[Congressional Record Volume 161, Number 34 (Friday, February 27, 2015)]
[Senate]
[Page S1203]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. COLLINS (for herself and Mr. Schumer):
  S. 616. A bill to amend the Internal Revenue Code of 1986 to provide 
recruitment and retention incentives for volunteer emergency service 
workers; to the Committee on Finance.
  Ms. COLLINS. Mr. President, I rise today to introduce the Volunteer 
Emergency Services Recruitment and Retention Act of 2015. This bill 
fixes a long-standing problem with the tax code that harms the ability 
of volunteer fire departments to recruit and retain both firefighters 
and emergency service personnel.
  For years, local and State governments have provided their volunteer 
firefighters and EMS personnel with different forms of benefits 
including Length of Service Award Plans, commonly known as LOSAPs. 
These are pension-like benefits for volunteer emergency responders.
  Unfortunately, the way the tax code handles LOSAPs hinders the 
ability of departments to administer plans and makes it more difficult 
for volunteer emergency personnel to receive benefits.
  My bill would simplify the taxation of LOSAPs in two steps. First, it 
would allow an election to treat LOSAPs as deferred compensation plans, 
and second, it would exempt them from the Employee Retirement Income 
Security Act of 1974. These two changes will improve access to LOSAP 
benefits for volunteer emergency responders, without increasing Federal 
spending.
  Today, an estimated 180,000 volunteer firefighters across 27 states 
participate in some form of LOSAP. Many states that do not offer these 
benefits would be more likely to do so if the Federal tax code were 
simplified. This, in turn, would help volunteer fire departments to 
recruit more easily and retain personnel. These men and women, our 
local first responders, are the foundation of our emergency response 
capabilities.
  These volunteers put their lives on the line to help protect our 
communities, and their spirit of selflessness and service should be 
rewarded. I am pleased to introduce this legislation with Senator 
Schumer, and I look forward to working with my colleagues to pass this 
bill through the Senate and into law.

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