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, which will receive $2 million annually from lottery revenues starting in the fiscal year 2025. If the fund is depleted for two consecutive years, the annual transfer will increase by $500,000, with a cap of $5 million. The fund will be managed by the Department of Revenue, which will also establish a grant application process for municipalities to receive matching funds for their programs, capped at $500 per participant. The bill is set to take effect on January 1, 2026.

Statutes affected:
Introduced: 99G.39