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 local governing bodies to create these programs, which will provide tax-deferred awards as defined by the Internal Revenue Code. The governing bodies are required to consult with relevant department heads to set guidelines for eligibility, vesting, and distribution of awards.

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 be used to provide grants to municipalities that have established a length of service award program, with a matching contribution requirement from the municipalities. The bill mandates the Department of Revenue to establish a grant application process and ensures that any unspent funds do 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