Friday, January 22, 2021

Calaveras [County] Grand Jury releases report on local fire district

Although the 2019-2020 Calaveras County Grand Jury (CCGJ) Report was delayed this year due to COVID-19, the final part of the report was recently released.

The report details the grand jury’s investigation into the operations of the Central Calaveras Fire and Rescue Protection District (CCFRPD) following a citizen complaint. The CCFRPD spans about 164 square miles and includes the communities of Glencoe, Mountain Ranch and Sheep Ranch. The area was hard hit by the Butte Fire in 2015, and the district has been experiencing financial difficulties in recent years.

“The CCGJ found numerous areas of concern regarding the financial transparency of the CCFRPD, the relationship between the District and the Central Calaveras Fire Safety Elves (Elves), and opportunities for misuse of District property and resources,” the report reads. “There is also a lack of familiarity by District Board of Directors (BOD) with the Brown Act, and a general lack of an engagement by the BOD which has resulted in little to no oversight of the administrative functions of the District. Additionally, funding from the Butte Fire PG&E settlement, earmarked for fire recovery and preparedness, was used to purchase highly specialized equipment for uses not within the typical areas of responsibility as outlined in the mission statement of the CCFRPD.”

The Elves is a nonprofit formed in August of 2017 to work with the district to address impacts from the Butte Fire by clearing fire-damaged trees and other flammable materials on private property and providing firewood to seniors, veterans, disabled and low-income community members at no cost to them.

“In September 2017, the BOD adopted a policy that would permit the Elves to use the District name and allow the District to obtain grants for use by the Elves program,” the report reads. “However, the District is required to maintain the responsibility for financial management of any funds received for the Elves via the District.”

The program was initially funded with a Calaveras Community Foundation (CCF) Butte Fire Cleanup grant of about $50,000.

“Since the Elves had just formed and were working in coordination with the District, and it was unlikely the foundation would award such a large sum to a newly formed organization, the District applied for the grant,” the report reads. “As the recipient of the grant, the District was ultimately responsible for tracking expenses associated with the grant and keeping them separate from other District expenses.”

The grand jury found the district’s tracking of these expenses lacking.

“During the one-year term of the grant, the activities and progress of the Elves program, and the expenses associated with it, were never discussed at BOD meetings,” the report reads. “The BOD approved all monthly District expense transmittals, which included the grant expenses, without discussion. Over the course of a year, about $35,000 was spent on log removal and property preparation; about $15,000 was spent to purchase a number of tools and equipment to carry out the terms of the grant. Because the grant funds were awarded to the District, these items are the property of CCFRPD.”

A check for an additional grant of $8,000 from the CCF to the CCFRPD awarded in April of 2019 for the Senior Fire Safe Homes project was authorized by the chief to be deposited directly into the Elves’ bank account, reducing the district’s ability to track expenses, according to the report. However, lack of public interest and lack of volunteer and professional assistance, as well as the onset of the COVID-19 pandemic, resulted in only a portion of the grant being spent, and the rest was returned to the CCF.

In 2019, the district was authorized to receive about $100,000 in PG&E Butte Fire settlement money through the county to purchase and maintain equipment for the Elves program, the report reads.

“The Elves reported delivering a total of 256 cords of firewood, clearing seven properties, and clearing 88,044 cubic feet of flammable materials from private property,” the report reads. “While the Elves’ efforts benefited these individual properties and homeowners, the majority of the District did not experience a direct benefit. The Elves plan to dissolve at the end of 2020. It is unclear what will happen to the equipment that was purchased for them and if it can be used by the District. Lot clearing and firewood production are not currently within the scope of official District activity.”

The district’s procedures for obtaining fuel contributed to the difficulty in tracking the expenses of the Elves, the report reads.

“Due to current District procedures for obtaining fuel, both diesel and unleaded gasoline, it is impossible to differentiate the fuel costs of the Elves program with the CCFRPD fuel costs,” the report reads. “The previous Chief allowed the Elves to use the CCFRPD gasoline account at a local fueling station. Additionally, the diesel pump at Station No. 1 does not have a mechanism to ensure that all diesel used is logged and therefore accounted for.”

The grand jury found that district funds “were improperly transferred to the Elves, a nonprofit corporation, which prevented the BOD from overseeing the management of those funds,” and recommended that “the CCFRPD BOD immediately ensure District funds are managed directly by the District.”

In order to track fuel use, the grand jury recommended that “the BOD direct the Chief to create a procedure to track all usage of CCFRPD fuel accounts, by March 31, 2021.”

The grand jury found that “CCFRPD purchased specialized equipment for the Elves that is otherwise useless to a fire district in carrying out its mission,” and recommended that “the BOD review its priorities and ensure that spending and asset acquisition is in line with the CCFRPD mission statement and capabilities, by June 30, 2021.”

The transparency of the district may have suffered as a result of the loss of a full-time administrative assistant position in May of 2019.

Following the loss of the position, “Duties such as recording BOD minutes, handling of payroll, finances, and office management were assigned to part-time staff, including the Chief,” the report reads. “The distribution of responsibility resulted in the Chief having sole access to administrative and financial passwords. In May 2020, the Chief stepped down to fill the newly created position of Deputy Chief, and a new Chief was hired. At the same time, the BOD agreed to review both position assignments in six months. The Deputy Chief maintained control of the responsibilities assumed a year earlier. The passwords and other means of access to financial information were not provided immediately to the new Chief.”

The grand jury found that the “Chief and the BOD Treasurer do not have the necessary access to financial information related to the District, which limits financial oversight and accountability,” and recommended that “the Chief and Board Treasurer be provided full access to all District financial records and that financial records be stored and maintained at District Fire Station No. 1 by Feb. 1, 2021.”

The report notes that there is only one other fire district in the county with a deputy chief position.

“Considering the CCFRPD budget constraints, the Deputy Chief position is unnecessary for such a fiscally strained district,” the report reads. “The CCGJ recommends the BOD review the Deputy Chief position assignment to determine efficacy, by Dec. 31, 2020.”

The grand jury found that the district’s board was unfamiliar with the provisions of the Brown Act, which are intended to ensure public access to the meetings of governing bodies in California.

“Since the elimination of the administrative assistant position, the Chief, or Deputy Chief, is responsible for recording and publishing the minutes,” the report reads. “Minutes were not published to the website from May 2019, when the administrative assistant left, to mid-2020. Most, but not all, minutes are now available on the website. The portion of the website related to the BOD includes an outdated photo of the Board members and does not list current members. Although there is a link to the Policy and Procedure Manual on the website, it does not link to a copy of the Manual.”

The grand jury recommended that “the BOD ensure that the CCFRPD website is updated as BOD membership changes, and that policies and procedures are modified by March 31, 2021,” and that “the BOD receive formal training in Brown Act requirements by April 30, 2021.”

The report notes that the CCFRPD was unable to pass tax measures in 2016 and 2018.

“The inability to pass parcel tax measures is evidence that the CCFRPD has not sufficiently engaged with the citizens of the community,” the report reads. “The CCGJ recommends the CCFRPD increase community outreach and engagement about District Services” and “propose a new parcel tax measure, by the March 2022 primary election and increase public education about the need for support, beyond 2018 efforts.”

The grand jury requests responses from elected county officials within 60 days, and from governing bodies within 90 days.

To read the CCGJ’s 2019-2020 Final Report, visit https://grandjury.calaverasgov.us/Reports

Calaveras Enterprise
By Noah Berner
January 21, 2021

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