You know things are bad when banks start bringing foreclosure proceedings to repossess fire trucks. That is exactly what is going on in the Kinloch Fire Protection District, in St. Louis County, Missouri.
Last year, Kinloch was awarded an AFG grant to purchase a new engine. The grant paid 95 percent of the cost of the truck, and the district financed the balance with Community First National Bank.
When the district was unable to afford the cost of insurance this year, the bank moved to foreclose on the loan. A hearing on Monday, April 25, in St. Louis County Circuit Court was postponed, and the case has been continued until June 29, 2011.
According to Kinloch Fire Chief Darran Kelley, donations have provided the fire district with enough money to pay for the insurance, and the truck is back in service.
Yes, foreclosing on a fire truck is a bad sign.