Amendment H-1265 to HF 1002

Filed April 22, 2025 in the House by

In plain words

AI summary This amendment replaces the entire bill and establishes a program where municipalities can provide tax-deferred service awards to volunteer firefighters, emergency medical providers, and reserve peace officers. It creates a grant fund that provides a dollar-for-dollar match of up to $300 per recipient per year, provided the participant also contributes the same amount. The amendment also directs money from sports wagering to maintain the grant fund at $1.5 million each year through 2030.¹

What it changes

1. By striking everything after the enacting clause and inserting: “Section
2. Section 8.57I, Code 2025, is amended by adding the following new subsection: NEW SUBSECTION . 3A. For the fiscal year beginning July 1, 2026, and for each fiscal year thereafter, an amount necessary to bring the unencumbered and unobligated balance in the length of service award program grant fund created in section 100B.52 to one million five hundred thousand dollars as of July 1 of the fiscal year shall be transferred from the sports wagering receipts fund to the length of service award program grant fund. Moneys received from the sports wagering receipts fund pursuant to this subsection are not subject to the reporting requirements provided in subsection 4 or
3. This subsection is repealed July 1,
4. Sec.
5. NEW SECTION . 100B.51 Length of service award programs —— authorization. The governing body of a municipality, as defined in section 100B.21, is authorized to establish a length of service award program for volunteer fire fighters as defined in section 85.61, emergency medical care providers as defined in section 147A.1 who are volunteers, and reserve peace officers as defined in section 80D.1A. The program shall provide length of service awards, as described in section 457(e)(11) of the Internal Revenue Code, to volunteer fire fighters, volunteer emergency medical care providers, and reserve peace officers serving a municipality that elects to establish a program. The program shall be designed to treat awards from the program as a tax-deferred benefit under the Internal Revenue Code. The governing body of the municipality shall, in consultation with the chief or other person in command of the fire department and police department serving the municipality, as applicable, adopt guidelines providing for eligibility requirements for participation by volunteer fire fighters, volunteer emergency medical care providers, and reserve peace officers, minimum vesting requirements of three years, distribution requirements, and such other guidelines as deemed necessary to operate the program. This section is repealed July 1,
6. Sec.
7. NEW SECTION . 100B.52 Length of service award program grant fund —— appropriation.
8. A length of service award program grant fund is created in the state treasury under the control of the department of revenue. The fund shall consist of all moneys appropriated to or deposited in the fund, including moneys transferred pursuant to section 8.57I, subsection 3A.
9. Moneys in the length of service award program grant fund are appropriated to the department of revenue for the purpose of providing grants to municipalities that have established a length of service award program as described in section 100B.51 to provide contributions to the program on behalf of participants in the program. The department of revenue shall adopt rules pursuant to chapter 17A establishing a grant application process. The grant process shall provide for up to a dollar-for-dollar funding match, in an amount not to exceed three hundred dollars per award recipient per year from the fund, to a municipality that has established a length of service award program. The grant process shall require the award recipient to participate in the length of service award program by personally contributing, at a minimum, the amount matched by the municipality each year in order to receive the grant. The grant process shall allow a municipality to use moneys received to fund the program from gifts, devises, bequests, or any other source for purposes of providing the funding match required by this subsection.
10. Notwithstanding section 12C.7, subsection 2, interest or earnings on moneys deposited in the fund shall be credited to the fund. Notwithstanding section 8.33, moneys credited to the fund shall not revert at the close of a fiscal year.
11. This section is repealed July 1,
12. Sec.
13. APPROPRIATION.
14. There is appropriated from the sports wagering receipts fund created in section 8.57I to the department of revenue for the fiscal year beginning July 1, 2025, and ending June 30, 2026, the following amount, or so much thereof as is necessary, to be used for the purposes designated: For deposit in the length of service award program grant fund created in section 100B.52, as enacted by this Act: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,500,000
15. Moneys received from the sports wagering receipts fund pursuant to this section are not subject to the reporting requirements provided in section 8.57I, subsection 4 or
16. ”

Official amendment (PDF) · In the Bill Book