The executive director of the Public Employees Retirement Association shall convene a Fire State Aid Work Group to study and make recommendations to the Legislative Commission on Pensions and Retirement on: the current requirement that all fire state aid provided to municipalities with firefighters as defined in Minnesota Statutes, section 353G.01, subdivision 15, or 424A.001, subd. 10, must be used to fund service pensions governed by Minn. Stat., chap. 353G or 424A; and modifying the requirement to allow municipalities to allocate a portion of fire state aid to pay employer contributions on behalf of firefighters covered by the public employees police and fire retirement plan under Minn. Stat., sec. 353.65, subd. 3.
In making recommendations with information provided by Public Employees Retirement Association and Legislative Commission on Pensions and Retirement staff, the work group shall consider: the history and purpose of fire state aid; the history, purpose, and utilization of Minn. Stat. 2012, sec. 353A.10, subd. 6, which allowed certain municipalities to allocate a portion of fire state aid to pay public employees police and fire employer contributions; the impact on current volunteer firefighters, volunteer firefighter recruitment and retention, and municipalities if fire state aid is allocated between service pensions and public employees police and fire employer contributions; and a presentation by a city of Austin official and a representative from the Austin Part-time Firefighters Relief Association on the city of Austin's current allocation of fire state aid.