Linda Johnson, personnel director and lead negotiator for the city, declined to comment on the talks. Lonnie Schreiber, International Association of Firefighters Local 1934 president, also refused to comment. Both cited a gag order under the mediation process.

Redding firefighters have said they earn lower salaries but answer far more calls than their counterparts in comparably sized Northern California cities.

Salaries and benefits were a major obstacle in the last round of firefighter labor negotiations, which stretched from late 1999 through mid-2002.

The city sued its firefighters in 2001 after the union asked for binding arbitration. The two sides reached an agreement before the case went for a hearing.

Firefighters won the coveted "3 percent at 50" retirement benefit in 2002. But union representatives at that time made it clear that fire crews had settled for far smaller salary increases than they had wanted.

Redding administrators also had budgeted 3 percent annual raises for police, which recently struck a labor deal with the city. The Redding Peace Officers Association in March negotiated a contract granting annual raises averaging 4.75 percent over five years.

The council in February voted to tap higher-than-expected sales tax receipts and lower-than-anticipated pension rates to make up for some of the funding. The rest came from the Police Department itself.

There was no money left over after the February meeting to pad the firefighters' contract beyond the budget in the 10-year plan. Police this year agreed to pay a 10 percent health insurance premium, accept higher insurance deductibles and drug prescription co-pays. The city is likely asking firefighters for similar concessions.

Working conditions also may be keeping the two sides from reaching an agreement. The recently released Shasta County grand jury report focused on inadequate staffing, mistrust between rank-and-file firefighters and the Fire Chief Duane Fry and his deputies, departmental budget cuts, and incomplete training.

Firefighters have said they were not equipped to deal with the Dec. 30 flooding on Olney Creek. Crews lacked properly insulated clothing to protect them from the chilly floodwaters. A few firefighters relied on their own fishing and sport boats to rescue flooded residents.

The city and its police force turned to a mediator earlier this year before settling on a labor contract in March. The 2002 police and fire contracts also were mediated settlements.

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