วันศุกร์ที่ 25 ธันวาคม พ.ศ. 2552

Fire Department Funding - The next 4 critical financial problems that Will Rock Your World

The fire department will be in the coming years that each department will be treated in the fire on these issues impact separated the survivors of the dead.

Issue # 1: People are much more expensive.

Whether you have paid a volunteer, or combination of services. The cost of the firefighters who are always at an alarming rate. It is not just payroll, the total cost of peopleto fight.

The four trends for the higher costs are as follows:

Payroll. If you pay for the fire, increase costs for the payment of their salaries. Plus the cost of insurance, workers comp and payroll taxes, you must wait for an explosive mixture, the only fact to absorb your budget.
The cost of the attractions. If you do not pay, your fire, you get more money and volunteer labor. The facts are shocking. InBut in Pennsylvania, was the volunteer fire department dropped from 300,000 in 1970 to today's 75,000. While the state population by almost 100,000 people. How do you get new volunteers? The culture of volunteering has changed. The limits of time, people have changed. What can be done to attract more volunteers? Seem to be no magical solution exists, but they cost more than a volunteer, and encourage them to participate in your department. Of course, if your fireThe force falls below safe levels, can increase costs because you pay the fire department.
Training. A brand new fire fighter training requires much more than ever before - just to fight fires. In addition, such as specialized training in confined space rescue, water rescue, EMT and other skills that are needed to fire today and get a good investment in your employees - even if they are volunteers.
Equipment.Tools and safety equipment is safer than ever before. But safety comes with a price tag grows. It seems fair to those who are sure that the equipment have available to give. But the cost increases in order to ensure that your employees safe.The good ol 'days of a group of boys who are leaving their jobs to fight fires in their community are long gone. And in these days when labor costs go relatively cheap guy who, after fighting the fire out of a sense of duty, not becauseare necessary in order to be deceived in some way - either for the preservation of a check or other incentives to attract new volunteers.

The firefighting work historical business model is gone. I no longer work freely. Thus, common sense firefighters begin to take into account these costs today and treat them rather than beat the harsh new reality of higher.

This problem is increasingly urgent for the next decade.

Problem No. 2: The revenues are harder to findby.

At the same time very expensive add the cost of fire service feels the stress of looking for new sources of income become more difficult. Historical sources of revenue such as fund raising or donations are struggling to compete with an increasingly more important as organizations have for donations. There are millions of "good" neighbor tries to get attention to your donors - and they use sophisticated techniques to get to their sharesGift cake is stagnating.

Or, if you are willing to depend on state funds as a source of income for the next budget to be, the fighting is all levels of government soon. Most of the United States, state, regional and local authorities have recorded deficits in recent years. This means that their money only if the lighting is on loan to keep. There will be less funding for future grants and discretion purchases.

Besides this, the current economic situationTax revenues will be lower for a bit, and it seems that there is a growing sense of anger taxpayers that help to limit the growth of taxes to all levels of government.

It is important now with the planning of future tighter budget in mind. For most departments, it can only mean a fixed income, rather than less. Has become for most departments, the reality of what they are invited to perform with fewer resources.

Problem No. 3: There will be moreControl of your financial information.

In the past, no one really to see in the accounts of the volunteer service, and the districts are small. However, since the total amount paid on such other services to grow, there will be a growing demand for a careful review of the financial expenditure and the use of funds.

If you are not a fire-for-profit, you must (with some exceptions) an IRS Form 990-file on your financial activity to report. ThisForm is necessary to maintain tax-exempt status. Some states like Pennsylvania, they are much more stringent financial reporting and compliance, as the purchase of new equipment.

Cities, towns and counties need an independent review of the accounting department at the huge sums paid to assist.

There is a period of 2 weeks does not mean that a fire is not the victim of embezzlement, lack of quality in the United Statesfinancial controls are a fertile ground for a possible financial crimes.

There's beer for a storm, the fire department, more responsibility for their money than before. This will be a shock for most departments was the cause of independence and the manner in which we are responsible for their performance. Before that, the fire starts have a high quality of the information that is accessible for all to see. Anecdote, there is a growing number of services nowreports on their accounts on their website.

So be prepared to disclose full financial transactions in your community.

Issue # 4: costs inevitably rise faster than inflation.

Finally, the nature and cost of acquisitions, the fire department will be much the general inflation rate in the coming years, more than necessary. Fire fighters, special equipment is necessary to heavily on raw materials of high quality. The prices for these materialscontinue to grow very rapidly in the short to medium term. Moreover, the costs of services such as insurance, utilities and accounting (see paragraph 3), are rapidly increasing.

Of course, many departments will be compensated for these costs by delaying purchases or sales of lower quality and less expensive. While it should help to plan the Institute ready acceptance in accordance with this premise and then.

Overall, it is prepared for the future, a perfect storm for financialFirefighters. With the tightening of the lower revenues and higher costs for labor and all other services will be required to begin planning now to meet these financial challenges to historical or forced to come together with more efficient services at the request of a municipality.

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