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Home My WebLink AboutRFA 2015-04-08 Item 4 - Fire Benefit Charge 101Fire Benefit Charge 101 September 15, 2014 Fire Exploratory Committee - 2014 Agenda: ❖ Basics of FBC ❖ Factors in Kent RFA model ❖ FBC as applied to Tukwila parcels ❖ Fire budget and potential capacity J Basics of FBC ❖ Initial imposition of FBC requires 60% voter approval (RCW 52.26.220) ❖ Renewing existing FBC requires 60 for RFAs %, renew every 6 years (Rcw 52.26.220) ❖ The FBC takes the place of the 3rd 50 cent property tax levy (RCw 52.26.240) ❖ Cannot exceed 60% of the annual operating budget (RCW 52.26.220) Fire Exploratory Committee - 2014 Basics of FBC, continued ❖ Imposed on personal property and improvements to real property (RCw5z.26.1so) ❖ FBC is added to property tax bills ❖ County charges a fee to collect the funds (currently 1%) Basics of FBC - Formula ❖ Formula shall be reasonably proportioned to the measurable benefits to property (RCW 52.26.180) ❖ Any other method that reasonably apportions the benefit charges is acceptable. (RCW 52.26.180) Fire Exploratory Committee - 2014 Exceptions, limitations • Property owned by religious organizations (RCW 52.26.180) • Property not assessed and subjected to ad valorem taxation under Title 84 (RCW 52.26.180) • Property that is subject to a contract for services (RCW 52.26.180) Fire Exploratory Committee - 2014 Exceptions, limitations, continued + Low income, seniors that qualify for exemptions under RCW 84.36.381 through 84.36.389 are exempt from a portion of the FBC. 25%, 50% or 75% exemption What is not exempt + Non profit organizations •'• School districts ❖ Government entities that do not have a fire department Fire Exploratory Committee - 2014 Kent RFA Factors and Formulas 2014 Kent Fire Department Benefit Charge Formula; Squa re root at total sq ua re Rootage X 18 X Category Factor X Fire Flow Factor X Response Factor X Risk Factor X Applicable Discount - FBC Total square footage of structure (sli ..-. cr. cr, c. al 01. ei er, cr'i cr-. cr.- b. - ,...4 er.- re, ,- r-. .... ,..4 . 0.. ,-,1 ,-4 ..-.1 -.. 8 R g ,, ,-, g ... 5- .C. c, 8 c, 8 8 C. 8 IC 8 IC 8 8 8 8 , . . rq Category Factors: kes id ential 0.83 0.63 0.83 0.83 0.83 0.83 0.83 0.83 0.83 0.83 0.83 0.83 0.83 0.83 0.b 7.. . , :_l.b :. Mobile Homes 0.16 0.16 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0.76 0./6 Apartm errts .60 1.60 1.60 1.60 1.60 1.60 1.60 1.60 3.25 3.25 3.25 6.70 6.70 8.60 11.10 14.25 ::411119 Erdal 1.00 1.00 1.00 1.00 1.20 1.20 1.20 1.40 1.40 1.40 1.50 1.50 2.05 2.05 3.05 3.0, Fire Flow Factor:* 0.270180432' Response Factor:** Rim iderrlal 1.05 1.13 1.35 1.65 1.65 2.25 2.25 2.25 2.25 2.25 2.25 2.25 2.25 2.25 2.25 2.25 Manufactured Homes 1.00 1.00 1.00 1.00 3.00 1.00 1.00 1.00 1.D0 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Apartments 1.54 11.5.1 1.54 1.54 1.5.1 1.5.1 1.54 1.54 1.54 1.54 1.54 1.54 1.54 1.54 1.54 1.54 Commercial 1.18 1.18 1.18 1.18 1.18 1.18 1.75 1.75 1.75 2.65 4.20 el. 20 4.20 4.20 4.20 4.20 RiSk FaCto n*** Light Hazard 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Ordinary Hazard - 1 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Ordinary Hazard - 2 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Extra Hazard - 1 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 1.30 Extra Hazard -2 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 1.40 DiStountS: Automatic Fire Spriniii ers 0.900 I 0.900 I 0.900 0.900 I 0.900 0.900 I 0.900 I 0.900 0.900 0.900 0.900 I 0.900 I 0.900 0.900 I 0.900 0.900 Manual Local Alarm 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 0.980 Manual Central Alarm 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 0.950 Automatic Local Alarm 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 0.970 Automatic Central Alarm 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 0.925 Agricultural 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 0.250 ' Fire flow factor is estimated until -final tax and property data is certified by the King County Assessor Response factor is based upon the rIUM ber Of firefighters needed to deliver the required firflow . " Risk factors &poly to tarrariertisi property. are defined by E ht NFPA and are as t,ikrptd by in Yg&C Linn performed by the Fi re Au th orl Cy. Fire Exploratory Committee - 2014 J Potential changes to formula for Tukwila parcels + Add factor for retail sector + Revise square footage categories Fire Exploratory Committee - 2014 FBC as applied to Tukwila parcels - residential 1,500 square feet, $188,000 A.V.: FBC = $164.15 3rd $0.50 fire levy = $94.00 (parcel #0040000471) 3,350 square feet, $253,000 A.V.: FBC = $315.40 3rd $0.50 fire levy = $126.00 (parcel #8687800005) Typical response for a house fire: 5 apparatus, 1 rehab vehicle, BCs, 1 admin chief, 1 MSO, 1 fire investigator, 1 safety officer 11 Fire Exploratory Committee - 2014 $400 $300 $200 $100 So FBC to 3rd $O.5 Tax Levy - residential Residential Properties Sq Ft 1,500 2,420 3,350 -FBC Tax Fire Exploratory Committee - 2014 1 FBC as applied to Tukwila parcels — apartments 11,900 square feet, 25 units, $1,127,000 A.V.: FBC = $1,307.20 3rd $0.50 fire levy = $563.50 Each unit's share would be $52.29 (parcel #0040000327 — Park Ave Apts) Typical response for an apartment fire: 8 apparatus, 2 medic units with 2 paramedics in each, 1 rehab vehicle, 2 BCs, 1 admin chief, 1 MSO, 1 fire investigator, 1 safety officer Fire Exploratory Committee - 2014 13 FBC as applied to Tukwila parcels — apartments 160,700 square feet, 188 units, $13,872,000, A.V., no discounts: FBC = $25,819.84 3rd $0.50 fire levy = $6,936.00 Each unit's share would be $137.34 (parcel #0003000008 — Terrace Apts) $30,000 ,000 $ 20,000 1.5,000 $10,000 $5,000 so FBC to 3rd $O.5 Tax Levy — apartments Apartment Complexes Sq Ft 11,900 60,255 F� Tax. 160,700 Fire Exploratory Committee - 2014 1 FBC as applied to Tukwila parcels — commercial 16,828 square feet, $2,315,400, A.V., no discounts: FBC = $1,545.64 3rd $0.50 fire levy = $1,157.70 (parcel #0223400040 —SRO Properties) Typical response for a commercial fire: 8 apparatus, 2 medic units with 2 paramedics in each, 1 rehab vehicle, 2 BCs, 1 admin chief, 1 MSO, 1 fire investigator, 1 safety officer Fire Exploratory Committee - 2014 16 FBC as applied to Tukwila parcels — commercial 621,525 square feet, $27,997,400 A.V., no discounts: FBC = $49,113.95 3rd $0.50 fire levy = $13,998.70 (parcel #3523049119) FBC to 3rd $O.5 Tax Levy — commercial $50,000 $40,000 $30,000 $20,000 $10,000 so Commercial Properties Sa Ft 16,828 Fire Exploratory Committee - 2014 164,928 FBC -Tax 621,525 Potential Capacity if Kent RFA (30,000 foot level) - Fire budget compared to levy - In Dollars (estimated) Current Fire budget $10,600,000 Reduction of property tax levy ($1.00/$1,000 AV) - 4,700,000 Potential capacity for City $5,900,000 Fire Exploratory Committee - 2014 Levy Rate (estimated) Current Fire budget expressed as levy rate $2.23 Loss of levy to RFA ($1.00/$1,000 AV) - 1.00 Net tax capacity for City $1.23 Q &A The City of opportunity, the community of choice. Fire Exploratory Committee - 2014