Wednesday December 28, 2011
Workers comp fund helps out state volunteer fire departments
Auditor's office says departments have drawn more than $892,000 to cover premium costs
Daily Mail Business Editor
CHARLESTON, W.Va. -- A $5 million fund set up to help volunteer fire departments pay higher workers' compensation insurance premiums has paid out $892,530, according to state Auditor Glen Gainer's office.
The average payout has been $4,020, Gainer's office said. The smallest payout, $41, went to the Brenton Volunteer Fire Department in Wyoming County. The largest payout, $40,120, went to Independent Fire Co. No. 1, which serves Charles Town and Ranson in Jefferson County.
The Legislature set up the fund earlier this year to reimburse volunteer fire departments that encountered higher workers' comp insurance premiums. Many departments faced higher premiums after BrickStreet Mutual Insurance Co. decided to get out of the business of insuring volunteer fire departments. BrickStreet said it was losing money insuring them.
As of Dec. 21, 46 percent of the 420 volunteer fire departments in the state had requested financial assistance. Gainer's office said all but 2 percent have been processed, and those have paperwork problems.
Examples of problems include: the volunteer fire department's federal employee identification number doesn't match the state accounting system's record; the department's address doesn't match state records; or the department doesn't have a Form W-9 on file with the state.
Gainer's office said, "All fire departments have been notified of the needed documentation and the West Virginia State Auditor's Office will process the subsidy payments as soon as the requisite documentation is received."
No volunteer fire department has been denied reimbursement, Gainer's office said. However, 17 departments received no funding because the initial estimated premium for the current year was less than last year's premium.
Gainer's office said the payout amount can be misleading because the office is only reimbursing departments based on their initial estimated premium. "It can be 15 to 18 months after the initial premium until the final audit shows the actual premium due for 2011," the office noted.
Requests for assistance may come in as late as April 2012, Gainer's office said, although a last-minute rush isn't expected.
The program continues to accept applications. Additional information is available by calling Gainer's office at 1-800-500-4079 or by visiting Gainer's website at www.wvsao.gov and clicking on the volunteer fire department premium subsidy program banner.
The Insurance Commission and State Fire Marshal are assisting with the program. The Auditor's Office manages it.
Gainer's office said it is too early to talk about what might happen to any unspent money "until all of the final audit figures are available, which could be as late as August 2013."
Contact writer George Hohmann at busin...@dailymail.com or 304-348-4836.
CHARLESTON, W.Va. -- A $5 million fund set up to help volunteer fire departments pay higher workers' compensation insurance premiums has paid out $892,530, according to state Auditor Glen Gainer's office.
The average payout has been $4,020, Gainer's office said. The smallest payout, $41, went to the Brenton Volunteer Fire Department in Wyoming County. The largest payout, $40,120, went to Independent Fire Co. No. 1, which serves Charles Town and Ranson in Jefferson County.
The Legislature set up the fund earlier this year to reimburse volunteer fire departments that encountered higher workers' comp insurance premiums. Many departments faced higher premiums after BrickStreet Mutual Insurance Co. decided to get out of the business of insuring volunteer fire departments. BrickStreet said it was losing money insuring them.
As of Dec. 21, 46 percent of the 420 volunteer fire departments in the state had requested financial assistance. Gainer's office said all but 2 percent have been processed, and those have paperwork problems.
Examples of problems include: the volunteer fire department's federal employee identification number doesn't match the state accounting system's record; the department's address doesn't match state records; or the department doesn't have a Form W-9 on file with the state.
Gainer's office said, "All fire departments have been notified of the needed documentation and the West Virginia State Auditor's Office will process the subsidy payments as soon as the requisite documentation is received."
No volunteer fire department has been denied reimbursement, Gainer's office said. However, 17 departments received no funding because the initial estimated premium for the current year was less than last year's premium.
Gainer's office said the payout amount can be misleading because the office is only reimbursing departments based on their initial estimated premium. "It can be 15 to 18 months after the initial premium until the final audit shows the actual premium due for 2011," the office noted.
Requests for assistance may come in as late as April 2012, Gainer's office said, although a last-minute rush isn't expected.
The program continues to accept applications. Additional information is available by calling Gainer's office at 1-800-500-4079 or by visiting Gainer's website at
www.wvsao.gov and clicking on the volunteer fire department premium subsidy program banner.
The Insurance Commission and State Fire Marshal are assisting with the program. The Auditor's Office manages it.
Gainer's office said it is too early to talk about what might happen to any unspent money "until all of the final audit figures are available, which could be as late as August 2013."
Contact writer George Hohmann at busin...@dailymail.com or 304-348-4836.
