Senate Bill S10597

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10597
 
                             I N  S E N A T E
 
                               May 28, 2026
                                ___________
 
 Introduced  by Sen. MARTINEZ -- read twice and ordered printed, and when
   printed to be committed to the Committee on Local Government
 
 AN ACT to amend the general municipal law, the  volunteer  firefighters'
   benefit  law  and  the town law, in relation to providing pay per call
   and paid on  call  stipends  for  volunteer  firefighters  and  travel
   expense  reimbursement  for  call response; to amend the labor law, in
   relation to the definitions of "employee" and remuneration;  to  amend
   the civil service law, in relation to providing volunteer firefighters
   in  the  exempt  class; to amend the tax law, in relation to including
   nominal fees paid  to  volunteer  firefighters  within  the  New  York
   adjusted  gross  income  of  a  resident  individual; and to amend the
   general municipal law, in relation to establishing the volunteer  fire
   service nominal compensation assistance fund
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general municipal  law  is  amended  by  adding  a  new
 section 200-aaa to read as follows:
   §  200-AAA.  PAY  PER  CALL  AND  PAID  ON  CALL  NOMINAL COMPENSATION
 (STIPENDS) FOR VOLUNTEER FIREFIGHTERS. 1. FOR PURPOSES OF THIS SECTION:
   (A) "FIRE DEPARTMENT" AND "FIRE COMPANY" SHALL HAVE  THE  MEANINGS  AS
 DEFINED IN SECTION THREE OF THE VOLUNTEER FIREFIGHTERS' BENEFIT LAW;
   (B)  "NOMINAL  FEE"  MEANS  PAYMENT  TO  A  VOLUNTEER FIREFIGHTER OF A
 STIPEND, FEE, GIFT CARD OR GIFT CERTIFICATE, GRATUITY, OR OTHER QUALIFY-
 ING ITEM OF MONETARY VALUE;
   (C) "PAY PER CALL COMPENSATION (STIPEND)" MEANS PAYMENT OF  A  NOMINAL
 FEE TO A VOLUNTEER FIREFIGHTER OF A STIPEND FOR RESPONSE TO AN EMERGENCY
 CALL  OF  THEIR  FIRE DEPARTMENT OR FIRE COMPANY AS DEFINED IN THE LOCAL
 RULES AND REGULATIONS ESTABLISHED FOR THE PROGRAM;
   (D) "PAID ON CALL COMPENSATION (STIPEND)" MEANS A PAYMENT OF A NOMINAL
 FEE TO A VOLUNTEER FIREFIGHTER FOR PARTICIPATING IN A  STANDBY  ACTIVITY
 AS  DEFINED  IN  THE  LOCAL  RULES  AND  REGULATIONS ESTABLISHED FOR THE
 PROGRAM;
   (E) "VOLUNTEER FIREFIGHTER" SHALL HAVE THE SAME MEANING AS DEFINED  IN
 SECTION  THREE  OF  THE  VOLUNTEER  FIREFIGHTERS' BENEFIT LAW. AN ACTIVE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD15208-05-6
 S. 10597                            2
 
 VOLUNTEER FIREFIGHTER MAY PARTICIPATE IN A PAY PER CALL AND PAID ON CALL
 STIPEND PROGRAM ADOPTED UNDER THIS STATUTE AND SUCH PARTICIPATION  SHALL
 NOT  CAUSE  THAT VOLUNTEER FIREFIGHTER OR CALL FIREFIGHTER TO BE CONSID-
 ERED  A  PAID  FIREFIGHTER  AS  THAT TERM IS USED IN SECTION ONE HUNDRED
 SEVENTY-SIX OF THE TOWN LAW OR ANY OTHER STATUTE;
   (F) "CALL FIREFIGHTER" MEANS A VOLUNTEER FIREFIGHTER PARTICIPATING  IN
 A  PAY  PER  CALL  AND PAID ON CALL COMPENSATION (STIPEND) PROGRAM. SUCH
 PARTICIPATION SHALL NOT CHANGE SUCH FIREFIGHTER'S VOLUNTEER STATUS; AND
   (G) "AUTHORITY HAVING JURISDICTION" MEANS  THE  GOVERNING  BODY  OF  A
 CITY,  TOWN,  VILLAGE, OR FIRE DISTRICT WHICH MAINTAINS A VOLUNTEER FIRE
 DEPARTMENT OR VOLUNTEER FIRE COMPANY AND ELECTS TO PROVIDE A NOMINAL FEE
 TO VOLUNTEER FIREFIGHTERS PURSUANT TO THIS SECTION.
   2.  THE GOVERNING BODY OF A CITY, TOWN, VILLAGE, FIRE  DISTRICT,  FIRE
 PROTECTION  DISTRICT,  ANY  OTHER  ENTITY THAT OPERATES A VOLUNTEER FIRE
 DEPARTMENT  OR COMPANY, AN INDEPENDENT  VOLUNTEER  FIRE  COMPANY,  OR AN
 INDEPENDENT  FIRE  COMPANY MAY BY LOCAL LAW, ORDINANCE,  OR  RESOLUTION,
 ELECT  TO  AUTHORIZE  A FIRE COMPANY UNDER ITS JURISDICTION TO PROVIDE A
 NOMINAL FEE TO VOLUNTEER FIREFIGHTERS FOR EACH RESPONSE  TO  A  FIRE  OR
 OTHER EMERGENCY AND/OR PROVIDING CERTAIN STANDBY SERVICES.
   3.  A  PAY PER CALL AND/OR PAID ON CALL COMPENSATION (STIPEND) PROGRAM
 FOR VOLUNTEER FIREFIGHTERS APPROVED BY THE GOVERNING  BODY  OF  A  CITY,
 TOWN,  VILLAGE,  FIRE  DISTRICT, FIRE PROTECTION DISTRICT, OR ANY  OTHER
 ENTITY THAT ELECTS TO AUTHORIZE A VOLUNTEER FIRE DEPARTMENT OR  COMPANY,
 AN INDEPENDENT VOLUNTEER FIRE COMPANY, OR AN INDEPENDENT FIRE COMPANY TO
 PROVIDE  A  NOMINAL FEE TO VOLUNTEER FIREFIGHTERS SHALL PROMULGATE BASIC
 RULES FOR THE PROGRAM. THE PROGRAM MAY  LATER  BE  DISCONTINUED  BY  THE
 AUTHORITY  HAVING  JURISDICTION IN THE SAME MANNER IT ELECTED TO START A
 PROGRAM IF IT DETERMINES THAT THE PROGRAM  NO  LONGER  IS  IN  THE  BEST
 INTERESTS  OF  THE COMMUNITY SERVED. ONLY THE AUTHORITY HAVING JURISDIC-
 TION MAY AUTHORIZE THE  EXPENDITURE  OF  ITS  OPERATING  FUNDS  ON  SUCH
 PROGRAM.  A  VOLUNTEER FIRE DEPARTMENT OR COMPANY, AN INDEPENDENT VOLUN-
 TEER FIRE COMPANY, OR AN INDEPENDENT FIRE COMPANY  THAT  OPERATES  AS  A
 FIRE CORPORATION MAY AUTHORIZE THE EXPENDITURE OF DEPARTMENT, COMPANY OR
 CORPORATE  FUNDS ON THE PROGRAM WITH THE CONSENT OF THE AUTHORITY HAVING
 JURISDICTION. A VOLUNTEER FIREFIGHTER MAY ONLY RECEIVE  COMPENSATION  OR
 BE PAID ONE STIPEND PER ACTIVITY.
   4.  THE  AMOUNT  OF SUCH PAY PER CALL COMPENSATION (STIPENDS) SHALL BE
 SET BY THE ENTITY THAT HAS AUTHORIZED THE PROGRAM:
   (A) TOTAL ANNUAL NOMINAL COMPENSATION PER VOLUNTEER  FIREFIGHTER  PAID
 PURSUANT TO THIS SECTION SHALL BE LESS THAN AN AMOUNT WHICH WOULD RESULT
 IN  THE  NOMINAL  FEE  BEING REGARDED AS COMPENSATION AND SUBJECT TO THE
 "FAIR LABOR STANDARDS ACT OF 1938," 29 U.S.C. S.201  ET  SEQ.,  FOR  THE
 VOLUNTEER'S FIRST RESPONDER SERVICES; AND
   (B)  EXEMPT FROM PAYROLL AND INCOME TAXATION UNDER NEW YORK STATE LAW;
 AND
   (C) ANY NOMINAL FEE PROVIDED UNDER THIS SECTION SHALL  NOT  BE  DEEMED
 REMUNERATION  OR  GRATUITY UNDER THE VOLUNTEER FIREFIGHTERS' BENEFIT LAW
 OR ANY OTHER PROVISION OF LAW AND SHALL NOT INTERFERE WITH OR IMPACT THE
 VOLUNTEER STATUS OF VOLUNTEER FIREFIGHTERS  UNDER  THE  VOLUNTEER  FIRE-
 FIGHTERS' BENEFIT LAW OR ANY OTHER PROVISION OF LAW; AND
   (D) ANY NOMINAL FEE PROVIDED SHALL NEITHER ALTER NOR IMPAIR THE RIGHTS
 OR  ABILITIES  OF  A  VOLUNTEER FIREFIGHTER AS A PARTICIPANT ENTITLED TO
 RECEIVE BENEFITS PURSUANT TO ARTICLE ELEVEN-A OF THIS CHAPTER.
   5. VOLUNTEER FIREFIGHTERS MAY WAIVE THEIR RIGHT TO  PARTICIPATE  IN  A
 PAY PER CALL AND PAID ON CALL COMPENSATION (STIPEND) PROGRAM CREATED FOR
 THEIR FIRE DEPARTMENT OR FIRE COMPANY AND MAY RESPOND TO EMERGENCY CALLS
 S. 10597                            3
 
 WITHOUT  RECEIVING  ANY STIPEND PAYMENTS. VOLUNTEER FIREFIGHTERS WISHING
 TO WAIVE THEIR RIGHT TO PARTICIPATE IN THE PROGRAM SHALL FILE A  WRITTEN
 WAIVER  WITH  THE  AUTHORITY MANAGING THE PROGRAM ON THE FORM IT CREATES
 FOR THAT PURPOSE. FAILURE TO REGISTER FOR THE PROGRAM IF REGISTRATION IS
 REQUIRED SHALL ALSO SERVE AS A WAIVER.
   6.  VOLUNTEER  FIREFIGHTERS  RECEIVING  PAY  PER CALL AND PAID ON CALL
 STIPENDS MUST MEET ALL CRITERIA AND  REQUIREMENTS  NECESSARY  TO  BE  AN
 ACTIVE  VOLUNTEER FIREFIGHTER. THEY SHALL MEET ALL ENTRY LEVEL AND PERI-
 ODIC PHYSICAL EXAMINATION  REQUIREMENTS  SET  BY  THE  AUTHORITY  HAVING
 JURISDICTION  OVER  THE  FIRE DEPARTMENT OR FIRE COMPANY AND APPROVED BY
 ITS PHYSICIAN TO PERMIT VOLUNTEER FIREFIGHTERS TO RESPOND  TO  EMERGENCY
 CALLS  AND  RENDER  ASSISTANCE  AT  EMERGENCY CALLS. THEY SHALL MEET ALL
 TRAINING REQUIREMENTS FOR  VOLUNTEER  FIREFIGHTERS  ESTABLISHED  BY  THE
 OFFICE  OF  FIRE  PREVENTION  AND CONTROL BEST PRACTICES INITIATIVE, THE
 DEPARTMENT OF HEALTH (RELATIVE TO RENDERING EMERGENCY MEDICAL  SERVICES)
 AND  THE LOCAL AUTHORITY HAVING JURISDICTION OVER THE FIRE DEPARTMENT OR
 FIRE COMPANY.  THEY SHALL MEET ATTENDANCE REQUIREMENTS SET BY THE  LOCAL
 AUTHORITY  HAVING JURISDICTION OVER THE FIRE DEPARTMENT OR FIRE COMPANY.
 THE AUTHORITY HAVING JURISDICTION OVER A PROGRAM MAY  DENY  PAYMENTS  TO
 PERSONNEL WHO DO NOT MEET THOSE REQUIREMENTS.
   7.  ELIGIBLE  PERSONNEL  WILL  BE  ACTIVE  MEMBERS, WHO ARE ADEQUATELY
 TRAINED AND QUALIFIED TO RAPIDLY  RESPOND  TO  ALL  TYPES  OF  EMERGENCY
 CALLS.  NO  NOMINAL FEE SHALL BE PAID TO PERSONNEL WHO DO NOT RESPOND TO
 EMERGENCY CALLS ON APPARATUS, AMBULANCES, AND VEHICLES TO THE  SCENE  OF
 THESE EMERGENCY CALLS AND MEET ALL THE MINIMUM QUALIFICATIONS SET FORTH,
 BASED  UPON  RULES  SET  FOR EMERGENCY RESPONSES BY THE AUTHORITY HAVING
 JURISDICTION.
   8. VOLUNTEER FIREFIGHTERS RECEIVING A NOMINAL FEE UNDER  THIS  SECTION
 SHALL  BE  PERMITTED TO EARN POINTS AND RECEIVE PAYMENTS UNDER A SERVICE
 AWARD PROGRAM ADOPTED FOR THEIR FIRE DEPARTMENT OR  FIRE  COMPANY  UNDER
 ARTICLE ELEVEN-A OF THIS CHAPTER.
   § 2. Subdivision 3 of section 3 of the volunteer firefighters' benefit
 law,  as  amended  by  section  1 of part H of chapter 55 of the laws of
 2023, is amended to read as follows:
   3. "Line of duty" means the performance by a volunteer firefighter  as
 a volunteer firefighter of the duties and activities described in subdi-
 vision  one of section five of this chapter and the same such duties and
 activities performed for a specialized team established pursuant to  the
 provisions  of  section two hundred nine-bb of the general municipal law
 for which the volunteer firefighter does not receive any remuneration or
 a gratuity and shall be deemed to include any date of injury  as  deter-
 mined  by  the workers' compensation board pursuant to the provisions of
 section forty-one of this chapter. The following shall not be deemed  to
 be remuneration or a gratuity: receipt of a training stipend as outlined
 in  section  two hundred-aa of the general municipal law; A PAYMENT OF A
 NOMINAL FEE OUTLINED IN SECTION TWO HUNDRED-AAA OF THE GENERAL MUNICIPAL
 LAW; reimbursement of expenses for meals, lodging and actual and  neces-
 sary  travel;  the  receipt  of  a  mileage  allowance in lieu of travel
 expense; reimbursement of expenses for  registration  and  tuition  fees
 payable  under  section  seventy-two-g of the general municipal law, and
 the acceptance of transportation, food,  drink,  shelter,  clothing  and
 similar items while on duty or engaged in such activities.
   §  3.  Paragraph  c  of  subdivision 1 of section 205-g of the general
 municipal law, as amended by section 3 of part H of chapter  55  of  the
 laws of 2023, is amended to read as follows:
 S. 10597                            4
 
   c.  "Line of duty" means the performance by a volunteer firefighter of
 the duties and activities described in subdivision one of  section  five
 of  the volunteer firefighters' benefit law and the same such duties and
 activities performed for a specialized team established pursuant to  the
 provisions  of section two hundred nine-bb of this article for which the
 volunteer firefighter does not receive any remuneration  or  a  gratuity
 and  shall  be deemed to include any date of injury as determined by the
 workers' compensation  board  pursuant  to  the  provisions  of  section
 forty-one  of  the  volunteer  firefighters'  benefit law. The following
 shall not be deemed to be remuneration or a gratuity:  reimbursement  of
 expenses for meals, lodging and actual and necessary travel; the receipt
 of  a  mileage  allowance  in  lieu  of travel expense; reimbursement of
 expenses for registration and tuition fees payable under section  seven-
 ty-two-g of this chapter, the acceptance of transportation, food, drink,
 shelter,  clothing  and  similar  items while on duty or engaged in such
 activities; [and] receipt of a training stipend as outlined  in  section
 two hundred-aa of this article; AND PAYMENT OF A NOMINAL FEE AS OUTLINED
 IN  SECTION  TWO HUNDRED-AAA OF THIS ARTICLE OR SECTION SEVENTY-TWO-G OF
 THIS CHAPTER.
   § 4. Subdivision 2 of section 517 of  the  labor  law  is  amended  by
 adding a new paragraph (j) to read as follows:
   (J)  ANY  NOMINAL  FEE  PAID  TO  A  VOLUNTEER FIREFIGHTER PURSUANT TO
 SECTION TWO HUNDRED-AAA OR SECTION SEVENTY-TWO-G OF THE GENERAL  MUNICI-
 PAL LAW.
   §  5.  Paragraphs  (c), (m) and (n) of subdivision 5 of section 651 of
 the labor law, as amended by chapter  391  of  the  laws  of  2024,  are
 amended to read as follows:
   (c) as an outside [salesman] SALESPERSON;
   (m)  by a federal, state or municipal government or political subdivi-
 sion thereof, INCLUDING VOLUNTEER FIREFIGHTERS  AS  DEFINED  IN  SECTION
 THREE  OF THE VOLUNTEER FIREFIGHTERS' BENEFIT LAW; (n) as a volunteer at
 a recreational or amusement event run by a business that  operates  such
 events,  provided  that  no  single  such  event lasts longer than eight
 consecutive days and no more than one such event concerning substantial-
 ly the same subject matter occurs in any calendar year,  where  (1)  any
 such  volunteer  shall be at least eighteen years of age, (2) a business
 seeking coverage under this paragraph shall notify  every  volunteer  in
 writing,  in language acceptable to the commissioner, that by volunteer-
 ing [his or her] THEIR services, such volunteer is waiving [his or  her]
 THEIR  right  to  receive the minimum wage pursuant to this article, and
 (3) such notice shall be signed and dated by  a  representative  of  the
 business  and the volunteer and kept on file by the business for thirty-
 six months;
   § 6. Paragraph (e) of subdivision 1 of section 41 of the civil service
 law, as added by chapter 790 of the laws of 1958, is amended and  a  new
 paragraph (f) is added to read as follows:
   (e)  all  other  subordinate  offices  or positions for the filling of
 which competitive or non-competitive examination may be found to be  not
 practicable. Not more than one appointment shall be made to or under the
 title  of  any office or position placed in the exempt class pursuant to
 the provisions of this paragraph, unless a different number  is  specif-
 ically prescribed in the rules[.]; AND
   (F)  ALL  VOLUNTEER  FIREFIGHTERS  AS  DEFINED BY SECTION THREE OF THE
 VOLUNTEER FIREFIGHTERS' BENEFIT LAW.
   § 7. Subdivision 7 of section 201 of the civil service law is  amended
 by adding a new paragraph (h) to read as follows:
 S. 10597                            5

   (H)  THE TERM "PUBLIC EMPLOYEE" SHALL NOT MEAN A VOLUNTEER FIREFIGHTER
 AS DEFINED BY SECTION THREE OF THE VOLUNTEER FIREFIGHTERS'  BENEFIT  LAW
 FOR PURPOSES OF THIS ARTICLE.
   § 8. Subsection (c) of section 612 of the tax law is amended by adding
 a new paragraph 41-a to read as follows:
   (41-A)  THE  AMOUNT  OF  ANY NOMINAL CONSIDERATION PAID TO A VOLUNTEER
 FIREFIGHTER  AS  PROVIDED  FOR   IN   SECTIONS   TWO   HUNDRED-AAA   AND
 SEVENTY-TWO-G  OF  THE  GENERAL  MUNICIPAL  LAW, TO THE EXTENT THAT SUCH
 AMOUNT IS INCLUDABLE IN GROSS INCOME FOR FEDERAL INCOME TAX PURPOSES.
   § 9. Section 209-d of the general municipal law, as amended by chapter
 476 of the laws of 2018, is amended to read as follows:
   § 209-d. Contracts for outside service by volunteer  fire  departments
 and  companies.  Notwithstanding any other provision of law, no contract
 shall be made by a municipality or fire district whereby the services of
 a volunteer fire department or company are to  be  supplied  outside  of
 such  municipality  or fire district to provide (1) fire protection, (2)
 emergency service in case of accidents, calamities or other emergencies,
 or (3) general ambulance service pursuant to the provisions  of  section
 two  hundred  nine-b of this article, unless such volunteer fire depart-
 ment or company consents thereto. Any such contract may provide for  the
 payment  of  a  portion  of  the consideration expressed therein to such
 volunteer fire department or company to be expended for fire  department
 or  company purposes only. If the municipality or fire district owns all
 of the fire apparatus to be used  in  carrying  out  the  contract,  the
 portion  of  the  consideration which may be paid to such volunteer fire
 department or company shall not exceed thirty-five per centum, unless  a
 greater  portion  was being so paid on March fifteenth, nineteen hundred
 forty-one, under a contract entered into on  or  before  that  date,  in
 which  event  a not greater portion than was being paid on said date may
 be paid to such volunteer fire department or company in respect  to  any
 contract  entered  into on or after such date. No payments shall be made
 to individual volunteer firefighters as compensation for rendering  such
 outside service. THE PAYMENT OF A NOMINAL FEE TO A VOLUNTEER FIREFIGHTER
 PURSUANT  TO  SECTION TWO HUNDRED-AAA OF THIS ARTICLE AND SECTION SEVEN-
 TY-TWO-G OF THIS CHAPTER SHALL NOT CONSTITUTE COMPENSATION FOR RENDERING
 SUCH OUTSIDE SERVICE.
   § 10. The section heading of section 72-g  of  the  general  municipal
 law,  as  amended  by chapter 236 of the laws of 2006, is amended  and a
 new subdivision 4 is added to read as follows:
   Expenses of volunteer  firefighters  attending  training  schools  and
 instruction  courses,  AND REIMBURSEMENT FOR TRAVEL EXPENSES INCURRED IN
 RESPONSE TO EMERGENCY CALLS.
   4. THE GOVERNING BODY OF A CITY, TOWN, VILLAGE,  FIRE  DISTRICT,  FIRE
 PROTECTION  DISTRICT,  ANY  OTHER  ENTITY THAT OPERATES A VOLUNTEER FIRE
 DEPARTMENT  OR COMPANY, AN INDEPENDENT  VOLUNTEER  FIRE  COMPANY,  OR AN
 INDEPENDENT  FIRE  COMPANY MAY BY LOCAL LAW, ORDINANCE,  OR  RESOLUTION,
 ELECT  TO  AUTHORIZE VOLUNTEER FIREFIGHTERS SERVING A FIRE DEPARTMENT OR
 FIRE COMPANY UNDER THEIR CONTROL TO BE PERMITTED TO  RECEIVE  REIMBURSE-
 MENT  FOR  TRAVEL  EXPENSES  RELATED TO RESPONDING TO EMERGENCY CALLS OF
 SAID DEPARTMENT OR COMPANY AND MAY FUND THE COST OF SUCH  REIMBURSEMENT.
 SUCH  VOLUNTEER  FIREFIGHTERS MAY BE PAID A REASONABLE MILEAGE ALLOWANCE
 FOR EACH MILE ACTUALLY AND NECESSARILY TRAVELED BY THE  VOLUNTEER  FIRE-
 FIGHTER  IN ATTENDING SUCH EMERGENCY CALL OF THEIR FIRE DEPARTMENT. SUCH
 MILEAGE ALLOWANCE SHALL NOT EXCEED THE  STANDARD  TRAVEL  ALLOWANCE  FOR
 MILEAGE  ADOPTED  OR  PRESCRIBED  FOR FEDERAL INCOME TAX PURPOSES.   ANY
 CLAIM FOR SUCH EXPENSES OR REIMBURSEMENT SHALL HAVE ENDORSED THEREON, OR
 S. 10597                            6

 ATTACHED THERETO, A STATEMENT BY THE CHIEF OFFICER OF THE  FIRE  DEPART-
 MENT  THAT  THE  ATTENDANCE OF SUCH VOLUNTEER AT SAID EMERGENCY CALL WAS
 VERIFIED AND THAT THE VOLUNTEER RESPONDED TO THE SCENE OF THE  EMERGENCY
 IN ACCORDANCE WITH THE RULES OF THE DEPARTMENT OR COMPANY. IN THE ALTER-
 NATIVE THE REIMBURSEMENT PROGRAM MAY PROVIDE A GASOLINE GIFT CARD VALUED
 AT  THE  COST  OF  THE FUEL THAT WOULD HAVE BEEN USED FOR SUCH EMERGENCY
 RESPONSES.
   § 11. Subdivision 18 of section 176 of the  town  law  is  amended  by
 adding a new paragraph 18 to read as follows:
   (18)  THE  COST  OF  PROVIDING  A PAY PER CALL OR PAID ON CALL STIPEND
 PROGRAM FOR VOLUNTEER FIREFIGHTERS  OF  THE  FIRE  DEPARTMENT  AND  FIRE
 COMPANIES  OF  THE  FIRE DISTRICT PURSUANT TO SECTION TWO HUNDRED-AAA OF
 THE GENERAL MUNICIPAL LAW AND  THE  COST  OF  PROVIDING  TRAVEL  EXPENSE
 REIMBURSEMENTS  FOR VOLUNTEER FIREFIGHTERS RESPONDING TO EMERGENCY CALLS
 PURSUANT TO SECTION SEVENTY-TWO-G OF THE GENERAL MUNICIPAL LAW.
   § 12. The general municipal law is amended by  adding  a  new  section
 210-a to read as follows:
   §  210-A. VOLUNTEER FIRE SERVICE NOMINAL COMPENSATION ASSISTANCE FUND.
 1. THERE IS HEREBY ESTABLISHED IN THE CUSTODY OF THE COMPTROLLER  TO  BE
 KNOWN  AS  THE  "VOLUNTEER  FIRE SERVICE NOMINAL COMPENSATION ASSISTANCE
 FUND" (HEREINAFTER THE "FUND"). THE FUND SHALL CONSIST OF MONEYS  APPRO-
 PRIATED  THERETO BY THE LEGISLATURE, ANY GRANTS, GIFTS, OR BEQUESTS MADE
 TO THE FUND FROM ANY PUBLIC OR  PRIVATE  SOURCE,  AND  ANY  INTEREST  OR
 INVESTMENT  EARNINGS ACCRUED THEREON. THE SUM OF FIFTEEN MILLION DOLLARS
 IS HEREBY AUTHORIZED TO BE APPROPRIATED TO  THE  FUND  FOR  THE  INITIAL
 CAPITALIZATION THEREOF, SUBJECT TO APPROPRIATION BY THE LEGISLATURE.
   2.  MONEYS  IN THE FUND SHALL BE USED EXCLUSIVELY TO PROVIDE FINANCIAL
 ASSISTANCE TO ELIGIBLE FIRE DISTRICTS AND FIRE COMPANIES FOR THE PURPOSE
 OF ESTABLISHING, ADMINISTERING, AND FUNDING NOMINAL FEE PROGRAMS AUTHOR-
 IZED PURSUANT TO THIS SECTION. NO MONEYS FROM THE FUND SHALL BE USED FOR
 ANY CAPITAL EXPENDITURE,  APPARATUS  PURCHASE,  ADMINISTRATIVE  OVERHEAD
 UNRELATED TO THE NOMINAL COMPENSATION PROGRAM, OR ANY PURPOSE OTHER THAN
 THE  DIRECT PAYMENT OF NOMINAL FEES TO VOLUNTEER FIREFIGHTERS AS DEFINED
 IN THIS SECTION.
   3. TO BE ELIGIBLE TO RECEIVE MONEYS FROM THE FUND, THE GOVERNING BOARD
 OF THE APPLICABLE CITY, VILLAGE, OR TOWN  AUTHORITIES  HAVING,  BY  LAW,
 CONTROL  OVER  THE  PREVENTION OR EXTINGUISHMENT OF FIRES THEREIN AS SET
 FORTH IN PARAGRAPH (E) OF SECTION FOURTEEN HUNDRED TWO OF  THE  NOT-FOR-
 PROFIT CORPORATION LAW SHALL DEMONSTRATE THAT:
   (A)  THE  ANNUAL  REVENUES  OF THE FIRE COMPANY WHOSE MEMBERS WOULD BE
 ELIGIBLE TO RECEIVE A NOMINAL FEE ARE BELOW THE AUDIT  THRESHOLD  ESTAB-
 LISHED  PURSUANT  TO SECTION TWO HUNDRED NINE-Z OF THIS CHAPTER, AS SUCH
 THRESHOLDS MAY BE AMENDED FROM TIME TO TIME, WHICH THRESHOLDS  CURRENTLY
 REQUIRE  INDEPENDENT  CERTIFIED PUBLIC ACCOUNTANT AUDITS FOR FIRE COMPA-
 NIES WHOSE ANNUAL REVENUES MEET OR EXCEED APPLICABLE STATUTORY MINIMUMS,
 SUCH THAT ELIGIBLE APPLICANTS UNDER THIS SECTION ARE THOSE WHOSE  ANNUAL
 REVENUES FALL BELOW THE APPLICABLE AUDIT THRESHOLD AND WHO ARE THEREFORE
 NOT  REQUIRED TO OBTAIN AN INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT AUDIT
 OF THEIR FINANCIAL STATEMENTS UNDER CURRENT LAW;
   (B) THE GOVERNING BOARD OF THE APPLICABLE CITY, VILLAGE, OR  TOWN  HAS
 AUTHORIZED  THE PAYMENT OF NOMINAL FEES TO VOLUNTEER FIREFIGHTERS PURSU-
 ANT TO SECTION TWO HUNDRED TEN OF THIS ARTICLE BY LOCAL LAW,  ORDINANCE,
 OR RESOLUTION;
   (C) TO FURTHER THESE OBJECTIVES, THE GOVERNING BOARD OF THE APPLICABLE
 CITY, VILLAGE, OR TOWN, BY RESOLUTION, SHALL ADOPT INTERNAL POLICIES AND
 PROCEDURES  GOVERNING THE AWARD AND ADMINISTRATION OF ANY FUNDS USED FOR
 S. 10597                            7
 
 PROVIDING NOMINAL CONSIDERATION AND SHALL REVIEW ANNUALLY SUCH  POLICIES
 AND PROCEDURES;
   (D) THE GOVERNING BOARD OF A CITY, VILLAGE, OR TOWN AUTHORITIES HAVING
 CONTROL  OVER  THE  PREVENTION  OR  EXTINGUISHMENT  OF FIRES THEREIN HAS
 SUBMITTED ITS ANNUAL FINANCIAL REPORT TO THE OFFICE OF THE  STATE  COMP-
 TROLLER IN SUCH FORM AND CONTAINING SUCH INFORMATION AS THE OFFICE SHALL
 PRESCRIBE,  INCLUDING  DOCUMENTATION  OF  ANNUAL  REVENUES SUFFICIENT TO
 ESTABLISH ELIGIBILITY UNDER PARAGRAPH (A) OF THIS SUBDIVISION; AND
   (E) THE CITY, VILLAGE OR TOWN  AUTHORITIES  HAVING  CONTROL  OVER  THE
 PREVENTION  OR  EXTINGUISHMENT  OF FIRES THEREIN AND THE FIRE COMPANY OR
 COMPANIES THEREOF  ARE  IN  COMPLIANCE  WITH  ALL  APPLICABLE  FINANCIAL
 REPORTING AND ACCOUNTABILITY REQUIREMENTS IMPOSED BY LAW.
   4. TO BE ELIGIBLE TO RECEIVE MONEYS FROM THE FUND, THE GOVERNING BOARD
 OF  THE  APPLICABLE  FIRE  DISTRICT  HAVING,  BY  LAW,  CONTROL OVER THE
 PREVENTION OR EXTINGUISHMENT OF FIRES THEREIN AS SET FORTH IN  PARAGRAPH
 (E)  OF  SECTION  FOURTEEN HUNDRED TWO OF THE NOT-FOR-PROFIT CORPORATION
 LAW SHALL DEMONSTRATE THAT:
   (A) THE ANNUAL REVENUES OF EACH SUCH FIRE DISTRICT  AND  FIRE  COMPANY
 ARE  BELOW  THE  AUDIT  THRESHOLD  ESTABLISHED  PURSUANT  TO SECTION ONE
 HUNDRED EIGHTY-FOUR-A OF THE TOWN LAW AND TWO  HUNDRED  NINE-Z  OF  THIS
 CHAPTER,  AS  SUCH  THRESHOLDS  MAY  BE AMENDED FROM TIME TO TIME, WHICH
 THRESHOLDS CURRENTLY REQUIRE  INDEPENDENT  CERTIFIED  PUBLIC  ACCOUNTANT
 AUDITS  FOR FIRE DISTRICTS AND FIRE COMPANIES WHOSE ANNUAL REVENUES MEET
 OR EXCEED APPLICABLE STATUTORY MINIMUMS, SUCH THAT  ELIGIBLE  APPLICANTS
 UNDER THIS SECTION ARE THOSE WHOSE ANNUAL REVENUES FALL BELOW THE APPLI-
 CABLE  AUDIT  THRESHOLD  AND WHO ARE THEREFORE NOT REQUIRED TO OBTAIN AN
 INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT AUDIT OF THEIR FINANCIAL  STATE-
 MENTS UNDER CURRENT LAW;
   (B)  THE  GOVERNING  BOARD  OF  THE  FIRE  DISTRICT HAS AUTHORIZED THE
 PAYMENT OF NOMINAL FEES  TO  VOLUNTEER  FIREFIGHTERS  PURSUANT  TO  THIS
 SECTION BY LOCAL LAW, ORDINANCE, OR RESOLUTION;
   (C)  TO  FURTHER  THESE  OBJECTIVES,  THE  GOVERNING BOARD OF THE FIRE
 DISTRICT, BY RESOLUTION, SHALL ADOPT INTERNAL  POLICIES  AND  PROCEDURES
 GOVERNING  THE  AWARD AND ADMINISTRATION OF ANY FUNDS USED FOR PROVIDING
 NOMINAL CONSIDERATION AND SHALL REVIEW ANNUALLY SUCH POLICIES AND PROCE-
 DURES;
   (D) THE GOVERNING BOARD OF THE FIRE DISTRICT AS THE  AUTHORITY  HAVING
 CONTROL  OVER  THE  PREVENTION  OR  EXTINGUISHMENT  OF FIRES THEREIN HAS
 SUBMITTED ITS ANNUAL FINANCIAL REPORT TO THE OFFICE OF THE  STATE  COMP-
 TROLLER IN SUCH FORM AND CONTAINING SUCH INFORMATION AS THE OFFICE SHALL
 PRESCRIBE  INCLUDING  DOCUMENTATION  OF  ANNUAL  REVENUES  SUFFICIENT TO
 ESTABLISH ELIGIBILITY UNDER PARAGRAPH (A) OF THIS SUBDIVISION; AND
   (E) THE FIRE DISTRICT HAVING CONTROL OVER  THE  PREVENTION  OR  EXTIN-
 GUISHMENT OF FIRES THEREIN AND THE FIRE COMPANY OR COMPANIES THEREOF ARE
 IN COMPLIANCE WITH ALL APPLICABLE FINANCIAL REPORTING AND ACCOUNTABILITY
 REQUIREMENTS IMPOSED BY LAW.
   5. THE OFFICE OF THE STATE COMPTROLLER SHALL:
   (A)  ESTABLISH  AN  APPLICATION PROCESS AND PUBLISH GUIDELINES FOR THE
 SUBMISSION AND REVIEW OF APPLICATIONS  FOR  ASSISTANCE  FROM  THE  FUND,
 WHICH  GUIDELINES  SHALL  BE  MADE  PUBLICLY  AVAILABLE ON SUCH OFFICE'S
 WEBSITE;
   (B) REVIEW APPLICATIONS AND DETERMINE ELIGIBILITY IN  ACCORDANCE  WITH
 THE CRITERIA SET FORTH IN SUBDIVISION THREE OF THIS SECTION;
   (C)  DISTRIBUTE  MONEYS  FROM  THE FUND TO ELIGIBLE FIRE DISTRICTS AND
 FIRE COMPANIES ON AN ANNUAL BASIS, SUBJECT TO THE AVAILABILITY OF APPRO-
 PRIATED FUNDS;
 S. 10597                            8
 
   (D) ESTABLISH MAXIMUM GRANT AMOUNTS PER ELIGIBLE APPLICANT  PER  YEAR,
 WHICH  SHALL BE DETERMINED BASED ON THE NUMBER OF ACTIVE VOLUNTEER FIRE-
 FIGHTERS IN THE FIRE DISTRICT OR FIRE COMPANY, THE DEMONSTRATED NEED  OF
 THE APPLICANT AND THE TOTAL AMOUNT OF MONEYS AVAILABLE IN THE FUND;
   (E) REQUIRE EACH AUTHORITY HAVING JURISDICTION OR FIRE COMPANY RECIPI-
 ENT  TO  SUBMIT  AN ANNUAL REPORT TO THE OFFICE DETAILING THE USE OF ALL
 MONEYS RECEIVED FROM THE FUND, INCLUDING  THE  NAME  OF  EACH  VOLUNTEER
 FIREFIGHTER  WHO  RECEIVED  A  NOMINAL FEE, THE AMOUNT PAID TO EACH SUCH
 FIREFIGHTER, AND THE BASIS FOR SUCH PAYMENT; AND
   (F) PROMULGATE SUCH RULES AND  REGULATIONS  AS  MAY  BE  NECESSARY  TO
 IMPLEMENT  THE  PROVISIONS OF THIS SECTION, INCLUDING BUT NOT LIMITED TO
 RULES  GOVERNING  APPLICATION  PROCEDURES,  ELIGIBILITY  DETERMINATIONS,
 GRANT  AWARD CRITERIA, REPORTING REQUIREMENTS, AND PROCEDURES FOR RECOV-
 ERY OF FUNDS IN THE EVENT OF MISUSE OR NONCOMPLIANCE.
   6. ALL MONEYS DISTRIBUTED FROM THE FUND SHALL BE SUBJECT TO  AUDIT  BY
 THE  STATE  COMPTROLLER. ANY FIRE DISTRICT OR FIRE COMPANY THAT RECEIVES
 MONEYS FROM THE FUND AND IS FOUND TO  HAVE  USED  SUCH  MONEYS  FOR  ANY
 PURPOSE  OTHER  THAN  AS AUTHORIZED BY THIS SECTION SHALL BE REQUIRED TO
 REPAY TO THE FUND ALL MONEYS  SO  MISUSED,  AND  MAY  BE  INELIGIBLE  TO
 RECEIVE FURTHER MONEYS FROM THE FUND FOR A PERIOD OF FIVE YEARS FROM THE
 DATE  OF  SUCH  DETERMINATION  IN THE ABSENCE OF GOOD CAUSE SHOWN BY THE
 FUND RECIPIENT.
   7. IN THE EVENT THAT THE TOTAL AMOUNT OF ELIGIBLE APPLICATIONS EXCEEDS
 THE MONEYS AVAILABLE IN THE FUND IN ANY GIVEN  YEAR,  THE  OFFICE  SHALL
 GIVE  PRIORITY  TO  APPLICANTS  WITH  THE  LOWEST ANNUAL REVENUES AND TO
 APPLICANTS THAT HAVE NOT PREVIOUSLY RECEIVED MONEYS FROM  THE  FUND,  IN
 ORDER  TO  ENSURE  EQUITABLE  DISTRIBUTION OF AVAILABLE RESOURCES TO THE
 AUTHORITIES HAVING JURISDICTION AND  FIRE  COMPANIES  MOST  IN  NEED  OF
 ASSISTANCE.
   8.  IF ANY PROVISION OF THIS SECTION OR THE APPLICATION THEREOF TO ANY
 PERSON OR CIRCUMSTANCE SHALL BE ADJUDGED INVALID, SUCH INVALIDITY  SHALL
 NOT AFFECT OTHER PROVISIONS OR APPLICATIONS OF THIS SECTION WHICH CAN BE
 GIVEN EFFECT WITHOUT THE INVALID PROVISION.
   §  13. Severability clause. If any clause, sentence, paragraph, subdi-
 vision, section or part of this act shall be adjudged by  any  court  of
 competent  jurisdiction  to  be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the legislature that this act would  have  been  enacted  even  if  such
 invalid provisions had not been included herein.
   §  14.  This  act  shall  take effect on the one hundred twentieth day
 after it shall have become a law.