The Incentive Programs Committee was made a Standing Committee of the MSFA in 1995. The Committee has a chairperson and up to nine members. It also has 23 County Point System Coordinators. The Committee is responsible for monitoring incentive programs, coordinating the collection of information, and furnishing assistance as requested. Presently, the Committee is responsible for two programs:

• The Length of Service Awards Program (LOSAP), and
• The Income Tax Subtraction Modification for Volunteer Fire, Rescue, or Emergency Medical Services Personnel

The LOSAP is a county or municipal funded program. At present, 18 counties and two municipalities administer programs. Programs are funded out of the general operating budget, dedicated fire-rescue tax, or an annuity. Since LOSAP is either a county- or municipal-funded program, service time and points are not transferable from county-to-county.

The Committee is furnished the LOSAP’s from the counties and compiles a LOSAP Information Manual. This manual is updated as enhancements are received. It is available on request. Counties use this manual as a guide to start a LOSAP or to enhance present programs.

A one-page summary comparing each of the county’s current LOSAP benefits was prepared. It is a quick reference and is being requested more often than the manual.

Tax Incentive Program (TIP)

The TIP was established by Maryland Legislation in 1995, taking effect in tax year 1996. It has had several enhancements over the years. The Committee keeps the companies and county coordinators informed of any changes in the law and furnishes assistance as requested.

Each company must keep an accurate record of its member’s participation and provide each member a copy of the MSFA-P.2.2 no later than February 15 following the tax year. As soon after February 15, the company must send the county point system coordinator its list of qualifying members, social security numbers, years of service, and number of points. The coordinator will compile an alphabetical list of its county and send it to the committee no later than May 1 following the tax year. The committee compiles the data in the format requested by the Comptroller’s office and submits this information to the MSFA Secretary. It is then submitted to the State before October 1 following the tax year.

The TIP is a state-wide program financed by the State; therefore, service time and points are transferable to any county in the state.