                                 CODE OF VIRGINIA

(EFFECTIVE JULY 1, 2026) FIRE PROGRAMS FUND (§ 38.2-401)

A. 1.  There is hereby established in the state treasury a special nonreverting
fund to be known as the Fire Programs Fund, hereinafter referred to as
&#8220;the Fund.&#8221; The Fund shall be administered by the Department of Fire
Programs under policies and definitions established by the Virginia Fire
Services Board. All moneys collected pursuant to the assessment made by the
Commission pursuant to subdivision 2 of this subsection shall be paid into the
state treasury and credited to the Fund. The Fund shall also consist of any
moneys appropriated thereto by the General Assembly and any grants or other
moneys received by the Virginia Fire Services Board or Department of Fire
Programs for the purposes set forth in this section. Any moneys deposited to or
remaining in such Fund during or at the end of each fiscal year or biennium,
including interest thereon, shall not revert to the general fund but shall
remain in the Fund. Interest earned on all moneys in the Fund and interest
earned on moneys held by the Commission pursuant to subdivision 2 of this
subsection prior to the deposit of such moneys into the Fund, including interest
earned on such moneys during any period when the Commission is reconciling
payments from insurers, shall remain in or be deposited into the Fund, as the
case may be, and be credited to it. Such interest shall be set aside for fire
service purposes in accordance with policies developed by the Virginia Fire
Services Board. Notwithstanding any other provision of law to the contrary,
policies established by the Virginia Fire Services Board for the administration
of the Fund, and any grants provided from the Fund, that are not inconsistent
with the purposes set out in this section shall be binding upon any locality
that accepts such funds or related grants. The Commission shall be reimbursed
from the Fund for all expenses necessary for the administration of this section.
The balance of moneys in the Fund shall be allocated periodically as provided in
this section. Expenditures and disbursements from the Fund shall be made by the
State Treasurer on warrants issued by the Comptroller upon written request
signed by the Executive Director of the Department of Fire Programs (Director)
or his designee.

   2. The Commission shall annually assess against all licensed insurance
   companies doing business in the Commonwealth by writing any type of insurance
   as defined in &#xA7;&#xA7; 38.2-110, 38.2-111, 38.2-126, 38.2-130 and 38.2-131
   and those combination policies as defined in &#xA7; 38.2-1921 that contain
   insurance as defined in &#xA7;&#xA7; 38.2-110, 38.2-111 and 38.2-126, an
   assessment in the amount of one percent of the total direct gross premium
   income for such insurance. Such assessment shall be apportioned, assessed and
   paid as prescribed by &#xA7; 38.2-403. In any year in which a company has no
   direct gross premium income or in which its direct gross premium income is
   insufficient to produce at the rate of assessment prescribed by law an amount
   equal to or in excess of $100, there shall be so apportioned and assessed
   against such company a contribution of $100.

B. After reserving funds for the Fire Services Grant Program and Dry Fire
Hydrant Grant Program pursuant to subsection D, 75 percent of the remaining
moneys available for allocation from the Fund shall be allocated to the several
counties, cities, and towns of the Commonwealth providing fire service
operations to be used for the improvement of volunteer and career fire services
in each of the receiving localities. Funds allocated to the counties, cities,
and towns pursuant to this subsection shall not be used directly or indirectly
to supplant or replace any other funds appropriated by the counties, cities, and
towns for fire service operations. Such funds shall be used solely for the
purposes of (i) training volunteer or career firefighting personnel in each of
the receiving localities; (ii) funding fire prevention and public safety
education programs; (iii) constructing, improving, and expanding regional or
local fire service training facilities; (iv) purchasing emergency medical care
and equipment for fire personnel; (v) payment of personnel costs related to fire
and medical training for fire personnel; (vi) purchasing personal protective
equipment, vehicles, equipment, and supplies for use in the receiving locality
specifically for fire service purposes; or (vii) providing training and
education and purchasing products, including personal protective equipment,
diesel exhaust removal systems, decontamination equipment, and commercial
extractors, that are designed to reduce the incidence of cancer among
firefighters. Notwithstanding any other provision of the Code, when localities
use such funds to construct, improve, or expand fire service training
facilities, fire-related training provided at such training facilities shall be
by instructors certified or approved according to policies developed by the
Virginia Fire Services Board. Distribution of this 75 percent of the Fund shall
be made on the basis of population as provided for in &#xA7;&#xA7; 4.1-116 and
4.1-117; however, no county or city eligible for such funds shall receive less
than $10,000, nor eligible town less than $4,000. The Virginia Fire Services
Board shall be authorized to exceed allocations of $10,000 for eligible counties
and cities and $4,000 for eligible towns, respectively. Allocations to counties,
cities, and towns receiving such allocations shall be fair and equitable as set
forth in Board policy. Any increases or decreases in such allocations shall be
uniform for all localities. In order to remain eligible for such funds, each
receiving locality shall report annually to the Department on the use of the
funds allocated to it for the previous year, shall provide a completed Fire
Programs Fund Disbursement Agreement form, and shall report, in accordance with
the requirements set by the Virginia Fire Services Board, all emergency
incidents through the National Emergency Response Information System (NERIS)
while sharing such emergency incident data with the Department of Fire Programs
in its capacity as state manager of NERIS. Each receiving locality shall be
responsible for certifying the proper use of the funds. If, at the end of any
annual reporting period, a satisfactory report and a completed agreement form
have not been submitted by a receiving locality, any funds due to that locality
for the next year shall not be retained. Such funds shall be added to the 75
percent of the Fund allocated to the counties, cities, and towns of the
Commonwealth for improvement of fire services in localities.

C. The remainder of the moneys available for allocation from the Fund shall be
used for (i) the purposes of carrying out the powers and duties assigned to the
Department of Fire Programs under Chapter 2 (&#xA7; 9.1-200) of Title 9.1, which
shall include providing funded training and administrative support services for
nonfunded training to localities and (ii) the payment of the compensation and
costs of expenses of the members of the Virginia Fire Services Board in
performing their official duties; however, the Fund shall not be used for
salaries or operating expenses associated with the Office of the State Fire
Marshal.

D. The Fire Services Grant Program is hereby established and will be used as
grants to provide regional fire services training facilities, to finance the
Virginia Fire Incident Reporting System and to build or repair live fire
training structures as determined by the Virginia Fire Services Board. Beginning
January 1, 1996, $1 million from the assessments made pursuant to this section
shall be distributed each year for the Fire Services Grant Program to be used as
herein provided, and $100,000 shall be distributed annually for continuing the
statewide Dry Fire Hydrant Grant Program. Moneys allocated pursuant to this
subsection shall be used for the purposes stated in this subsection, and for no
other purpose. All grants provided from these programs shall be administered by
the Department according to the policies established by the Virginia Fire
Services Board.

E. Moneys in the Fund shall not be diverted or expended for any purpose not
authorized by this section.

F. The Director shall establish written standards for determining the extent to
which clients outside the Commonwealth shall be financially responsible for the
cost of fire and emergency services training provided by the Department of Fire
Programs. Revenues generated by such training shall be retained in the Fire
Programs Fund and may be used solely for providing additional funded direct
training to members of Virginia&#8217;s fire and emergency services.

HISTORY: 1985, c. 545, § 38.1-44.1; 1986, cc. 60, 562; 1988, c. 336; 1995, cc.
615, 637; 1997, c. 791; 1998, cc. 166, 877; 2000, c. 820; 2001, cc. 397, 413;
2002, c. 389; 2004, c. 164; 2006, cc. 58, 322; 2007, cc. 647, 741; 2018, c. 649;
2019, c. 509; 2025, cc. 56, 69.