The Key Peninsula fire commissioners and fire chief faced a standing-room-only crowd of about 75 in the Whitmore Room of the KP Civic Center Sept. 14 for a two-hour special board meeting billed as a town hall to address a single topic: the department purchase of three real estate properties in Key Center in 2021 for a possible new headquarters.
The purpose of the town halls, according to Commission Chair Randy Takehara, was to hear concerns, set the record straight, and answer questions not addressed during the board’s regular bimonthly meetings.
Background
Three of the five commissioners — Shawn Jensen, Stan Moffett and Takehara — were serving board members at the time of the purchases. Of the remaining two, John Pat Kelly was elected to the board in 2023, and Cambria Queen was appointed to fill a vacancy earlier this year.
Fire Chief Nick Swinhart was hired in 2022 after the purchases were made.
The first two properties purchased are known as the Olson estate: two lots located almost immediately across KP Highway from Station 46, with a residence and a portion of the pasture behind it totaling 2.8 acres. The third is called the Calahan property, site of the former O’Callahan’s restaurant (aka Reed’s and Buck’s) located at the corner of KP Highway and 92nd Street NW.
The Olson parcel was appraised at $460,000; the department bought it for $1.2 million Dec. 15, 2021.
The Calahan property was not appraised or inspected before the purchase, but the Pierce County Assessor-Treasurer’s tax valuation was $473,600. KPFD paid $950,000 Nov. 8, 2021, for a total of $2,150,000 financed by a general obligation bond at 1.8% interest.
The purpose was to secure land in Key Center to build a new headquarters to replace the existing Station 46, which was built in 1975 and has undergone numerous renovations. Further work would require extensive seismic and sprinkler upgrades, among other things. The new HQ was intended to include a training facility, space for community meetings, and perhaps a clinic, all part of a planning process that began in the 1990s, according to the board.
Chair Takehara began the meeting by reading a detailed timeline of the planning behind replacing Station 46 in Key Center that stretched back to 1992 (available on the KPFD website Resource tab, under Capital Facilities Plan). From the perspective of the board, it seemed the process was understood and accepted by the community since there had been input from the department’s Citizen Advisory Panel and no resistance to it until the purchase of the Key Center properties.
Pierce County Council Member Robyn Denson (D-7th) moderated the remainder of the meeting as the audience asked questions for 90 minutes. A few themes emerged.
What follows is a highly condensed summary of questions and answers. The minutes of the meeting are available in the Sept. 24 board packet on the KPFD website.
Where was the Public Input?
The first questions were why there was no public vote on the Key Center purchases, and why a fire station needs to be in Key Center when the district does not use it for response while Station 45, at State Route 302 and Wright-Bliss, is not staffed.
Takehara acknowledged there was no vote but said the public had voted earlier, in 1993, for a bond to build and improve existing stations, and that the general obligation bond used to finance the recent purchases did not require a public vote.
Kelly, who was not on the board at the time of the purchases, said “We really didn’t do our due diligence, we really didn’t investigate what we were buying close enough, we overpaid, and to your point, I really don’t think we got public buy-in. ... I would sure like to take responsibility for those mistakes right now as a board and say we’re sorry and we want to go forward with you.”
Moffett, who was on the board for the purchases, said “We did pay more than the appraised value (on the Olson properties; the Calahan property was not appraised), and the reason that we did that, based on all the past discussions that had gone on, made a point that it was important for us to be in Key Center. The (Citizens Advisory Panel) on three different occasions recommended that.”
Jensen, also on the board at the time, said “With all the planning documents we’ve been presented with, the presence in Key Center was important. If that’s changed, I understand that perfectly. ... If we want to let them go at a loss, that’s fine. How much of a loss would you say is appropriate?”
If they are to be sold, he said he preferred to wait until the properties increased in value. He pointed out that while the market was high at the time of purchase, the assessed value for all of the properties increased in the last three years: the Olson pasture by 107%; the residence by almost 38%; and the Calahan property by 24%.
At least two audience members said they thought the properties were valuable and the department did not overpay for them, at least not by much.
Another audience member responded, “I am hearing the same digging-in-the-heels excuse-making from my commissioners (that) it was on us to babysit you guys and make sure that you wouldn’t go out there recklessly spending millions of dollars without asking us. ... You did not ask our opinion. You did it behind our backs and now you tell us it’s our fault for not showing up to meetings that happen at 5 p.m. during which you don’t allow us to speak.”
A different audience member said, “I live a mile from Key Center and my insurance on my house will go through the roof if the fire station is closed in Key Center.”
KPFD career staff has not responded from Key Center for more than two decades, according to current and retired staff and volunteers.
About the Levy
There were questions about the KPFD Maintenance and Operations Levy failing to pass in the August primary election, with some suggesting it was because voters were upset about the properties. (See “KPFD Faces Mixed Support For August M&O Levy Renewal Vote,” July 2024.)
Approval required a supermajority of 60%. Yes votes made up 57.79% with those opposed at 42.21%. KP voter turnout was 47.53%, much higher than the county average of 38.25%. Turnout for general elections is always greater than primaries, according to the Washington Secretary of State’s office.
The levy will be on the ballot again in November and many asked what the connection, if any, it has to paying for the properties, and what the effect of another failure would be.
“The M&O levy represents about 6% of our overall budget, $800,000 (each year for four years),” Chief Swinhart said. “Our budget is approximately 80% salary and benefits: that’s pretty typical. ... We feel we could probably get through a good portion of 2025 without having to cut staff. But the end of 2025, however, things get a lot murkier. ... We’re looking at perhaps up to five to six staff that will have to be cut.”
One audience member stood up and said “It’s really important to distinguish the fact that the levy money really has nothing to do with these properties. That’s a totally separate issue. When I call 911, I want one of them to take my call.”
Trust
Another audience member said, “We are hemorrhaging trust in our fire department ... that to me is so much more serious than taking a loss on the mistake. ... In any other organization, if something this important was bungled this badly, people would be fired. ... I just wonder if a fresh board might be necessary.”
A different audience member replied, “They resign tomorrow, does that fix anything? Does that change anything? Does that make anything better? No. And then we find three people to fill in who know none of the history and none of the background to then wander around with the two new members trying to figure out where to go.”
A third person said “I don’t think there will be a vacuum if the leadership decides to step aside. I know you guys have served for a long time, you’ve poured your blood into this ... but I do think you’re making decisions in a vacuum you created ... and I do think you guys should consider resigning at the end of your terms and make room for new blood.”
Commissioner Queen said, “I just want everybody here to know that we are hearing you. I hope that everybody in this room will fill out that survey so we can see tangible proof of what it is you would like. Do you want us to sell the properties? Do you want us to keep it and build a station? Would you accept selling it at a loss? Those are the things we need to know from you.”
KPFD has an online survey asking for public input on the properties on its website at www.keypeninsulafire.org.
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