SF 499 (LSB 2105SV (1) 91)

SENATE FILE 499

BY  COMMITTEE ON LOCAL GOVERNMENT

(SUCCESSOR TO SSB 1073)

(COMPANION TO HF 297 BY COMMITTEE ON LOCAL GOVERNMENT)

A BILL FOR

An Act relating to certain emergency services provided by a city.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 362.5, subsection 3, paragraph a, Code 2025, is amended to read as follows:
   a.  The payment of lawful compensation of a city officer, volunteer fire fighter as defined in section 85.61, emergency medical care provider as defined in section 147A.1, or employee holding more than one city office or position, the holding of which is not incompatible with another public office or is not prohibited by law.  This section shall not be construed to prohibit nominal stipends, compensation, incentives, or benefits for volunteer fire fighters or emergency medical care providers.
    Sec. 2.  Section 372.13, subsection 10, Code 2025, is amended to read as follows:
   10.  A council member, during the term for which that member is elected, is not precluded from holding the office of chief of the volunteer fire department or from serving the volunteer fire department in any other position or capacity. A person holding the office of chief of such a volunteer fire department at the time of the person’s election to the city council may continue to hold the office of chief of the fire department during the city council term for which that person was elected.  A currently serving member may serve as chief of the volunteer fire department upon a majority vote of the council. A council member who is a candidate for the position of chief of the volunteer fire department or an appointed officer position shall abstain from voting upon the council member’s own appointment to the position.
    Sec. 3.  Section 384.3, Code 2025, is amended to read as follows:
   384.3  General fund.
   1.  All moneys received for city government purposes from taxes and other sources must be credited to the general fund of the city, except that moneys received for the purposes of the debt service fund, the trust and agency funds, the capital improvements reserve fund, the emergency fund, and other funds established by state law must be deposited as otherwise required or authorized by state law. All moneys received by a city from the federal government must be reported to the department of management, who shall transmit a copy to the legislative services agency.
   2.  a.  A city may establish an additional fund or a reserve savings account to pay costs associated with the acquisition, possession, and maintenance of major equipment for police, fire, rescue, or emergency medical services. Moneys in a fund or account established under this paragraph may remain in the fund or account at the end of each fiscal year.
   b.  If a city has established an additional fund or a reserve savings account under paragraph “a” and has received a payment, award, judgment, or insurance settlement for damaged police, fire, rescue, or emergency medical services equipment or vehicles, the city shall deposit the moneys into the relevant fund or account rather than into the general fund of the city. However, if a city uses moneys from its general fund to cover costs to repair or replace damaged police, fire, rescue, or emergency medical services equipment or vehicles, the city may deposit into its general fund an amount received from the payment, award, judgment, or insurance settlement that is equal to the amount used from the general fund. The city shall deposit any remaining amount received from the payment, award, judgment, or insurance settlement into the relevant fund or account established under paragraph “a”.
   c.  If a city has established an additional fund under paragraph “a”, moneys remaining in the fund at the end of the fiscal year may be deposited into a reserve savings account. Moneys in a reserve savings account shall be used for the purpose of maintaining or acquiring major equipment including vehicles.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to certain emergency services provided by a city.
   Current law generally voids a contract entered into by a city officer or employee if the officer or employee has an interest, direct or indirect, in the contract or job of work or material or the profits thereof or services to be furnished or performed for the officer’s or employee’s city. The bill provides that this provision does not prohibit the lawful compensation, including nominal stipends, incentives, and benefits, for a volunteer fire fighter or emergency medical care provider holding one or more city offices or positions if holding the office or position is not incompatible with another public office or is not prohibited by law.
   Current law allows a city council member, during the term for which the member is elected, to serve as the chief of a volunteer fire department or serve a volunteer fire department in any other capacity. A person holding the office of chief of such a volunteer fire department at the time of the person’s election to the city council may continue to hold the office of chief of the volunteer fire department during the city council term for which that person was elected. The bill allows a currently serving city council member to serve as chief of the volunteer fire department upon a majority vote of the council, but such member must abstain from the vote.
   The bill provides that a city may establish a fund or reserve savings account to pay for major equipment for police, fire, rescue, or emergency medical services. If a city has established such a fund or account and has received a payment, award, judgment, or insurance settlement for damaged police, fire, rescue, or emergency medical services equipment or vehicles, the city shall deposit the moneys into the relevant fund or account rather than into the general fund of the city. However, if a city uses moneys from its general fund to cover costs to repair or replace such equipment or vehicles, the city may deposit into its general fund an amount received from the payment, award, judgment, or insurance settlement that is equal to the amount used from the general fund. The city shall deposit any remaining amount received into the relevant fund or account. Moneys remaining in the fund at the end of the fiscal year may be deposited into a reserve savings account. Moneys in a reserve savings account shall be used for the purpose of maintaining or acquiring major equipment including vehicles.