LEGISLATIVE INITIATIVE TO ALLOW PARTICIPATION OF NON-PROFIT FIRE DEPARTMENTS TO PARTICIPATE IN LOCAL GOVERNMENT RETIREMENT UPDATE BILL NUMBER

As an update, the Ways and Means Secure Retirement Act is HR 8696 for reference.

Last week I sent out another notice concerning introduction of HR 8538 in Congress titled “How have we gotten here and where do we go from here?” The good news is the Ways and Means Committee have now included it in their Retirement Package which has been introduced in the House. “Last Week, the top Republican on the House Ways and Means Committee Kevin Brady (R-TX) and Ways and Means Committee Chairman Richard E. Neal (D-MA) introduced the Securing a Strong Retirement Act of 2020, bipartisan legislation to help a greater number of Americans successfully save for a secure retirement. The bill builds on the Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019 to further improve workers’ long-term financial well being.” Our bill wording is on page 44 of the bill referenced below. This is great news since we are part of a larger picture that will get more attention. I’ve heard from two staffers in Washington, one from Grassley’s Office (Finance Committee Chair), and Dave Finger with NVFC who is hearing the same thing. They both believe the retirement bill will pass, but maybe not until next year. The election delay has everything on a sort of hold. The good news is the Senate also has a retirement package they want, so both Chambers will want to move it at some point. As with everything in Washington, it takes time. We’ll continue to monitor the bill as it progresses. Here is a link to the bill.

https://gop-waysandmeans.house.gov/brady-and-neal-introduce-new-bipartisan-legislation-to-strengthen-americans-retirement-security/.

Background

In early 2018 Past President Jeff Cash from Cherryville set up a meeting with Congressman Patrick McHenry to discuss the issue of non-profits being allowed to join LGERS and the need for federal intervention. The meeting was held in Hickory and attended by members of the NCSFA and NCAFC’s Board and staff. The State law that had initially allowed non-profit career firefighters in LGERS was overturned in the early 2000’s by an IRS opinion letter indicating it would change the status of LGERS, possibly causing it to be taxed differently. At that point the NC law was revoked. For the past two years we have worked closely with Congressman Holding’s and Congressman McHenry’s Office to get federal legislation introduced. One reason for the delay was trying to get a majority of the Ways and Means Committee to agree to the legislation. Also, when the House changed to Democratic in 2018, we had to realign our efforts. There were also issues with the draft legislation. We have been working with McHenry’s and Holdings office hard for the last year, and a few weeks ago we received an indication from Holding’s and McHenry’s office they were ready to move forward with the introduction. The last week before introduction we worked hard to get the remaining members of the NC delegation to sign onto the Bill, and we convinced all but one.

October 6th, 2020, the bill was introduced in the House Of Representatives. HR 8538 went to the Ways and Means Committee, which included it in their major retirement package. This is the first and critical step to removing the Federal IRS restriction that prohibited NC from moving forward. If passed in Congress it will allow the NC General Assembly the opportunity to re-instate the law allowing participation. The final decision for participation will be getting legislation passed in NC, and the fire department itself agreeing to participate. IT IS IMPORTANT TO KNOW THAT IF IT PASSES AT THE FEDERAL LEVEL, WE WILL STILL HAVE TO GET IT INTRODUCED NEXT YEAR AND PASSED AT THE STATE LEVEL.

In addition to those in North Carolina who fought for the Bill, assisting tremendously in getting us to this point were: Rich Sheedy, Congressman Holding’s Office; Doug Nation, Congressman McHenry’s office; Dave Finger, National Volunteer Fire Council; and Evan Davis, International Association of Fire Chiefs.

LEGISLATIVE INITIATIVE TO ALLOW PARTICIPATION OF NON-PROFIT FIRE DEPARTMENTS TO PARTICIPATE IN LOCAL GOVERNMENT RETIREMENT UPDATE

Last week I sent out another notice concerning introduction of HR 8538 in Congress titled “How have we gotten here and where do we go from here?” The good news is the Ways and Means Committee have now included it in their Retirement Package which has been introduced in the House. “Last Week, the top Republican on the House Ways and Means Committee Kevin Brady (R-TX) and Ways and Means Committee Chairman Richard E. Neal (D-MA) introduced the Securing a Strong Retirement Act of 2020, bipartisan legislation to help a greater number of Americans successfully save for a secure retirement. The bill builds on the Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019 to further improve workers’ long-term financial well being.” Our bill wording is on page 44 of the bill referenced below. This is great news since we are part of a larger picture that will get more attention. I’ve heard from two staffers in Washington, one from Grassley’s Office (Finance Committee Chair), and Dave Finger with NVFC who is hearing the same thing. They both believe the retirement bill will pass, but maybe not until next year. The election delay has everything on a sort of hold. The good news is the Senate also has a retirement package they want, so both Chambers will want to move it at some point. As with everything in Washington, it takes time. We’ll continue to monitor the bill as it progresses. Here is a link to the bill.

https://gop-waysandmeans.house.gov/brady-and-neal-introduce-new-bipartisan-legislation-to-strengthen-americans-retirement-security/.

Background

In early 2018 Past President Jeff Cash from Cherryville set up a meeting with Congressman Patrick McHenry to discuss the issue of non-profits being allowed to join LGERS and the need for federal intervention. The meeting was held in Hickory and attended by members of the NCSFA and NCAFC’s Board and staff. The State law that had initially allowed non-profit career firefighters in LGERS was overturned in the early 2000’s by an IRS opinion letter indicating it would change the status of LGERS, possibly causing it to be taxed differently. At that point the NC law was revoked. For the past two years we have worked closely with Congressman Holding’s and Congressman McHenry’s Office to get federal legislation introduced. One reason for the delay was trying to get a majority of the Ways and Means Committee to agree to the legislation. Also, when the House changed to Democratic in 2018, we had to realign our efforts. There were also issues with the draft legislation. We have been working with McHenry’s and Holdings office hard for the last year, and a few weeks ago we received an indication from Holding’s and McHenry’s office they were ready to move forward with the introduction. The last week before introduction we worked hard to get the remaining members of the NC delegation to sign onto the Bill, and we convinced all but one.

October 6th, 2020, the bill was introduced in the House Of Representatives. HR 8538 went to the Ways and Means Committee, which included it in their major retirement package. This is the first and critical step to removing the Federal IRS restriction that prohibited NC from moving forward. If passed in Congress it will allow the NC General Assembly the opportunity to re-instate the law allowing participation. The final decision for participation will be getting legislation passed in NC, and the fire department itself agreeing to participate. IT IS IMPORTANT TO KNOW THAT IF IT PASSES AT THE FEDERAL LEVEL, WE WILL STILL HAVE TO GET IT INTRODUCED NEXT YEAR AND PASSED AT THE STATE LEVEL.

In addition to those in North Carolina who fought for the Bill, assisting tremendously in getting us to this point were: Rich Sheedy, Congressman Holding’s Office; Doug Nation, Congressman McHenry’s office; Dave Finger, National Volunteer Fire Council; and Evan Davis, International Association of Fire Chiefs.

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HOW WE GOT THIS FAR: LEGISLATIVE INITIATIVE TO ALLOW PARTICIPATION OF NON-PROFIT FIRE DEPARTMENTS TO PARTICIPATE IN LOCAL GOVERNMENT RETIREMENT

Last week I sent out a notice concerning introduction of HR 8538 in Congress. How have we gotten here and where do we go from here? In early 2018 Past President Jeff Cash from Cherryville set up a meeting with Congressman Patrick McHenry to discuss the issue of non-profits being allowed to join LGERS and the need for federal intervention. The meeting was held in Hickory and attended by members of the NCSFA and NCAFC’s Board and staff. The State law that had initially allowed non-profit career firefighters in LGERS was overturned in the early 2000’s by an IRS opinion letter indicating it would change the status of LGERS, possibly causing it to be taxed differently. At that point the NC law was revoked. For the past two years we have worked closely with Congressman Holding’s and Congressman McHenry’s Office to get federal legislation introduced. One reason for the delay was trying to get a majority of the Ways and Means Committee to agree to the legislation. Also, when the House changed to Democratic in 2018, we had to realign our efforts. There were also issues with the draft legislation. We have been working with McHenry’s and Holdings office hard for the last year, and a few weeks ago we received an indication from Holding’s and McHenry’s office they were ready to move forward with the introduction. The last week before introduction we worked hard to get the remaining members of the NC delegation to sign onto the Bill, and we convinced all but one.

October 6th, 2020, the bill was introduced in the House Of Representatives. HR 8538 now goes to the Ways and Means Committee, which we hope will include it in their major retirement package. This is the first and critical step to removing the Federal IRS restriction that prohibited NC from moving forward. If passed in Congress it will allow the NC General Assembly the opportunity to re-instate the law allowing participation. The final decision for participation will be getting legislation passed in NC, and the fire department itself agreeing to participate. IT IS IMPORTANT TO KNOW THAT IF IT PASSES AT THE FEDERAL LEVEL, WE WILL STILL HAVE TO GET IT INTRODUCED NEXT YEAR AND PASSED AT THE STATE LEVEL.

In addition to those in North Carolina who fought for the Bill, assisting tremendously in getting us to this point were: Rich Sheedy, Congressman Holding’s Office; Doug Nation, Congressman McHenry’s office; Dave Finger, National Volunteer Fire Council; and Evan Davis, International Association of Fire Chiefs.

Please call your Representatives and ask them to continue to push for passage of HR 8538.

UPDATE ON FEDERAL LEGISLATIVE INITIATIVE TO ALLOW PARTICIPATION OF NON-PROFIT FIRE DEPARTMENTS TO PARTICIPATE IN LOCAL GOVERNMENT RETIREMENT

For the past two years we have worked closely with Congressman Holding’s and Congressman McHenry’s Office to get federal legislation introduced to allow career firefighters on North Carolina’s non-profit fire departments, serving counties and cities by contract, to participate in the Local Government Retirement System (LGERS). I’m excited to report that Tuesday, October 6th, 2020, the bill was introduced in the House Of Representatives. HR 8538 now goes to the Ways and Means Committee, which we have worked closely with to try and get a majority agreement. This is the first and critical step to removing the Federal IRS restriction that prohibited NC from moving forward. If passed in Congress it will allow the NC General Assembly the opportunity to re-instate the law allowing participation. The final decision for participation will be getting legislation passed in NC, and the fire department itself agreeing to participate.

I’m pleased to also report that North Carolina’s entire group of Representatives with the exception of Rep. Adams signed onto the Bill, so it has the support of the majority of NC Representatives (See Chart Below). In addition to those in North Carolina who fought for the Bill, assisting tremendously in getting us to this point were: Rich Sheedy, Congressman Holding’s Office; Doug Nation, Congressman McHenry’s office; Dave Finger, National Volunteer Fire Council; Evan Davis, International Association of Fire Chiefs.

Background on Local Government and Non-Profit Fire Department Retirement Issue

In 1999 the North Carolina General Assembly passed legislation which allowed career firefighters of non-profit 501 ©3 departments to join the Local Government Retirement System. This law stood until 2002 when an Federal IRS Opinion Letter and a subsequent Attorney General Opinion advised the State they may lose the “public agency” aspect of LGERS if they allowed non-profits as members. This created an imbalance within the ranks of career firefighters and has frustrated the leadership of non-profit fire departments struggling to keep qualified individuals when municipal fire departments can draw them away due to retirement eligibility. It has to be fixed at the Federal level before the NC General Assembly can reenact legislation to allow it here. In October or 2020, we now have a Bill in Congress that will allow NC to press forward if passed.

Tim Bradley

Executive Director

For additional information contact: 

Tim Bradley, Executive Director

AC Rich, Executive Board

Debbie Clary, Governmental Affairs

2020 legislative Session Update

2020

Joint Legislative Committee – This committee was established by both the NCSFA and NCAFC’s Executive Boards to address legislative issues that impact the Fire Service of North Carolina.  The Committee Members are:  

•     AC Rich, NCSFA – Chairperson

•     Scott Rogers, NCSFA 

•     Quentin Cash, NCSFA

•     Anthony Penland, NCSFA 

•     Tim Bradley, NCSFA 

•      Ed Brinson, NCSFA 

•      Debbie Clary, Lobbyist

•      Kevin Gordon, NCAFC

•      Donnie Hall, NCAFC 

•      Ryan Cole, NCAFC

•      Chris Langham, NCAFC

•      Jake Whisnant, NCAFC

•      Jeff Cash, NCAFC

For additional information contact:

 Tim Bradley, Executive Director

AC Rich, Chairman

Debbie Clary, Governmental Affairs

Legislative Day 2020 – Cancelled Due to Covid-19 Concerns

For additional information contact: 

Tim Bradley, Executive Director

AC Rich, Executive Board

Debbie Clary, Governmental Affairs

Legislative Advocacy

2020 Session Preparation

The NC General Assembly has recessed until some time in January, and many Legislators will be home over the holiday season. This provides an excellent opportunity to speak with them at events in the community, invite them to your events, or just give them a call at home. When speaking to them there are a couple of key issues that need to be addressed in the upcoming short session. Keep this bullet list handy, and although it isn’t the complete legislative agenda, it contains the critical issues we want to move forward.

– It’s time for the NC General Assembly to pass responsible legislation to protect and provide assistance to firefighters with cancer. Firefighters face a significantly increased risk of cancer. This protection and coverage involves medical care for those diagnosed, financial protection while out of work and facing associated costs, and related disabilities. It also includes additional line of duty deaths by cancer that were included in the budget bill, but are not in place due to veto.

– Provide parity for our career firefighters with law enforcement by passing a Separation Allowance Bill. A study bill passed the House, but was not addressed in the Senate, which give the Senate an opportunity to move it forward by re-establishing the original intent of the bill.

– A generous increase in our Firefighters and Rescue Worker’s Pension Fund. The monthly payment hasn’t increased since 2008.

Don’t miss an opportunity to advocate to your Legislators while they are back home in the community. Let them know what’s important to you as members of the fire service community.

Tim Bradley

Executive Director

NC State Firefighters’ Association