I have a 1099-NEC from a Volunteer Fire Department. What option do I select under the question: What type of income is on your 1099-NEC.

Why did you get the income from them?  If it was for doing a job, then you enter then 1099-NEC and it will be treated as self-employment and reported on schedule C. 

If it was a prize or something else, then you would select the appropriate option.  

It was for driving the ambulance for our volunteer fire department. 

So that was for services rendered. So it would be considered Schedule C- Self-Employment income.  So when you enter the in the uncommon situations, you will select none of these apply to me and when asked about business, you are the business.  You were treated as an independent contractor.