This bill establishes a length of service award program for volunteer fire fighters, volunteer emergency medical care providers, and reserve peace officers in municipalities across Iowa. It authorizes municipalities to create these programs, which will provide tax-deferred benefits as outlined in the Internal Revenue Code. The governing body of each municipality is required to develop guidelines for eligibility, vesting, and distribution of awards in consultation with relevant department heads.

Additionally, the bill creates a length of service award program grant fund under the control of the Department of Revenue, which will receive $2 million in lottery revenues each fiscal year, with the potential for increased funding if the fund is depleted for two consecutive years. The fund will provide grants to municipalities that have established a program, with a matching contribution requirement of up to $500 per participant. The bill also stipulates that any interest earned on the fund will remain within it and that the fund will not revert at the end of the fiscal year. The provisions of this bill will take effect on January 1, 2026.

Statutes affected:
Introduced: 99G.39