(a) A municipality may elect to participate in the fund by entering into an agreement with the commissioner that is consistent with AS 39.60.070. If a municipality elects to participate in the fund, the commissioner shall determine the amount and frequency of the municipality's required contributions to the fund based on the anticipated cost of the municipality's participation, including the department's cost of administering the agreement under this subsection.
(b) The commissioner shall administer agreements entered into under (a) of this section.
(c) A surviving dependent of a peace officer or firefighter who died while employed by a municipality is not eligible for payments from the fund unless the municipality elects to participate in the fund and is in compliance with an agreement entered into under (a) of this section.