Jeffersonville City Council members deliberated for around two hours at a special meeting Monday before they ultimately voted to stop a fire territory they approved earlier this year.
The board voted 5-4 to rescind an ordinance that approved the territory. It would have expanded fire coverage to Jeffersonville, solidified a partnership for coverage to Utica and Utica Township, and included EMS service.
The council and the Utica Township Fire Protection District board approved the territory in March, despite challenges.
Council President Evan Stoner, who voted to rescind, said officials had originally “passed a plan that was going to solve a lot of problems.”
But a state law passed this year overhauling taxes limits how much territories can pull in from tax revenue and was estimated to cut its budget by about a third.
That — and the uncertainty about impacts the new law will have on funding for local governments and schools — led some members to change course.
“I think it came down to that this was a ginormous risk,” Stoner said.
He said he thought council members who voted to rescind didn’t want to hire firefighters without knowing future funding was certain.
Even with a stripped-down budget that didn’t include EMS, Jeffersonville fire officials said they didn’t think it was doable. In May, they asked the council to reconsider.
There's an estimated shortfall of $1.3 million in the first year on that pared down budget, Susan Cowen, a representative with financial adviser Baker Tilly said during the Monday meeting. She said they’re facing potential revenue loss either way.
Joe Jarles, president of the Utica fire board, said after the meeting he knew this outcome was a possibility, but he doesn’t know where that leaves the district he represents. Jarles has said they’re too deep in debt.
“Utica does not have the money on its own to pay for fire service,” he said. Jarles said the district is paying for fire trucks to replace trucks he said were stolen by former Clark County Sheriff Jamey Noel.
Noel operated companies that contracted for emergency services in Southern Indiana. He is currently in prison after being convicted for crimes including theft from New Chapel EMS and the Clark County Sheriff’s Office.
The fire board is currently in an agreement with Jeffersonville for coverage that expires at the end of the year. Jarles said he hopes they can negotiate continued coverage.
During the meeting, Jeffersonville Fire Chief Shawn Grant told Jarles they would not abandon them.
Some county officials and an attorney for the River Ridge Commerce Center signaled during the meeting they could come to the table to work toward a solution.
Jarles said he hopes that’s true.
“There was a lot of promises,” he said. “I hope they weren't empty promises.”
Jarles has also said he thinks this was the one shot for the fire territory to come to fruition.
Dustin White, who spearheaded efforts toward the fire territory, said he thinks the board made a mistake.
“Jeffersonville missed a long-sought-after opportunity to increase public safety,” he said.
Jeffersonville Mayor Mike Moore previously told LPM News he didn’t see a path forward for the territory after the new tax law was passed. He asked the fire department to look into feasibility with a tightened budget.
Jeffersonville Fire Department Deputy Chief Jason Sharp said in a May letter to the council that the department wasn’t confident there would be enough funding for adequate service.
Plans for the fire territory faced criticism from leaders of other local taxing units, like cities, earlier this year as they said its large budget would have cut into their tax revenue, impacting operations.
In March, the Clark County Commissioners voted to remove Jarles and the other two members of the Utica fire board, one day before they were scheduled to vote with Jeffersonville on the territory.
They took that to court and were reinstated in time to vote before the deadline.
Coverage of Southern Indiana is funded, in part, by Samtec Inc., the Hazel & Walter T. Bales Foundation, and the Caesars Foundation of Floyd County.
