Fire Stations Bond 2023

City of Caldwell

Post Bond Information

August 15th 2023

A survey educated the community on fire station statuses and services, gathering input on priorities and a potential bond to construct two new stations. With 527 responses, 74% supported the bond.

September 5th 2023

The Caldwell mayor and city council approved a bond ordinance to rebuild and expand fire stations, allowing the bond to proceed to the ballot.

November 7th 2023

Over 4,300 votes were cast, with 2,904 (66.74%) in favor and 1,447 (33.26%) against. Idaho bonds require 66.67% to pass. A recount confirmed the bond's approval at 66.74%.

Bond Details

The maximum bond amount is $17.3 million, funding both projects with an estimated total cost of $24.96 million, including $7.6 million in interest over 20 years. The annual taxpayer cost is $13.92 per $100,000 of assessed value, approximately $3 per month for a median home valued at $374,000.

Timeline Progress

Fire Stations Bond 2023
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To maintain the level of fire and emergency medical services throughout the community, the City of Caldwell is proposing a $17.3 million bond to fund: 1) a rebuild and expansion of downtown Fire Station 1 and 2) construction of a new Fire Station 4, in the vicinity of Karcher Road and Lake Avenue, to be shared with the Nampa Fire Protection District.

Following results of a City-wide Fire Station Survey, Caldwell City Council approved a bond ordinance on September 5, 2023. The survey, released on June 2, served to gather input regarding prioritization of fire services as well as resident sentiments regarding a potential bond. A total of 527 responded to the survey, with more than 74 percent indicating they would support a bond measure.

The bond measure will appear on the November 7 ballot, allowing residents to determine whether to support a $17.3 million bond to fund a rebuild and expansion of Station 1 and a new Station 4. The measure requires a two-thirds majority approval from voters.

The proposed projects will reduce response times, provide quarters for full-time fire and emergency medical services personnel, improve fire and emergency medical services across the City, provide cost effective and long-term solutions, and contribute to an improved ISO rating.

The bond will provide the funding to deliver long-term solutions for fire and emergency medical services facilities at today’s costs.

Station 1

The City’s original Station 1 is 57-years old. While it has been expanded three times, the facility has infrastructure challenges preventing additional expansions. A new facility is in the long-term financial best interest of the City and taxpayers, rather than attempting additional short-term “band-aid” repairs that still fall short of providing an adequate facility to house the number of personnel needed to serve today’s Station 1 service area.

Station 4

One of the most rapidly growing areas of Caldwell is the Karcher Road and Lake Avenue area. In addition to ensuring adequate fire and emergency medical services are available in this area, the need for a station in this area has been quantified by significant increases in call volumes.

Because the area is adjacent to the Nampa Fire Protection District service area which also identified a need for a new station, the concept of sharing a facility makes financial sense. In addition to efficiencies in facility and apparatus costs, Station 4 may reduce concurrency of calls, improving service and response times throughout the City.

Mayor Council Letter

Fire Stations Bond 2023

Pursuant to an ordinance adopted on September 5, 2023, by the City Council of the City of Caldwell, Canyon County, Idaho (the “City”), there will be a special municipal bond election held between the hours of 8:00 a.m. and 8:00 p.m. on November 7, 2023, in the City regarding the City’s proposed issuance of general obligation bonds in an amount not to exceed $17,300,000 for the purpose of providing funds with which to prepare, construct, and furnish the City’s portion of the construction of a new fire station, reconstruction of an existing fire station, and the renovation of certain existing fire training and administration facilities and all other related costs, items and appurtenances necessary, useful and convenient for the betterment of the City’s fire facilities, as otherwise determined by the City, all collectively constituting the “Project.”

The interest rate anticipated on the proposed bonds based on current market rates is 3.95% per annum. The total amount to be repaid over the life of the proposed bonds, principal, and interest, based on the anticipated interest rate, is estimated to be $24,960,000, consisting of $17,300,00 in principal and $7,660,000 in interest. The estimated average annual cost to the taxpayer of the proposed bonds is a tax of $13.92 per $100,000 of taxable assessed value, per year, based on current conditions. The proposed bonds will mature within twenty (20) years from the date of each series bonds. The total existing indebtedness of the City, including interest accrued as of November 7, 2023, is $0.

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FAQS
Why does Caldwell need new fire stations?

Like many Idaho communities, Caldwell has experienced record growth in the past decade. In just the last five years, the City’s population has grown 16.9 percent. In addition, more than 4,300 new structures have been constructed, expanding the City’s boundaries. As a result, emergency calls have increased 35 percent.

The City’s population has increased to the point where additional full-time fire and emergency medical services personnel are needed—and new stations are needed to house them. In the past 20 years, the City has constructed one fire station, Station 3, in 2018.

Today’s teams are traveling further distances to respond to calls and responding to more calls than ever before. Caldwell’s firefighters are the busiest firefighters in the state, with firefighters responding to an average of 20 calls per day. While the current 2023 City budget and a staffing grant have recently enabled the Department to add firefighters, facilities remain strained.

Where will the new fire stations be located? Does the City need to purchase the land?

The Station 1 rebuild and expansion will remain downtown. The Department and City are evaluating several City-owned sites to determine the optimal location.

Through collaboration with the development community, the City was able to secure a donation of the land for Station 4, in the vicinity of Karcher Road and Lake Avenue.

How does a general obligation bond work?

A general obligation bond is a financing tool used by governments to raise funds for capital improvements, facilities, and equipment that cannot be financed through direct sources of generated revenue. General obligation bonds require approval by a two-thirds majority of voters.

What is the total bond amount and how will funds be spent?

The total bond amount will be $17.3 million. Pursuant to the bond resolution adopted by the City Council on September 5, 2023, funds may only be used to construct the specified new facilities and purchase apparatus and other critical equipment for those specific facilities.

Existing plans and construction drawings previously used for a recent new Nampa Fire Protection District station will be used for both stations, resulting in project savings.

Station 1 will be rebuilt and enlarged to house firefighters, modern apparatus, and fire administrative headquarters offices. The larger station will also provide space for an additional two-person squad and accompanying apparatus for this service area. Station 1 will include a community room for Department and City trainings which will also be available to community groups on a reservation basis.

The City is in discussions with the Nampa Fire District to finalize the equitable sharing of facility and apparatus costs for Station 4, as well as ongoing staffing and maintenance.

In addition to funding construction of Station 1 and Station 4, the bond will also provide for the acquisition of new, modern apparatus for both stations.

How much will this cost me, as a homeowner, each year and for how many years?

Based on current conditions, the estimated average annual cost to homeowners is a tax of $13.92 per $100,000 of taxable assessed value after the homeowners’ exemption. The levy shall be assessed each year for 20 years. If the assessed value of new construction is greater than projected in any given year, the assessment rate may be reduced in those years.

If approved, the annual tax impact for the Caldwell median home value of $374,000 would be an estimated $34.66 (less than $3.00 per month).

The City recently increased development impact fees for new residential units. A portion of these new revenues are allocated specifically to fund new fire and emergency medical services facilities. This ensures that growth pays for itself, reducing the financial impact on existing taxpayers.

Will response times improve?

The national average response time is 4:00 minutes. Caldwell’s current average response time is 6:01 minutes.

Approximately 65 percent of the Department’s 911 calls are requests for emergency medical services. Response times are critical in saving lives.

Station 1 services will be enhanced with the ability to house an additional two-person squad and response unit as well as Canyon County Ambulance Service personnel.

The addition of Station 4 with its own personnel and apparatus will reduce response times for the south Caldwell area as well as for some Station 2 and Station 3 service areas since a portion of those areas will be served by future Station 4. Response time maps (see below) geographically illustrate projected reductions in response times with the addition of Station 4.

The addition of Station 4 may also reduce concurrency of calls, improving service and response times throughout the City.

Also see What’s Changed? below.

What’s an ISO Rating and how can it affect my insurance rates?

Fire departments across the US are awarded what’s known as an Insurance Services Office (ISO) rating. The rating is determined by a community’s fire department services, water supply and fire flows, and emergency communications systems.

Insurance companies use ISO ratings as one factor in determining insurance rates for residents and businesses. ISO ratings range from 1 to 10, with 1 being the best possible rating and 10 indicating a community does not meet minimum ISO standards. The Caldwell Fire Department currently maintains an ISO 3 rating.

It’s difficult to quantify, in dollars, the impact an improved ISO rating can have on annual insurance premiums because insurance companies also consider factors such as a property’s location, features, and operations (for commercial properties), among others. Local industry experts have estimated that each ISO point may affect rates by approximately ten percent.

The addition of Station 4 may also reduce concurrency of calls, improving service and response times throughout the City.

What’s changed?

In addition to the rapid growth Caldwell has experienced, the way the Caldwell Fire Department and departments across the country respond to fires and emergency medical situations has changed.

Emergency medical response times in structure fires, motor vehicle accidents, and other situations are critical to providing medical care as quickly as possible to save patients and stabilize them for transport to a hospital.

According to the American Heart Association, after a heart stops beating, brain cells can be severely damaged within four to six minutes. While medical advancements have improved interventions and survival rates, response time is still critical. Without intervention, a victim's chances of survival are reduced by 7–10% with every minute that passes.

Today’s fires burn hotter and quicker due to more synthetic materials used in furniture and other home furnishings which often emit toxic smoke. Also, open floor plans allow fire to spread faster and more freely. Four decades ago, residents had 17 minutes to escape a house fire. Today, it can be as little as three to five minutes.

These changes necessitate faster response times and stations in closer proximity to highly populated residential and commercial areas.

Fire Stations Bond 2023

Pursuant to an ordinance adopted on September 5, 2023, by the City Council of the City of Caldwell, Canyon County, Idaho (the “City”), there will be a special municipal bond election held between the hours of 8:00 a.m. and 8:00 p.m. on November 7, 2023, in the City regarding the City’s proposed issuance of general obligation bonds in an amount not to exceed $17,300,000 for the purpose of providing funds with which to prepare, construct, and furnish the City’s portion of the construction of a new fire station, reconstruction of an existing fire station, and the renovation of certain existing fire training and administration facilities and all other related costs, items and appurtenances necessary, useful and convenient for the betterment of the City’s fire facilities, as otherwise determined by the City, all collectively constituting the “Project.”

The interest rate anticipated on the proposed bonds based on current market rates is 3.95% per annum. The total amount to be repaid over the life of the proposed bonds, principal, and interest, based on the anticipated interest rate, is estimated to be $24,960,000, consisting of $17,300,00 in principal and $7,660,000 in interest. The estimated average annual cost to the taxpayer of the proposed bonds is a tax of $13.92 per $100,000 of taxable assessed value, per year, based on current conditions. The proposed bonds will mature within twenty (20) years from the date of each series bonds. The total existing indebtedness of the City, including interest accrued as of November 7, 2023, is $0.

Additional Information
Why does Caldwell need new fire stations?
Where will the new fire stations be located? Does the City need to purchase the land?
How does a general obligation bond work?
What is the total bond amount and how will funds be spent?
How much will this cost me, as a homeowner, each year and for how many years?
Will response times improve?
What’s an ISO Rating and how can it affect my insurance rates?
What’s changed?

Fire Stations Bond 2023

Pursuant to an ordinance adopted on September 5, 2023, by the City Council of the City of Caldwell, Canyon County, Idaho (the “City”), there will be a special municipal bond election held between the hours of 8:00 a.m. and 8:00 p.m. on November 7, 2023, in the City regarding the City’s proposed issuance of general obligation bonds in an amount not to exceed $17,300,000 for the purpose of providing funds with which to prepare, construct, and furnish the City’s portion of the construction of a new fire station, reconstruction of an existing fire station, and the renovation of certain existing fire training and administration facilities and all other related costs, items and appurtenances necessary, useful and convenient for the betterment of the City’s fire facilities, as otherwise determined by the City, all collectively constituting the “Project.”

The interest rate anticipated on the proposed bonds based on current market rates is 3.95% per annum. The total amount to be repaid over the life of the proposed bonds, principal, and interest, based on the anticipated interest rate, is estimated to be $24,960,000, consisting of $17,300,00 in principal and $7,660,000 in interest. The estimated average annual cost to the taxpayer of the proposed bonds is a tax of $13.92 per $100,000 of taxable assessed value, per year, based on current conditions. The proposed bonds will mature within twenty (20) years from the date of each series bonds. The total existing indebtedness of the City, including interest accrued as of November 7, 2023, is $0.

Additional Information