Economy

As fire engine costs rise, lawmakers probe private equity’s role

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(NewsNation) — Fire departments across the United States — from Los Angeles to small towns in Texas — are facing challenges as fire truck prices surge, parts arrive defective, and wait times for new vehicles grow longer.

Sens. Elizabeth Warren, D-Mass., and Jim Banks, R-Ind., have launched an investigation into a backlog of approximately $4 billion in fire engine orders.

They’re examining whether private equity firms such as American Industrial Partners, which has consolidated multiple fire truck manufacturers under REV Group, are prioritizing profits over public safety.


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Fire truck manufacturing waits can span years 

Fire truck prices soared by around 10% in the last year alone.

“In 2013, a pumper truck cost $500,000, and a ladder truck cost $900,000. Today, these prices have skyrocketed to nearly $1 million and $2 million, respectively, far outpacing inflation for heavy-duty truck manufacturing over that time period,” Warren and Banks wrote in a joint letter.

In Tyler, Texas, fire engine wait times can stretch several years.

“In the last three years, we’re just not seeing the numbers at all as far as available trucks or things that would be suitable to be used in wildland fire,” said ECCA Volunteer Fire Department Chief Gary Young.


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Los Angeles’ aging fire engine fleet impacted the city’s wildfire response earlier this year, with dozens of vehicles out of service due to delays in replacements, per NewsNation affiliate KTLA.

Freddy Escobar, president of the United Firefighters of Los Angeles City Fire Foundation, told KTLA there wasn’t enough funding to supply the mechanics.

“I don’t know exactly why each one is here, but I could tell you what has caused them to be here. What’s caused them to hear is the LAFD does not have the funding mechanism to supply enough mechanics and enough money for the parts to repair these engines, the trucks, the ambulances,” Escobar said.

Lawmakers push accountability, faster turnaround

While REV Group admits it currently has a backlog of $4 billion in orders and cites pandemic-era supply chain disruptions, critics argue industry consolidation is also at fault.


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“While CEOs and shareholders pad their pockets, consolidation in the industry impedes firefighters’ ability to do their jobs safely and effectively, squeezes fire departments’ budgets and forces taxpayers to bear the consequences,” Warren and Banks wrote in their joint letter.

The senators said they’re pushing for answers leading to accountability and faster turnaround for communities nationwide.