District seeks review of fire contract

Oct. 11--The Town of Oneonta Fire District approved a motion Tuesday night to seek government reviews of its contract with the city of Oneonta and regarding billing of residents for ambulance services.

The Fire District has shared its position with the city that the contract and ambulance billing practice are illegal, and city officials have disagreed.

Fire commissioners, meeting at Elm Park United Methodist Church, passed a resolution to seek opinions from various state and federal officials. Board Chairwoman Johna Peachin said the Fire District will ask for opinions from the federal Health and Human Services inspector general, the state Medicaid inspector general and the state controller, and more.

At the meeting, Virginia Lee, Oneonta city deputy finance director and a town resident, told commissioners that the contract and practices have been reviewed by attorneys and the state controller and been deemed legal. She also noted that the audit commissioners have been referencing in their arguments was in 1989, not 1992.

Oneonta Mayor Gary Herzig, reached by telephone later Tuesday night, reiterated that the city has found no validation for the argument that the city, town and Fire District have conducted business illegally for 25 years.

The city remains willing to negotiate with the Fire District for a contract to succeed the current one that expires Dec. 31, 2018, the mayor said.

The town Fire District has contracted for decades with the city for fire protection services provided by the Oneonta Fire Department, which has paid firefighters.

On Tuesday night, at the beginning of the meeting, commissioner resignations dated earlier this month of Gino Molinari, who cited personal reasons, and Don Lamanna, who cited "irreconcilable differences," were read. Peachin said unfortunately their resignations had to be accepted.

Then, Peachin cited a town law about filling vacancies, and she and Commissioner Fernando "Fred" Volpe appointed Ronald Peters to one of three vacancies on the board. Peachin and Volpe said they have asked residents to serve as fire commissioners without success.

"We have asked and asked and asked for people to serve, but we're between a rock and a hard place," Peachin said. Peters' term will expire Dec. 31, 2018, she said.

The commissioners approved paying election inspectors $10 an hour for the Dec. 12 election. Voters will decided on candidates for a three-year and a five-year term, commissioners said. The commissioners' next meeting will be Dec. 13.

Also Tuesday, commissioners heard a report by John Ryland of Hughson & Benson Associates about insurance ratings. The Fire District is looking into options to establish an independent fire department, Peachin said.

Peachin reviewed some minutes of meetings with the city of Oneonta and said commissioners had proposed a contract of about $750,000 for fire protection services. The city has added unjust administrative costs to reach a contract price of $1 million, she said.

Peachin said she also has tried unsuccessfully to have the contract split between fire and ambulance services.

In references to illegal provision of ambulance services, fire commissioners cited General Municipal Law 209-b(4).

The city and Fire District are in the second year of a three-year agreement, with costs of $1.03 million last year, $1.05 million this year and $1.1 million next year. The contract was hammered out after the city took the Fire District to court in late 2015 because no agreement had been reached to replace one set to expire at the end of that year.

Peachin on Tuesday said information is pending on the Fire District's statutory spending limitations. The Fire District was backed to a wall and extorted by the court agreement, she said.

A public hearing on the Fire District's proposed 2018 budget will be at Elm Park United Methodist Church at 401 Chestnut St. at 6 p.m. Oct. 17. The proposed budget is posted on the town of Oneonta website.

Denise Richardson, staff writer, may be reached at (607) 441-7213 or at drichardson@thedailystar.com. Follow her on Twitter at @DS_DeniseR.

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