(Photo provided by the Homer Fire Department).
Voters could decide in 2024 if Homer Fire Department volunteers will receive pension benefits.
The village of Homer Board of Trustees discussed the matter at Tuesday’s board meeting.
Village treasurer Tanya DiGennaro and fire chief Jay Riley said 40 eligible firefighters could start receiving up to $750 per year of service if voters approve the measure in a referendum in 2024.
The Length of Service Award Program (LOSAP), regulated by New York state, would be tentatively and jointly overseen by the village and Penflex, a private company with experience administering LOSAP plans. LOSAP, officials said Tuesday, is seen primarily as a retention plan, rewarding volunteers for their work tending to calls and participating in training and administering them.
“We want firefighters to come in, be invested, stick around, and in the end reward them for doing so,” Nicole Meeker, a Penflex representative, said at a board meeting from June 13.
The yearly estimate to cover eligible members could cost up to $30,000 a year. If the village opts to reduce the benefit to $500 a year, the other option being considered, then the yearly cost would be around $20,000 a year. Officials said Riley will try to look for ways to cover the fee through the department’s budget. That could potentially entail rolling back some of the new uniform purchases made yearly, Riley said. The village is also looking for ways to potentially cover some costs.
“The goal is not to raise taxes on people, but use the money we have,” Deputy Mayor Patrick Clune said.
The retirement age the village is working with is 60 years old. In order to qualify for the benefits, firefighters have to accrue 50 points in a points system determined by the state. Points are earned by participating in training, hosting training sessions, attending meetings, and responding to calls. DiGennaro said volunteers must get 50 points in order to qualify, any fewer points would disqualify firefighters from receiving the retirement benefit.
The village can also decide to provide up to five years worth of retirement benefits for firefighters who follow criteria agreed upon by Homer Fire Department leaders. Mayor Hal McCabe said he was leaning in that direction, an action that Riley said he wholeheartedly supported. Riley noted being able to provide qualifying volunteers with benefits going back to the last five years would be the best way forward for the department.
The village could pay for the backlogged benefits up to five years in one lump sum or amortized over five years. DiGennaro said the lump sum would be around $79,000 if the village decides to bank $500 in retirement benefits per year, per qualifying volunteer. If the village opts to bank $750 per year, that lump sum rises to $119,500.
If approved by voters next year, benefits would start accruing retroactively to January 2024.
“I think this is important and I think it is something we should do,” McCabe said.
