at the confluence of
the Mississippi and Crow Rivers and is approximately thirty miles
northwest of the City of Minneapolis. Otsego incorporated in 1990 to serve
its residents and manage growth more fully. With public utilities becoming
available in the early 2000’s, the city has been rapidly growing. Otseg o is
now the largest city within Wright County, with a population increase of
47% from the 2010 Census.
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U.S. Census - Otsego Population Data 1990 – Current
2020 U.S. Census Data
The city prides itself on its fourteen individual parks combining for more than 173
acres and a trail system with approximately forty-two miles of paved pedestrian
trails. Unique amenities of the community include Canoe River Access, Splash
Pad, and Prairie Center Facility. The City’s Recreation staff hosts free community
events throughout the year and offer programming choices to all ages. There are
two elementary schools and a middle school within the city, all part of the Elk
River Area Independent School System #728. Other school districts serving
Otsego students includes St. Michael-Albertville (#885), Monticello (#882), and
Kaleidoscope Charter School.
The City operates as a Plan “A” Statutory city with a mayor and four council
members, all elected at large with staggered four -year terms with elections in
even years. The City Council appoints the City Administrator, who oversees day-
to-day operations of the city. The City Administrator works directly with five
department leaders. The city has a total of thirty -two full-time employees, within
six departments. Otsego has five zip codes throughout the city, which makes a
department who is familiar with the area to be important. Otsego is experiencing
the change of demographics as past metro residents are moving to Otsego, this
creates a change in service expectations and demands.
The city maintains an East and West water system, which has wells and a full
Wastewater Treatment Facility on both systems. The city has four water towers
within the community supporting our rapidly growing commercial sector and new
developments. The older neighborhoods rely on private well systems which
creates challenges for emergency services if there were a fire as they have no
fire hydrants to service them in an emergency. Water is hauled in by water
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tenders and shuttled to and from the scene to maintain water flow. This creates
an additional obstacle with a fire department and the needs of the community.
The rapid growth and influx of development places increased demands on local
government and adds additional hazards to the community.
911 ALARM NOTIFICATION AND COMMUNICATION
The City of Otsego uses three fire departments from neighboring communities to
provide fire and rescue services via contract. When there is an emergency,
someone must dial 911 to activate the emergency response system. The 911 call
is directed to a county Public Safety Answering Point (PSAP) and answered by a
911 Telecommunicator who first verifies the incident location and interviews the
caller to determine the incident type and severity. The data is entered into a
computer aided dispatch (CAD) system that recommends what police, fire, and
ambulance service needs to be dispatched to the incident location.
Each of the contracted fire departments are in three different counties (Wright,
Hennepin, and Sherburne). Since the City of Otsego is located within Wright
County, incidents are immediately paged to the fire department directly from the
Wright County 911 Center. Because Elk River and Rogers are in another county,
Wright County cannot immediately dispatch them, therefore, the 911 call must be
transferred to that county, and that 911 call taker must enter the information into
their CAD to dispatch the recommended units. This creates a time delay in two of
the response areas within the city.
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The current fire service areas were approved by the City Council on December
13, 2021. Using the 2020, census data, the City of Albertville Fire Department
protects a population of 9,288. The Elk River Fire Department protects 8,334
residents and the City of Rogers protects 1,629 residents.
PHASE 1: INFORMATION GATHERING
At the beginning of this project, it was important to collect facts to show the City
Council the services that are being provided and clear up assumptions that may
have developed over time. We met with the contract fire chiefs two times to
collect information, and then met again to have them verify it. A document called,
the “Otsego Fire Service Comparison” was prepared and presented to the City
Council (See attachment #1).
Document Highlights:
1. Each contractor’s annual contract is determined by a different funding formula.
2. Two of the contractors (Albertville & Elk River) charge for capital equipment,
however, they purchased no additional equipment to be used specifically for
the City of Otsego.
3. None of the contractors hired additional staff to manage the Otsego contract.
Rogers
Albertville Elk River
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4. The City of Otsego has no ownership of the equipment they pay for.
5. There has been a continual increase in contract budgets over the past 5 years.
6. The budget for the contracts was $941,073 in 2022 and is $1,053,115 for
2023.
7. The contractors responded to 278 calls for service in Otsego in 2021 with a
budget of $769,133. That equates to $2,767 per incident.
8. Most calls are handled by a single resource.
9. Because the funding formulas to determine the contracts are different, so is
the per capita cost for residents.
10. Each fire department is managed by a full-time fire chief and uses volunteer
firefighters.
11 . Each service delivery model is different with how each contractor responds to
medical calls.
12. There were 42 calls for service (2020) in Otsego defined as a “fire incident”
and 118 defined as a “medical incident.” The rest were service calls.
13. The training credentials of each department are not equal.
14. Albertville and Elk River will provide fire inspections upon request; Rogers
does not provide fire inspections for their service area within Otsego.
15. Each department is dispatched from a different county 911 center. 911 calls
coming from the City of Otsego must be transferred by the Wright County
911 Center to Hennepin or Sherburne for a fire response from Rogers and
Elk River.
Future Challenges
During our discussions with the fire chiefs, we asked them about the challenges
they expect to face in the future. They stated the following:
1. Recruitment and Retention of volunteer firefighters
2. Increased costs
3. An increase in service demands for medical responses
4. The need to change their funding formulas
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5. A staffing model changed to a Duty Crew program
6. Increase capital equipment costs
7. The need to charge Otsego for capital equipment cost
Emergency Management
We asked the fire chiefs about the city of Otsego’s Emergency Operations Plan
(EOP) and if they have seen it, with each of them responding that they are not
familiar with the document. We asked them if they knew any of the department
heads within the city, with only one of them being familiar with the appropriate
contacts within the city. Each of the fire chiefs understand emergency
management and can work within a plan well, however, they cannot act as an
Emergency Manager for the City of Otsego. If there were a large incident that
affected their community and Otsego, such as a tornado, the chiefs stated there
was no guarantee that they could respond to Otsego as they had to manage their
own community’s emergency. They would call for “mutual aid” from regional
partners to assist in Otsego.
During the study we provided all the city staff with training in emergency
management. During the class sessions with each department, employees had
questions related to their role in the emergency management plan, and if further
training would be provided. It is clear the city could use more training and
structure on the topic of emergency management.
Fire Station Location and Council Member Discussions
In 2019, the city purchased a property at the intersection of Odean Avenue and
75th Street for a future fire station. The City also owns property at the intersection
of 85th Street and Park Avenue which was purchased in 2008. The location of the
fire stations was recommended in a 2018 study conducted by Beacon GIS based
on access and the future growth of the community.
During the data collection process, we met with each City Council member to
discuss the future of fire and rescue services for the community. Each of the
council members felt the time was right to build a fire station. There were several
common concerns that were discussed during the meetings.
1. They are concerned about the growth of the community and need for a faster
response time to emergencies.
2. They are concerned about the continued rise in costs to provide contracted fire
and rescue services.
3. They are concerned with the increased response time to medical incidents.
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4. They are concerned with the lack of control to make decisions regarding fire
and rescue services in the city.
Fire Inspections, Education, and Investigations
At the time of the study, the Building Official has the responsibility for looking at
new construction plans for code compliance. Although they do good work to
ensure the building code is met, no one is looking at the structure, and its
operation, from a risk perspective. The fire chiefs stated they will conduct a fire
inspection “upon request.” When there is a fire, the fire chief is required by law to
conduct an origin and cause investigation to determine how the fire originated,
and how it can be prevented. That information should be passed onto education
specialists to notify the community to minimize future loss. The Fire Marshal’s
Office typically conducts the fire investigation, but the final report it does not
appear to be getting to city hall and educational efforts are sparse.
COUNCIL WORKSHOP PRESENTATION
The information was presented to the City Council on June 28, 2021.
During that meeting, we were tasked with coming up with options to
provide fire and rescue services to the City of Otsego .
FIRE SERVICE OPTIONS
At a Council workshop on November 8, 2021, five models to deliver fire
and rescue services were presented to the City Council. A brief description
of the models include:
OPTION #1 – Maintain the current Fire Service contracts
This option maintains the same model using the current fire and rescue
providers through annual contracts. This option does not require
building a fire station to serve the City of Otsego. The city could provide
better direction on the service level it wants for the community and have
the contractors respond to the request.
OPTION #2 – Hire a Contractor to Manage the Fire Department.
This model searches for a contractor who will enter into a Professional
Services Agreement (PSA) to manage the city’s fire and rescue
services within a new fire station in the City of Otsego. At this point, the
city would reduce its contract with fire and rescue services to one
provider, making it more manageable for city staff, and have a
consistent funding formula.
OPTION #3 – Create a Fire Protection Tax District
State law allows communities to create a special taxing district and
respective tax levy for fire protection services. This would require two or
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more communities to form a separate entity to provide fire and rescue
services and levy property taxes for those services. The entity would
have its own regulatory Board of Directors (BOD) and authority. The
costs of fire and rescue services would be removed from the local tax
base. All fees for these services would be approved by the BOD, not the
city council.
OPTION #4 – Create a Joint Powers Agreement (JPA)
State law also allows communities to form a JPA to provide fire and
rescue service without a special tax levy. Two or more communities
would adopt a resolution to form a separate entity, define a Board of
Directors (BOD), and funding formula to share costs and voting rules.
All the decisions for the JPA run through the BOD and funds come out
of the city’s general fund determined by an approved funding formula.
OPTION #5 – Create the City of Otsego Fire & Rescue Department
This model would require the city to adopt a resolution to formally
create their own fire department. Once that is established, a plan would
be implemented to hire the appropriate staff to manage the project and
lay out benchmarks to achieve over the next few years. This option
would include the design and construction of a fire station.
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City Council Directive
During the workshop with the City Council, staff was directed to
investigate two options, the Professional Services Agreement (#2) and
Creation of a City Department (#5), both which include building a fire
station. At that time, Council gave staff permission to meet with the
neighboring communities to discuss the Professional Services
Agreement and to identify any new ideas that may develop. Meeting s
were held with the City Administrator and Fire Chief from each contract
community.
A summary of those discussions generated the following talking points:
1) Each City understood the evaluation need and process.
2) The Partnership would make sense if it were mutually beneficial.
3) Each respective City Council would need to have a role moving forward.
4) The Partnership would need to be setup for long -term relationships.
5) There are challenges in the development of a new fire station and
department.
6) The Partners would want to be involved in the process from the
beginning.
7) Additional staff would be necessary for operations of a new fire station
and department.
Final Meeting with the Fire Chiefs
During the final meeting with the fire chiefs, the information was verified
that was within the Fire Services Comparison document, further
explanation of the Professional Service Agreement concept was
explained, and discussion of additional ideas or solutions was
requested. We then asked what staff, and the City Council can do for
them to improve the services they provide to Otsego. All Chiefs
requested more communication on the expectations placed upon them
from the city council.
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COUNCIL WORKSHOP PRESENTATION
As directed, information on the two preferred options was presented to the
City Council on May 23, 2022, and June 27, 2022.
OPTION #2 – Hire a Contractor to Manage the Fire Department.
OPTION #5 – Create the City of Otsego Fire & Rescue Department
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FINAL COMMENTS
Staff met on multiple occasions to brainstorm ideas and converse over
the best approach for fire and rescue services to the City of Otsego. We
looked at other agencies models, spoke with stakeholders, the State
Fire Marshal’s Office, and evaluated the pros and cons of the two
options we were directed to investigate. We reviewed budgets, looked
at costs, and anticipated the cost of both a shared service and
operating an independent agency. As the community continues to grow,
so will the demand for services and the need to be prepared to handle
local emergencies when they occur. The city should take appropriate
action to position itself for more growth and service demands.
NEXT STEPS
1. Vote on the fire service model the City Council wants to provide for the
community.
2. Create a Request for Proposals (RFP) to move forward with a PSA
model; OR
3. Create a job description to hire a fulltime Emergency Services Director.
Once a decision has been made, a timeline will be created for the
implementation process and presented to the City Council for approval.