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![handle is hein.nyscompop/nyscomo1999 and id is 1 raw text is: Opinion 99 - 1
Opinion 99 - 1
This opinion represents the views of the Office of the State Comptroller at the time it was
rendered. The opinion may no longer represent those views if, among other things, there have
been subsequent court cases or statutory amendments that bear on the issues discussed in
the opinion.
VOLUNTEER FIREFIGHTERS -- Service Award Program (requirement that program assets be held
in trust); (provision of death benefits to volunteer firefighters who have not earned a nonforfeitable
right to a service award)
GENERAL MUNICIPAL LAW, §§217(j), 218(e), 219(f): (1) The assets of a service award program for
volunteer firefighters must be held in trust. (2) A service award program may provide death benefits
only in the case of an active volunteer firefighter who has a nonforfeitable right to service award.
You ask whether the assets of a service award program for volunteer firefighters must be held in trust.
You also ask whether such a service award program may provide a death benefit to a volunteer
firefighter who has not earned a nonforfeitable right to a service award.
Service award programs for volunteer firefighters are established pursuant to article 11-A of the
General Municipal Law (§214 et sea.). Section 217 of the General Municipal Law sets forth a number
of requirements for service award programs adopted pursuant to article 11-A. Subdivision (j) of
section 217 provides, in relevant part, that raIll orogram assets shall be held in trust for the exclusive
purpose of providing benefits to participants and their beneficiaries or for the purpose of defraying the
reasonable expenses of the operation and administration of the program (emphasis supplied).
Therefore, based on the express statutory language of section 217(j), it is clear that the assets of a
service award program for volunteer firefighters must be held in trust.
As to death benefits, sections 218(e) of the General Municipal Law provides, in effect, that defined
contribution service award programs shall provide death benefits in the event of the death of an
active volunteer firefighter who has a right to a nonforfeitable percentage of a service award
(emphasis supplied)1). Similarly, section 219(f) of the General Municipal Law provides, in effect, that
defined benefit service award programs may provide death benefits in the event of the death of an
active volunteer firefighter who has a right to a nonforfeitable percentage of a service award
(emphasis supplied). Both sections also provide for additional death benefits if the active volunteer
firefighter dies during the course of service as a volunteer while actively engaged in providing line of
duty services. It is clear that the references to additional benefits for the active volunteer firefighter
relate to an active volunteer firefighter who has a right to a nonforfeitable percentage of a service
award. Accordingly, it is our opinion that a service award program may provide death benefits only in
the case of an active volunteer firefighter who has a nonforfeitable right to a service award.
January 19, 1999
Patricia L. McCarthy
Deputy Comptroller
1. Section 217(b) of the General Municipal Law generally provides that a participant in a service
award program shall have a nonforfeitable right to 100% of a service award upon earning credit for 5
years of firefighting service (see General Municipal Law, §§215[11], 217[c], [d]) or at a faster rate as
determined by the local government sponsor.
Opinion 99 - 1](ViewImageLocal?handle=hein.nyscompop/nyscomo1999&div=1&collection=&method=preview&ext=.png&size=3)