Local fire departments blame private equity for rising equipment costs
Some departments are engaged in a class action lawsuit against apparatus manufacturers.
Private equity firms are being blamed by local fire departments for rising costs of equipment, according to a CBS California Investigates report. The Pointe Fire in Santa Clarita, which encroached on homes, a school bus yard, and a synagogue, showcased the dangers of aging fire equipment. Fire Station 150's engine, which has over 233,000 miles, operates on the frontline despite being 20 years old.
Many fire departments across the country are facing similar issues, with equipment prices increasing by over 50% since 2022. Fullerton, Pasadena, and the County of Los Angeles have filed federal antitrust lawsuits against fire apparatus manufacturers, accusing them of creating a consolidation scheme. Private equity is seen as a key factor in the destruction of competition in the industry.
Fire Chiefs attribute high demand, supply shortages, and increased federal spending during the COVID-19 pandemic to the problem. The REV Group, which owns multiple fire apparatus brands, has also been sued for alleged collusion. Despite the claims, the company's president stated that steps are being taken to reduce build times. Modern fire apparatus are equipped with advanced safety features like airbags and backup cameras, which are mandated on personal vehicles.
However, older apparatus may lack these safety measures. A recent example highlights the importance of updated equipment, as an engine delivered in 2024 experienced a catastrophic engine failure after only three months of use. Lawmakers have called for the Federal Trade Commission to investigate these consolidation practices.
Written by urgent.news from CBS News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
