Fire and EMS Funding Legislation Recap

The 2026 General Assembly session has included several legislative proposals focused on strengthening funding and support mechanisms for Virginia’s fire and emergency medical services (EMS) system. These measures range from grant programs to funding formula reviews and adjustments to existing aid streams. As counties across the Commonwealth continue to face rising call volumes, workforce shortages, and increasing equipment costs, these initiatives highlight ongoing efforts by policymakers to examine how the Commonwealth supports local fire and EMS systems. VACo supports additional state resources for fire and EMS coverage across the Commonwealth.

Perhaps the one non-budget amendment driven bill remaining with a chance of passing is SB 233 (Head), which directs the Virginia Department of Fire Programs to convene a workgroup to review the current funding formula used to distribute the Fire Programs Fund. The workgroup would examine how funding is allocated to localities and fire service organizations and evaluate whether the existing formula reflects current service demands, regional differences, and operational costs. A representative from VACo would serve on the workgroup. As originally introduced, the bill would have provided that, for the purposes of funds distributed to localities as aid for fire programs, if a locality does not provide the required annual report and forms, any funds due to the locality for the next year shall be returned to the Fire Programs Fund and redistributed as grants to enhance firefighting and rescue services in accordance with policies developed by the Virginia Fire Services Board. Under current law, such funds are 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. The Fire Programs Fund represents one of the Commonwealth’s primary funding streams supporting local fire and EMS services, providing resources for training, equipment, and other operational needs. The bill passed the House of Delegates unanimously in the form of a substitute, which was agreed to by the Senate.

HB 1054 (Phillips) and SB 80 (Mulchi) would have created the Virginia Fire Personnel and Equipment Grant Program. This would have established a competitive grant program administered by the Department of Fire Programs to support local fire and EMS agencies. Eligible uses under the program would include:

  • Hiring additional firefighters
  • Transitioning part-time or volunteer personnel to full-time positions
  • Purchasing fire and EMS vehicles
  • Acquiring operational equipment and protective gear

Such a program could help localities address staffing shortages and increasing equipment costs, particularly in communities experiencing rapid population growth or significant call volume increases and is a recommendation of previous workgroups that fire and EMS funding. VACo testified in support of both bills. Unfortunately, neither bill advanced out of the respective money committee for each chamber.

HB 394 (Askew) would have increased the fire insurance assessment from 1 percent of total direct gross premium income for such insurance to (i) 1.5 percent on and after July 1, 2026, but before July 1, 2027, and (ii) 2 percent on and after July 1, 2027. This was also a recommendation of previous fire and EMS funding workgroups. VACo testified in support of the bill. Unfortunately, the bill did advance out of the House Appropriations Committee.

Similarly, HB 986 (Garrett) would have established a Virginia At-Risk Fire Grant Program designed to assist fire departments facing operational or financial challenges that could threaten their ability to maintain adequate service levels. The program was intended to provide targeted assistance to departments experiencing staffing shortages, declining volunteer participation, or other structural challenges. VACo testified in support of the bill. Unfortunately, the bill did advance out of the House Labor and Commerce Committee.

In the proposed House and Senate budgets, VACo strongly supports Item 406 #1s, which would provide an additional $20 million in grants to localities for the purchase of emergency response vehicles and other equipment. This funding would provide much-needed assistance to counties working to replace aging fire and EMS apparatus and maintain reliable emergency response fleets.

VACo also strongly supports Item 275 #1s, which would provide $10 million in FY 2027 for the Rescue Squad Assistance Fund. This fund has long been a critical source of state support for local EMS agencies and volunteer rescue squads, particularly in rural and small communities where resources are limited and equipment costs continue to rise.

VACo appreciates the Senate’s action to preserve current law regarding the use of the Fire Programs Fund, which supports local volunteer and career fire programs, rather than diverting funds for personnel in the State Fire Marshal’s Office (Item 405 #2s).

Taken together, these proposals reflect growing recognition among policymakers that Virginia’s fire and EMS system, largely organized and funded at the local level, faces significant structural pressures. Counties and other local governments continue to shoulder most of the responsibility for providing emergency response services while navigating workforce recruitment challenges, aging equipment, and rising operational costs.

VACo will continue monitoring these legislative efforts and working with policymakers and local officials to ensure that statewide policies support sustainable, locally delivered fire and EMS services across the Commonwealth.

VACo Contact: Jeremy R. Bennett

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