Statements on Introduced Bills and Joint Resolutions

Floor Speech

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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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