LOGANSPORT — Cass County’s new fire district appears to be on track to provide fire protection starting Jan. 1.

Sherman Kantzer, chairman of the governing board for Cass County Fire District No. 1, reported to commissioners this week that remodeling the building at 1444 Holland St. is well under way.

“We still expect that we will have access to that building by Dec. 1,” Kantzer said.

Dilling Group Inc. is the company renovating the property. Kantzer reported that all four overhead doors were in place, interior partitions had been defined and electrical work had been started. Work on the concrete drive and pad had begun as well, he said.

The letter of intent with Dilling calls for the building to be ready for occupancy by Dec. 1.

The fire district, which includes Clay, Eel and Noble townships, recently purchased its third fire truck, an aerial ladder truck from Evans, Colo. The truck is in Tipton undergoing a cylinder rebuild and water pumper overhaul so that it can pass certification tests.

Kantzer expects the truck to be back in Cass County with the others by the end of the month.

The district has  contracted with volunteer fire departments in Twelve Mile, Lucerne, Royal Center and Georgetown. Kantzer said a combination of those fire departments will also provide fire protection within the district.

Kantzer said the district signed a contract to supply fire coverage in Washington Township on a dual basis with the Walton Fire Department.

“We’re happy to do it and happy to work with Washington Township,” Kantzer said.

Washington Township recently completed its own fire station.

The fire district remains in negotiations with New Waverly Volunteer Fire Department, which will handle operations.

New Waverly informed the governing board that 10 employees had been lined up to begin work on Jan. 1. The crew includes nine full-time firefighters and one supervisor, Kantzer said.

One aspect that has not gone so smoothly is the water contract negotiations with Logansport Municipal Utilities.

“The discussion to use Logansport’s fire hydrants is still ongoing,” Kantzer told commissioners.

Logansport Municipal Utilities has offered an annual service fee of $22,893, an amount that displeased the governing board.

Commissioner Jim Sailors asked Kantzer whether the board had looked into dry hydrants. Kantzer said that New Waverly has maps of the three townships and has started to designate potential ponds and streams that the department might be able to use.

“We are definitely looking into that,” Kantzer said. “We think there is a possibility that we may have to put a well in at our new building. Just depends on how these talks go with Logansport, but we are prepared to do that if we have to.”

In a meeting Thursday night, the governing board did not vote on the LMU contract because one of its members could not attend.

Another meeting is set for 7:30 p.m. Thursday, Nov. 11.

So far, the cost of establishing the fire district has totaled about $716,000. The three fire trucks — a ladder truck, a pumper and a tanker — will cost more than $130,000.

The governing board has set aside about $50,000 for furniture, appliances and equipment to make the fire station employee-ready.

That amount also includes other miscellaneous expenses, Kantzer said.

The fire district this year obtained a $186,000 loan from the county’s economic development income tax money to pay for fire equipment. The district must repay the loan without interest within 10 years.

Plans call for Dilling to buy and renovate the building and then resell it to the fire district at a price not to exceed $350,000.

The district’s first-year budget is expected to be in the neighborhood of $900,000.

Kantzer said the plan is for the district to have about $450,000 of its initial $600,000 allocation remaining to start 2011.

• Kevin Lilly is news editor of the Pharos-Tribune. He can be reached at 574-732-5117 or kevin.lilly@pharostribune.com.