Relief Association vs Fire Company

Three Separate Legal Entities

Many people assume the fire company and relief association are the same organization. In reality, Pennsylvania law establishes three distinct entities that work together to provide fire protection:

• Fire Company — Fights fires, responds to emergencies, and provides direct fire protection services to the community
• Relief Association — Supports firefighters through financial benefits, equipment, training, and insurance programs
• Municipality (Baldwin Borough) — The local government that receives and disburses state aid, provides oversight, and coordinates public safety

Why Are They Separate?

The separation exists by law to protect firefighters and ensure proper use of public funds:

• Different Tax IDs — Each organization has its own federal Employer Identification Number and files independently
• Separate Finances — Funds cannot be commingled between organizations under any circumstances
• Different Purposes — The fire company provides emergency services; the relief association provides member support
• State Audit Requirements — The Auditor General audits relief associations independently to ensure legal compliance
• Legal Liability — Separate incorporation protects each entity from the liabilities of the others

How They Work Together

While legally separate, these organizations share a common goal of protecting Baldwin Borough:

• Same Members — Active firefighters typically belong to both the fire company and relief association
• Shared Mission — Both organizations exist to support fire protection and firefighter safety
• Complementary Roles — The fire company provides the service; the relief association supports the people who provide it
• Coordinated Purchases — Equipment purchases are planned together to avoid duplication and maximize resources
• Joint Fundraising Events — Organizations may collaborate on community fundraisers while keeping finances separate

Common Questions

Can relief association funds pay for the fire station?

No. Buildings and facilities are fire company or municipal assets. Relief association funds cannot be used for rent, mortgage, utilities, or building maintenance.

Can the relief association buy a fire truck?

Yes. Pennsylvania law specifically authorizes relief associations to purchase fire apparatus and emergency vehicles used for firefighting purposes.

Can they share bank accounts?

No. Funds must be completely separate. Commingling of funds is a violation of Pennsylvania law and can result in loss of state aid.

Are fire company members automatically relief association members?

Not necessarily. The relief association has its own membership criteria and application process. While most active firefighters belong to both, membership in one does not guarantee membership in the other.

Does the Fire Chief run the relief association?

No. The relief association has its own elected officers, including a President, Vice President, Secretary, and Treasurer. Leadership is determined by the relief association membership through elections.

Are these the same meetings?

No. The relief association and fire company hold separate meetings with separate minutes, agendas, and votes. Actions taken at one meeting do not apply to the other organization.

State Aid Distribution

Understanding how state aid flows from Harrisburg to your local relief association:

1. The Commonwealth of Pennsylvania collects a 2% tax on foreign fire insurance premiums
2. The state distributes these funds to municipalities based on population and premium volume
3. The municipality (Baldwin Borough) receives state aid on behalf of the relief association
4. The municipality disburses the state aid to the relief association
5. The relief association spends funds according to categories authorized by Pennsylvania law
6. The Pennsylvania Auditor General audits relief association spending for compliance

Authorized vs Unauthorized Expenditures

See 35 Pa.C.S. § 7416(f) for the complete statutory list of authorized expenditures.

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