NewsApril 19, 1992

A plan announced last week to eliminate 12 city employee positions will result in the forced retirement of one assistant fire chief and the demotion of a second assistant fire chief to captain. City officials said the cuts are necessary to help reduce the city's $10 million budget by about $250,000. ...

A plan announced last week to eliminate 12 city employee positions will result in the forced retirement of one assistant fire chief and the demotion of a second assistant fire chief to captain.

City officials said the cuts are necessary to help reduce the city's $10 million budget by about $250,000. Besides cutbacks in the fire department, three police officers Capt. Don Roberts, Lt. Bob Ross, and Carl Pease Sr., a patrolmen were notified their jobs are being eliminated as a cost-saving measure.

Meanwhile, a financial report prepared in February by the International Association of Firefighters on the financial condition of the city questions whether the cuts are necessary in the public safety divisions. The Southeast Missourian obtained a copy of the report.

In an April 15 notice posted on bulletin boards in each fire station, Fire Chief Gene Hindman announced: "Assistant Fire Chief Paul Kesterson will retire on July 1, while Assistant Fire Chief Jim Niswonger will assume the rank and duties of a captain. The third assistant fire chief, Max Jauch, will continue as assistant fire chief, but will only work a 40-hour week."

In his notice, Hindman said: "As most of you know, the city has announced a cutback of personnel. This is due to budget restrictions. This is not a new thing. It is happening all over the country; we can read it in the paper every day, and now it has come home to us in our city. This is the best way I feel that we can restructure the department in order to come under the restrictions of the budget."

As a result of the restructuring, Hindman said the chain of command will now be fire chief, assistant chief, training officer-fire inspector, captains, and lieutenants.

Hindman said in place of the two assistant chiefs, Jauch and Fire Department Training Officer Mark Hasheider and Fire Inspector Tom Hinkebein will become "duty officers," and will rotate the position among them on a three-week basis.

Hindman said during the weeks when Hasheider and Hinkebein serve as duty officers, they will assume the duties and responsibilities of the assistant chiefs, which Kesterson and Niswonger have been doing.

"On incidents (fire calls) they will be in charge of the fire scene and have authority over captains," Hindman said. "Through the week, during the 40-hours when the duty officer is normally on duty, he will respond from the station. After hours he will be called out to respond from home."

Kesterson was appointed assistant fire chief in 1975. Niswonger and Jauch were appointed acting assistant fire chiefs in 1986. Their positions were made permanent in April 1988, seven days after the fire chief was hospitalized with a heart attack.

Kesterson, 59, a 40-year veteran firefighter with the department, declined to comment on the announcement of his retirement other than to say it was "not voluntary."

"I was not ready to retire. I wanted to continue to serve the people of Cape Girardeau," he stated. "I've still got a few good years yet."

Niswonger was off duty Saturday and not available for comment on his demotion from assistant chief to a platoon captain of a fire crew.

Firefighters interviewed Saturday said Kesterson's forced retirement and the demotion of Niswonger has created a serious morale problem within the department.

All of the firefighters interviewed Saturday asked that their names not be used. Said one firefighter: "City Hall does not forget or forgive. They get even when it comes time for promotion or retirement."

Those interviewed said the cuts come just as the fire department has struggled to get back up to full operating strength.

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"We've been working for years to get our manpower back up to safe levels so its safe and so someone doesn't get killed fighting a fire," said one firefighter. "Right now we're still running one of the outlying stations in the residential area with only two men. These cuts will make my job more dangerous."

The firefighters said eliminating the two assistant chief positions means the training officer and fire inspector will now have those additional duties and responsibilities in addition to their regular weekday duties.

"I personally believe there are other ways to cut the budget, if its really necessary, other than eliminating positions in public safety," said one firefighter. "It seems to me they're pretty top heavy over there at City Hall, with a lot of assistants to the assistants to assistants," he said.

The firefighters said the forced retirement of Kesterson and demotion of Niswonger has made everyone in the fire department nearing retirement age nervous. "Are you going to have a job when you're 50 to 55 years old?" one asked. "Not everyone here is financially or emotionally ready to retire at age 55."

The firefighters also expressed disappointment in the way the city handled the announcement of the cutbacks. "Most of us heard about them on the evening TV news," said one firefighter.

Another complained what the city does not want bad publicity over the job eliminations.

One firefighter who did comment for the record was Steve Besand, president of Local 1084 of the International Association of Firefighters, which represents the local firefighters in negotiations with the city.

Besand said if financial cuts are really necessary, public safety such as police and fire should be the last to be cut, not first.

"It's our opinion that a city's public safety services are being hit first," he said. "It seems like every time the city has some kind of a budget crisis, the public safety divisions are hit first. We feel they should be hit last because they are there for the safety and good of the public. If you cut public safety services, you're cutting the safety of firefighters, police and the public."

The report on the city's financial condition has raised questions as to whether the city is in the serious financial condition it claims as a result of lower sales tax receipts.

Earlier this year, at the request of Cape Girardeau firefighters, the International Association of Firefighters' (IAF) department of research and labor issues prepared a report on the financial condition of Cape Girardeau, as of June 30, 1991.

Kevin Kehoe of Arnold, state IAF council representative, said the report was prepared from figures obtained in public audit and financial statements prepared by the city of Cape Girardeau, which, he said, was provided by the city only after the union contacted State Auditor Margaret Kelly's office about it..

Kehoe asserted the report indicates the city has no basis for the claim it is in financial trouble.

According to the report, prepared by the IAF staff in Washington, Cape Girardeau's general fund has close to a $2.5 million balance, which can be used for whatever purpose.

"While it is necessary to maintain a reserve for emergencies and unforeseen circumstances, huge reserves are not necessary except in very unusual circumstances," the report states. "In general, a reserve of 5 to 10 percent of expenditures is considered prudent. (According to Moody's On Municipals) the adopted general fund balance for fiscal year 1991-92 is $10,341,435; therefore, the unreserved fund balance represents a 23.8 percent reserve."

The report concludes: "In summary, at least as of June 30, 1992, Cape Girardeau appears to be a city with ample reserves and debt which is under control."

The report goes on to say that while there is no way of knowing what has happened since June 30, 1991, "it would seem that revenues would have to be well below this year's (1992) projections and expenditures well above for the city to be in financial trouble."

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