Harford County Executive David Craig is requiring all 12 of the county's volunteer fire and EMS companies to disclose their budgets and other financial information before they can get any more funds from the county, prompting some fire officials to call it an "ultimatum" and balking at signing the agreement.
The county administration sent the companies a memorandum of agreement that requires them to provide an audit, budget, evidence of bonding or insurance and proof of adequate accounting systems, although the law department is still tweaking some of the memorandum's aspects, Bob Thomas, a county government spokesman, said Wednesday.
"The purpose of this agreement is to outline the conditions governing that annual financial support," the memorandum states.
The memorandum requires companies to submit a 2012 budget by Nov. 1. The county had announced in August it planned to write such a contract, and William Dousa, president of the Harford County Volunteer Fire and EMS Association, said in the Aug. 25 press release he looked forward to continuing to work with the county.
The county gave fire companies $7.7 million in operating funds for 2011 and anticipates giving $6.9 million in Fiscal Year 2012, according to documentation provided by Thomas.
It has also given $7.5 million in capital funds to companies since 2007.
Thomas said the agreement is similar to those done in other jurisdictions, such as Prince George's County, and is necessary to preserve accountability.
"We have attempted to address all of their concerns," Thomas said about the county's fire companies. "The core issue of this is the accountability of taxpayer dollars…The days of handing out checks with no requirements for accountability, no requirements of how they are going to be used, no parameters, etc., are over."
Not everyone is agreeing with the plan as it's put forward.
Charlie Packard, president of Havre de Grace's Susquehanna Hose Company, said he received the memorandum last Friday and held a meeting with his board of directors Monday to discuss the issues.
The Harford County Volunteer Fire and EMS Association was set to have its monthly meeting Wednesday night, and Packard said he expected the contract to be a hot topic.
"It's being presented as more of an ultimatum than a negotiation," he said. "It's my understanding that many of the companies have reluctance to sign it."
Packard said he had problems with several items in the text, including the line regarding bonding and the requirement to turn in a 2012 budget.
He explained Susquehanna Hose Co. could not do that until it knew how much money it would get from the county.
"That is not the way we have ever done it," he said.
He also said he is concerned the county wants to have each company sign the agreement, instead of just the association.
"My question is whether it's appropriate for individual companies to sign the MOA, to be the contractual party," he said.
Packard said he does agree with what the county is trying to do, just not the way it is being done.
"I am certainly not against the idea and I am not sure that it is not a good idea for the county to have some kind of written agreement with the association," he said. "I am not real crazy with the way they have gone about it."
Thomas said there will be no exception to the rule of each fire company signing the agreement.
"Several have expressed concerns [about] why the county is requiring bonding to those who handle financial assets," Thomas said. "The companies want to know why we can't just have an MOU between the county and the association. The simple answer to that is, there's 12 independent corporations and you have to have a binding agreement with the 12 independent corporations, as well as the association."
Thomas said the memorandum was explained to everyone, and the association leadership, at an August meeting.
He was optimistic about moving beyond the friction between the county and the fire and EMS companies.
"Certainly, this is a bump in the road, but the county executive has been extremely good and extremely fair to all the fire services in the county," he said. "With these kinds of situations, we hope to work forward and we want to work through [them]."