In Dubuque, Iowa, the City Council is examining a proposed ordinance that would allow the Dubuque Fire Department to bill insurance companies for costs associated with specific emergency responses. This “fire cost recovery” or billing program aims to ease the financial burden on local taxpayers while addressing the department’s growing operational demands. 

Background and Purpose

The Dubuque Fire Department responded to a record 8,259 incidents in the previous year, including traditional fire suppression, vehicle crashes requiring extrication, vehicle fires, hazardous material cleanups, and special rescues. Fire Chief Amy Scheller has highlighted that the department provides far more specialized services today than in the past, with costs for personnel, equipment, fuel, and tools rising significantly. 

The proposed ordinance targets billing the insurance policies—primarily auto and property insurers—of responsible parties for these high-resource incidents. It follows a model already in place for the city’s EMS (ambulance) services. Officials estimate the program could generate approximately $120,000 to $140,000 annually, potentially helping fund additional firefighter-paramedic positions (estimates vary slightly between supporting about two positions or contributing toward more) without broad property tax increases. 

City leaders argue this represents a fairer “user pays” approach for incidents where insurance coverage typically exists, rather than relying solely on taxpayers for incremental costs beyond basic readiness. Many such expenses are already built into insurance premiums. 

Key Protections for Residents

A major point of emphasis from Fire Chief Scheller and city officials is that residents would not face out-of-pocket costs. The city plans to waive “balance billing”—pursuing individuals for any amounts insurance does not cover—and offers hardship waivers. This mirrors existing EMS practices, where the focus remains on insurers rather than citizens in need. 

Some council members expressed concerns during the May 18, 2026, meeting about the ordinance’s wording potentially allowing direct billing of residents if insurers do not pay fully. As a result, the council delayed a vote and scheduled further review and possible revisions for the June 1, 2026, meeting. 

Broader Context

This initiative is part of ongoing efforts to sustain emergency services amid increasing call volumes. Earlier adjustments included raising ambulance fees based on true costs, with protections for Medicare, Medicaid, and in-network patients. The fire cost recovery program builds on that by formalizing billing for non-ambulance responses. 

If approved, implementation could take a couple of months, involving processes the department already uses for hazmat and EMS billing. The city has also explored vendor proposals for comprehensive cost recovery services. 

Potential Impacts and Reactions

Supporters view it as sustainable and equitable: specialized responses impose direct costs that insurance often covers, freeing up tax dollars for core services and improving staffing. 

Concerns center on ensuring strong protections against any resident liability and monitoring effects on insurance premiums or at-fault parties. Public input is welcomed at council meetings, with agendas available on the City of Dubuque website.