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Collins Fire District financial incentive program passes

COLLINS — The results of a vote for a service-award program for active volunteer members of Collins Fire Company No. 1, Inc. and the Collins Center Fire Company, Inc. showed that the majority was in favor of the program. There were a total of 78 votes, with 50 for the program, and 28 against.

In operation, the program selected by the Board of Fire Commissioners is similar to a simple defined contribution pension plan (like 401k plan). For each year a volunteer member of the Collins Fire Company No. 1, Inc. or Collins Center Fire Company, Inc. earns a year of service credit, a $450 contribution is deposited by the Fire District to the volunteer’s Service Award Program account. These contributions are invested and grow with interest over time. The value of the volunteer’s account is payable to the volunteer at age 60. To earn a year of service credit, a volunteer must earn a minimum of 50 points under the New York State General Municipal Law mandated point system. A volunteer earns points by attending drills, responding to calls, completing training courses, attending company meetings, completing a one year term as an officer and for other line-of-duty activities.

Volunteers who become totally and permanently disabled before age 60 are eligible to be paid their program account balance before age 60. Upon the death of a 100 percent vested volunteer before age 60, the volunteer’s vested account balance is paid to the volunteer’s beneficiary. Generally, a volunteer must earn five years of service credit to obtain a vested status in the program.

Calendar year 2019 will be the first year that volunteers have the opportunity to earn the required points during the year under the Service Award Program Point System. In calendar year 2020, Town of Collins Fire District residents will begin to fund the program. For current volunteers, the annual cost of the program is estimated to be as much as $37,500, including the cost of administration. The tax impact to residents is estimated to be no more than 34 cents per $1,000 of assessed property value. This means for a property assessed at $60,000, the cost of this program is $20.40 per year.

Penflex is currently under contract with the State Comptroller’s Office to be the administrator of the program. New York State political subdivisions have been able to establish service award programs for their volunteer firefighters since 1990. Service award programs are intended to help recruit and retain active volunteer firefighters. Currently, there are about 700 volunteer firefighter programs in New York State.

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