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Date: March 11, 2024 Item: 17 <br />Presenter: James Van Eyll, Fire Chief <br />Section: Public Safety Report <br /> <br />Title: Approval of the Orono Firefighters' Relief Association Bylaws <br /> <br /> <br />1.Purpose: <br />The Orono Fire Department is required to have a relief association to manage the pensions of the <br />Orono Paid-On-Call Firefighters. Since the Orono Fire Department is a department of the City of <br />Orono, the City must approve the bylaws for the association. <br />2.Background: <br /> The new Orono Fire Department consists of fulltime, part time and Paid On Call (POC) <br />"Volunteer" firefighters. The full time and part time fire fighters are enrolled in the Public <br />Employees Retirement Association (PERA) for retirements benefits. The Paid On Call <br />Firefighters receive their retirement benefits through a fire relief association. <br /> A volunteer fire relief association is a governmental entity that receives and manages public <br />money to provide retirement benefits for individuals providing the governmental services of <br />firefighting and emergency first response. The relief association is a separate entity from the <br />affiliated fire department, and is governed by its own board of trustees. Relief associations have <br />various reporting requirements with the Office of the State Auditor, as well as with other state and <br />federal agencies. The Office of the State Auditor certifies relief associations as eligible for state aid <br />once all reporting information has been received and any identified issues have been resolved. <br /> Under Minnesota Statutes, Section 424A.001, Subdivision 4, volunteer firefighter relief <br />associations are required to be nonprofit corporations organized under Minnesota Statutes, Chapter <br />317A, the Minnesota Nonprofit Corporation Act. Minnesota Statutes, Chapter 317A, applies to all <br />Minnesota nonprofit corporations and contains numerous requirements on the manner of <br />incorporation, general powers, scope of bylaws, function of the board and officers, rights and <br />obligations of members, processes of consolidation, merger, or dissolution, and corporate <br />registration. <br />3.Cost: <br />The primary funding source for the relieve association is State Aid for Fire. For the Orono. State <br />Aid rules will result in he association receiving its first batch of state aid funds in 2026 for the <br />2025 calendar year. The Volunteer Firefighter Relief Association Financing Guidelines Act of <br />1971, Minnesota Statutes, Sections 69.771 through 69.776, requires municipal support of a relief <br />association if the main other revenue source, the fire state aid program under Minnesota Statutes, <br />Sections 69.011 through 69.051, is insufficient. <br />4.Process: <br />a. The Orono Paid On Call Firefighter have met and formed a board. They have used the State <br />Audit provided template to prepare the attached by-laws. <br />b. The by-laws have been reviewed by City Staff and the City Attorney. <br />c. On March 6th, 2024 the Relief association board approved the by laws. <br />d. The association with assistance of the city will be drafting articles of incorporation as a non- <br />profit. <br />AGENDA ITEM <br /> <br /> <br /> <br /> <br /> <br />197