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Mound Fire Station and Fire Service Options <br />May 28, 2002 <br />Page 3 ____________________________ <br />relationship was to become unworkable at some point in the future. <br />If the Navarre satellite station was operated by Long Lake, it would <br />enable a signiflcant reduction in operating costs. <br />b.Cons. <br />Because the response time to the Navarre area from the Mound fire <br />station is adequate, the satellite station is not needed from a response <br />time standpoint. <br />There is significant uncertainty as to the ability to recruit sufficient <br />volunteer firefighters to staff a Navarre satellite station, both in the <br />short term and in the long term. <br />The investment in a Navarre satellite station would reduce the <br />resources available to fund the Mound fire station. <br />3. Proposed Mound fire station cost allocation formula. <br />a.Pros. <br />Operating costs are allocated according to a formula designed to <br />approximate the level of need for and usage of fire service. There is <br />a degree of logic behind allocating capital costs in the same way. <br />If all cities pay a share of the costs, the costs for each city are reduced. <br />b.Cons. <br />Oronu and the other service contract cities are purchasing a service. <br />To the extent the service can be provided adequately from the current <br />facility, it is arguable whether the contracting cities should pay for a <br />new facility. <br />Payment of the debt service would increase Orono’s annual cost for <br />Mound fire service from $I 10,000 to $182,000. This is an increase <br />of $72,000 or 65%. <br />4. Obtain equity in the Mound fire station equivalent to Orono’s cost allocation. <br />a.Pros. <br />iiirni.Trd1ffftrTHr