End of Turmoil for Coventry Fire District in Sight with New Union Contract

The beleaguered Coventry Fire District might finally be heading toward a stable path after the district’s fire board and the firefighters union have agreed to a new three-year contract.

Firefighters provided extraordinary concessions in an apparent effort to spare the district dissolution, which seemed almost inevitable several months ago with the district’s bank accounts frozen and the dwindling roster of firefighters going unpaid for weeks.

Now, according to Fire District Chairman Frank Palin, ”the shouting and screaming is over at Coventry Fire District meetings.”

Palin on Sunday said that a ceremonial signing of the new contract will be held at the Anthony Fire Station on Dec. 1 at 7 p.m.

“Both sides can claim victory,” Palin said. “The fire district is not closing, the firefighters have kept their jobs and the taxpayers have an affordable contract.”

“It’s a deal that we can live with for now,” said David Gorman, president of the union. “Could have been better. Could have been a lot worse.”

While firefighters have kept their jobs, the headcount has been cut from 17 to 9, under the terms of the agreement.

Palin said the contract will reduce personnel costs by more than $900,000 with estimated per-employee cost reductions of $20,000 per year.

Much of the savings will come through changes in firefighters’ health insurance. Deductibles are increasing to $2,000 for individuals and $4,000 for families, a savings of more than 20 percent.

The district has scrapped its health reimbursement account and is switching to health savings accounts. The district will pay 50 percent of costs in the first year and it decreases by 25 percent per year until firefighters fund 100 percent every year in the last year of the contract.

Firefighters have also given up vision insurance and some of their separation and sick time payments, which decrease from 75 to 50 percent.

Vacation no longer can be carried over each year and unused vacation time will be paid out year’s at a rate of 75 percent, which Palin said “significantly reduces overtime costs.”

The district’s annual financial meeting is Dec. 8 at Feinstien Middle School.

Palin said that after a new board is elected, negotiations to reduce the district’s $1 million-plus debt will begin with creditors. The current board is aiming for a 5-year-plan.

In a written statement, Palin said the following:

It is significant to note the cause of the debt. On April 1st of 2011, 4 new firefighters started on the job. The average cost of the 4 men was about $500,000 annually. The District’s financial crisis had begun. A surplus in 2011 became a deficit quickly due to the former Board’s decision to maintain a $2.80 tax rate for the next 3 years. The former Board obtained a $500,000 line of credit to cover for the deficits, and it wasn’t enough.

The former Board started pushing payments of debt into the next fiscal year. Also during this time frame, Chief Labbadia and the Board approved the acquisition of a $600,000 ladder truck at a cost of over $60,000 annually. This decision was made in spite of an alternative 5 year old ladder truck being available for less than half the cost. During this time frame, the ACCUMULATED DEBT was never made clear to the public during the District’s Annual Financial Meeting in December of each year. Those days are over.

For an overview of some of the issues facing the district over the past year, see some of our earlier coverage:

Disgraced Former Coventry Fire District Chief Indicted for Pension Fraud

Judge Warns of Impending Public Safety Crisis in Coventry

Dept. of Revenue Tells Town it Must Engage With Coventry...

Coventry Fire District Out of Cash, Chairman Says

Coventry Fire District Crisis Returns to Court after Weekend of Labor Struggle

Coventry Fire District Faces Big Tax Hike or Liquidation

Coventry Voters Reject Tax, Choose to Dissolve Fire District

Fiscal Picture Looks Bleak for Coventry Fire District

Deal Reached, Assets Unfrozen, Coventry Fire District to...

Report: Central Coventry Fire District Service is at Lowest...