Board Information

Agenda

Board of Commissioners:  Frank Cardis, Denice Carpenter, Charles Freshour, Ben Gerrald, and Tim Hanke.

August 5, 2025

CALL TO ORDER

MINUTES  

TREASURER’S REPORT: As of 7/31/2025             Checkbook Balance - $118,509.84

CHIEF’S REPORT:

Motion to approve all reports

Old or Unfinished Business:               New Station  

                                                               Laura’s Back-up                 

                                                           Hydrotest SCBA bottles

New Business:                          Fire Station Software

 SALEM FIRE DISTRICT COMMISSIONERS’ MEETING

July 1, 2025

Commissioners Present: Frank Cardis, Denice Carpenter, Ben Gerrald, and Tim Hanke.

Frank called the meeting to order at 7:00 pm.  Frank stated that the minutes for the previous meeting had been distributed for review. Ben made a motion to waive the reading of the minutes. Denice was 2nd. Motion passed.

Treasurer’s Report – Tim stated that all monies in all accounts is $ 974,895.34. He said that we have gotten about half of our money for the year, so we can expect another $200,000. Laura stated that he needed to add $150,000 to that total. A check was made from First Security, but it has not been deposited in another bank yet.

Chief’s Report – Gil said that we have 24 firefighters, and we had 160-man hours of training last month. We had 66 runs, and 3 of those were structure fires.

Denice made a motion to approve the reports. Ben was 2nd. Motion passed.

Old Business – New Station/Architectural Services – Frank reminded everyone that we had some questions for lenders at the previous meeting. A letter was sent out to different ones in the area, and we have a few guests in the audience. He said that one of the questions was whether or not a lender would require an architect to be available to sign off on progress payments.  Ben pointed out that we have one architect that we are considering who can do the design for us, but he does not have his own architect’s license. He does have someone who will sign off on it. This person is in Northwest Arkansas, and he would not be able to do architectural supervision due to location. Ben added that we need to know if we need that supervision in order to get our progress payments to the contractor. Jim Templeton from First Security said that would not be an issue. Jared Norwood from First Horizon said that you would have to have architectural plans, but they would not have to sign off on progress payments. Tim said that another question was him not having his own license, whether it would be ok to have someone else put their stamp on it.  Both lenders said that would not be a problem. Ben added that most of your architectural firms are not going to be full of licensed architects doing the drawings; they will have draftsmen, and then an architect will stamp it. Denice said that she reached out to Mr. Walker, and has not received an answer yet. She also reached out to Government Capital. They do not do construction/building loans. However, they will give a lump sum, if we can prove, through an attorney, that we have enough security to borrow against. They are looking at where our funding comes from. We don’t have a bond in place showing where our income comes from; we just have an ordinance that says where we get our funding from. They need more documentation to determine that we have sufficient funds in order to give us that type of loan. They would give it in a lump sum, with a 5 year term up to a 20 year term. There are no draws, like a typical construction loan; you get a lump sum up front to distribute as needed. Denice mentioned that Government Capital has dealt with Chris Travis with Gill, Elrod, and Ragon in Little Rock. She said that is what he specializes in, is bond loans. Without his approval, they won’t be comfortable with loaning us that kind of money. She said that she did not contact Chris Travis yet, without talking to the rest of the Board. Ben asked if they are only interested in the income going forward. Denice said that they are loaning against our collateral as far as funding, not the building. Tim asked about interest rates. Denice said that they did not discuss that until we talk to Chris Travis. Frank thanked the lenders for showing up. Jim Templeton explained that what they (Government Capital) are looking for is someone to put a tax stamp on it. They will want someone local for that tax opinion, and you will be charged for that. He said that they (First Security) have someone in house for that. Jim asked how our income is determined; is it a tax, dues…Ben said that it is annual dues. Jim said that they would just need to see something showing our annual dues, how many residents. He added that they are part of the community, and they look at what they can do for the community, as opposed to someone out of state. Denice said that they looked at Government Capital because they tend to have the lowest interest rates, because of the type of loans that they do. We have done firetrucks with them in the past, and gotten really good interest rates, because of the collateral involved. Jim said that it should still be a municipal rate, whoever we use. He said that is mainly what he does, is municipal leasing for cars, firetrucks, etc. He said that the rate should be competitive no matter who we go with. Ben said that the numbers that he gave us for the $2.5 million loan should be linear; if we put down $750,000, we should be able to figure out what our payments would be. Jim agreed, and said that interest rates are still dropping for the municipal rate. He said that we wouldn’t lock that in until about a week before. Stewart asked if we did a municipal loan through First Security, would it be like the one Denice was talking about with Government Capital. Jim said yes; that is all he does is municipal leasing like that. Stewart said that with a typical construction loan, you run the term, then you have a structure that is collateral. Or, is it an all up front loan, and you do what you want to with it. Jim said that they are just on the lien until it is paid off. They would put a lien on the building, not on our other assets. It is a note or lease purchase. You don’t have to put any money down, and there’s no buy-out at the end.  Your appropriated money is only what you owe for that year. If you had to get another loan to help with a payment, it’s only going to show the $300,000 payment, not the total $1.5 million, giving you the availability to borrow more funds. Tim stated that we bring in about $400,000 a year, and these payments are more than half of our annual income. If we did this, when we move into the new station, we would sell this one, and get maybe a million dollars. Station 2 is also a possibility, maybe $200,000. Tim asked how that would work. Jim said that we can do what we want; we can pay it off on the loan, or put that money in an account and get interest off of it. He said that the good thing about a lease purchase, is that you can use the funds the way you need them. If you do a 10 year loan, you can pay it off in 5, or take the whole 10 years. Laura asked Jared if that would be the same with First Horizon. Jared said that it would be a little bit different. He agreed that it is very competitive, especially with a municipality. He recommended keeping it local, and that they would love to do a deal like this for us. It would be the same structure, because we are a tax-exempt entity. He said that you wouldn’t have to go through any payment structure, like borrowing throughout for progress payments. It is different from a typical home loan that we might be familiar with; we qualify for a different kind of financing. Tim asked if the numbers we were presented from First Security was their offer. Frank said that is just for discussion purposes. Laura said that we can’t hold him to these numbers.; he just gave us that information so we can see if it is even feasible for us to do this project. Jared said that a 10-year term, based on 25-year amortization, is a real safe deal. Denice clarified that neither of their institutions would treat it like a construction loan, where we would have to do draws; they would give it all up front where we could use it how we needed to. Jared said that is correct; it is a lot like having a construction line of credit with a certain number of months to completion, and would likely be interest only during that time. Jim agreed, saying that you can pay annually, and your interest would start on the day that you close. He said that you can make your payments monthly, quarterly, or annually. Denice asked if First Horizon was the same regarding the architect situation. Jared said that was fine with them. He added that we will want to have sound architectural plans. Ben said that we are trying to decide if we can go with this architect, and save that money, vs. putting out $170,000 for a set of prints. Jim said that it is usually a draftsman drafting it, and someone else signing off on it. Stewart said that the draftsman works for the architect, so there is oversight. Frank asked if any of the Commissioners wanted to make a motion regarding this information, or wait another month. Tim said that he would still like to know what extra fees are involved with using Mr. Walker. Denice apologized for not getting that information yet. Frank thanked the lenders for coming to the meeting and providing their input. He said that interest rates are an important factor, but the sentiment of the Board would be the preference that we go local.

Laura’s back-up – Nothing new.

Gil asked if we have heard anything on the Humvee. Laura said no. Gil said that he would contact the adjuster tomorrow.

New Business – Frank asked if there was any new business. Gil said that he had one thing; he then turned it over to Chance. Chance handed out a proposed change to the uniform protocols:

PRN Day Crew:

o   Salem Fire Dept hat or generic hat that is non-identifying.

o   Salem Fire Dept t-shirt or Salem Fire Dept polo

o   Black belt

o   Black or navy blue duty pants or duty shorts

o   Black non slip boots or duty shoes

Salem personnel while working station duty:

o   Salem Fire Dept t-shirt or Salem Fire Dept polo

Dress zip-up shirts and button up shirts should only be worn for special events and occasions.

Other department and agency uniforms should not be worn on calls unless just coming off or on duty with that agency.

Chance said that he is looking at overhauling the uniform policy, from dress uniform to work uniform. He said that in the meantime, he felt like it needed to be put into writing what our duty uniforms are, and what we are supposed to wear when we respond to calls. He said that he proposed having this policy in writing, so that we can have everyone on the same page. We need to have on a Salem shirt, not an East End shirt. We need uniformity on our calls. If you are on duty, you are going to wear duty pants and close-toed shoes, not blue jeans and flip flops. He said that it brings a level of professional appearance to our paid guys. If we are paying you to interact with the public, a professional appearance is something that the public should be able to expect.  Chance stated that we are simply trying to tighten up our standards. He said that the Officer Corps as a whole agree with it. Ben asked if there has been an issue that led to this change. Chance said that there have been a couple of small ones, and they asked what rule they were breaking. Our current uniform policy is older; this will update and enhance it. Ben asked if we are putting a financial burden on our PRN crew by doing this. Chance said that he doesn’t think so, because if you are in the paid service, you already have pants. He said that when he went to Bryant, he bought his own pants; when he went to MedTran, he bought his own pants. Chance said that we provide the shirt; you provide your pants and boots. He added that all of our paid guys are on somewhere else, so they already have these things. He said that if it is a dress uniform, then that is specific, and we would need to provide that. He added that Salem shouldn’t foot the bill for another department’s uniforms. The pants and boots are universal; the shirts we provide. Frank asked if we provide the hats as well. Chance said we do. Frank asked if they are looking for a change to the SOGs, since they are bringing it to the Board. Chance said that they are wanting to add these to what we currently have. He said that there are gaps, and he wants to fill in those gaps. Ben asked if anything is being deleted when this is added. Chance said that he didn’t know of any deletions or overwrites. This mostly focuses on what the PRN guys will wear. Adam Earhart said that we don’t currently have anything pertaining to the PRNs in the SOGs. Denice read from the SOGs: 23.07 Work Uniform for paid personnel: Salem shirts, blue pants, EMS pants, or work pants, duty shorts, as approved. Chance said that he wants to take it from “as approved” to more specific in writing. He said that shorts are the biggest fight; they are ok as long as they look professional. He said that when he worked at Bryant, they were required to put their turnout bottoms on over the shorts when they went on a call. Mike said that you are fully outlining the expectations. Nick asked if he is wearing his MEMS pants while working a shift here, and something happens on a call like getting ripped, is the department going to fix them, or does he have to use his MEMS uniform allowance? Chance said that he wouldn’t wear another department’s uniform while on shift here. Adam Earhart said that Chance just said that if they work here, then they likely work somewhere else, therefore they have the pants and boots. Chance said that when he worked at Bryant, he bought the pants and wore them at either place, so that was on him. Chance asked if MEMS gives them an allowance. Nick said that they actually supply the pants. Chance asked if they say MEMS on them. Nick said no. Chance said that if you wear a MEMS supplied uniform on duty here, then you are taking that risk. Adam Earhart said that as employees, if they rip something in the process of a call, we should take care of it. Chance said that if you wear another department’s clothes here…Adam Earhart said that if we are requiring them to wear a uniform, that’s an added cost to them. Denice asked what the difference is between that and wearing your blue jeans; you are taking that chance. Adam said that there is a big price difference between blue jeans and EMS pants. Chance said that his cost is about the same. Mike said that the question is, if they buy their own pants, and they get torn up on duty. Chance said that if that is the case, then we do have the obligation to do that, but if you wear MEMS stuff, that is different. Nick said that he only brought that up because Chance said that anyone in this industry will already have those pants. MEMS and Lifenet give you the pants in the beginning, then give them a uniform accrual every paycheck to maintain those uniforms. Adam Earhart reiterated Ben’s question, of whether or not this is going to be a cost to our employees, and it is. Chance said that if they tear something up on duty, then that financial burden might fall onto us. Adam E. said that the problem is that we are barely paying them minimum wage. Chance said that we are paying them well over minimum wage. He clarified that your certifications determine if you are well over minimum wage. He stated that minimum wage is $11, and our bottom pay is $13.50 with minimum certifications. Chance asked Ben if his boss replaces his jeans if he tears them up at work. Ben said no. Stewart asked if they provide his shirts with the company logo. Ben said that they provide his shirts, and they provide boots every year. Adam E. said that we are only providing shirts. Laura said shirts and hats. Stewart said that we are providing them with about $5,000 worth of turnout gear that will safeguard their clothes. Chance said that he is not opposed to taking care of someone’s clothes that get torn up, or a Hazmat situation. Gil said that if it is Hazmat, then it will be taken care of. Chance said that he knows there is a risk of tearing your clothes, like on a wreck. Gil said that if they are on a wreck, then they should be wearing their turnouts. Stewart said that he thinks this should be discretionary. They could turn it in, and explain why they think the department is at fault. The Officers can then decide.  Ben pointed out one error: it says “personal” and it should be “personnel.” Tim made a motion to add the proposed amendment to the SOGs. Denice was 2nd. Motion passed. Gil said that he had one more item of new business, and again handed it over to Chance. Chance said that this one is not subjective, it has to be done. Gil agreed that this has to be done. Chance said that it is hydrotest time. He said that is $100 per bottle, and we have approximately 70-80 bottles that have to be hydrotested. He said that they are due in October, and he wants to start them next week, because he can only do a few at a time. Chance said that he will take them into Benton, then they take them to Pine Bluff, get the 5-year hydro, then bring them back. He said that he would like the authorization to spend $8,000: 80 bottles at a $100 a bottle. Laura asked who he was going through. Chance said that it is the same ones that did it last time. Denice said that is pretty much the set price on them. Laura said that she was just thinking about using someone more local. Chance said that the company is in Benton, but their testing facility is in Pine Bluff. Gil said that there is only 1 or 2 hydrotesting facilities. Stewart said that it is the same ones we have always used. Chance said it is Independent, bought by somebody. Adam E. asked Chance if he can get a price from his guy in Jonesboro who does hydrotesting. Chance said then we would have to take them to Jonesboro. Adam E. said that if it is cheaper…Chance said no, he is not driving to Jonesboro 20 bottles at a time. He said that it has to be done local. He has checked for a mobile tester. He said that if we go to Jonesboro, it’s not going to be cheaper because of fuel, because we have 80 of these. Gil said that you are also talking half a day for a round trip.  Chance said that if he comes down here to get them, he will charge us for that. This company isn’t going to charge us to take them to Pine Bluff; he is going to meet him in Benton once a month. Chance said he did look into the possibility of having someone come out; he checked with 2 places about a mobile unit, even if we had to pay a little more. Chance said that he can take him a set of bottles every Monday until it is all done. Jill said that is what we have done before. Adam E. said that this is the last time we can get these bottles tested; in 5 years we will have to replace them all. Chance said that is true. Denice asked if Chance checked with Independent. He said yes, and that he checked with Casco, Siddons-Martin, and a fire extinguisher company, and one other one. He said they kept sending him to Pine Bluff, but he didn’t want to do that because of the distance; a couple that used to do it, no longer do. Chance said that he talked to his repair guy/sales rep at Siddons-Martin, and he told him that is where they send them. This will also include any O rings that need to be changed. Denice asked if that is a set price. Chance said it was the price to bring it up to pass, or it is a complete fail. Ben asked if they destroy it if it is a complete fail. Chance said that he didn’t know, but he will ask them to not destroy it, so we can get parts off of it. Chance said that this will include the RIT Packs and the air-bag bottles. Stewart said that we have only had 1 bottle ever fail, and it disintegrated; we didn’t get it back. Ben asked what the current replacement cost is for these bottles. Chance said that he doesn’t have a current price. Frank suggested getting a price, since we are going to have to replace them all in 5 years. He said that we could buy 20% yearly. Gil said that was what we did last time; we bought x number of bottles a year after the final hydro. Mike said that we had a total of 30 bottles in stock. We bought 2 each year, so that at the end of the 15 year cycle, we had enough to replace those previous 30. Ben asked for clarification that we only have 5 years after this hydro. Adam E. said that is accurate. Gil said that we can build that into the budget from now on. Denice asked if we could get grants for something like that. Gil said that it is hard to get grants for air packs. Denice suggested smaller grants; do a $5,000 each year. Gil said that we could do micro grants. Gil added that his buddy at FEMA told him that they are going to redo the AFG grants; this is the last year for them. Adam E. asked if we have looked at the weight difference on the newer aluminum bottles vs. the carbon. Gil said that he hasn’t because the carbon fiber were considerably less than the aluminum, which is why we have gone with the carbon fiber the last 2 grants we have gotten. Adam E. said that they have made some improvements with the aluminum ones, and they have an indefinite life. He suggested looking into those. Frank said that Tim made a motion to approve $8,000 for the hydrotesting. Denice asked if $8,000 was going to be enough; is he sure on the number of bottles that we have. Gil said that he and Chance have talked several times over the last couple of days, and 80 bottles should be more than enough, because they are including some of the aluminum ones in that. Denice said that she just wanted to make sure it would be enough to get them all done. Chance stated that he just talked to Rusty, and he said that we are looking at $1,400-$1,500 per bottle plus snap change. Tim said that is $120,000. Denice was the 2nd for the motion to spend $8,000 for hydrotest. Ben said that he would like to find out what Adam E.’s contact has, and how they compare, before we proceed. Tim said that puts us another month down the road; the whole purpose was to give permission to the Chief and Captain to get a jump on this. If we wait until August, then it is just 2 months until October. Nick said that they could start on it next week, and if we find out that he can do it for less, they won’t all be done by the August. Mike said that you can approve it up to $8,000 now, and if they can get it done for less, then they will get it done for less. Chance said that he is not vendor loyal. The problem is time; we can only do 15-20 at a time. He said that we are just looking at how quickly we can get this done, because October is just a couple of months away. Adam E. said that he goes to Jonesboro fairly often, and he can put the bottles in the back of his truck. He said that he is fairly certain that he will be cheaper; his bottle doesn’t cost $100 for testing. Gil said that his bottle is also not fire service rated. Adam E. said that he does Jonesboro’s bottles. Gil said that he can get his dive bottles done for $75 each, but we are talking about air pack bottles. Chance said that we need to do 15-20 bottles every single week between now and October, and if Adam is out of town for 2-3 weeks for work, then…Chance said that he is not opposed to it, but with this other company being right here in Benton, there was the convenience factor, over driving back and forth to Pine Bluff. Ben clarified that we are talking about 80 bottles. Chance said that includes our RIT packs and air pack bottles. Chance stated that he just doesn’t want to push up against the October deadline. Ben asked if he was talking 15 per week. Chance said that is the goal; sometimes it could be less. Frank stated that we have a motion and a 2nd to approve up to $8,000 for the hydrotesting. 2 voted for, and 2 opposed. Frank said that we can take this up again in the August meeting, with more information. Since it was a 2 to 2 tie, the motion does not pass.

Ben made a motion to adjourn at 7:50. Tim was 2nd. Motion passed.