ESD service beneficial, says Obar
BY CHARLOTTE SMITH Editor

The creation of Emergency Services District #2, serving most of Smith County, could be a win-win situation for the City of Troup and its fire department, according to Russ Obar, city administrator.

Monies raised from the proposed special taxing district could pave the way for paid fire personnel, help lower insurance ratings and improve equipment and services, and in turn free up current city revenues allo cated for fire protection services.

"Our council voted to be included to show support for the ESD and to help inherently poor fire departments find another source of funds," said Obar. "They need money to operate."

The city currently pays $31,500 out of its general fund to the Troup Volunteer Fire Department, an independent corporation, said Obar. The city and the department split ownership of the trucks, with additional monies from Smith County paying equipment insurance. The $31,500 represents about 5 cents of the city's maintenance and operating rate.

If the ESD passes, the city could retain the $31,500 for its own purposes; however, when the city council voted in August to place Troup and its extraterritorial jurisdiction on the Nov. 7 ballot, Mayor John Whitsell asked and received support from the council to subsidize the difference should the department receive less funding through the ESD.

The disbursal of funds has been the key point of debate concerning the ESD. If voters approve the district's formation - allowing a tax of up to 10 cents per $100 valuation to be assessed on property owners - Smith County Commissioners will appoint a five-member governing board to oversee its operation. Fire departments within the district will submit budgets to the board for approval.

There is the possibility that monies raised in a city's taxing area won't be fully returned to its fire department.

Jim Carlyle, a longtime member of Troup's VFD, participated in talks with other fire department representatives in the proposed district before going before the city council to recommend joining the ESD. "As much as we could, (we agreed) funds earned from an emergency services area will return," said Carlyle. "But there could very well be exceptions."

Carlyle said the ESD could help a department recover from an unexpected setback. "You get a truck destroyed, that could be devastating to a department that doesn't have other sources of income," said Carlyle.

With foresight, the ESD could retain 10 percent of the taxes generated in case such a need occurs, said Carlyle, who has seen his share of unexpected disasters in 60 years of volunteer service.

The volunteer nature of many rural departments also can be affected by an ESD, said Carlyle.

"There are two sides to volunteering: you can volunteer to, or you can volunteer not to," said Carlyle. "When equipment is old or inadequate, you have difficulty getting good people."

An added benefit of the ESD taxing district, said Obar, is that many property owners in the county who do not pay city taxes, will now share the burden of paying for fire protection services that extend well out into areas outside the city.

The ESD would use appraisals from the Smith County Appraisal District to determine their property valuations. All of the City of Troup falls within the boundaries of the Troup Independent School District and portions of both the city and the school district are located in Cherokee County, said Obar.

The school district uses Cherokee County (CCAD) as their appraisal district of record while the city uses Smith County (SCAD) as their appraisal authority. Any disparities between the two appraisals of the same property must be settled by mutual agreement or the valuation defaults to the lower of the two appraisals.

"This defaulting to the lower value has caused much of the city's growth and building to be slow in reflecting in the overall valuation of the city," said Obar. "Since the ESD would stop at the Cherokee County line, this disparity would not be an issue since those areas of Troup and the school district not located in Smith County will not be included in the proposed ESD."

Despite the uncertainties about board and funds disbursal, both Obar and Carlyle feel the ESD will be a good thing for Troup and its citizens. "At some point, you just have to give up and trust," said Carlyle, who has served on the county's 911 services board and feels the ESD governing body will be held just as accountable.