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Montana committee hears bill to raise monthly benefit for volunteer firefighters from $175 to $200
Summary
Lawmakers heard House Bill 358, which would increase the Volunteer Firefighters Compensation Act monthly pension from $175 to $200; sponsors and retirement officials said actuarial projections show the plan can remain funded under the change.
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Representative Shelly Fyant, sponsor of House Bill 358, told the House State Administration Committee that the bill would raise the base monthly benefit paid under the Volunteer Firefighters Compensation Act from $175 to $200.
Fyant, who represents House District 91, said the plan is an IRS-qualified length-of-service award administered by the Public Employees Retirement Board and covers volunteer firefighters serving unincorporated towns, villages and cities. "As of the most recent valuation of 06/30/2024, this plan is over 100% funded, and its funded ratio sits at 107%," Fyant said, summarizing the latest actuarial valuation and urging a due pass.
William Hollahan, executive director of the Montana Public Employees Retirement Administration, testified as a proponent and presented an actuarial handout to the committee. Hollahan described the plan's funding source — a statutory appropriation that equals 5% of fire insurance premium taxes — and said the retirement board's actuary projects that the $25 monthly increase could allow the plan to maintain a fully funded status by the end of fiscal year 2026 if assumptions are met. He noted the plan enrolls 228 volunteer departments and more than 2,700 active members.
Multiple community and tribal representatives spoke in support. Lads Fourstar, representing the Montana American Indian Caucus, submitted a letter backing the bill and said it is "a good bill for Indian country and Montana." Patrick Yawaki spoke on behalf of the Blackfeet Tribe, Fort Belknap Indian Community and Chippewa Cree Tribe of Rocky Boy, saying HB 358 "recognizes our rural communities who rely on volunteer firefighters." Jasmine Krotkov of the Montana Farmers Union told the committee that volunteer firefighters often provide first-response medical services in rural areas and urged support.
Jason Strouf, a Custer County commissioner, emphasized the training requirement for membership in the plan and asked the committee to support the bill. Several witnesses recounted local mutual-aid examples and described volunteer shortages in rural communities.
Committee members asked informational questions about tying benefits to inflation or to an automatic cost-of-living adjustment. Hollahan said other systems use indexed structures but that the VFCA benefit is a set statutory monthly amount and is not currently tied to CPI; he said indexing could be contemplated but would change the actuarial forecast presented to the committee.
The hearing record shows proponents only; no opponents testified. The committee did not take a final vote on the bill during this session of the hearing.
