Cobalt council is looking at the possibility of purchasing a new fire truck by entering a ten- or fifteen-year loan.
The discussion took place at council's committee-of-the-whole meeting February 6.
Council wants to meet with Cobalt Fire Chief Shawn Hearn first to review its options and the information that could support a decision.
Councillor Angela Hunter suggested the town should also look at contracting out to either of the neighbouring fire departments for a partial fire service. That would provide the town with access to a newer fire truck, which council has been told is needed for its fire rating. The fire rating, in turn, impacts the insurance rates for homes in Cobalt, it was noted.
Town manager Steve Dalley told council that a 15-year repayment plan for a loan through Ontario Infrastructure would be a monthly payment of $4,661.93, whereas a ten-year loan repayment plan would have a 4.44 per cent interest rate with monthly payments of $6,247.99.
Hunter questioned the need for that expense and noted the town had been concerned about paying $25,000 to purchase a used truck to replace the oldest of the two owned by the fire department, yet now is looking at an annual cost between $50,000 and $100,000 for the purchase and maintenance of a new fire truck. She expressed the concern that in another 20 years the town would have to enter into another loan to purchase a new truck.
Mayor Angela Adshead outlined that there are two requirements. The National Fire Protection Association approves and certifies a fire truck to remain in service if it passes a pumper test. There is also a fire underwriter’s requirement that the fire department's primary truck not be older than 19 years.
Adshead said she has raised the matter with Timiskaming-Cochrane MPP John Vanthof and the Association of Municipalities of Ontario. She said she believes that the fire underwriter’s requirement is for larger city centres and the matter is going to be brought to higher levels of government. The requirement does not take smaller municipalities into account where fire trucks don't go out as often and have less wear and tear.
The town is struggling with its budget, she acknowledged.
Hunter asked to see the insurance underwriter's requirement in writing and questioned what is actually needed to maintain a good fire rating, and whether there could be other options.
Councillor Doug Wilcox commented, "It just strikes me that it's an enormous cost either way but one may be less costly overall to the taxpayer and that's the one that we should be looking at."
He asked that the council make the subject a priority.
"We've been kicking this particular can down the road for a very long time now, and I think it's time to start getting closer to a decision."