Unable to get by on tax revenues alone, fire departments across the country have turned to charging people who need their help. ABC News reported one instance in which a woman who lost her home to fire suffered the added misery of getting billed $28,000 from local firefighters. The cost included manpower hours, use of trucks and drinking water consumed by firefighters.
Municipalities are allowing fire departments to charge a so-called “crash tax” or “accident tax” to close budget deficits, figuring insurance companies will pay the bills. But insurers often refuse, leaving homeowners with the bill. In addition, the fire departments often outsource the collection process to agencies which then overcharge for their services.
Some states have outlawed such fees, including Arkansas, Florida, Oklahoma and Tennessee.
-Noel Brinkerhoff