Federal regulations also apply to subrecipients through the State forester. While grants to State foresters are administered according to the requirements pertaining to State and local governments, the legal status of RFD's is often ambiguous. Most States contain fire departments of all three types mentioned below. While regulations for grants to subrecipients such as rural fire departments and fire training academies are similar whether operated by State and local governments or nonprofit corporations, the regulations are located in different CFR's. Municipalities have taxing authority and the fire department may consist of paid, volunteer, or a mixture of paid and volunteer firefighters.
Fire districts are also local governmental entities.
These districts, like municipalities, have taxing authority and the firefighters may be paid, volunteer, or a combination of both. One or more municipalities may be included in fire districts. They are not local governmental entities, although local governments sometimes contribute limited financial support. Fire departments obtain most of their funding through fund raising campaigns and by holding events such as breakfasts, spaghetti feeds, carnivals, etc. Most fire departments in rural areas and communities are nonprofit corporations and they consist mostly of volunteers.