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Liz Copan \/ ecopan@summitdaily.com<\/em><\/figcaption><\/div>\n<\/figure>\n<\/div>\n
Summit Fire & EMS communications director Steve Lipsher said that the fire district has some healthy reserves to get through the year without significantly cutting service, something he attributes to good governance.<\/p>\n
\u201cAs any government entity, we have built up reserves over the years specifically for this kind of situation,\u201d Lipsher said. \u201cThis is the type of good governance that was required of government agencies to weather storms like this.\u201d<\/p>\n
However, Lipsher confirmed that revenue drops in the months and years to come will come with cashflow concerns. Lipsher said that the fire district is preparing for a potential long-term revenue shortfall, and is already looking at ways to save money.<\/p>\n
\u201cWe are very cognizant of the cash flow concern, and so we are cutting costs where we can without impacting our service levels,\u201d Lipsher said.<\/p>\n
Lipsher said the district is looking at cutting things like uniform allowances and delays on routine equipment replacement to save money. He assured the public that doesn\u2019t mean that firefighters will have to go without uniforms or required gear; just that any expenses for those things will be subjected to \u201cgreater scrutiny\u201d than before.<\/p>\n
\u201cWe will be asking, \u2018Well, do you really need a new pair of boots this month, or can we wait a few months before having to replace them?\u2019\u201d Lipsher explained. \u201cIt\u2019s nothing that\u2019s going to shock anybody, it\u2019s just being realistic about the budget, and there are certainly things we can delay or extend.\u201d<\/p>\n
The district is also looking at putting off capital expenditures, such as the building of new fire stations and buying new vehicles. That includes putting off replacing fire engines and utilizing them past their recommended replacement time frame of 10 years, as the trucks are among the most expensive line items for the district to purchase. Lipsher said the fiscal conservatism is justified, given what the district faced financially during the recession after 2008.<\/p>\n
\u201cIt\u2019s a huge concern if we see an extended downturn with property values dropping, like how they significantly dropped in the 2007-2008 fiscal year,\u201d Lipsher said. \u201cThose would be significant long-term hits that you can\u2019t just recover from in 6 months, a year or even a couple of years.\u201d<\/p>\n
Lipsher said that the potentially most painful fiscal decisions would be for the ones that affect jobs. He admitted that the district may have to look at reduced staffing in the future to make its ends meet. <\/p>\n
That could mean even having to ask the state\u2019s division of labor to reduce staffing requirements for fire engines from a minimum of four in an engine crew to three to be able to get fire engines out the door on service calls. Lipsher said that the lower staffing would still be safe, just not ideal and a reflection of the strange times we live in.<\/p>\n
School district budget in limbo<\/h4>\n
The Summit School District is also looking at the potential for a long-term impact to its budget, on top of all of the difficulties it and all other Colorado schools are facing with the pandemic. <\/p>\n
Given how the district relies on the state for budgeting as well as local property taxes, and how uncertain things are right now, it is hard for the district to determine what and where any cost cutting measures will have to take place.<\/p>\n
\u201cAt this point, there is much uncertainty in the financial world and it is hard to say how the state budget will be affected,\u201d school district Communications Director Mikki Grebetz said. \u201cWe are eagerly awaiting future forecasts and budget adoptions by the state in May.\u201d<\/p>\n
A timeline provided by the district has a critical meeting on May 12, when the state\u2019s Joint Budget Committee meets to discuss what will need to be done to balance the state\u2019s budget, as is required by Colorado\u2019s constitution. On May 25, those budget decisions will be put into effect.<\/p>\n
\u201cAfter receiving the forecast, we will have a better understanding of what our budget will be for next school year and following years,\u201d Grebetz said. \u201cAt SSD, we are currently working through different scenarios based upon the projected state budget, and we will be prepared for the final adopted budget in June. These are uncertain times, but Summit School District is committed to continuing to provide a world-class education for all Summit students.\u201d<\/p>\n