The Niles Township Board of Trustees took another step toward creating a special assessment district to defray the cost of ambulance services Monday night, after voting unanimously to establish a district.

Under Public Act 33, the district will include all residential units, and commercial, industrial, and agricultural parcels in the township. If the SAD is approved, property owners in the established district would be required to contribute $20 per year for five years.

Prior to the vote, trustees hosted the first of two required public hearings on the topic. More than 30 people packed Niles Township Hall to participate, including Brian Scribner, the executive director for Southwestern Michigan Community Ambulance Services.

Scribner assured those in attendance that the tax is a renewal, and residents would not be paying more than they have in the past. Through the establishment of a SAD, municipalities will be able to raise about $135,000 more a year because more parcels will be included. The renewal is necessary due to SMCAS funding running out in 2016.

“This is to assure that everyone in Niles Township and all the other members have an ambulance service,” said trustee Jim Ringler.

Those in attendance targeted the recent embezzlement allegedly perpetrated by the former executive director, Tim Gray. Gray was charged with embezzling less than $100,000 from the company from 2009 to 2014. Following a two-week trial in court, Gray was sentenced to 180 days in jail in January and has since appealed the charge.

Akos Kovach, of Niles Township, spoke up about the crime and said he feared the tax would be used to refund the embezzled money.

While Ringler said the money would not function as a refund, others shared Kovach’s concern about the embezzlement. One man asked if SMCAS was able to get the money lost back.

According to Scribner, SMCAS has filed a claim to an insurance company and has so far received around $70,000 in repayment. After a restitution hearing, the company will hear if they will be getting more.

While SMCAS has had financial struggles in the past, Scribner said, the nonprofit is now operating with $130,074 in the black The SAD would help to cover about 17 percent of SMCAS’ costs, equating to around $500,000.

Scribner also told community members that since the crime, the SMCAS team was taking steps to assure the problem did not happen again. 

“We have very good board oversight,” Scribner said. “We report every month where money is spent. They look at every dime that comes in and goes out. Revenues are tightly controlled and they should be.”

Kovach shared some other criticisms, too.

“I disagree with paying for people [who] are overdosing on narcotics,” Kovach said. “Those people chose their way of life and they are paying for it. I don’t want to pay for it, period.”

Trustee Jim Stover said this is only a proportion of ambulance calls and anyone who needs aid utilizes the service.

For apartment owners who do not have full occupancy, the tax could be unfair, Kovach said.

“Why should I pay for my tenants’ ambulance service?” Kovach said. “That’s what you are doing when you charge me per apartment. Baloney.”

Other residents who spoke during the hearing said they supported SMCAS and wanted the quality service to continue, but asked for clarification on how the SAD would operate. 

As the hearing came to a close, Kovach expressed some satisfaction.

“I feel like all of my questions have been answered,” Kovach said. “I appreciate it [the meeting]. Twenty dollars is nothing to cry about.”

SMCAS is owned by the cities of Niles and Buchanan, and Niles, Buchanan, Howard and Bertrand townships. Pokagon and Milton Township are contracted with SMCAS at this time.

The SAD’s approval is contingent upon each of the six municipalities that own SMCAS agreeing to establish the tax. If approved, the SAD would appear once a year on the winter tax bill.

“Call it a ready service charge,” Ringler said. “It guarantees an ambulance will be there when needed.”

The next Niles Township public hearing on the SMCAS SAD is scheduled for 7 p.m. Sept. 18 at the Niles Township Hall, 320 Bell Road.

The city of Niles is scheduled to host a public hearing on the topic at 5:55 p.m. Monday at the Niles Fire Station Complex, 1345 E. Main St.