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Senate approves compromise to shift firefighter surcharge revenue toward statewide public‑safety COLA; opponents call it unfair to firefighters
Summary
Third substitute SB26 caps the firefighter fund share at 40% and redirects remaining surcharge funds to boost retirement cost‑of‑living adjustments for statewide public‑safety employees. Supporters called it a necessary equity fix for police; opponents said it reduces long‑standing firefighter funding and burdens local employers or employees to make funds whole.
The Utah Senate on March 1 passed a third substitute of Senate Bill 26, a contentious compromise changing how a surcharge that funds public‑safety retirement COLAs is allocated.
Under the bill, the portion of the premium surcharge directed to full‑time firefighter retirement funding would be capped at 40 percent; the remainder of the surcharge would flow into a statewide public‑safety account intended to increase cost‑of‑living adjustments (COLAs) for law‑enforcement retirees. Sponsors said the reallocation narrows a longtime gap between firefighter COLAs and law‑enforcement retirement benefits and accelerates a meaningful COLA for police and other public‑safety employees.
Senator Blackham, who described the measure as a compromise, said the bill moves the state closer to parity and provides training‑facility funding for the firefighters' academy. Senator Butters and other supporters argued the current distribution had drifted well beyond its original intent and that modest adjustments would produce a near‑term COLA increase for law enforcement.
Opponents, including Senator Maine, said the change essentially takes funds financed in part by homeowners' insurance surcharges that historically supported firefighter benefits and reallocates them away from the group. Concerns focused on timing (the effective transfer is set for Jan. 1, 2005), who would make up any shortfall, and whether the measure treats two categories of first responders equitably. Senator Maine called the measure a choice that pits two public‑safety groups against each other and voted against it.
On final action the third substitute SB26 passed by roll call with 20 ayes, 6 nays and 3 absent; it will be referred to the House for further consideration. Supporters said the change produces more equitable statewide coverage and a near‑term COLA for law enforcement; critics urged a broader interim review of retirement financing rather than piecemeal shifts.
