Two weeks ago, Mayor Craig Greenberg proposed allocating $6 million from the budget surplus to the fire department to purchase new trucks and make essential repairs.
Louisville Fire Department has seven stations that are more than 100 years old, and another 11 stations that are more than five decades old.
The fire department needs more than $30 million to make repairs to deteriorating firehouses.
The contract now goes to the full Metro Council for a final vote.
Photos from inside some of the buildings the city's firefighters call home show peeling paint, leaky roofs and holes in ceilings and walls.
Louisville firefighters have been working without a new contract for months as the most recent contract expired last summer.
A recent WDRB News report revealed peeling paint, rusted facades, and holes in firehoses -- all the result of decades of deferred maintenance.
This week on Monday and Tuesday, firefighters with Louisville Fire and civilian employees participated in a training focused on peer support.